How Does Personal Injury Protection Insurance Work?

- - Business

Personal injury protection (PIP) is a type of insurance that generally only works by covering a person’s medical expenses after an accident. It is typically thought of as a no fault policy because it provides coverage to the injured individual regardless of who was actually responsible for the accident. This is the case whether the accident was a collision between two vehicles, a slip and fall or some other type of incident. If you have any confusion over this type of coverage, you might want to get in touch with the Benedict Morelli Law Firm for clarification.

What Does PIP Insurance Cover?

In addition to covering a person for their medical expenses after they have been injured in an accident, PIP insurance goes a bit beyond that. For instance, it covers the individual’s expenses for transportation to medical appointments and even things like lawn repair. In some cases, it even covers funeral expenses and lost wages. Additionally, when the individual is unable to care for himself or herself due to their injuries, PIP may cover the cost of a caregiver if one is necessary.

Is PIP Insurance Required?

Interestingly, PIP insurance is mandatory in 13 states, including Florida, Hawaii, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, New Jersey, New York, North Dakota, Pennsylvania, Utah and the District of Columbia. It is available in many of the other states as an optional part of insurance coverage.

Generally, what is covered by PIP insurance depends on the state. In other words, each state determines what is reasonable under PIP insurance coverage. For instance, in Utah, acupuncture is considered to be a reasonable type of medical treatment under PIP coverage, but that is not the case in California.

Why Do Some of the States Require PIP Insurance?

The 13 states that require people to get PIP insurance do so in the hopes that there are fewer lawsuits filed against drivers who are at fault for car accidents. Although in some cases, it has thwarted legal action, each of the states also has laws that allow drivers to file lawsuits against others due to certain situations.

How Does PIP Insurance Differ from Bodily Injury Liability?

In general, there are differences between PIP insurance and bodily injury liability. The main one is that bodily injury liability makes payments to individuals to whom a person is legally obligated because they were responsible for the accident that led to their injuries. PIP, on the other hand, covers only a person’s own medical expenses. When someone has bodily injury liability, they are also covered for their legal defense expenses.

How Much PIP Coverage Do You Need?

The amount of PIP coverage you choose should depend on your health insurance plan. If your health insurance covers you with sufficient benefits following an accident, you might want to go with the smallest amount of coverage. On the flip side, if your health insurance doesn’t cover you for injuries stemming from a car accident, you might want greater PIP coverage to ensure that you’re fully covered in the event of an accident.

If you have any concerns about PIP insurance, contact the Morelli Law Firm at your earliest convenience.

Preparing for a Grievance Hearing: What You Need to Know

- - Business

A grievance procedure certainly isn’t the most enjoyable duty among the responsibilities of the HR department, but it’s a necessary one, and it needs to be carried out with utmost care and caution. A successful grievance procedure allows the employer to prevent employee relationships breaking down and can even strengthen the morale of the staff.

6u Preparing for a Grievance Hearing: What You Need to Know

But how do you start such a delicate process, and how do you guide it so it has the best possible result given the circumstances? Do you have a difficult duty ahead? Here’s all about preparing for a grievance hearing: what you need to know.

What to keep in mind

During a grievance procedure, emotions and stress can run high, so it’s important that the person in charge of the procedure is not emotionally involved and has no conflict of interest. Here are some basic factors to consider.

The basic steps

  • Formal or informal? Sometimes it’s possible to settle issues in an informal way, which can result in a much better resolution. If not – or if there is any doubt – it’s best to resort to formal procedures.

 

  • Following rules and guidelines. There are two main rules and guidelines to follow – and it’s crucial to do so. These are the company’s guidelines and policies, as well as the code of practice on disciplinary and grievance procedures.

 

  • Gathering evidence. As much evidence should be collected as possible before the grievance meeting. This evidence should be sent to the employee in advance of the grievance meeting.

 

  • The meeting. The employee should be formally invited to the grievance hearing and reminded in the invitation that he or she has the right to be accompanied by a colleague or representative of the trade union.

