Revenue Generation is a feature in Deltek Vantagepoint that allows a professional services firm to define how a project should calculate revenue. This process is not turned on “out of the box” as firms can choose if and how they would like to utilize this feature. Vantagepoint’s default revenue method is “B,” meaning revenue is recognized only when a project is billed. Although this method works well for projects invoiced monthly for time & materials incurred, it doesn’t always align with all project types.

Additionally, utilizing the “B” method can restrict a firm from invoicing throughout the month as generally all costs should be posted and then invoiced to properly match revenue and expenses. Billing all at the end of the month can create a backlog and delay month-end closing processes. Therefore, if your projects are not billed monthly, the billing doesn’t match how the project should recognize revenue, or you don’t want to hold up your close process until all invoicing is completed, your firm should consider utilizing Revenue Generation.

Pursue Revenue Generation Methods

After deciding that revenue generation is right for your professional services firm, the next step is to decide on the revenue method(s) to be utilized for your projects. Revenue generation is flexible in the fact that methods can be different on different levels of a project’s work breakdown structure. Furthermore, your firm can create custom revenue methods if you feel one of Deltek Vantagepoint’s predefined methods doesn’t suit your needs.

Deltek Vantagepoint’s Standard Predefined Methods

The three most popular predefined methods are the Work In Progress (W), the Percent Complete Method (P), and the Multiplier (M) methods. See below the formulas and a brief discussion of when firms may choose to utilize these methods.

Work in Progress Method (W)

Job-to-Date Revenue = Job-to-Date Billings + Work-in-Progress @ Billing

Deltek Vantagepoint recognizes revenue as job-to-date billed plus work-in-progress at billing rates. This method works well for projects normally termed “hourly” or “time and materials.” One of the great features of this method is you can invoice anytime during the month and expenses posted after the invoice will still be recognized for that month and this method will match revenue and expenses. One disadvantage of this method is the formula has no limit set so if your project is “hourly to a max,” this method will not stop at the “max.”

Percent Complete Method (P)

Job-to-Date Revenue = (Percent Complete*Fee) + Job-to-Date Reimbursable Expenses

This method recognizes revenue based on a percent complete entered on the project times the compensation on the project, plus reimbursable expenses. This method does require the percent complete field to be entered, usually at the lowest level of the project where the revenue is to be recognized. The good news is there are several places to update this field – in Dashboards, in the Revenue Generation action bar, and the Project Review area. The bad news is that it does require updates regularly.

In general, this method works well when projects have milestone billings, often called “lump sum contracts” or “fixed fee” projects. On these types of projects, you may have a billing schedule that does not match your level of effort in a month. For example, if your milestones state that you can’t invoice until you have hit 25% complete, but this month you have completed 15%, you may want to recognize 15% now and not wait until you hit 25%. In this case, the percent complete field would need to be entered as 15%. In summary, this method produces revenue based on the percent completed, not invoiced, but that percent does need to be entered into the system with some “manual intervention.”

Multiplier Method (M)

Job-to-Date Revenue = (Job-to-Date Direct Labor x Multiplier) + Job-to-Date Reimbursable Expenses

The Multiplier Method recognizes revenue based on labor incurred times a multiplier identified on the project in the “Multiplier/Amount” field. This method can be used on projects that are billed hourly or percent completion-based. Usually, when using this method, the multiplier is set once and reviewed periodically but does not need to be updated as frequently as the P method. The pro of this method is that it requires less maintenance than the P method, but the con is that it may not be as accurate. The multiplier is project-specific, which allows flexibility.

User Defined Revenue Methods

If the above methods don’t meet your professional services firm’s needs, Deltek Vantagepoint has the flexibility to create as many revenue methods as needed.

For example, if you would like to use an hourly method, like W, but would like to add a maximum amount to the calculation, there is a “Subject to Max” option that can be utilized in a formula. Likewise, if you would like to compare two formulas and have the system recognize revenue based on the “lessor of” the two calculations, that is also an option. There are many fields available to create a User Defined Calculation from project fields such as budget or compensation fields, from billing terms such as rates or Add-Ons, or even from User Defined Fields on a project.

