It’s Time to Check Progress!

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July 18, 2023

It’s mid July and you know what that means…if yours is like most firms, you’re half way through your fiscal year! You should have your financial results for the first 6 months of the year in hand, or at least soon to be received from your bookkeeper/accountant. Are those results aligned with your profit plan…

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OPEX…What’s That?

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June 15, 2023

If you’ve read my previous posts, you’re getting very familiar with operating profit, net fees, pipelines, and payroll. Now its time to understand your operating expenses or OPEX for short. OPEX Think of your operating expenses as investments required to ensure your clients are getting what you promised them. To operate optimally, you and your…

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Do You Know Your Payroll Number?

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April 15, 2023

OK. Let’s assume you have a profit plan, you’ve estimated your pipeline for the coming year, and you understand your requirements for full time equivalent personnel. If not, check out the ‘Thinking’ tab on my website. Now you need to determine your firm’s payroll requirement. Payroll is the total amount spent on wages for all…

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Do You Know Your FTE count?

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March 15, 2023

OK. Let’s assume you have a profit plan. If you don’t have one in place, check out this post. Let’s also assume you’ve estimated your pipeline for the coming year. If not check out this post. Now you need to get a handle on the number of staff or Full Time Equivalent (FTE) personnel you’ll…

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How Clear is Your Crystal Ball?

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February 15, 2023

Do you even have a crystal ball? Every design firm leader can glimpse into the future to one degree or another. Most firms can see down the road a week or two, maybe a couple of months. But to make well informed decisions about your practice, you need know what your firm’s net fees are…

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Do You Have a Profit Plan?

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January 15, 2023

If you’re a design firm leader, it’s time to establish a Profit Plan for the New Year. My advice is to forget about utilization rates, direct labour multipliers, direct salary expenses and all that other ‘accountant speak.’ Too complicated for mere mortal design types. Take a conceptual approach to your profit plan instead. A ‘Strong…

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