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do we determine the contact type during planning and procurement management whether both the buyer and sellers are trying to put the risk on each other so see many of you may just remember the contract type with the risk table you know fixed price the seller has a has a more risk buyer has a less risk and then time and material the risk is moved towards or a cost immersible the risk is more towards the buyer side and less towards the seller side thats a one way of looking at it it is actually a risk associated with cost overrun there are other types of risks also so not too too much focus on that the contract type is a function of only risk the contract time is a basically a function of the type of work you are dealing with when you dont have a clear outline specification of a work you cant go for fixed price thats it even you go for a fixed price it will be risky for you without having a clear understanding of a deliverable if you contract someone and says I will pay you this much