 

  • Notes or recording. Note-taking or recording is important to ensure that all details are well-understood and not forgotten, and can be accurately reported later on. For best results, have the recording transcribed by proper transcription services such as https://www.alphabetsecretarial.co.uk/. Understand, however, that the employee must give permission before any recording – video or audio – can take place. Start by asking the employee about the issue and how he or she thinks it can best be resolved.

 

  • Consideration and decision. Take time to consider all the evidence first before deciding. Make a decision, then inform the employee in writing about the decision and why this was reached.

Because so much can depend on the conduct of those conducting the interviews, the way all evidence is gathered, and the execution of the various steps in the process, it’s important that care is taken and that employees are informed of their rights and are handled with respect. It’s about how the employee and the employer, and also possibly the staff of the company – and even people outside of it – will experience or perceive the matter.

 

 

 

5 simple ways to pay off logbook loans

- - Business

Loan payments often seem like a burden especially when you need to continue with it alongside meeting other expenses. You’ll simply wonder how to meet your various living costs like that of food, bills, and rent. However, there are a few good repayment methods that you may consider like applying for logbook loans which are so straightforward in nature.

Pick any reliable lender with suitable repayment terms

You must identify logbook loan providers that are actually helping individuals with cash-flow problems in the short-run. Stay away from those offers that may claim your car and money if you fail to meet the repayment terms. You may devise a loan repayment plan by working with any reliable and reputable lender.

Don’t get a penalty for advance payments

Early settlement penalties are often imposed by a few logbook loan companies. This means you’ll be charged more if you gain funds for paying off a loan sooner than the preset due date. Work with lenders that don’t charge you with any early settlement fees thereby not surprising you in case you decide to pay off earlier than later.

Adding an extra hour

It’s natural for you to avoid taking on more burden when you’re already trudging through a tiring forty-hour week. But you may consider pushing it more by an hour every day to create some difference in the month end. Inquire with your employer and see if there’s room for you to extend your work for one more hour on a daily basis. Alternatively, you may get your content published with blogging services like Triond and claim your share of their advertising revenue.

Alter your shopping habits

You may come across a few non-branded alternatives to your regular toiletries and foods that come for a price. This way, you can end up making substantial savings. You may achieve a savings worth up to £4,000 a year when you choose to pick own brands in place of branded goods. Savings of this kind can actually help you pay off a substantial portion of your logbook loan. A number of industry surveys have given a clear indication towards a possible savings opportunity while following this path.

Clearing out a few things

You may choose to sell off some of your unwanted belongings by signing up with websites like Amazon and eBay. It will certainly provide you with some quick cash. By pulling out clothes from your wardrobe that you don’t wear anymore or by selling off books, games, and DVDs that are lying unused, you may actually contribute a sizeable amount towards your repayments.

You may even try to make a few small savings by sticking to a strict budget very month. All of these small actions can actually help in paying off your loan sooner than you expect it to be. Again, you’ll achieve a boost on your credit score once your loan is paid off successfully. What more can you want when you meet the loan eligibility criteria set by all lending institutions and banks near your residential area.

3 Useful Gimmicks When Using Roll Up Banners During Events

- - Business

Being invited to attend special events where you can set up a booth to advertise your business is a good opportunity. You have to grab the chance and RSVP as soon as possible. This is the chance for you to attract people to buy what you offer. You can also provide more information about your business. The best part is that you don’t have to pay to be there. You might be asked for exchange deals, but it usually won’t cost your business that much.

The only thing you have to understand when you go to these events is that you will often be with a lot of other businesses. They will also do their best to lure people to come and check out what they have to offer. They will also have gimmicks in order to pull people in. This is why you need to prepare well before going to the event. Your team must be fully prepared so you can get the best results possible.

Here are some useful gimmicks that you can use to attract people.

  1. Turn the music up. It helps if you have loud music playing, but not too loud to distract others. You should play your company song if you have one. Otherwise, you can play happy songs. This will lure more people in. This will give them an impression that you are trying to be hip and cool. If your business targets millennials, this is a good strategy.