Choosing the Best Revenue Generation Method(s) for Your Professional Services Firm

As you consider the possibilities of revenue generation within Deltek Vantagepoint, it's crucial to refine your approach to ensure it aligns with your firm's unique project management and financial tracking needs. The flexibility offered by Vantagepoint enables a tailored revenue recognition process that can significantly enhance your financial accuracy and project oversight. To effectively implement and benefit from this feature, consider the following:

• Assess Project Requirements: Evaluate the specific needs of each project or project phase to select the most appropriate revenue generation method. This assessment should consider the billing schedule, project duration, and the nature of the work (e.g., hourly, fixed fee, or a combination).
• Implement a Hybrid Approach: Don’t hesitate to employ multiple revenue generation methods within a single project where necessary. This flexibility can accommodate diverse billing arrangements and project work phases, ensuring revenue is recognized in the most accurate manner across your portfolio.
• Create Your Own Calculations: Leverage the capability to create custom revenue calculations to address any specific challenges or goals your firm has. This customization can help in situations where predefined methods fall short, ensuring your revenue recognition practices precisely match your operational and financial strategies.
• Document and Standardize: Establish clear documentation of your chosen revenue recognition methods and the rationale behind them. This documentation will serve as a valuable reference for your team and ensure consistency in application across projects.
• Engage in Thorough Testing: Before fully integrating a new revenue generation method into your operations, conduct comprehensive testing. This testing should simulate various project scenarios to uncover any potential issues and ensure the method performs as expected under different conditions.
• Review and Refine Regularly: Adopt an iterative approach to your revenue generation strategies. Regular reviews allow you to adjust methods as your firm evolves and as projects present new challenges or opportunities for financial management optimization.

By thoughtfully selecting and applying revenue generation methods, your professional services firm can achieve a higher level of financial clarity and project management efficiency. Deltek Vantagepoint’s flexibility not only accommodates a wide range of project types but also empowers your firm to adapt and thrive in the dynamic professional services landscape. Embrace the opportunity to fine-tune your revenue recognition processes, ensuring they fully support your firm's strategic goals and project delivery success.

Strategize and Optimize: Revenue Solutions in Deltek

Maximize your Deltek Vantagepoint's Revenue Generation capabilities with Full Sail Partners' Navigational Analysis. Our service streamlines your processes, ensuring your ERP system aligns perfectly with your business objectives. From an initial assessment to a customized action plan, we guide your firm through optimizing system functionality to enhance operational efficiency and financial performance. Elevate your firm's potential—discover how our Navigational Analysis can transform your Deltek setup for optimal success by clicking the image below.

In a perfect world, professional services firms could invoice their clients for every charge to every project, and the clients would pay every invoice. However, in reality, nearly all professional services firms have write-offs. Write-offs can occur when your firm and your client agree that they don’t have to pay an invoice, when the client is unable to or refuses to pay an invoice, or when your firm is unable to bill all project charges to the client.

While writing-off charges is necessary sometimes, the good news is that each of these types of write-offs can be easily handled in Deltek Vantagepoint. Since write-offs impact the firm’s financial statements, it is crucial to have clear guidelines as to the accounting period in which they should be created/posted. In this blog, let’s talk a little bit about how to handle write-offs the “right” way to make the process as painless as possible.

Firm and Client Agree to a Reduction in an Invoice Amount

Did you accidentally invoice the client too much?  Did you send an invoice for a change order before it was fully approved? Or did the client argue about a portion of the invoice, and you agreed to a reduction in the invoice amount? 

