Full Sail Partners Blog | Evan Creech-Pritchett (2)

Full Sail Partners has been closely following the annual Deltek Clarity Architecture and Engineering Industry Study, and in our previous blogs, we've delved into various aspects of this comprehensive report. As we continue our exploration of this year's 44th Annual Deltek Clarity study, we shift our focus to the critical realm of project management within the architecture and engineering (A&E) industry. This sector struggles with numerous challenges daily, and the study offers valuable insights into the current trends and issues affecting project managers. In this blog, we will dissect key findings from the study, particularly homing in on project management challenges and the strategic initiatives poised to address them. 

Project Management Challenges 

In the ever-evolving realm of architecture and engineering, project management is the linchpin of success. However, it's not without its formidable challenges. In this section, we'll delve into these critical challenges, from gaining better visibility into KPIs to grappling with staffing shortages. Furthermore, we will discuss strategies for overcoming them to achieve project management excellence. 

Visibility into Project Management KPIs: Project managers grapple with obtaining clear insights into key performance indicators (KPIs) and the tools required to manage them effectively. This issue affects project performance and client satisfaction. 

Projects on or Ahead of Schedule: 59.76% of projects are on track for schedule and budget. Despite this, staffing challenges continue to persist and impact project outcomes. 

Competing Priorities: A&E firms with well-defined roles, responsibilities, and efficient tools are better equipped to manage project resources. Quality control hubs, such as Centers of Excellence (CoEs) and Project Management Offices (PMOs), are instrumental in driving best practices. 

Staff Shortages: The industry continues to struggle with hiring and retaining skilled staff, with 62% of firms identifying it in their top 3 concerns. Offering tools, training, and attractive work cultures can help attract and retain next-generation project managers. 

Project Management Solutions 

Navigating the intricate landscape of project management in the architecture and engineering industry demands not just an understanding of the challenges but also the strategies to overcome them. In this section, we'll explore proactive solutions that address the industry's top project management challenges. From upskilling and training to streamline project management to harnessing collaborative platforms for improved effectiveness, and investing in technology for seamless connectivity, we'll unravel the keys to project management success.  

Addressing Top Project Management Challenges: To overcome these challenges, A&E firms are reducing their reliance on new project manager hires. Instead, they are focusing on upskilling, training, promotion, and formal career development planning to maintain productivity and deliverable quality. 

Project Management Effectiveness: Staffing issues, strong pipelines, and backlogs combined with increased staffing costs and skill gaps can hinder project management effectiveness. Collaborative platforms and regular training can help bridge these gaps. 

Connecting Teams and Using Systems: A common challenge is connecting all relevant teams on the same platform and ensuring employees use these systems correctly. This requires investment in technology and proper training. 

Project Management KPIs 

Effective project management necessitates careful planning and monitoring through various KPIs. While financial KPIs such as net revenue, profitability, and multipliers are well-tracked, there's room for improvement in non-financial KPIs like client satisfaction, schedule variance, and earned value.  

Balancing Financial and Non-Financial KPIs: Top financial KPIs like net revenue, profitability, and multipliers continue to be tracked by most firms at 94%, 93% and 83% respectively. However, firms showed less reliance this year on the non-financial KPIs like client satisfaction and earned value, at only 36% and 18% of firms tracking these statistics. Achieving a balance between financial and non-financial KPIs is essential for successful project management. Focusing solely on financial metrics can lead to oversight of critical project aspects. 

Project Reporting Accuracy: While A&E firms are gaining confidence in reporting project costs accurately, there's still room for improvement in reporting project schedules. Accurate schedule reporting is crucial for project success. 

Project Management Initiatives 

As the architecture and engineering industry continues to evolve, it's imperative to not only identify challenges but also to proactively address them through strategic initiatives. In this section, we will explore how A&E firms are taking forward-looking steps to enhance project management. These initiatives encompass investing in internal project management expertise, defining roles more clearly, and harnessing the power of technology and software tools to pave the way for a more efficient future in project management.  

Investing in Internal Project Management: A key priority for A&E firms is investing in internal project management, replacing the focus on hiring more qualified staff. Developing best practices and clearly defining roles for project management are also top priorities. 

