In response to these financially uncertain times, our research shows that 57% of managers surveyed will be more aware of their finances by 2023. But which increased costs have the greatest impact and how do you deal with them?
Although the economy is still growing cautiously for consultancy firms, inflation and increased wage costs in particular are leaving their mark on business operations. Almost all consultancy firms have already passed these costs on to their clients. In addition, managers are more focused on their financial results. They want to increase their employee productivity, expand their client portfolio, learn what recent investments in new products or services yield and look for opportunities to work more efficiently.
Managers are now more aware of their finances. For example, there email hong kong are agencies that are now decentralizing financial responsibility and giving project leaders more management information. This allows them to adjust projects in real time, instead of analyzing afterwards where budget overruns occurred. You can make this very complicated, but agencies only need to monitor three topics to be sure that they prevent budget overruns and generate sufficient income:
Steering on productivity
Most agencies aim for a productivity of 70% to 80%. Managers steer this by keeping the work in hand.
Stay within budget
Many agencies lose money due to leaking hours. There are solutions that provide real-time insight into your budget. This way you can see the impact of written hours and you can adjust this in time.
Average realized hourly rate
Know what you have invoiced on average across all projects compared to the actual hours worked. If this average matches your forecast, you will definitely achieve the financial goals for that year.