When the client does not require a revised invoice, you may choose to do an invoice adjustment through the transaction center. It is recommended to use the original invoice number and date, and the WBS2/3 level from the original invoice. Doing so will result in the adjustment being applied to the original invoice, making receipt more efficient. One thing to consider when using this method is that if you keep invoices on file, the PDF invoice stored on the project will not show the adjustment. If the PDF invoice was later needed, it could be confusing that the total no longer matches the invoice amount that shows in the system.

If the client requires a revised invoice, or if you prefer to make sure the invoice on file matches the amount the system shows as billed, you may instead choose to void and reissue the invoice through Interactive Billing in Deltek Vantagepoint. Voiding an invoice reinstates the charges that were included with the invoice (which allows you the option to hold or write-off charges) and you would issue an invoice for the new amount. When voiding an invoice, it is best to post the void before running the revised one.

It is important to note that voiding an invoice will affect the financial statements, so be sure to void in a current, open accounting period. Another consideration with issuing a revised invoice is what invoice date to use. If it is agreed that the payment terms can start on the date of the original invoice, you can change the invoice date in the billing session options.

A Client is Unable to or Refuses to Pay an Invoice

Did your client go out of business? Did a portion of your work fail to meet expectations? And, did it result in the client refusing to pay?

Many professional services firms track an Allowance for Bad Debts against Accounts Receivable. When a client cannot or will not pay an invoice, it is likely that you will want to put the write-off against the allowance. The most efficient way to do this is to process a zero-dollar cash receipt. Select the invoice as though you are paying it, then enter an additional line in the cash receipt and select either the bad debt contra-asset or expense account.

Many firms use an indirect account for a bad debt expense. But, if your firm prefers bad debt expense to be a direct expense, you could set up a project as a regular charge type and a direct expense account to be used exclusively for recording bad debt.

If your firm reports on a cash basis, and you do not want to show any revenue or expense, Deltek Vantagepoint can accommodate that as well. In AR Mapping accounts, set up your Allowance for Bad Debts as an invoicing account (leave all other fields blank unless you also want a separate AR column). Then when you need to write off an AR invoice, process a negative invoice transaction using the original invoice number, WBS level(s), invoice section(s), and the Allowance for Bad Debts account.

If you do not have a bad debt allowance, you can void the invoice as explained previously and write off the transactions (explained in the next section). You could also choose to do a credit memo. The credit memo function reverses the invoice but does not reinstate the charges to Interactive Billing.

The Firm is Unable to Bill All Project Charges to the Client

There are several reasons you may not be able to bill all the charges on a project to the client including inefficiencies during work performance, going over budget, training new staff, and resource turnover. GAAP guidelines indicate that potential losses are to be recognized as soon as known. When it is known that charges cannot be billed to the client, use the write-off function in Interactive Billing.

This function will cause the items to be excluded from invoicing, thereby not recording revenue. If your professional services firm uses revenue generation, then to exclude write-offs, make sure the formula is set up accordingly. Using the write-off function for charges will not remove the charges from project reporting, except in cases where you choose to exclude charges to be written off such as on the Unbilled Summary report.

On reports where you can select to show the billing status of charges, items that have been marked for write-off have a status of W, and items that have been written-off have a status of X. If tracking/reporting of write-offs is desired, you could choose to use the project detail report. Then on the options tab, only include charges with the X or W status.

Visibility Around Write-Off Amounts

Using Deltek Vantagepoint, there is visibility around write-offs. As mentioned, to see the specific items written off, you can use a report such as a project detail and include only items with the X or W status. Since typically no revenue is recognized for written-off items, there are other areas that you can see write-offs and their impact as well:

• As negative profit on the Project Earnings and Office Earnings reports when run at cost
• As a negative variance on the Project Earnings and Office Earnings reports when run at billing
• In Project Review at cost and billing in the profit/variance box

Use Deltek Vantagepoint to Manage Write-Offs

As discussed, there are several reasons that professional services firms experience write-offs. When write-offs are necessary, know that Deltek Vantagepoint can be set up and used to process them the “right” way, while also providing visibility so that your firm has a handle on its financial statements. If your professional services firm needs assistance in this area, don’t hesitate to contact us for more details.