  2. Give freebies. Of course, people love freebies. If you have something to give out for free, it would be great. However, they need to also come and listen to what you have to say in return. Don’t make it difficult though. If you demand a lot from people, they won’t care even if you are offering something for free.

  3. Use roll up banners. It helps if you make use of roll up banners or pop up banners. They are still deemed effective in advertising. These banners contain the information that you want your target audience to know about. They can just drop by and read the information. They can also be curious and ask for more information from you based on the idea that they have read. The good thing about using a pull up banner is that you can still use it the next time around if you are invited to attend other events.

Take time to plan your strategies to target people at a crowded event. If you want to attract them using banners, you should check out http://www.rollerbannersuk.com. You will then know the process involved in banner printing and the cost for this advertising strategy.

Image source:

https://www.rollerbannersuk.com/wall-mounted-banner-frames/

From Amps to Apps – Technology to Beat the Band

- - Business, Innovation

Remember the garage bands of your youth?  Getting together after school to write songs, learn lyrics and practice for hours with dreams of making it big someday.  Booking gigs and lugging all that gear around was a chore, especially if the club owner threatened to cut your pay for being late.  And how many times were you paid with beer and an “atta boy!”  Well things have changed as a recent trip to the Guitar Center showed.  Now there are many apps to teach you how to play an instrument, write and record songs, and apps that can stand in for all those amps that used to fill up the back seat of your car.

There is an app called the PocketAmp that can turn your iPhone or iPad into an amp with the addition of an instrument adapter.  It allows you to get down to your favorite sounds in your iTunes playlist.  It even has a feature that will slow down any song so you can clearly hear the words and phrases.  It’s the perfect gift for the budding musician in your life.

There is an incredible amount of software available for all your music needs for sale this season on Groupon.  You can get great deals on selected items at the Guitar Center that can save you as much as 50% off purchases and qualify for free shipping so your gift arrives faster than Santa’s sleigh.

There’s even an app called AppliTube that lets you use your iPad or iPhone to process, play and record your guitar or other instrument on the go.  It’s a tone studio that allows you to build and edit guitar or bass rigs so you can easily capture your most creative moments.  Don’t let that bass line that been looping in your head get away.  Use this app to capture the beat before it vanishes like a dream.  This easy to use tool lets you drag and drop pieces of virtual gear to create the guitar and bass rigs you want with 6 stompbox effects, an amplifier and speaker cabinet with 2 microphones with variable positions, and so much more.  We certainly had nothing that easy to use back in the day.  With apps providing such a wide range of ingenuity and creativity, it might be time to get the guys back together again.

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3 Reasons Why a Virtual Office Can Add Value to Your Small Business

- - Business

Over the years, cosmopolitan cities like New York, Miami, and Los Angeles have become synonymous with entrepreneurial adventure. Just look at San Francisco and its tech playground, Silicon Valley. It is teeming with startup ventures and digital agencies, all trying to take advantage of the latest market trend. Yet, there is good reason to believe that this fertile bubble is now on the decline.1 3 Reasons Why a Virtual Office Can Add Value to Your Small Business

According to analysts, the economic recession has made it tougher for small businesses to survive in the States. Rent costs are rising and many entrepreneurs and SMEs are being priced out. The same thing is currently happening in London, but in both the UK and the US, the startup market continues to grow. Clearly, young companies are adapting.

This guide to the benefits of virtual workspaces will explain why opting for a flexible office could be your key to success.

Building a Corporate Brand

Older brands and bigger businesses don’t like to admit that a successful company can be run out a garage, a shed, or a bedroom. Yet, we know that it is true because many famous entrepreneurs have done it this way. Crucially, however, they’re not in their bedrooms anymore. After a certain point, you really do need a proper corporate address. This is as much for image purposes as anything else.

