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A scope of work is a form that provides a detailed explanation of work that will be
performed as part of a contract or subcontract. A scope of work (SOW) is important
because it helps ensure that the parties involved are on the same page regarding
expectations related to the project. Tasks are numbered and there is space for an
adequate description of the tasks, the required equipment and services, and who is
responsible for the cost of the project. A scope of work form should be signed and
the parties involved should keep a copy for their references.

Table of Contents


What is a Scope of Work? 

The Ultimate Guide to Scope of Work Documents

Scope of Work Template 

Statement of Work Template 


 Scope of Work Example

Related Documents
Income Statement ›Mechanics Lien ›1099-MISC Form ›

What is a Scope of Work? 

A Scope of Work is a framework document that will outline the work that will be
performed under a contract or subcontract. This document is not an actual contract,
but it will detail the expectations for the job or project. A Scope of Work is typically
broken up into various sections that detail the specific tasks and their individual
deadlines.
The Scope of Work document may lead with a statement of purpose, which can be
an overview of the job or contract. There can then be individual sections for the
specific deliverables. Each section should include detailed information about the task
and its deadline. There should also be a section regarding payment. This can include
payment for the entire contract or payment per individual task. This information
ensures that both parties are aware of their responsibilities regarding the
assignment.

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The Ultimate Guide to Scope of Work Documents

