Fixed price is possible for well defined design tasks where it is possible to estimate the needed effort to reach the specification and agreed time schedule . Typically applied to:
- Large projects with VME-Asic design Expert team with included VME-Asic controlled project risk management
- Well defined macro modules for re-use or behavioral module description.
- Stable module specification from the beginning of design task
- Well proven stable EDA- design environment and production technology
- Well defined deliverables
- Available resources
ASIC design is an innovative task so the above are almost never fulfilled entirely. This is why a fixed price cooperation model has to include risk management by a good documentation of changes, time schedule status reporting and the ability of change requests. In case a change request ( exp.: additional application specification, technology design rule changes making design simulations untrustworthy,... ) leads to considerable effort endangering the time schedule, VME-Asic will estimate the additional needed effort within 48 hours. Then both partners will have to agree up on the modification of the contract or take back of the change request. Change requests will only be implemented if the customer has agreed upon the estimated additional time and cost.