Earlier quoted context omitted.
That seems to be the point where sunk cost fallacy strikes hard in the post to me. They had paid $X for "80% of the first milestone of work" and that sunk cost locks them in to everything else that happens. They seemed too fearful from that point onward that if they fired the agency and brought in a new agency or freelancer that they would start from square 1 and do all of the previous work (and spend) over again. Th…
This is why I still like Agile and Scrum, as much as other devs might hate it. “Yeah I want REAL deliverables after the first or second week”. Keeps me honest. And will keep me from working with architecture astronauts don’t really deliver anything but hot air and build ultra-extensible structures that are actually impossible to extend beyond the fantasy world of their maker. Or the equivalent for designers.
If you trust your developers (whether in-house or contractors) to do the job you can pretty much let them manage themselves with whatever kanban-ish system that works for them. If you don't, you have a ready methodology that gives you meetings upon meetings and two week deliverables and every little thing broken down to the smallest unit under the guise of "empowerment".