For professional services firms, having a reliable project planning tool is critical to ensuring projects are profitable. In a competitive landscape, successful project execution hinges on the effectiveness of project planning, driving the need for firms to invest in tools that not only meet but exceed expectations. Therefore, a project planning tool needs to be intuitive for users and must improve project scheduling and resource planning.

With Deltek Vantagepoint, project planning has been taken to the next level with a focus on the features and functionality that project managers need. This advanced tool is carefully crafted to specifically cater to the distinct needs of project managers, making sure it not only meets, but also anticipates their requirements. Here are some key features of Vantagepoint that will assist project managers with delivering successful and profitable projects.

Start Early with Templates

Getting a project off to a good start needs a bit of an early boost. Luckily, Deltek Vantagepoint helps out by offering practical ways to help plan things out early. Here’s what you need to know to get a head start.

• Successful Delivery: This starts long before contracts are signed so consider creating the plan when the project is first entered in a Pursuit Stage. Vantagepoint offers a variety of methods that can be used to efficiently create a preliminary plan.
• Project Templates: Firms can create multiple templates for use in creating new project records or when adding structure to a project. Using Project Templates allows users to quickly add the phases of work that are typical for the projects.
• Projects Used as Templates: Firms can create Project records that can serve as templates for creating new records. These records can hold typical Work Breakdown Structure (WBS) elements like Project Templates but can do much more. The records can serve as a plan template that will allow the user to instantly create a plan with Schedule Durations, Generic Resources, and Planned Hours.

Aside from the ease of creating a project plan, planning the project in advance allows professional services firms to proactively manage pricing and resourcing.

Keep the Schedule Updated

Keeping the project schedule updated is a pivotal aspect of effective project management, and Deltek Vantagepoint equips users with powerful tools for this purpose. The plan Gantt charts are a great tool for managing the dates in a plan. The Schedule Tab allows planners to visually manage dates, durations, and dependencies for project delivery phases. Users can also adjust the project schedule from any level of the project by simply dragging and dropping the timeline bars and reviewing the Critical Path on demand, ensuring a clear understanding of key project dependencies.

Beyond the convenience of schedule management, the real-world impact of keeping the schedule updated becomes evident in staffing discussions. Maintaining an accurate and current schedule is a crucial reference point for conversations surrounding short- and long-term staffing availability. By staying on top of the schedule, project managers can better address staffing needs, optimize resource allocation, and enhance overall project efficiency.

Anticipate Resource Usage Curve

The keystone of true resource planning is predicting resource demands as they will likely occur. All project delivery phases have a ‘curve’ that should be reflected in the resource plan. Deltek Vantagepoint’s Project Planning allows users to plan the hours differently in specific time frames. With the Distribute Hours feature, users can take a more precise approach to planning resource hours over specific date ranges by using hours or percentages per day.

This level of granularity in resource planning is not just about meeting requirements; it's a strategic move to decrease the chance of resource clashes. Understanding the intensity of resource usage during different phases of a project becomes a proactive measure to minimize conflicts and optimize resource allocation. By anticipating resource usage, project managers can navigate the intricacies of resource planning with precision, ensuring easy and efficient workflows that align with project objectives.

Review Performance Against the Baseline

The Baseline serves as the bedrock, outlining the assumptions upon which the scope, schedule, and budget of the entire plan are built. Saving the Baseline at the right time allows users to review the deviations and project the final outcomes.

Deltek Vantagepoint not only facilitates this review but also enhances it by allowing users to compare Baseline values with Estimate at Completion (EAC) values. This comparative analysis can be conducted seamlessly across various platforms, including the Plan, Dashboards, and the Project Review feature. This multi-faceted approach to reviewing performance against the Baseline ensures a complete understanding of how the project is progressing in relation to its initial assumptions.

