IT as a strategic resource

Partner Manager Lars D. MadsenMaconomy

maconomy in brief

• 20 years in ERP for Professional Services Organisations (PSO’s)

• since 2000 listed on OMX NASDAQ, CPH

• headquartered in Copenhagen, Denmark

• 224 employees

• operations (sales & consulting) in US, UK, BNL, SE, NO and DK

• partner distribution in Eastern Europe, South Africa, Canada and India

• 600+ customers in 58 countries with 124,000 active daily users

1.1

defining PSO’s

•knowledge intensive organisations•servicing external clients•organising their work in projects•charging a high hourly rate

Definitions of PSO

1.2

Service companies is the fastest growing industry

ERP - Enterprise resource planning

integrated computer-based system used to manage internal and external resources

1.9

”erp for pso”

Strategic resource

1.2

Best performer

A 2010 study by the Aberdeen Group shows that efficient project execution is the one key driver for the best Professional Services companies. Aberdeen Group found that best-in-class Professional Services companies deliver 91 percent of their projects early or on time and 96 percent of their projects within budget.

engineering & architects

advertising & related

maconomy – leadership in ”erp for pso”

Research / Non Profit

legalcomputer related

audit & tax advisors & design

• recognised top 10 vendor world-wide by industry analysts• some of the world’s biggest and most recognised

pso’s rely on our solutions to run their business

1.3

Agency ProfitWatchIndustry Issues

Knowing profitability of Top 5 clients is key

Visibility of account teams, client budgets, major tasks crucial but unavailable

53% have no visibility of client budgets + major tasks to be completed

Assessing Profitability in Creative Services Industries.

A large proportion of agencies admit to overservicing clients by 20%+

36% of agency time is unaccounted for

Client pressure for transparency and accountability

analyst perspectives

6.3

economic slowdown are driving pso’s to focus on initiatives that address efficiency• improve profitability and operational efficiency• optimise business process and quality

Forrester 2008

project-based erp market represents a large, untapped opportunity• $ 19 billion total addressable market• less than 7 % penetrated

Industry and Wall Street research (Barclays Capital) 2008

1.4

Case study – Millward Brown

• Marketing research and brand consulting• 7,100 Users world wide• 50 Countries in all timezones• One server in Chicago• One Database• Before Maconomy they had more than 30 Systems

Automating Non Profit organisationsKey issues

• Increasing demands on information of how money is spent

• Ability to handle multiple funding sources and their reporting requirements

• Need for tighter control over resources• De-centralization of project administration• Employees around the world work on the same

project• Control budgeted funds vs. actual spend• Measure key result areas, activity effectiveness &

outcomes

• Kheth’ Impilo is a non-governmental health organisation focussed on AIDS relief in South Africa

• 675 staff, 6 offices countrywide, primarily funded by US AID• Many challenges faced: donor management, fund

allocation, reporting by activity, cost management, people management

• Key benefits of implementing Maconomy• Online donor and funding management• Accurately control budgeted funds vs. actual spend• Cost and location management based on people• Efficient and accurate donor reporting

case study – Kheth’ Impilo

“Maconomy has made donor reporting in focus areas more accurate and easier to extract the required data”

the value of ERP for PSO’s

every day hundreds of decisions are made at all levels of your organisation. the information that would help you make the right decisions exists somewhere in your organisation, ensuring accurate estimates, balanced workload as well as timely and correct billing.

our vision is to provide the appropriate information to those who need it, when they need it.

1.6

product centricindustries

service centricindustries

professional services is our heritage

traditional ERPheritage

maconomyheritage

machines peopleproduction

means

products know-howproduction

output

process/logistics projectsproduction

control

1.5

efficiency challenge- how to streamline the business

sustainability challenge- how to keep it going

viability challenge- how to re-focus the business

innovation challenge- how to add more value

moreless profits, earnings, margins

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ales

, vol

ume

cloud nine

key success factor (ksf) diagnosis modeldetermine the most likely executive priorities, or key success factors, given the overall challenges faced by the company, based on their ability to drive growth and profitability.

13

3

5

2

6

41

4

11 87

2

6

7 811

10

5

113

4

9

5 5 11

8794

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3

4

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7

8

9

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#

customer acquisition

customer profitability

people development & performance

capacity optimisation

project control

project profitability

service portfolio management

knowledge management

improved working capital

efficient back-office processes

fact-based business management

primary

secondary

improvement path

10

11

1.8

#2: client profitabilityhow maconomy can help

• over-servicing highlighted• efficient capture of all client cost• clear view of open and potential engagements and debt• instant overview of all work

2.4

#3: people development and performancehow maconomy can help

• resource assignments based on skills matrix • work requirements mapped to resources and skills• improved overview

• capacity, skills and competencies

• resource staffing according to skills

2.6

#4: resource optimisationhow maconomy can help

• exact resource and revenue forecast• transparency of commitments and resources plans• integrated overview of deadlines • improved resource utilisation• company-wide resource scheduling

2.8

#5: project controlhow maconomy can help

• integrated tracking from opportunity to project• managed pricing and approval process• project manager approval of time and expenses• fast and accurate time capture• clear project status overview

2.10

a role based solution

executive manager

departmentmanager

resourcemanager

accountant

hr manager

accountmanager

projectmanager

consultant

registering time and checking own billable utilisation

monitoring corporate KPI’s and analysing root causes

tracking business performance and managing service portfolio

booking resources, planning and controling project progress and initiating invoicing

tracking sales activities and creating estimates

planning recruiting and tracking employee development, skills and performance

administrating recruiting, retention and departuresof employees

managing receivables, payables and assets

1.11

maconomy mobile

• full featured time sheet submission• intuitive calendar navigation• connected as well as off-line

registration

1.14

questions?