Investors are always going to be more convinced by a company with the right signs of professionalism. The good news is that you don’t have to pay for a full, long-term office lease to get them. Virtual offices are like the gyms of the corporate world. You can visit whenever you like and pay to use only the tools and resources that are valuable to your business. Visit www.servcorp.com/en/virtual-offices/ to find out about the best facilities available in New York, California, Pennsylvania, and Illinois.

Giving Your Business Added Relevance

Generally, businesses that are situated close to the central shopping and financial districts of major cities get the most opportunities. If you’re two blocks from Wall Street, for instance, you’re clearly better placed to sell to wealthy consumers and attract big money investors. However,central locations mean high rental costs and many small businesses simply cannot afford to relocate. What they can do – and what you can do – is cheat the system.

Virtual offices are set up to function as fully equipped, on demand workspaces. If you’re a registered customer, you can visit anytime anduse the address as your business address. You can even set up a mailbox service, which will process and hang on to your letters until your next visit. So, you can keep your store or workshop out of town and benefit from an impressive city location.

Making the Business Available to Clients

The one thing you do need to remember is the importance of business contacts and networking. Forging the right relationships is vital, particularly for start-ups, because it could mean the difference between small fry projects and landing the contract of a lifetime. All good virtual office facilities include access to high-quality conferencing rooms and meeting spaces.

So, even if you don’t operate out of a traditional office,you can still host important clients and investors in a professional environment. These conferencing rooms contain video equipment, projectors, electronic whiteboards, and other presenting tools. If you need help setting any of the resources up, you only have to speak with an office manager or representative.

Finding the Right Virtual Office for Your Business

There are scores of great virtual facilities in many of the major US cities, from Dallas to Boston, Atlanta, and beyond. To find one that works for you, take a look at the office solutions in the area that you want your business to be associated with. This might be a location that you’re planning to relocate to or it could just be somewhere that you split your time between. Either way, the first step should be to take a guided tour and experience the environment for yourself.

 

 

FOMC MEETING EXPECTED TO SET THINGS CLEAR

- - Business

Whenever the Federal Reserve officials come out to raise their views on the market, the more muddled up the economists and investors get. The situation continues to be more confusing possibly up to September 21 when the FOMC meeting will kick off.

The split amongst the officials is noticeable

The Governor of the Federal Reserve, Daniel Tarullo, continued with his cautious interpretation of the economy while his counterpart President Eric Rosengren of Boston Fed went on to insist on the need for slow tightening. Just before the meeting expected to be held on September 20-21, there still seem to be divisions within the FOMC that appear to fade the picture of what will be decided.

“Everyone seems to be staying in their path,” indicated a CMC Markets staff. This further complicates the interpretation of the recent inconsistent data that includes the under-forecast jobs report of August.

Analysts continue to raise their views, and it is highly improbable that the Fed will raise the interest rate for the month.

Tarullo commented that he will wait until the economy gain momentum in order to raise the interest rates. He further declined to rule out the possibility that he and his team might move before December.

Views shed light on recent data

Governor Rosengren showed that the increase in salaries and wages displayed a unique similarity with the labour market starting to delineate its place in the wage data. He later commented that if failing to slowly get rid of accommodation will shorten the duration of the expected recovery.

Robert Kaplan, the Dallas Fed President, indicated that the past data had provided enough reasons for a possible interest rate increase. He later indicated that he would not have time to be cautious or patient, in that case.

As it always happen, once the Fed will move Tarullo and Rosengren will have the same stance. Despite his side, Tarullo seem to consider a possible rate increase.

The upcoming speech means a lot to investors

The discord in interpretation of the situations has led all interested parties to place a lot of importance on the speech to be delivered by Governor Lael Brainard in Chicago on Monday. This will be the last appearance of Fed before the FOMC meeting later in the week.

Numerous players in the market factored in a September rate hike after her speech was made public by Fed on Thursday.

Will the meeting bring unity?

Not only the market and investors are surprised by this wave of events, but also the Fed, who are not sure what their colleagues will support.

