The Time and Materials SOW Template is essential for projects where scope and resource requirements may vary throughout delivery. This document type is commonly used in professional services, IT, and engineering sectors within England and Wales jurisdiction. It provides a structured framework for charging based on actual time spent and materials used, rather than fixed-price arrangements. The template includes detailed sections on rate cards, resource allocation, billing procedures, and change management processes, ensuring clarity in commercial terms while maintaining flexibility in delivery approach.
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1. Parties: Identification and details of contracting parties
2. Background: Context and purpose of the SOW, including reference to any master services agreement
3. Definitions: Key terms used throughout the document including Time and Materials basis, Rates, Materials, etc.
4. Scope of Services: Detailed description of services to be provided, including deliverables and methodology
5. Time and Materials Rates: Agreed rates for labor, pricing structure, and materials costs
6. Payment Terms: Billing frequency, payment methods, timelines, and invoicing requirements
7. Duration and Timeline: Project timeline, start date, end date, and key milestones
8. Personnel and Resources: Key personnel, roles, responsibilities, and resource allocation
9. Governance: Project management, reporting requirements, and communication protocols
1. Change Control: Process for managing changes to scope, rates, or resources - recommended for complex projects
2. Performance Metrics: KPIs, service levels, and performance measurement criteria - used when specific standards must be met
3. Security Requirements: Security measures, compliance requirements, and data protection protocols - essential when handling sensitive information
4. Business Continuity: Disaster recovery and business continuity requirements - important for critical services
5. Exit Management: Procedures for service transition or termination - recommended for long-term engagements
1. Schedule 1 - Rate Card: Detailed breakdown of all applicable rates, including standard rates, overtime rates, and expense categories
2. Schedule 2 - Resource Schedule: List of assigned personnel, their roles, qualifications, and availability
3. Schedule 3 - Technical Requirements: Detailed technical specifications, system requirements, and technical standards
4. Schedule 4 - Service Levels: Detailed service level agreements, performance metrics, and measurement methodologies
5. Schedule 5 - Compliance Requirements: Regulatory requirements, industry standards, and compliance obligations
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