By FormSwift Editorial Team
May 4, 2021

Introduction
Here is our guide to scope of work documents (SOWs). We cover everything you
need to know about SOWs--what they are, their use, what to include, how to draft
one, and how to make sure your managers or team members stay within the limits of
one.
What is a scope of work document?
A scope of work (SOW) document details the various elements and responsibilities
of a project--its life cycle, timeline, size, etc. In general, a project manager drafts
SOWs for employees or contractors. SOWs serve as the primary document
informing a project; they, therefore, should be clear, concise, thorough, and easy to
comprehend.
Components of a SOW
A well-crafted scope of work, sometimes referred to as a statement of work, should
include the following components:
1. Objectives: What is the purpose of the project? What are its
goals?
o The project objectives should be clear, concise, and easy
to identify. You want every employee from high-level team
members to entry-level assistants reading the document to
have no doubts regarding the project’s goals.
 2. Deliverables (and Milestones): What end result must be attained?
What are the deadlines or delivery dates for each phase of the
project?
o Deliverables may be measured by phase, period of time,
the date of the project’s completion, etc.
 Project deliverables may be tangible or intangible.
 Regardless how you measure deliverables, they
should be quantifiable.
3. Variables: Variables include cost, schedule, resources, and the
technology required for each phase of the project, from initiation to
completion.
o Each variable should set clear limits on inclusions and
exclusions.
4. Requirements (besides actual output): requirements include all
things necessary to support the project.
o Common requirements include things like a proof of
originality.
5. Tasks: these include a catalog of individual action items required
to complete each phase of the project.
o Tasks should be broken down into a work breakdown
structure (WBS)
 Anything that isn’t part of this WBS is considered
outside of the SOW.
6. Inclusions: this includes anything included in the project in the
SOW.
7. Exclusions: this includes anything not included or specifically
stated in the SOW.
8. Glossary: include a glossary in the SOW. It should explain each
acronym used and include definitions of any unusual terms
o When crafting a glossary, think from the perspective of
someone outside the industry. What terms do they need
explained, defined, or spelled-out?
Sometimes, a SOW may include a problem statement, which addresses a potential
problem that the contractor is addressing for the company, as well as a detailed
explanation or working thesis to establish how he or she will resolve such a problem.
Writing Tips: when writing a SOW, be sure to avoid ambiguous phrases or phrases
that may be open to multiple interpretations. Furthermore, if something is mandatory,
use words such as “must,” to reiterate.
SOW vs Schedule of Work
A schedule of work is a more detailed, and micromanaged version of a scope of
work document. A schedule is a precise form of project management that clearly
spells out specific timelines (often daily) and the requirements for each day. The
advantage of schedules is that they give your client detailed visibility into the different
phases of the project and the allocation of their resources.
SOW for Independent Consulting
A SOW for independent consulting helps the consultant to execute the client’s
projects. It sets boundaries for a project and provides metrics and measurements for
project goals and objectives. They help facilitate communication between the
consultant and client, enabling both parties to stay on the same page, maintain
timelines, and manage expectations regarding deliverables. Lastly, SOWs offer
protection from disputes relating to both miscommunication and legal action, if
necessary.
SOW for an Agency 
SOWs for an agency are essentially the same as those for contractors. They ensure
that you are not being taken advantage of and are not obligated to complete
anything beyond the SOW.
Because of their importance, having a poorly written or excessively broad SOW can
cause a project to become unnecessarily complicated or labor intensive. It is
therefore essential to create a well-crafted SOW document.
Moreover, make sure any SOW you craft is one you can actually afford--time, effort,
resources, etc.  
Why a SOW matters
A SOW establishes a baseline for objectives from which you can derive associated
fees, costs, and resources. It also removes as much uncertainty as possible during
the process of a given project. Lastly, it creates accountability and measurable
efficiency for both the agency and client.
How a SOW Relates to Fees
As an independent contractor or freelancer, setting rates is an important part of
project work, and is generally determined by the SOW or anticipated SOW.
Therefore, the contractor or freelancer should remember the following when it comes
to SOWs and his or her pay:
1. Know your minimum acceptable rate (MAR): your MAR is the
baseline you must charge per hour to not lose money working on
a project.
o See a more detailed definition of this in the calculator
section of this guide.
2. Charging per hour or per project: in general, it is preferable to
charge per-project, rather than per hour. The per hour model can
cause a consultant to work slowly. Per project models also make it
difficult to assess a fair total project cost for a client.
 3. Value of service: you should clearly understand the value of your
service to the client. In situations where you believe the service
you provide cannot be easily performed by someone else, you
should charge more.
4. Competition: who is your competition and how much are they
charging? Understanding the how much other competitors are
charging will help you determine your own rate.
5. SOW certainty: how clearly do you understand the SOW and all of
the resources you need to complete the project?
o You should have a clear understanding of what is required,
and what resources you require to complete each phase of
the project. Does this project have any special
requirements that may result in unforeseen expenses? You
want to avoid a scenario in which you encounter an
unexpected expense you must cover out of pocket.
6. Rates are not permanent: you can change them based on the
project, even if you are working with the same client, by the scope
of the project, or as you acquire more experience and expertise.
For example, if a project includes maintenance agreements, this
could potentially change the pay rate.
Being Aware of "Scope Creep"
Scope creep refers to the common practice whereby the scope of work expands as
the project progresses or changes in a manner whereby it no longer follows the
SOW. This is a common problem for freelancers and consultants.
Remember, if a conflict develops because work extends beyond the SOW, legal
action is possible. It is also important to remember that both the client and customer
can venture beyond the SOW.
Therefore, it is important that either party inquire with the other before project
closure, especially if they feel the other side is going beyond the SOW. If the project
scope needs to be expanded, it may be necessary to amend the SOW agreement
and include additional notes about pay rate, payment schedule, deliverables, etc.
If a customer asks you to expand your SOW, do not simply refuse. Instead, consider
telling them that you will need to reevaluate how the new proposed SOW will impact
cost, payment terms, the timing of deliverables, the end product etc.