Take Control of Your Project with Deltek Vantagepoint 

Deltek Vantagepoint Planning and Resource Management allows professional services firms to collaborate and analyze project performance from the pursuit through closeout. Maintaining the plan throughout the life of the project improves financial performance and enhances communication around schedules and resource needs. Furthermore, by using this advanced tool, project managers can proactively minimize resource clashes by anticipating resource usage and ensuring project objectives are met. Take control of your projects today!

In today's fast-paced business environment, finding internal information quickly is crucial. Surveys reveal that professionals often spend a significant chunk of their time just searching for necessary data and files. Deltek Vantagepoint, with each update, continues to streamline this process, making it even more efficient for users to retrieve project data and contacts. The enhanced search functionality acts as a virtual "easy" button, empowering users in professional services firms to locate precise information swiftly, leading to more insightful dashboards and reports. Let's dive into how these improvements elevate the user experience in Vantagepoint. 

The Basics 

The Search field in Vantagepoint now offers an intuitive interface with an updated Saved Searches menu. This menu not only provides quick access to frequently used searches but also includes newly added filters and sorting options. 

Custom and Shared Searches: A New Dimension

In addition to the standard searches like “Active,” “All,” and “My Company,” the updated Vantagepoint introduces more nuanced custom and shared search capabilities. Users can now create highly tailored searches that align with their specific project needs. Shared searches, curated by Vantagepoint administrators or power users, are now more refined, displaying results tailored to each user’s role and permissions.

Navigating Saved Searches with Enhanced Preview Options

The process of navigating through saved searches has been simplified. Clicking on a search now brings up an enhanced preview box, showcasing a more detailed snapshot of the results. This allows for quicker scanning and locating of specific records.

Enhanced Record and List Views

Upon selecting multiple results, the updated interface presents a more organized record-by-record view. Users can toggle through records effortlessly and switch to the ‘List View’ for a comprehensive, sortable, and filterable table of records.

At the top of the screen, it shows the total number of records. Each one has its own page, and users can toggle through each record using the arrows next to the record numbers. Users can also see the records in List View by clicking the List icon.

List View shows all the selected records in a sortable, filterable format. They can also be edited or modified from the List View table.

Streamlining Searches with the "Active Only" Toggle Feature

In Vantagepoint 6.5 released in fall 2023, a new feature streamlines the search process: the "Active Only" toggle. This convenient filter is present in the "Find [record]" field, enabling users to swiftly narrow down their search to only active records with a simple flip of the switch.

The "Active Only" toggle remembers your preference even after you log out, ensuring a consistent and efficient search experience in subsequent sessions. This enhancement has been integrated into a variety of forms across the system, from Billing to Resource Management, ensuring that users can maintain productivity with ease.

Creating Custom Searches

Custom searches have become more user-friendly. The interface guides users through a straightforward process of defining search criteria with improved field lookups and operator options. This update ensures that users can pinpoint the exact data they need with minimal effort.

Basic Custom Search

In the Contacts Hub, click the New Search button, and the new search window will appear over the current screen.

By default, it is auto-populated with “Active” in the Contact Status field. Beneath Contact Status, there are three columns. These columns are used to define the criteria for the search:

• Field Lookup: Look up fields available within the Hub (in this case, Contacts).
• Operator: The operator options tell Vantagepoint how to look for information. For example, if the Field Type is “Firm Name,” the operator options include options like “Contains” or “Is Empty.” Date-based fields include terms like “Is Today.”
• Value: This is the “what” that the search engine is looking for, such as “ABC Company” or “March 1, 2021.”

Vantagepoint automatically generates results below the search bar. The ability to quickly preview search results allows users to tweak the search criteria until they find exactly what they need without having to open a new search each time.

From here, users can click “Apply All” to be taken to the record-by-record view of their search results.

Advanced Custom Searches: A Deeper Dive

The Projects Hub now offers more complex search functionalities. Users can perform layered searches, combining multiple criteria to drill down to very specific project data. The interface intuitively guides users through setting up these advanced searches, making it accessible even for complex queries.

