How CFOs Can Increase Project Profitability
CFOs track numerous key metrics like net income, current ratios, working capital, cash balance, DSO, gross margins, and more. But the one metric that may matter more than any other for long-term growth for professional services firms: project profitability.
Project profitability isn’t the job of one department. Each project typically has a beginning, an end, and employees and contractors assigned to deliver the service.
Every project is unique, it’s essential for you to clearly and quickly understand an individual project’s profitability as well as the profitability of different classes of projects. After all, once you sign that contract, you own the outcome, whether it’s profitable or not.