Leveraging Technology: While technology can provide substantial support in project management, only a small percentage of firms are prioritizing investments in better software tools. Maximizing the value of existing tools and technology is crucial. 

Facing Challenges with Project Management Head on  

The A&E industry faces ongoing challenges in project management, including visibility into KPIs, staffing shortages, and maintaining project schedules and budgets. However, A&E firms are proactively addressing these challenges by investing in training, upskilling, and improved project management processes. Balancing financial and non-financial KPIs, accurate reporting, and leveraging technology will be essential for future success in the industry. By nurturing a culture of continuous improvement and transparency, A&E firms can enhance project management effectiveness and, ultimately, client satisfaction. 

Deltek has recently unveiled the 44th Annual Clarity A&E report, providing an exclusive glimpse into the 2023 outlook of the Architecture and Engineering (A&E) Industry. Overall, while growth may cool down from 2022's excitement, the construction and engineering sectors remain optimistic. Challenges like rising costs, staffing shortages, and inflationary pressures are driving firms to focus on staff retention, development, and diversity initiatives. 

Furthermore, with limited resources, strategic project selection is key. Though investment in supporting technologies has dipped, firms are revving up plans for tech implementation. Despite costs, A&E firms still shine with solid net revenue growth and improved operating profit. Here, in this blog, we will do a quick review of the overall trends seen from the 44th Annual Deltek Clarity Study.

Technology Trends

Firms are prioritizing strategic technology plans, cybersecurity, and business process improvement to achieve digital maturity and address challenges such as rising costs and talent management. While there is a desire to make strategic technological improvements, the report indicates a disconnect between goals and implementation, with firms relying on manual data entry instead of leveraging technology solutions effectively.

Data and cybersecurity remain the top IT operations challenges for firms, with cyberattacks posing a significant threat. Rising technology costs and the need to prioritize applicable trends also hinder technology adoption. However, firms are aiming to transform their use of technology, leveraging it as a competitive advantage and fundamentally changing how their businesses are run and the services offered to clients. Overcoming these challenges and maintaining a harmonious relationship between technology, project execution, and company strategy will be crucial for firms to emerge as the most competitive in the industry.

Business Development Trends

Firms face increased competition and fewer awarded proposals, necessitating strategic planning and resource utilization for conservative revenue growth. To address this, firms should focus on qualifying clients aligned with their strengths, diversify into favorable markets, and nurture existing client relationships with skilled BD talent and technology.

The A&E industry remains strong, but rising costs and staffing challenges require diligent pursuit of strategic opportunities for sustainable growth. Firms can enhance their focus by implementing formal go/no go processes, leveraging CRM solutions, and adopting hybrid BD models combining a dedicated staff with seller/doer approaches. Emphasizing opportunity evaluation and internal collaboration can benefit smaller firms. Adapting to market changes, investing in technology and talent, and prioritizing client relationships is crucial for firms to thrive in the evolving business landscape.

Project Management Trends

The 44th Annual Deltek Clarity report reveals that project managers (PMs) face challenges in gaining visibility into project management KPIs and lacking the necessary tools to manage them effectively. While there is a positive trend with more projects staying on track for schedule and budget, staffing shortages continue to hinder project performance. To tackle these issues, firms should invest in internal project manager training, better project management tools, and training for the next generation of project managers.

Staffing challenges remain the top obstacle for A&E firms, impacting project delivery and potentially causing burnout among existing staff. To address this, firms are focusing on internal training and upskilling current employees. However, comprehensive training and professional development are crucial to equip PMs with the required skills. Additionally, improving project information management, quality control, and collaboration can enhance project performance and mitigate risks. Emphasizing both financial and non-financial KPIs, along with leveraging project technology and financial tracking tools, can lead to improved project outcomes and profitability.

Human Capital Management Trends

A&E firms are focusing on developing and cross-training existing staff to meet project demands amid challenges in staffing and rising hiring costs. They prioritize succession planning, performance management, and talent nurturing to improve retention. To address talent acquisition challenges, firms are re-evaluating position requirements, considering trainable candidates with complementary skills, and offering competitive compensation. Engaging diverse candidates, providing upskilling opportunities, and championing operational tools are crucial for attracting and retaining talent.

