Statement of Work

What is a statement of work?

A statement of work lists and defines all relevant aspects of a project in written out form as opposed to bullet points. It is supposed to give a detailed and structured overview of every aspect and step involved in a project. It should also include standard regulatory and governance terms and conditions.

What a statement of work addresses

These following points are typically addressed in a statement of work:

• Introduction
• Purpose - explains the reason for the project
• Scope - defines the work that has to be done and the process used to complete it
• Location - defines where the work has to or can be done
• Tasks - breaks up the work defined in Scope into single tasks and defines these
• Milestones - details the single phases of the project as milestones to break up the overall schedule
• Deliverables - a list of what is due and when it is due
• Schedule - establishes a general timeline including the single due dates for deliverables
• Standards & Testing - in case there are specific industry standards that have to be adhered to or testing has to be done
• Success - defines the parameters for a successful completion of the project
• Requirements - details the equipment needed to complete the project as well as eventual formal requirements, such as specific degrees or qualifications
• Payments - details how and when payments will be made
• Note - for anything that might be important but did not fit into one the other categories
• Close - details, how the results are to be delivered and how the project is to be closed, along with archiving documents

What is the use of a statement of work?

A statement of work can be used to provide the necessary information that vendors, contractors or suppliers would need to properly prepare a bid. It also serves to get all parties involved on the same page and can provide project management with an organizational backdrop on which the detailed project plan can build.