Earlier this week, I was at a pricing workshop hosted by a biglaw firm.
At one stage attendees were asked how the pricing function worked at their firms. I informed the audience that with Moores Agreed Pricing or MAP, we agree the price before we start work for a customer.
I was asked by the host, director of pricing of the big law firm, what we do if the “client does not come to the table with respect to scope.”
My answer: “We simply don’t start work until we’ve scoped and agreed the price in conjunction with the customer.”
After a pause he said: “Well, that’s very disciplined of you.”
I think I got his attention given he suggested he wanted to chat with me in detail about how MAP works!
It is amazing how the answer is so simple, yet so beyond the comprehension of otherwise very smart people.