Time Model

Time and Material or T & M is a pricing based IT outsourcing model. It is the most common outsourcing standard model. Basically the name implies, the payments are based on the number of hours of work completed per day. It has many features with different pros and cons of your business strategy.


  • Fixed rate across the project
  • Time Tracked via our project/support portal
  • Transparent and visible reports via the self service portal
  • New work pre-approval process with fixed time
  • Minimum hours utilization per month

This model is ideal when the scope of work and the deliverables cannot be clearly defined. It is also utilized when a certain level of research and development needs to be done in an on-going project.

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 Pros and Cons of Time and Material Model

  • This model is very effective if there are too many unknowns in a project.
  • This model also enables the client to quickly increase and decrease project teams as per requirements and budgets.
  • It is the model of choice for the initial phase of new development projects Cons of Time and Material Model
  • Client needs to set aside management hours for controlling and tracking vendor resources including the approval and clearance of time-sheets.
  • It is often difficult to provide accurate budget estimates since there would not be any limits on the hours of utilization.
  • Vendor managers will not take responsibility of deliverables and management of stakeholder expectations.