By default, the Project Status in the top row is set to Active. To view dormant or inactive projects, users can click the “X” next to the status and make another selection.

To perform a more advanced search, such as all the projects assigned to a certain project manager within a certain industry, users can combine search criteria.

• In the second row, enter “Project Type” as the Field, “equals” as the Operator, and “Educational/Educational Facilities” as the Value.
• Add a new row. Enter “Project Manager” as the Field and “equals” as the Operator. Enter the project managers’ name(s) as the Value.

Note that, based on this field type, the available options for Value will appear in the dropdown box. Results that don’t match the query will appear as well but are shown as grayed out.

Advanced Search Settings: Tailored to Your Needs

The Advanced Settings in the search box have been enhanced to provide even greater flexibility. Users can now specify their search criteria at various levels – from the overall project to phase or task level, accommodating a broader range of search needs for different users.

In this case, if the project managers had been assigned to specific tasks or phases of projects, that would show up here, in addition to project-level assignments.

Leveraging Power Search for Optimal Results

These enhanced search capabilities are just the tip of the iceberg. Deltek Vantagepoint's latest version offers a wealth of features designed to optimize data retrieval for project-based and professional services firms. To fully grasp these advancements, we encourage you to explore our mini demo, which covers both the basics of searching and some more advanced searching features.

In today's fast-paced professional services firms’ environments, meetings play a crucial role in fostering collaboration, aligning teams, and achieving organizational goals. However, ineffective meetings can be a drain on productivity and morale. To ensure that meetings are valuable and efficient, it is essential to follow certain best practices. In this blog post, we will explore four key aspects of running an effective meeting: setting clear objectives and goals, planning the meeting and agenda, employing a skilled facilitator, and having a diligent note-taker.

1. Objective and Goals of the Meeting:

The success of any meeting hinges on having a clear objective and well-defined goals. Before scheduling a meeting, it is crucial to determine how it aligns with the broader growth efforts and yearly goals of both the team and the organization. By doing so, the meeting becomes a strategic tool for progress. Participants can better understand the purpose of the gathering and how their contributions fit into the larger picture.

For example, the goal of a marketing, business development, or sales-oriented meeting is to ensure you are accomplishing the goals set out in your yearly business plan. Within the Architectural, Engineering, and Construction (AEC) industry, that includes ensuring you know what is going on with your project pursuits. Key objectives in bi-weekly meetings would include knowing recently won/lost pursuits, new pursuits and managing follow-up on upcoming proposals, along with understanding resource forecast projections. An example core objective in a quarterly meeting would be evaluating where you are against your goals.  

2. Meeting and Agenda:

To run a productive meeting, careful planning is essential. The meeting should involve the relevant team members and decision-makers who can contribute to the agenda items. The agenda itself should be thoughtfully structured, with a focus on deadlines and the outlined steps needed to meet them. By sharing the agenda in advance, participants have time to review and prepare, ensuring a more engaged and productive discussion. Balancing chit-chat time and getting down to business is important, as it fosters team cohesion while still maintaining a professional atmosphere. Coming out of the meeting, attendees should know their action items and tasks to accomplish.

3. A Good Facilitator:

A skilled facilitator plays a vital role in guiding the meeting towards its objectives while ensuring active participation and collaboration. The facilitator should encourage open discussion, allowing all voices to be heard. Additionally, the facilitator should review outstanding items from previous meetings to track progress, providing context for the current discussion.

Staying focused and time-conscious is crucial, as it helps keep the meeting on track and ensures that all agenda items are addressed. If new topics arise that are not on the agenda, the facilitator can suggest moving them to a "parking lot" list, to be covered either if there is enough time or in the next meeting. A good facilitator is like a good train conductor who sees the path ahead and knows when to slow down and when to speed up to accomplish the items that are most impactful to keep the department or company running smoothly.