In the competitive talent landscape, firms must strategically attract and retain employees by adapting to evolving workforce preferences, such as remote work options and positive company culture. They shift engagement strategies, offer visible career development plans, and track key performance indicators related to employee management and retention. By implementing these approaches, firms aim to improve their talent acquisition processes and support project profitability.

Financial Management Trends

Firms achieved significant financial success in 2022, surpassing their bullish goals and delivering improvements in operating profit. They effectively leveraged direct labor costs and subconsultants to drive revenue growth, outpacing growth in headcount and wages. Strategic investments were made during favorable economic conditions, resulting in strong revenue growth and improved financial metrics.

However, firms are facing several financial challenges that need to be addressed to sustain their performance. Finding and retaining qualified staff remains the top concern, although firms have been successful in leveraging their workforce and achieving high net revenues per employee. Increasing profitability and managing growth are also key areas of focus. Firms are refining their strategies, utilizing technology and process improvements to reduce project delivery costs and balance out rising labor costs.

To maintain their financial performance, firms need to prioritize the overall health and satisfaction of their workforce. Retaining and developing impactful talent through cross-training and internal promotions are crucial. Additionally, driving timely project completion, effective billing, and collection processes are vital for capturing revenue and maintaining cash flow. Investments in business process improvements and financial management training for PMs are key areas of focus to sustain growth and manage financial returns.

Continue to Gain Valuable Insight into the A&E Industry

The 44th Annual Deltek Clarity report continues to provide valuable insight into the Architecture and Engineering industry. In this most recent study, firms are advised to prioritize technology adoption, strategic business development, effective project management, and talent management to be successful. Embracing technology trends, addressing staffing challenges, and focusing on financial management are key areas of focus for sustainable growth and profitability.

By leveraging the recommendations from the Deltek Clarity report, firms can navigate market changes, enhance their operations, and stay competitive. For more information, the entire Clarity report can be downloaded for a comprehensive view. However, don’t forget to keep an eye out for our future blogs where we will be quickly reviewing each trend of the report in more detail.

As we begin a new year, it’s important to look back and reflect on the past. What better way to do that than to watch the top 5 Deltek Vantagepoint mini demos from last year? 2022 was a bit of a grab bag, so this list includes everything from features that have been in Vantagepoint for a while to add-ons for the programs we use every day. Without further ado, here are the top 5 Deltek Vantagepoint mini demos of 2022!  

#5: Utilizing the Search Functionality 

The search functionality is one of the most overlooked features in Deltek Vantagepoint. There are categories of searches: standard searches, my searches, shared searches, and legacy searches. Standard search has a few different types of searches, such as the selection and active search, and generally apply to a variety of the hubs throughout Vantagepoint. My searches are your personal searches that you have saved for future use. Shared searches are ones that have been shared with you by your administrator or other power users in your firm and serve to create a standardization in your searches. The last type of search, legacy searches, is one that only applies to firms that made the switch from Deltek Vision to Deltek Vantagepoint. These are read only, so they will need to be rebuilt in order to modify them. 

Want to learn how to make and utilize these different types of searches effectively? Take a look at our demo here: Utilizing the Search Functionality. 

#4: Redistribute Planned Project Hours 

More often than not, a project’s budget and schedule change throughout its life cycle. Luckily, Deltek Vantagepoint allows users to easily adjust a project’s plan to fit their needs. The first step in this process is to change the dates for the project. After the dates are in order, the planned hours for the project should be changed. Some extra columns like contract and planned billing might be needed to determine the amount to adjust the planned hours by, so make sure to enable them when doing this step. 

This function is easy to use and saves a huge amount of time for everyone! For a step by step walkthrough on redistributing planned project hours, check out our demo here: Redistribute Planned Project Hours. 

#3: A Small, but Mighty Enhancement with Saved Views 

In previous iterations, Deltek Vantagepoint would save the last list view that you were in when you exited the program. Then when you re-opened Vantagepoint you would be returned to that same list view. In the Vantagepoint 5.5 update, a new feature has been added that allows multiple list views to be saved. This enhancement is useful in many areas such as hubs, expense reports and even interactive billing. Take a look around and find where saved views can help you! 

For a more in-depth look at how to create these lists and put them to use, watch our demo here: A Small, but Mighty Enhancement with Saved Views. 