The Fed President John Williams of San Francisco said that it is in Washington that the views will be brought together and while considering the economy, a proper decision will then be made. The Governor said this on September 6 while in Reno, Nevada. For his part, he choose not to stand with any side and failed to comment on which side he will support come September 20-21 meeting. Further, he insisted that the decision they will fall for will entirely depend on what the economy displays as well as what will be discussed in the meeting.

Governor Tarullo further indicated that a huge discussion may be the order of the day depending on the data that is available; and what it means to the monetary policy.

Everyone seem to look for any possible signal from the Fed’s Federal Open Market Committee, but nothing seem uniform and nothing seem clear up to the end of the week. Given the current communications from Fed, it is nearly impossible to jump to any conclusion.

A specific decision to help make any conclusions ahead of the committee gathering in Washington DC will be too much to hope for from the Fed. The split and inconsistencies among the members only complicates the matter. In fact, more questions than they could be possibly answered by the Fed come up. Will the FOMC meeting be the market mover for next week? It is only time will tell.

Currency Trading Queries Answered

 

What is so different about the forex/currency market?

 

Forex is currently the largest trading market in the world, saying that it has only recently become a thing for the general ‘run-of-the-mill’ traders. Up to a few years ago when online trading became a hit and began to become a thing of the norm, the forex market was only used and was the domain of large financial institutions, worldwide corporations and various hedge funds. As times have changed, investors want to get a taste of the currency market. So, whether you are a forex beginner or you are looking for a good read about Forex, read on to find out the answers to some top currency trading questions.

 

Why is the Forex market different to others?

 

Stocks, futures, assets and options take place on what is called a regulated exchange. Currency trading does not. Regulated exchange is where the platforms are controlled by a governing body and where there is a panel to resolve disputes. With forex trading members trade on literally a handshake, something called credit agreements.

 

There is an amount of self-regulation within the forex market and members have to both compete and cooperate with one another, this provides a steady level of trading on certain platforms. In saying this, regular traders and dealers have to become a part of the National Futures Association which is where they bind to an agreement in the event of a dispute. Platforms like CMC Market are members of the NFA.

 

With Forex trading there is a number of ways that you can trade and bet. There is no rule with trading as there is with trading stocks. You can contemplate whether a currency pair will rise or even fall and bet your trade on such assumptions. Additionally there is no limit on the size of your investment. If you had one million, you could invest one million.

 

 

Is there commission fees in forex trading?

 

The forex market doesn’t have commissions because it doesn’t have brokers. Brokers are only used when trading stocks and shares. When a broker provides an advisable service or emits a trade for their client they are paid a commission. Forex simply have dealers who make their money through the bid-ask spread.

 

With forex trading apart from these initial fees, the profit made is for the investor alone to keep.

 

What exactly are you selling and buying in the currency market?

 

In actual fact with forex trading you are neither buying or selling. There is no physical exchange of currencies and you don’t own anything, hence the fact it is known as tax free trading. As the market is traded in currency pairs, it is simply the matter that the trader decides to go short on one currency and long on the other.

 

What are the different currencies?

 

There are some dealers who deal with diverse currencies like Czech koruna for example but there are a few main currencies to take note of when trading. The following pairs account for over 95% of all trades in the forex market. These are the currency major:

 

EUR/USD (euro/dollar)

USD/JPY (dollar/Japanese yen)

GBP/USD (British pound/dollar)

USD/CHF (dollar/Swiss franc)

 

The following are the commodity pairs:

 

AUD/USD (Australian dollar/dollar)

USD/CAD (dollar/Canadian dollar)

NZD/USD (New Zealand dollar/dollar)

 

What are some of the terms used in Forex Trading?

 

Cable, sterling, pound – different names for the GBP

Greenback, buck – names used for the U.S. dollar

Swissie – another name used for the Swiss franc

Aussie – another name used for the Australian dollar

Kiwi – another name used for the New Zealand dollar

Loonie, the little dollar – various names used for the Canadian dollar

Figure – A forex term meaning a round number like 1.2000

Yard – a billion units, for example “I sold a couple of yards of sterling.”