4. Note-Taker:

An often-underestimated role in meetings is that of the note-taker. The note-taker should diligently document meeting minutes, capturing important discussions, decisions, and action items. By doing so, a reliable record of the meeting is created which ensures that information is not lost. Clear documentation of action items, next steps, and responsible parties is crucial for accountability and follow-up.

Furthermore, sharing the meeting minutes afterward is essential to keep all participants informed and ensure that everyone is on the same page. With the advent of AI, note-taking might become a thing of the past. I know our team has been exploring software that will assist with analyzing the content, offering summaries, outlining tasks with due dates, and even providing insights based on the discussion.

Follow Key Strategies to Ensure Productive Meetings

Running an effective meeting requires careful planning, active facilitation, and diligent note-taking. By setting clear objectives and aligning the meeting with broader goals, you create a purpose-driven environment. Thoughtful planning, involving the right people, and sharing the agenda in advance help participants prepare and contribute effectively. A skilled facilitator encourages collaboration, keeps the meeting on track, and addresses outstanding items. Lastly, a diligent note-taker documents important insights and ensures that action items are clearly defined. By following these strategies, you can transform meetings into productive spaces that drive progress and foster teamwork at your professional services firm.

As we approach the end of 2023, there is no time like the present to prepare for the year-end close which marks the final accounting process to wrap up the fiscal year. Advanced planning and organization can significantly ease this process for your accounting team, assuring a seamless transition into the new year. In this blog, let’s go over some of the most important items to help ensure a smooth transition to the new fiscal year in Deltek Vantagepoint and Vision.  

Document and Organize Your Procedures

Start by meticulously documenting your year-end procedures, encompassing not only tasks performed in Deltek Vantagepoint and Vision but all accounting functions. This comprehensive reference guide will not only assist your team this year but also in the years to come. Additionally, when creating your accounting calendar, ensure that it covers a wide spectrum of financial activities, not just limited to year-end tasks. This holistic approach is key to ensuring that all aspects of your financial management are well organized. It is also essential to share the accounting calendar with the entire staff so that they understand expectations. This is particularly necessary, especially surrounding timesheet and expense report deadlines.

Common Year-End Tasks

Year-end tasks are crucial for maintaining financial integrity. Here are some common practices among professional services firms:

• Reconcile All Cash Accounts: This crucial task ensures that your financial records accurately match your bank statements. It's a good practice to not only verify transactions but also check for any unusual or unexpected entries that might need adjustments.
• Credit Card Reconciliations: In the digital age, credit card transactions are commonplace. Ensure that you capture all credit card transactions, making expense reporting a priority. An accurate representation of these expenses is vital for your financial health.
• File Reconciliation Report: Regular monitoring is the key to catching discrepancies between your general ledger and subledger reports. A monthly check helps in identifying issues early, making year-end reconciliation smoother.
• Final Invoicing: Efficiently processing all client invoices ensures that you're not leaving any revenue on the table. It's the last opportunity to capture income for the fiscal year.
• Review Outstanding Accounts Receivables: Diligently following up with clients who have outstanding accounts receivable beyond 30 days can improve your cash flow. Sending past-due statements and making personal contact can expedite collection efforts.
• Review Unbilled Detail: Properly addressing time and expense transactions that cannot be invoiced helps in accurately reflecting your financial position. Writing off these unbillable expenses is an important step to keep your records accurate.
• Fixed Assets: Beyond the regular tasks, don't overlook the assessment of fixed assets. Verify their ownership and depreciation, making necessary adjustments. This action ensures that your balance sheet reflects the current state of your assets.
• Employee Expenses and Accounts Payable: Ensuring that all accounts payable vouchers are recorded accurately is vital. Making contributions to retirement plans and paying vendors and employee expense reports promptly is also a best practice for year-end.
• Notes Payable: Maintaining alignment between your balance sheet and lender statements is essential. This step can prevent errors or discrepancies in your financial statements.
• 1099 Forms: Ordering 1099 forms is just the beginning. Make certain that you have collected W-9 forms from vendors or contractors who met the $600 threshold during the year. Timely mailing of 1099 forms is important for compliance with tax regulations.
• W-2s: If you handle payroll, don't forget to order and mail W-2 forms by the January 31st deadline. Timely distribution of these forms ensures that employees can file their taxes without delays.
• Budget for Next Year: Setting up your general ledger budget for the upcoming year is a crucial financial planning step. It helps in aligning your financial goals with your operational strategy.

