{ "media_type": "text", "post_content": "If our target utilization rate is 95% what is the actual rate wherein less than that, the firm actually lost money on me?", "post_id": "57e586a0e9d6dd13000343f0", "reply_count": 11, "vote_count": 1, "bowl_id": "552d1d24dc1c586b09d2d051", "bowl_name": "Consulting" }

If our target utilization rate is 95% what is the actual rate wherein less than that, the firm actually lost money on me?

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Wrong question. They are making money on you at roughly 40% utilization. The margin on lower levels (Associates, Seniors) is used to cover the frequently upside down margin on partners and others at the higher end so that the overall engagement margin is around 20-30%. #fuzzymath

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Thats what she said

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Also known as margins.

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PwC1 describes why this business is a pyramid scheme

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One size fits nobody I think is the aim

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The overhead is huge.

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Depends on your salary and client bill rate

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I am pretty sure the amount of work to calculate, monitor and report on individual chargeability targets would not be worth the cost. Plus that's like advertising a persons salary? And usually more salary means the work you are doing is more valuable (because of experience / skills) not more salary means we expect you to do more work. All around this idea makes no sense. If you were a client I would be advising you to set a standard and stick to it.

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Then they should set a target rate per resource based on those parameters and not have it standard

Any guesstimate though?

If you have access to a pricing model you'd know... there's an average cost per role that rolls up average salary plus all internal costs. On any given project, your markup is x2 -x5 of your cost...

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I️ don’t want to be tied to a single technology and would like to have a breadth of experience and freedom. Although it seems the only way to get utilization is through a single tech piece. Continued

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