How an Engagement Runs

The five ordered steps — diagnostic, proposal, statement of work, implementation, handover — and what each one produces.

Step one is the diagnostic. A defined diagnostic phase produces a written findings report before any implementation is priced. Depending on the business size, this takes one to three weeks.

Step two is the proposal, which converts findings into priced options: advice-only, implementation support, or a retainer. Each option carries a different price because each carries different hours.

Step three is the statement of work. It fixes deliverables, timeline and payment schedule before work starts, so nothing is billed against a verbal understanding.

Step four is implementation. This is where the funnel gets built, the process gets rewritten, or the plan gets executed. Implementation support costs more than advice-only engagements because it includes execution hours.

Step five is handover. Good engagements end with a handover document so the client can run the system without the consultant. A handover is what turns the fee into an asset.

Common failures at each step: skipping the diagnostic and pricing blind; verbal scope instead of a written SOW; implementation without milestones; and ending without documentation.

• Diagnostic — written findings report
• Proposal — priced options
• Statement of work — scope, timeline, payment
• Implementation — built system
• Handover — client runs it alone

Further reading

• Fee Structures Compared
• Typical Deliverables