HIVE MIND: “How Can I Prevent Project Slippage?”

Tue 23 Nov 2021 2:00 pm UK Time

• Every agency has those projects that keep slipping through the cracks.
• But project delays mean your business is missing revenue targets – and that’s no good for anyone.
• Join us and share your solutions to help John Gunn tackle this problem.

Every agency has projects that slip through the cracks. But when working on a revenue-based P&L model, project delays can mean payment delays, and that can lead to disaster.

Every agency has those projects that keep slipping through the cracks. 

But, when working on a project-to-project based revenue model, project slippage can mean much more than just an oopsy-daisy. 

“We only recognise revenue once we’ve worked on it,” says John Gunn, partner at Good Innovation. “So we may be smashing sales, but we’re failing because we can’t efficiently deliver the work.”

Like every business, Good Innovation has monthly and quarterly targets to hit. But because of project slippage, these targets often aren’t being reached.

““In October we slipped £50,000 of revenue across 12-13 projects,” says John, “which meant a bunch of the team ended up on the bench.’’

The challenge is, it’s not always the agency’s fault for pushbacks. 

“Clients call up and delay projects for range of different reasons and it’s typically

completely out of our control,” says John. “If a client rings up and asks to delay a project, it means that we spend less time on work that month, and we therefore recognise less revenue.”

But small project delays can lead to some very big challenges.

“If we haven’t hit our target, no one gets a bonus, we can’t recognise that revenue, and we’ve failed that year.” Says John.

So, if you have a revenue-based P&L model, how are you dealing with project delays?

Can you help? Join us along with the rest of the Agency Hackers gang to share your own solutions and help John tackle this problem.