Utilization for Government Contractors - Benchmark your Organization with the 2017 GAUGE Report.

The GAUGE – Resource Utilization

The GAUGE survey was mostly service-based government contractors, so it is not surprising then that people are their largest investment and their largest revenue generators. That said, many companies still struggle to effectively manage resources from a cost and utilization perspective. Resources need to be managed during the entire project lifecycle, beginning with proposal, through the project itself and through project initiation, execution, and closeout as depicted below.

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Understanding the amount of revenue that is being generated per full time equivalent is a very important measure. It allows you to easily see the impact on revenue of hiring 1 vs. 10 people to your organization. Keep in mind that you also need to keep your expenditures in check so that you maintain or increase your %. 

Gauge Tip  

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Visibility into the effectiveness of your resource management discipline can be achieved with use of key performance indicators (KPIs). The call out below includes questions that will become your KPIs, helping you to easily see how well you are utilizing your resources. Keep in mind too that you will need a tool that gives you real-time actionable information in easy to read reports and dashboards.

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As you are managing your business how many times do you ask yourself….”Do I have the right amount of people in each group?” The GAUGE survey provides great metrics on what staffing levels are for the different functional groups. See where you are based on the size of your company.

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 Just a quick reminder of the benefits of external benchmarking:

  • Gives a perspective of the overall industry
  • Provides an understanding of what others are doing to be successful
  • Produces ideas for improvement
  • Makes you more competitive
  • Helps you win more business and grow your organization

Check out The GAUGE Report for additional information that will help you grow your GovCon.

Kim Koster

Kim Koster

Kim is an experienced executive who brings over 30 years of experience in project management, project accounting, EVMS,  government contract and accounting compliance, and communications.

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