How to Measure and Calculate Billable Utilization: Formula for Professional Services

Author: Categories: Benefits, Efficiency, Professional Services, PSA Software, Resource Management

What is billable utilization in professional services

Utilization. Every professional services firm I’ve ever worked with—whether they’re a management consultancy, a digital marketing organization, or a technology implementer—calculates and measures a billable utilization formula. Every professional services manager—from the executive leadership level to delivery managers to department heads—tries to improve utilization. Every billable consultant is, at least in part, evaluated and compensated on utilization. Billable utilization is … Read More

The Ultimate Guide: What is PSA Software?

Author: Categories: Benefits, Overview, PSA Software, Results

The Ultimate Guide: What is PSA Software

This article answers the question, “What is PSA software?” and covers the critical aspects you need to know. Professional Services Automation software is sometimes referred to by several other names, some formal and some informal, such as: Whatever name you wish to use, Professional Services Automation software is the core operational system for professional services resource planning, project management, and … Read More

6 Revenue Forecasting Mistakes Professional Services Firms Make – Part 2

Author: Categories: Benefits, Growth, Professional Services, PSA Software, Resource Management

At the center of every professional services firm, there is a revenue forecast. Regardless of the platform used to develop a revenue forecast—spreadsheets, whiteboards, or Professional Services Automation software—every services manager is trying to predict what the future may hold.  And revenue forecasts are just that, a prediction. In my last post (link below) about revenue forecasting mistakes, I took … Read More

6 Revenue Forecasting Mistakes Professional Services Firms Make – Part 1

Author: Categories: Benefits, Growth, Professional Services, PSA Software, Resource Management

Professional services firms live and die by their ability to forecast revenue. Although there are many types of forecasts that service firms perform—utilization, profitability, or backlog—they all tie into an underlying revenue forecast. Get your revenue forecasting right, and you have an appropriately sized firm that has a healthy service mix. Get your predictions wrong, and you will be under … Read More

Revenue Forecasting Models for Professional Services Firms

Author: Categories: Benefits, Growth, Metrics and Reporting, Professional Services, PSA Software

Revenue forecasting is more of an art than a science—for professional services firms at least. Although the inputs used are quantitative in nature, successful service executives will often layer in their perspectives on the business, the market, or key accounts. Perfecting the qualitative aspect of forecasting revenue comes with years of experience working in PS firms. The underlying forecast model, … Read More

Predicting Professional Services Variability with PSA Software

Author: Categories: Benefits, Growth, Professional Services, PSA Software

One of the reasons I love doing what I do is that it gives me the opportunity to work with a huge variety of professional services firms—from startups employing just a couple of founders to larger organizations with thousands of consultants scattered around the globe. No matter where they sit along the maturity curve, each organization faces unique challenges. They … Read More

What can Dr. Demming Teach your Professional Service Firm?

Author: Categories: Benefits, Efficiency, Professional Services, PSA Software

Back in the 1950’s, Dr. Edwards Demming was one of the main proponents of the Shewhart Cycle, more commonly known as PDCA. PDCA, which stands for “Plan-Do-Check-Act,” is a four-step management model that strives to promote continuous improvement through constant iteration. It admittedly is not the most cutting-edge or sexy construct in this age of the balanced scorecard or services … Read More

Selecting a Professional Services Automation (PSA) Solution: Determining What Really Matters

Author: Categories: Benefits, Professional Services, PSA Software, Scalability

The folks over at Service Performance Insight just published a great white paper called Selecting a Professional Services Automation (PSA) Solution: Determining What Really Matters. We have known Dave Hofferberth and Jeanne Urich, the founders of SPI Research, for years and have always enjoyed their insight and perspective on the professional services market. In fact, it was while he was … Read More