Serving customers with varied offerings across multiple LOBs using diverse skills and from multiple geographies and delivery locations is a common aspect of your business. Managing these large number of projects and ensuring they are profitable is quite challenging. EPM Planning solutions therefore becomes paramount to the overall business as it governs how and where the business is headed in the years to come. What should my workforce strength be, where do I open new delivery centers, what new service offerings can I create, which geographies can I serve are questions that the FP&A and HR team grapple with on a constant basis to better align the workforce and company objectives

Planning for IT/ITeS

Revenue forecasts whether based on Fixed price or T&M price bids have various attributes that make the planning process intricate. Analyzing these attributes like Geography, Customers, Vertical, Service Offering, Staffing Mix, Delivery Location, Multi-currency provides the necessary guidance to make the plan robust.

Cost planning can be equally complicated for your organization. Compensation planning, by far the single largest expense item, can be based on various factors that considers Billing Rates and Utilization. Attributes like the employees’ grade (which reflects skill), location (costs can vary across locations, the nature of projects the resources are assigned to (client servicing requiring a different skill set than a support role), project timelines, benefits (driven as a percentage of salary, performance of the SBU etc.), staggered increment cycles and increment percentages (segregated on the basis of location, grade, roles and project type) makes the analysis and forecasting process very detailed.

Allocation of indirect expenses is usually a very comprehensive and challenging task. Complex allocation rules across LOBs, Service offerings, Geography etc is important to analyze profitability metrics. Multi-currency scenario due to the diversity of the business is another important lever for planning and forecasting.

Given this dynamic environment and the people-centricity of this industry FP&A (Financial Planning & Analysis) and Workforce planning are two distinct models which can help IT/ITES companies consistently deliver the forecasted performance.

Deflytics has worked with many IT/ITES companies [many with over $1bn in annual revenue] in implementing FP&A and Workforce planning solutions.

Busienss Planning Services for IT & ITES

Use Cases

  • Revenue Planning
  • Expense Planning
  • Workforce Planning
  • Facilities Planning

Use Cases

  • LOB Profitability
  • Cost Allocations
  • Sales Planning
  • Incentive & Compensation Planning