Scope of Work Template 

A scope of work (SOW) document is an agreement on the work to be performed on a
project -- a map that guides the completion of the project. A SOW is a project scope
statement used when working/collaborating with people outside a
business/organization to avoid miscommunication, misinterpretations of
expectations, presumptions, and/or disputes; a scope of work in project management
is a project plan that details everything that will be completed for stakeholders. To be
effective, a SOW must have explicit details, visualizations/examples, definitions of
terminology, time for reviews and unexpected changes, and definitions of success.
For functionality, a scope of work (SOW) document should include the following
sections:
 Introduction: This section describes the type of work being done
-- a service or a product -- and the parties involved. The
introduction can also define the formal agreements that the SOW
can be used to create later, including a standing offer, an
agreement to buy a service or product at a certain price for a
particular period of time, or a legally binding contract that
formalizes mutually agreed upon details.
 Project Overview/Objectives: This section explains the project --
its context and goals.
 Scope of Work: This section describes in a general fashion the
work that must be performed to complete the project, using bullet
points or an uncomplicated summary. This section can also
include the technical requirements involved.
 List of Tasks: This section lists the specific actions that must be
taken to accomplish the project. The tasks should be broken down
into phases such as  research/planning, design. build, and test.
 Project Schedule: This section describes how long the project
will take, the timeframe, and the phases/milestones involved,
where the project work will occur (including any meetings), the
resources required  and who is responsible for completing each
task.
 Project Deliverables: This section defines the expected
outcomes of the project -- exactly what will be received when the
project is completed.
 Adoption Plan: This section describes the process for putting the
deliverables into place.
 Project Management: This section details how and when
payments will be made/pricing, who is responsible for signing off
on the deliverables, approving any changes to the scope, and
support/maintenance, and any additional requirements that need
to be agreed upon.
 Standards for Success/Sign-Off/Signatures: This section
describes how the deliverables will be accepted at the end of the
project -- authorized, reviewed and signed off on.
External SOW Templates

 https://www.projectmanager.com/training/write-scope-work
 https://plan.io/blog/scope-of-work/
Statement of Work Template 
A statement of work, sometimes referred to as a scope of work and often called an
SOW, is a contract between a business/organization and  and a client, especially
nonprofit and education-based clients, that takes the place of a more formal
agreement. Although the terms scope of work and statement of work (SOW) are
often used interchangeably to describe important documents in project planning, the
scope of work can also be defined as a component of the statement of work -- a
legally binding document that includes all the terms for which the parties are
responsible.
A statement of work should include the following sections:
 Introduction: This section should include the purpose of the
project and its importance for the stakeholders.
 Project Goals:This section explains the goals of the project. 
 Scope of Work/Project Objectives and Deliverables: This
section should detail how all the tasks are to be completed and
what is required for their completion, how the completion of the
tasks will affect the outcome of the deliverables, and how the
deliverables will come together to finish the project.
 Project Layout and Timeline: This section should detail the
project schedule, including kickoff, task completion dates,
stakeholder review dates, deliverable completion dates, testing
spans, and project closeout.
 Terms and Conditions: This section should include everything
that depends upon the delivery of the project and any additional
support required from the stakeholders, including payment terms,
security clearances, travel requirements, testing support,
hardware or software systems access, the standards for accepting
deliverables, the definition(s) of success for the stakeholders, and
who will review/approve the deliverables.
 Completion Criteria/Signatures: This section should include
language that binds the parties to all the terms in the document
and a spaces for the parties' signatures.

Scope of Work Example

Birthday Party & Party Invitations 
Deliverables
 Guest List
 Addresses of Guests
 Invitation Cards
 Addressed Envelopes
  Postages
Timeline of Project
 Jan. 15 - Finalize guest list
 Feb. 15 - Finalize list of addresses
 March 15 - Pick invitation card style and have them all printed
 April 15 - Buy postage, envelopes and mail the invitations 
 May 15 - Note final guest list
 June 15 - Birthday Party 
Benchmarks
 Final guest selection and list of addresses 
 Mailing all guest invitations 
 Finalizing the list of RSVPs 
Reports
 Check on the mail status of invitation cards
 Check RSVPs against invitation list
 Finalize total cost of each pre-party step to determine remaining
budget for the party
Sources:              

 https://www.projectmanager.com/training/write-scope-work 
 https://plan.io/blog/scope-of-work/ 
 https://www.thebalancesmb.com/sample-sow-contract-the-statement-
of-work-1360289                
 https://www.fool.com/the-blueprint/scope-of-work/