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 may range from the very basics of tracking and invoicing for time and expenses to estimating revenue based on backlog to balancing the supply and demand for resources. To address these challenges, we built Projector, a Professional Services Automation
(PSA) solution, and what’s fun about my job is watching organizations take Projector to solve those problems. What’s even more
fun is when an organization starts to push the boundaries of what we originally designed Projector for and we discover together that the system can handle that need and more.
I happened to be talking with one such organization about how they could solve the problem of understanding how variability affected their revenue projections. They were already using a disciplined approach of using scheduled hours, bill rates, and resources in Projector to project utilization, revenue, and profitability, but wanted to take things to the next level. They knew that their projections for next month typically were more accurate than projections for six months into the future and that they were likely to win additional work that tended to drive projections that were further out higher rather than lower. They also wanted to understand whether they were getting better or worse at projecting revenue as their processes matured and their team gained experience. Turns out that Projector has all the information needed to provide this perspective as well as the ability to visualize the data concisely enough to make it understandable…as long as you think about things right. Continue reading