Client D — Client Economics

A sample snapshot of Financial Services · Project · Client lead P. Nakamura

Illustrative Prototype
All clients
Approaching LimitProfitable but under-resourced at the senior strategy level; timeline risk emerging.
Contract value
$385,000
Monthly retainer
Project-based
Revenue recognized
$231,000
Labor cost
$152,400
Other delivery costs
$9,400
Gross profit
$69,200
Gross margin
30%
Budget variance
-$7,400
Hours allocated
1,900
Hours used
1,240
Remaining hours
660
Scope variance
-34.7%
Projected final cost
$254,000
Projected final margin
34%
Months over scope
0
Service areas
Digital, Research
Delivery economics

Allocated vs. actual cost

Cost to deliver$145K planned · $152K actual
Hours consumed1,240 of 1,900

Projected final cost of $254,000 against $385,000 contracted value implies a 34% margin at close.

Trend

Gross margin, last six months

MarAprMayJunJulAug
33%36%
  • Active projects: Digital Transformation
  • Recommended action: Protect margin and evaluate growth potential.