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In this video tutorial, Thomas Suit explains the concept of a Statement of Work (SOW) in project management. The SOW is a document that outlines the terms and objectives of a project or service contract, including the scope of work, deliverables, timelines, and expectations. It serves as a guide for both the customer and the vendor, defining what needs to be done and what is expected. The SOW is a crucial aspect of project management, providing clarity and direction for all parties involved.