Stories scattered in several PRIVATE PROJECTS.

Skills do not come at a price.

  • PM skills are difficult to assess quantitatively, so the price is not just against the skill, but is heavily influenced by the buyer’s ability to pay.

  • I have a feeling that engineers will also be at the market rate of “many others” if they are perceived by the buyer as “skills interchangeable with many others”, and if they are perceived as “irreplaceable talent”, it will be individually negotiated and determined by the buyer’s ability to pay.

  • bargaining power

  • It’s hard enough to negotiate bullishly, so we’ll settle for an appropriate place, but it feels like this is always there in the background.

  • marketable skills are weak skills.

What kind of logic was used to generate the money? - unit price - There are strict tax and audit rules on the part of the companies, and they don’t have much choice in the form of contracts. - So I’m just picking the ones I think I can use at random, not the ones that have any intrinsic meaning.

Appropriate billing is not proportional to the time spent.

  • Depends on what the other person values.

It’s the same thing, and the “model” that “the unit price is determined based on skill, and the actual hours worked multiplied by the unit price determines the amount billed” is used simply because it’s a well-known and easy to use existing contract format. - All models are wrong.

Reduction of explanation cost, negotiation cost, [contract cost

If humans communicate ideally, they should be paid by the value they create after the fact, and they can correctly predict the range of that payment in prior conversations.

  • In reality, it doesn’t work because of customers who don’t pay for the value they receive, or workers who don’t communicate well what they want done and submit something of no value.
    • Unfortunate miscommunication, “I couldn’t get what I wanted done because I didn’t communicate what I wanted done well,” and both parties get into trouble because they think the other party is at fault. w
    • I don’t agree with paying for something I didn’t get what I wanted, and I don’t agree with not getting payment for making what I was told to make.

Fundamentally, the market mechanism does not properly value supermodular production.

  • Better means of evaluation may be developed in the future, but I guess each individual will have to figure out how to live with it until then.
    • Everyone’s situation and the weapons they can use are different.
  • I don’t know if the strategies I’ve used over the last quarter century will be useful over the next quarter century.
    • And it’s not something you can copy if you hear it because it’s situational.

This page is auto-translated from /nishio/æ€è€ƒăźç”çŻ€ç‚č2024-08-19 using DeepL. If you looks something interesting but the auto-translated English is not good enough to understand it, feel free to let me know at @nishio_en. I’m very happy to spread my thought to non-Japanese readers.