Fixed-price vs hourly CAD outsourcing: how to scope it so nobody loses
Fixed price works when the input and the deliverables can be described before work starts: a set of parts, drawings to a known standard, a stated number of revision rounds. Hourly or monthly capacity works when the work is open-ended. Either way, the scope must list inputs, deliverables, formats, standard, revision rounds and how changes are priced.
Guilherme Rodrigues ItinoseUpdated 5 min read
Key takeaways
- Fixed price needs a defined input: you cannot fix the price of an unknown.
- Revision rounds belong in the scope as a number, and design changes are not corrections.
- Hourly works for open-ended support if you get a weekly report of where the hours went.
- A free review of the first drawing is the cheapest way to make a fixed price fair.
Arguments in CAD outsourcing are rarely about quality. They are about what was included. A fixed price that ignored half the parts, or an hourly bill that ran for months, ends the relationship the same way. The fix is a scope that both sides could price.
Which model fits your work?
| Situation | Model | Why |
|---|---|---|
| Defined set of parts and drawings | Fixed price per package | Input known, output measurable |
| Legacy conversion of an archive | Fixed price per complexity group | Sample sets the groups |
| Ongoing design support | Monthly capacity block | Work is open-ended |
| Urgent, unclear request | Hourly with a cap | Explore, then switch to fixed price |
What a good scope contains
- Inputs: which files, sketches or samples, and who answers questions.
- Deliverables: list of parts and drawings, models, BOM, exports.
- Formats and standard: native CAD version, STEP version, drawing standard and edition, template.
- Revision rounds: how many rounds of comments are included.
- Dates: when each package is delivered, and what happens if inputs arrive late.
- Change pricing: how added parts or changed requirements are priced (per part, per hour).
- Ownership and confidentiality: deliverables owned by you on payment; NDA reference.
- Acceptance: what “done” means (drawing passes the agreed checklist).
Corrections versus changes
Making fixed price fair for both sides
A supplier can only fix a price for something they have seen. The fairest start is a review of a real drawing or sample: the supplier lists what is missing and what is unclear, you answer, and the price is based on what is actually there. That is why we start every project with a free review of one drawing.
If you buy hourly
Hourly or monthly capacity is the right tool for open-ended work. Ask for:
- a cap per month, agreed in advance;
- a weekly written status: what was done, what is in progress, what is blocked;
- a breakdown of hours by task, so you can see what the drafting really costs and move repeatable work to fixed price later.
How do suppliers actually price fixed-price CAD work?
Behind every fixed price there is an estimate of hours plus a margin for risk. Understanding the inputs helps you get a fair price:
| Input | Raises the price | Lowers the price |
|---|---|---|
| Clarity of the source | Sketches with gaps, conflicting old drawings | Clean models, complete sketches |
| Standard and template | Unfamiliar or undocumented template | Template and a sample drawing provided |
| Number of variants | Many configurations, tabulated drawings | One configuration per part |
| Review rounds | Unlimited or undefined | A stated number |
| Response time to questions | Days | Same day |
The last line is often overlooked. A supplier waiting three days for an answer either stops (and the date slips) or guesses (and the revision round is used up). Naming one person who answers questions within a day is worth more than negotiating the rate.
Writing deliverables precisely
“Drawings for the conveyor” cannot be priced. “Detail drawings for the 14 made parts listed in the attached BOM, one assembly drawing with balloons, to our template, ASME Y14.5-2018, inches, PDF and native SolidWorks 2025” can. Attach the list of parts, even if it is a screenshot of the assembly tree. If the list will grow, say so and agree a unit price for additions.
Dates and dependencies
A fixed date is only fair if the inputs arrive on time. Write the dependency down: “delivery 10 business days after receipt of complete inputs and answers to the review questions”. When inputs are late, the date moves by the same amount without discussion. When the supplier is late with complete inputs, it is their problem.
Acceptance criteria
Agree what “done” means before work starts. A practical definition: each drawing passes the agreed checklist, follows the template and standard, and matches the model; the BOM matches the assembly; exports open in the agreed software. Acceptance should happen within a stated number of days after delivery, so neither side waits indefinitely.
A hybrid that works for many teams
Many clients end up with a mix: a monthly capacity block for open-ended support and engineering changes, and fixed-price packages for well-defined projects such as a new product’s documentation or a legacy conversion. The capacity block keeps a team familiar with your products; the fixed packages keep big projects predictable.
Red flags in a quote
Be careful with quotes that give a price without asking any question about your files, that exclude revision rounds entirely, or that do not mention ownership of the files. Each one usually turns into a disagreement later. A good quote asks questions first, because the supplier has looked at what you sent.
What a review of the first drawing should return
If you start with a review, expect a written result you can use even if you never hire the supplier: the issues found on the drawing, the information missing to complete it, questions about intent, and a scope with deliverables, dates and price. A review that only returns a price has not really looked at your file.
A simple rule
If you can write the list of deliverables today, ask for a fixed price. If you cannot, buy capacity and turn the work into fixed-price packages as soon as it becomes repeatable.
When to outsource this
- You can split the work into packages with clear inputs
- You want a predictable cost per package
When not to
- The design is still changing daily; buy capacity, not a fixed scope
FAQ
Is fixed price more expensive?
It includes the supplier's risk, so the unit price can be higher than an optimistic hourly estimate. It is often cheaper than the hourly bill after the surprises.
What counts as a change?
Anything that alters the input after the scope was agreed: new parts, a different standard, changed dimensions or tolerances. Corrections of the supplier's own mistakes are not changes.
Send us one drawing
We return a review with issues found, suggested fixes and a fixed-price scope.