Value- vs. Time-Based Fees: Markets

Once a market with adequate supply has been established (for similar skills to your own) charging time-based fees, you're going to struggle to win business for a value-based fee. From the employer's perspective, software engineers can be hired at the prevailing market rate to develop an application's code. Enterprise architects are few and far between and thus have more of a foothold for establishing a model of value-based compensation. Really, I'd go so far as to bet that the earlier a person's involment in a multi-phased project (read: MSF/RUP) the more likely they'll be able to charge by value. The reason is that a) supply is often limited, and b) the early phases are where the value of the project is actually determined.

The next question is: whose role adds the most value?