Creating Value With Claude

Why We Price AI Projects Based on Value, Not Hours

Jim Sullivan·President, The Endurance Group·

How does TEG price an AI project?

Together, we estimate the solution’s expected 12-month economic value and agree on a percentage that makes sense for your business. That sets a fixed build price before work begins.

When you buy a business improvement, the important question is what it can do for your business. How many hours a supplier spends building it is a different question.

A workflow that takes relatively little effort to implement may remove a bottleneck your team faces every day. Another may require substantial technical work and still have a limited economic effect. We want the buying conversation to start with that difference.

Build effort and business value do not move together

Consider two workflows. One formats an occasional internal document. The other helps a busy team prepare and review work that customers are waiting for. The technical complexity could be similar, while the frequency, urgency and economic opportunity are very different.

That does not make the first workflow useless. It means the right investment depends on the outcome, not how impressive the implementation looks. Sometimes the best recommendation is a simple reusable instruction, a smaller scope or no new build at all.

Hourly pricing can reward the wrong things

Billing by the hour can be appropriate when a buyer needs flexible capacity or is exploring work that cannot yet be scoped. But it also means more hours create a larger invoice. A slow or unnecessarily complex approach can cost the buyer more than an efficient one.

For an agreed implementation, we prefer to put the commercial focus on the result and the scope required to deliver it. The client knows the build price before work begins. We have a reason to solve the problem efficiently and clearly.

Value-based pricing does not excuse poor delivery or vague estimates. It requires a stronger conversation about the current process, expected improvement, assumptions and what will be built.

Start with the people and the economics

Our free AI Value Assessment focuses on one team, such as sales or finance. We listen to the people doing the work and look at where time, cost or missed opportunities accumulate.

For a promising workflow, we estimate its expected 12-month economic value together. Time freed is capacity unless an expense actually falls. Avoided hiring needs a credible plan. Additional revenue should be measured as contribution after incremental delivery costs. Benefits that overlap should not be added twice.

The estimate also needs to reflect adoption and timing. A system launched late in the year does not generate a full year of benefit during the first 12 months of the investment. A workflow that only some employees use should not be modeled as if everyone uses it.

Agree on the scope and fixed price

Together, we estimate the solution’s expected 12-month economic value and agree on a percentage that makes sense for your business. That sets a fixed build price before work begins.

The percentage is specific to the project. There is no universal rate in this explanation and no continuing claim on your actual savings or revenue. The agreed implementation price does not rise or fall because subsequent results differ from the estimate.

The scope should identify inputs, outputs, integrations, review points, responsibilities and what a successful launch requires. If you later want additional work, agree on its scope and price before it begins.

TEG’s implementation payment is 50% at kickoff and 50% at launch. The build includes testing, documentation, launch support and a 30-day warranty for reasonable fixes and refinements. The complete process is described on How We Work.

Keep ongoing costs visible

The build fee is one part of the decision. Managed Claude starts at $1,500/month and covers the ongoing relationship: maintaining TEG-built workflows, supporting and training employees, updating documentation, assessing opportunities and reviewing value.

Assessments of additional teams are included. New builds are separately scoped and priced. Clients pay Claude subscriptions, third-party software and API charges separately. Include required internal time as well when evaluating the full cost of ownership.

If one management relationship supports several workflows, show how the shared cost is allocated and check the economics of the group as a whole. Do not compare a gross annual benefit with only the build fee and call that total ROI.

Value alignment still requires measurement

An estimate is a basis for deciding, not a guarantee of results. Agree on the baseline and a practical way to measure usage, quality, time and the business outcome. Review what changes after launch.

If the project creates less value than expected, investigate why. The issue could be adoption, an incorrect assumption, changing volume or a workflow that needs refinement. Those conversations are easier when the assumptions were written down at the start.

My goal is for a buyer to understand what they are paying for and why it is worth considering. Begin with one team and a real process. Book a free AI Value Assessment, and we can work through the opportunities together.

Frequently asked questions

Does TEG use a standard percentage for every build?

No. We estimate expected 12-month economic value together and agree on a project-specific percentage that sets the fixed build price before work begins.

Does the price change with actual savings or revenue?

No. The implementation price is fixed upfront for the agreed scope. It is not an ongoing share of actual results, and the expected value is not a guarantee.

Does Managed Claude include every future build?

No. Managed Claude starts at $1,500/month and includes ongoing support, maintenance and assessments of additional teams. New builds are separately scoped and priced, and software and API charges are separate.

Start with one team. Find the value.

Your first AI Value Assessment is free.