software_sin_medida (Photo credit: elprosumidor ) What ever it takes to execute a project whether it is a fixed bid or Time and material based what matters is how you are managing your finances in terms of billing. Lets take a closer look to difference between fixed bid and time and material based project. A fixed bid project is the one which is having a fixed budget from client and defined set of scope. So, in a fixed bid project the ball is in your court. You define how efficiently you can manage on resources to utilize them fully to balance on your margins. There is other side of the coin also by having a scope creep if you really blow up your work. Obviously a fixed bid project later can managed by the delivery team and driven by project team. While a time and material project is like a billing of resources involved on hourly basis for actual worked performed with agreed on terms and conditions. Also here one can get reimbursement for overheads. Here there is one possibility...