A/E/C Inflation Response Playbook: How to Safeguard Profits with Payroll, Workload, and Fee Adjustments
Wednesday, March 30, 2022, 1:00-2:00 PM ET
Presented by Brian Flynn, Senior Consultant, PSMJ Resources, Inc.
According to PSMJ research, 63% of A/E/C firms have implemented pay increases in the past six months. Of course, labor is your firm’s largest expense but skyrocketing inflation has the potential to drive up all sorts of expenses in your firm…and wreak havoc on your firm’s profit margins. Knee-jerk reactions aren’t a viable strategy. Top-performing A/E/C firms are making data-driven forward-thinking strategic moves now to ensure they are positioned for long-term sustainable growth and sustained margins…in any economic cycle.
In this FREE live one-hour discussion with A/E/C firm financial management expert and author of Maximizing Engineering Firm Profits: Profit Fundamentals Brian Flynn, P.E. takes us inside powerful, yet simple, tools and techniques any A/E/C firm leader can apply to manage inflation while driving growth and high performance. You learn how to:
- Use the SUM (salary-to-expense, utilization, multiplier) metric as a comprehensive overhead management and pricing tool.
- Make better strategic decisions by reacting differently to “demand-pull” and “labor cost-push” inflation.
- Implement pay raises that focus on total compensation (salary, performance incentive bonuses, profit sharing, 401k matches etc.).
- Induce clients to pay for salary increases, emphasizing pricing mechanisms, rate sheet reconstruction, and the often-forgotten role of lump sum pricing.
- Implement better recovery tactics for overhead costs using the “but-for” rule and the Miscellaneous Expense Recovery (MER) mechanism.
- Define a simplified role for Project Managers to achieve proper pricing, control of schedule, and budget adherence.
- PLUS answers to your questions!
This live broadcast is for CEOs, CFOs, Principals, Directors, and anyone who holds profit and loss responsibility in an A/E/C firm. Even just one new idea could have a significant impact on your firm’s 2022 financial performance!
Brian Flynn, P.E., BCEE has spent more than 40 years in the engineering and environmental industry. He was one of the original founding partners of global environmental consulting firm ERM Group and the President of ERM-Southwest in Houston, Texas. Throughout his management and leadership career, Brian gained a wealth of experience in areas such as business strategy, financial management, and business development. As a management consultant, Brian is frequently sought out by A/E/C firm leaders to improve their profitability, facilitate mergers and acquisitions, and lead project and financial management training programs.