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The video tutorial discusses the concept of a Statement of Work (SOW) in project management, specifically in relation to PMBOK or PMI. The SOW is a document outlining the terms and objectives of a project or service contract, including scope of work, deliverables, timelines, and expectations. It serves as a guide for defining the work to be done between a customer and vendor. Essentially, the SOW defines what needs to be accomplished in a project.