#2: Introduction to Contract Management 

 The contract management tool in Deltek Vantagepoint is a fan favorite. It is useful for taking all the guesswork out of compensation with detailed breakdowns of how the total amount came to be. To get the absolute most out of this feature, it is imperative that the “Project Entering Method” is set to “Lowest Level Only” and “Synchronize Contract Values to Project Compensation” is set to “Yes.” Contract Type and Contract Status should also be configured in labels and list area. 

There are many more features and functions in the Contract Management tab. To hear about them all be sure to tune into our demo here: Introduction to Contract Management. 

#1: CRM Contact Accessibility Directly with Outlook 

Having to flip between two applications to find a contact is tedious and tiresome. Instead of wasting time trying to track someone down, connect Deltek Vantagepoint to your Outlook inbox. With this enhancement, Outlook will provide information from Vantagepoint on the contact, as well as information on related contacts. If there is no contact in the system, Vantagepoint will give the option to create a new contact and fill out the relevant fields. Projects can even be created from Outlook! 

There’s more than meets the eye with this upgrade. Watch our demo to see what you’re missing out on and how it works here: CRM Contact Accessibility Directly with Outlook. 

What’s Up Next? 

We hope you’ve enjoyed our blogs, Deltek Vantagepoint mini demos, and other content this past year! We’ve been cooking up a bunch of new content for 2023, so keep an eye on our social media accounts for more announcements. Looking forward to another productive year with you! 

It’s hard to believe that it is already so late in the year. It feels like not so long ago we were trying to beat the heat with cool drinks on sandy shores. But now the weather is beginning to cool down and the leaves are changing color, and that can only mean one thing: time to hunker down and manage the firm’s holiday contact list! Hopefully, this process has already been started but if not, this article shares a couple of tips on how using Deltek Vantagepoint features and functions can help maintain the firm’s holiday contact list and keep it clean for the future.  

Data Clean Up 

Before getting into the nitty gritty of data cleanup, let’s do a quick review. Every contact needs to have at least five parts: contact name, job title, firm name, email address and firm address. These five fields are standard in Vantagepoint, and with this information, marketers can build basic lists to use for both email marketing and direct campaigns.  

Then there are pieces of contact information that can be considered “nice to have.” These include attributes like market, rating, source, contact owner, mailings and segment type. These are not essential to the contact, but they can help narrow down who they are and what exactly the contact means to the company. 

Once marketers have identified their must-have and “nice-to-have” contact fields, head over to Vantagepoint and view the contact in list view. Using this Vantagepoint feature, allows marketers to quickly see what contact data is missing or outdated. See the screenshot below. 

This feature isn’t just in the Contacts hub either, so be sure to look for it in other hubs that may need some cleaning up as well.  

Send More Emails  

To avoid ending up with a bunch of old contacts, the best advice is to send more emails! Of course, don’t just spam the contacts, because that would just drive them away. Instead, think about sending newsletters weekly and/or monthly. By sending regularly email marketing campaigns to contacts, marketers will get contact information back such as bounced email addresses. This piece of information could indicate that the contact has moved firms or retired. Doing this throughout the year will help make the effort of creating holiday contact lists less daunting.  

Create Marketing Campaigns for Segmented Lists 

In the same vein as the last tip, use Vantagepoint Marketing Campaigns for list segments. To do this, create a new Marketing Campaign record with the name “List-Holiday Card,” for example. Then associate different contacts based on their segments (whether it be geographic, demographic, etc.) to add them to a list aka the Marketing Campaign record. With these new marketing campaigns more emails can be sent, and as contacts are created and updated, they can be added to different lists. 

Monitor New Contact Creation with Scheduled Reports 

Another good practice is to have Deltek Vantagepoint monitor what new contacts were created in the database. Deltek Vantagepoint allows the user to send scheduled reports of what contacts were created in a set period of time (i.e. weekly, monthly, etc.). When these are set up, a report will be sent to the user consisting of all the new contacts and will include who initially created the contact and if there is any missing information that needs to be added. In the case that any of the aforementioned key fields of the contact are missing, the user can follow up with the contact creator and ask them to fill out the required information. This feature can also be used for projects and employees, but in our case monitoring contacts is best. 

