From Profit Killer To Consultant Burn Out (And The Good Bit In The Middle)
Set a realistic budget for the project
This may be stating the obvious but get the budgeting wrong and successfully managing utilisation becomes an impossible task.
There are many factors that will determine the price of the bid to the client. This is quite often the main focus when putting the bid together, with the cost and resources that are needed to deliver the project not always being fully considered at the bid stage.
Having access to accurate information on the actual cost of similar past projects helps to ensure that future bid costs and resource requirements are accurately assessed. Without formal systems in place, many consultancies find it difficult, time consuming, if not impossible to compile this historical information. As a result, bids are put together using “gut feel”, running the risk of perpetuating profit killing mistakes.
With an accurate budget in place, everyone involved in the project will know exactly what the allowable costs are for each element of the project.