 

 

Is Forex Trading for me?

 

If you are thinking about taking up Forex trading then have a look at platforms that offer a demo trading account so you can get the hang of things before you invest in any money. There is plenty of courses and training material to look into as well if you think you might be interested in Forex Trading.

 

Let’s Understand What The High Risk Merchant Account Is

- - Business, Legal

High risk merchant accounts are basically merchant accounts or are payment processing agreements that would be perfectly fit for those businesses that are labeled as high risk. Such a merchant will basically be forced to pay higher fees, adding to business costs and directly affecting ROI and profitability. That is especially the case for those companies that ended up being re-classified as being a part of high risk industry. When something like this happens and you are not ready to deal with all the extra fees, bankruptcy is right round the corner.

UniBuls High Risk Merchant Account Solution Let’s Understand What The High Risk Merchant Account Is

The very good news is that there are companies that are specialized in offering services for the high risk merchants. Extra services are also developed for the industry like high risk merchant accounting by Payment Savvy. When you work with a company that has such a specialization, you gain access to faster payouts, highly competitive rates, lower reserve rates and much more. Everything is basically designed for gaining customers that have trouble in locating places to do business as they want to.

There are various businesses labeled as being high risk simply because of industry nature, how they operate and other related factors. As an example, all the adult businesses will be seen as being high risk operations, just like the travel agencies, collection agencies, legal gambling, bail bonds and various online financial institutions. Processing the payments for the companies will automatically involve a higher risk for financial institutions and banks. This will make the companies obliged to agree to the high risk merchant account, one that is special and that includes higher fees.

We have to see merchant accounts as being bank accounts. However, they will function in a similar way to the credit line that will allow the individual or company to receive a payment from debit cards or credit cards. Banks that offer merchant accounts are known under the name “acquiring banks”. Banks that issue the credit card for the consumer are referred to as being “issuing bank”. We also have a gateway involved in the processing cycle. It is basically the medium that will handle transaction information transfer from a consumer to a merchant.

What needs to be remembered is that payments that go towards the high risk merchant account will be deemed as being really risky as there is a high fraud possibility and there is a higher chance to be faced with reversals, refunds or chargebacks. As an example, when a person uses forged debit cards or stolen cards to make payments, that payment would be eliminated and fraudulent. Such situations are not common but the possibility to end up with chargebacks with collecting agencies, as an example, is much higher.

As the merchant applies for merchant accounts with payment processors or banks, various factors will be taken into account before the account is accepted or not. It is normally possible to work with the merchant account provider in order to get lower rates. Multiple quotes have to be requested before the high risk merchant account service provider is chosen so that all needs are properly met.

 

How to Choose Insurance Company for Small Businesses

- - Business, Legal

Business liability insurance – or “commercial general business liability insurance” – safeguards a company’s assets in case of a lawsuit. It provides financial payments for any settlement or award assessed against the business, which may include legal defense fees.  It never hurts to have a good HR graduate on your team to help deal with the lesser issues though.

How to Choose an Insurance Company

The United States Small Business Administration provides advice about how choose an insurance company and policy. To find the best company for you, the agency recommends:

Shopping Around

Compare multiple companies’ policy options, meaning coverage types, premiums, and deductibles; to not only be able to see what options are available to you, but also to learn about the companies and business insurance practices in general.

May companies use the term “business liability insurance” as a general category for multiple types of policies, including disability, commercial auto, and general liability. Shopping around will help you understand what a company considers to be “business liability” and the different policies you may need to purchase to meet your insurance goals from separate companies.

Seeking Assistance

The SBA recommends obtaining assistance from a reputable, licensed insurance broker. This is because an agent can usually provide you with better rates and coverage types or options than if you shopped on your own. You can typically find licensed insurance brokers by searching on your state’s department of insurance website.

