From Hourly Hassles to Pricing Power: Lessons Learned from Ditching Hourly Billing

In 1989, Ron’s firm undertook a significant shift from hourly billing and timesheets to value-based pricing models, transforming how we approached customer relationships and profitability. This session will explore the motivations behind this change, the steps we took to implement alternative pricing, and the consequences—both positive and challenging. We’ll also examine where the profession stands today with respect to alternative pricing methods and how firms can make this transition successfully. Whether you’re just beginning to explore new business models or looking to refine your approach, this session will offer practical insights and actionable strategies.

Learning Objectives

• Identify the key motivations for moving away from hourly billing and the limitations of timesheets.

• Determine the most effective value-based pricing strategies for your firm and your customers.

• Recognize the challenges and rewards of adopting alternative pricing methods in today’s competitive environment.

• How to price complex engagements; utilize the TIP Clause; and implement the top ten principles of pricing on purpose.