Use Workflow Warnings and Errors for Must-Have Contact Information 

Finally, make sure you are using workflows to your advantage. These workflows can be set up to indicate errors and warnings when a contact has missing information. Warnings will simply alert the user that the contact needs more information, but they will allow the contact to be saved nonetheless. Errors on the other hand will completely stop the user from saving the contact. Both of these options are effective ways to keep a contact list clean but be sure to choose which one to use carefully.  

See these Contact Management Tips in Action  

These are just some ways to utilize the Deltek Vantagepoint system features and functions to manage contacts, even outside of the holiday season. To see these features in action, click the image below to watch a replay of the webinar, A Modern Approach to Managing Holiday Contact Lists. 

In an age where technology is intertwined with every aspect of life, it is more important than ever to keep data protected. Since passwords are practically the keys to everyone’s livelihood both professionally and personally, if they fall into the wrong hands then there’s no telling how much trouble this could cause for everyone connected to them. By neglecting to follow proper password protection protocols, companies have unintentionally been responsible for their own data breaches and even those of their business partners. That’s why employees and leadership at professional services firms should use these five tips to help strengthen their passwords and keep security protected.

Tip #1 – Use a Unique Password 

Let’s say someone at the firm has been hacked and an unapproved person has gained access to a password. That’s already a concern, but the effect is multiplied tenfold if that same password has been used on other accounts at the firm. Once the password has been discovered, there will certainly be an attempt to use it wherever possible to get into even more of the unprotected accounts. To prevent this from happening, a completely different password should always be used on every separate firm account. 

Tip #2 – Resist Easy to Guess Passwords 

This one should be obvious, but one would be surprised by how many people use passwords like “12345” and “password” just because they are easy to remember. Personal information such as birthdays, pets’ names, and street addresses should also be avoided. To be safe one should use a password that is more random. A good password should have more than eight characters and contain numbers, special characters, uppercase letters and lowercase letters.  

Tip #3 – Be Very Cautious When Asked to Share Passwords 

Avoid scammers at all costs. Scams come in many forms - some may be emails, some may be phone calls, and some may even impersonate a friend, co-worker, client or relative online just to get access to a password. Some of these scams may try to create a sense of urgency, so always stop and remember to think it through carefully. Consider why that person would need this information, and if the person reaching out is unfamiliar, then do not continue with the contact. Here’s the golden rule to follow for not getting scammed: never give away a password.  

Tip #4 – Keep Software and Browsers Up to Date 

Keep the firm’s web browsers, applications, and operating systems up to date. If there’s an exploit to be found, it’s on an older version. It is not necessary to update to the newest version as soon as it is out, but it is generally a good idea to move to the newer versions as soon as possible. Some applications will come with a pre-set password. These should always be changed, even if they are randomly generated. If there is worry about exploits in newer versions of programs, then do research before the decision is made to update. Software companies will generally release patch notes for users to check before they update. 

Tip #5 – Use Two Factor Authentication or a Password Manager 

Two factor authentication requires a third-party app that will require approval for sign-ins. Once logged into an account, a notification on your authenticator app will be received where entry is approved or denied for whoever is logging in. Password managers are a bit more complex but will ensure safety just the same. Once logged in, the password manager will generate random passwords for the user. With these, only one password will need to be remembered to get into the manager, and it will take care of the rest. For extra safety, feel free to use both in tandem. 

Bonus Tip - Stolen Password.... Now What?

So, how can someone at a professional services firm tell if a password has been stolen? More importantly, what can be done about it? 

Well, the best way to identify if a password has been compromised is to watch for suspicious activity. The critical indicators can be anything from strange posts or questionable emails on firm accounts to even small subtle changes in personal information that seem off to the user. Some applications will inform the user when there is an unusual activity, which is especially helpful in these situations.  

Once there is evidence that an account has been breached, the first thing to do is immediately change the password. If this account is tied to others, those accounts should also have their passwords changed and be reviewed for any confirmation of hacking. One should also inform other firm staff and business partners of the breach to proactively prevent any other data breach complications. 

Stay Diligent and Safe

Professional services firms are not alone in the need to protect security, but with the expert knowledge that they are hired for, data breaches can have long term negative effects on both the firm and clients. These five tips should help strengthen firm security and protect its valuable data and clients. It’s a scary internet world out there, so it is important to keep both professional services firms and their staff safe so they can continue to work hard!  

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