Other Factors to Consider

An insurance broker helps you by first assessing your business’ needs. This tells him or her policy type will likely fit your business and helps narrow down the companies to investigate. A broker is not affiliated with any specific insurance company and therefore can research policies offered by multiple companies. After finding several policies that fit your needs, the broker will present them to you and, after you make your choice, help you purchase the policy.

Additionally, investigate how a company determines risk. An insurance company determines the policy premium and other rates associated with a policy it writes based on the operations risk a company poses, and every company has different factors it considers in its risk assessment. Risk is based on the number of years the company has been in operation, number of employees, and past claims, the SBA explains. A company that has a significantly higher risk assessment than others may be factoring in something that other companies overlook, which may mean higher premiums and deductibles.

You might also consider investigating a company’s ranking. A.M. Best and Standard and Poor rank insurance companies using letter grades, as based on their financial strength, meaning their ability to meet their financial commitments. For company’s rankings, the higher the letter grade, the more stable and reliable the company.

Finally, investigate whether the company has had any complaints filed against it. The National Association of Insurance Commissioners allows the general public to search for complaints filed against an insurance company on its website. While one or two complaints may not raise cause for concern, a large number of complaints may indicate that the company does not have the best business practices.

Choosing Your Company

Choosing an insurance company for your small business is a personal decision, and one that is dependent upon the type of coverage you seek and your business’ needs. Carefully compare several companies’ policies prior to choosing one.

 

Benefits of the Three Sides of Project Trade Off Triangle

- - Business

Benefits of the Three Sides of Project Trade Off Triangle

Project management is a practice that has been around for hundreds of years, and while methods and styles have evolved over time, the core elements remain the same: quality, scope and time. This trio of forces drives and determines the success or failure of any project, regardless of experience or industry and come together to form what is known as a tradeoff triangle; read on to find out more and why this principal is being taught in organizational leadership degree programs.

Characteristics

Distinguishing a project from day to day business practices is simple – a project has a specific objective, with a budget and timeline. While the complexity of the project may vary, the goal is the same; to gain control over the following variables:

  • Cost
  • People
  • Quality
  • Risk
  • Scope
  • Time

Control and results are achieved through the use of the tradeoff triangle consisting of three sides indicative of the three primary factors of project:

  • Cost – the budget and resources allocated to the project.
  • Scope – the specifics or features of the project.
  • Time – start and completion dates, including project makers or milestones as defined by the project timeline.

Benefits

At the heart of every project trade off triangle is quality, and as changes occur on any of its three sides, quality may be affected as a result. Successful project management requires a watchful eye on all aspects of the triangle, to ensure balance and harmony. The benefit of the three sides of this triangle is a type of synergy and heightened awareness of each component as the project moves forward and is ultimately resolved, allowing the project manager to make informed choices as inevitable trade-offs occur.

Optimization

Once the parameters of the project triangle are established, changes made to any of its sides will require an adjustment on the others in order to maintain balance. For example, a change made to the time of the project may result in an increase in cost. Conversely, a change in the cost as in a reduction of the budget, may affect the scope of the project.

In most projects at least one side of the tradeoff triangle is fixed or static, preventing it from changing. Whether the fixed side is the budget, time frame or deliverables, it’s important to know so the triangle can be optimized accordingly.

  • Optimizing to meet budget – If there is no flexibility on the budget, the scope of the project may need to be scaled back, or more cost effective resources used in place of the existing ones.
  • Optimizing to meet schedule – A fixed schedule may affect the scope of the project as elements may need to be eliminated or scaled back. In an effort to achieve the desired completion date, the cost of the project may be compromised as additional resources are required.
  • Optimizing to meet the scope – Both the budget and schedule can have an adverse effect on the scope of any project. An increase in either may result in better quality, while a decrease may have a negative impact.

“A project trade off triangle is an effective tool, used to track and keep control over the variables in any project. The benefits are clear: the project manager is able to prioritize and implement any changes required during the scope of the project, while maintaining the desired level of quality, resulting in a successful project completion. Next Gear Solutions is one such tool that can help you achieve these objectives.