In today’s Web market, a number of Web development companies are focused on quantity and not quality. This leads to wastage of valuable time for the ICs and does not ensure quality solutions for their clients. If the IC’s stopped for a moment and calculated the opportunity cost of the time spent in dealing with low quality solutions, they would realize that the $900 solution that was purchased actually cost 5 to 10 times more. The problem is that a lot of times ICs do not consider such hidden or opportunity costs.
One of the biggest hidden costs is the cost of your time in doing things you should not be required to do, like project management or quality assurance (QA). To calculate the opportunity cost of any non-revenue producing work, let’s assume you can generate revenue of $300K per year and divide that by 2080, the average number of working hours in a year that equates to approximately $150 per hour. In this scenario, the opportunity cost of QA is $150 per hour.
When you do not take opportunity cost into account, you end up working harder without making profits. We can solve this problem for you. We understand what it takes for an IC to succeed and we eliminate the hidden costs on a project and help you work smarter, not harder.