Deltek Customer Care Access

Each year Deltek puts together a year-end guide and checklist. Authorized users would log into Customer Care. Under the section "Learn", click on the option called Year-End Resources. You will then select your product, Vision or Vantagepoint and press "Go". There are Year-End Documentation and Year-End Videos. These complimentary, informative year-end videos are available on-demand viewing 24/7. The training sessions will guide you on how to perform year-end closing for general ledger, accounts payable and payroll, troubleshoot any issues that may arise during the year-end close process, and answer frequently asked questions. 

Be Prepared to Close Out the Year

Ensuring a smooth transition to the new fiscal year in Deltek Vantagepoint and Vision is an important part of the process. When opening the first period of your fiscal year, you're simultaneously launching the new fiscal year.

Several initialization utilities are required based on your professional services firm’s accounting calendar including Open New Period, Open New Benefit Year, 1099 Initialization, and Open a New W-2 Quarter/year. It's important to follow through with these utilities meticulously. If your firm’s database is configured for Multicompany, these utilities would have to be performed in each active company.

Be on the lookout for Deltek's Year-End update at the end of December, which contains tax updates for payroll users. Additionally, refer to Deltek's Vision and Vantagepoint Year-End guide for more detailed information on the year-end closing process. Planning and organization are key to ensuring a smooth year-end close and preparing for a successful start to the new fiscal year. With these additional tasks and tips, you'll be well-prepared for a seamless year-end transition and can confidently set your sights on the financial year ahead.

As part of our ongoing commitment to exploring the latest industry insights, Full Sail Partners has been diligently examining the data from the Deltek Clarity Report, and this blog represents another installment in our series dedicated to this topic. The 44th Annual Deltek A&E Clarity Study is a beacon, illuminating the crucial technology trends that are reshaping the Architecture and Engineering (A&E) sector. Firms are strategically leveraging technology to achieve digital maturity, enhance cybersecurity, and refine business processes. In this blog, we'll dissect key findings from the study's Technology Trends section to provide valuable insights for industry professionals.  

Addressing Top Technology Challenges

To overcome the paramount challenges presented by technology, firms must extend their focus beyond merely recognizing emerging trends. An essential component of success involves equipping their staff with the requisite knowledge and skills to harness these technologies effectively. Establishing a culture of comprehensive education throughout the operational staff is pivotal for the deployment of these solutions. Furthermore, firms can greatly enhance their technology adoption by fostering collaboration with external experts. These experts bring a wealth of experience and specialized knowledge, which can be instrumental in seamlessly and cost-effectively integrating technology solutions into the firm's existing workflows.

Strategic Technology Plans and Digital Maturity

Firms are prioritizing strategic technology plans to navigate challenges related to rising costs and talent management. They're investing in high-impact areas such as project management and financial management. However, an uptick in manual data entry indicates a potential gap between strategic goals and implementation. Despite this, firms are advancing digitally, bringing more operations in-house and empowering staff as technology champions.

Firms are increasingly confident about achieving digital maturity, with 32% now self-classifying as advanced or mature, up from 18% in 2021. Looking ahead, 82% envision advanced or mature stages in five years. However, realizing this vision requires a solid plan and actionable tactics to turn optimism into reality. For more information, take a look at the Digital Transformation Maturity Spectrum in the Deltek Clarity Architecture and Engineering Industry Study, linked at the bottom of this blog.

Managing Technology Costs

Rising technology costs are a significant concern for firms, underscoring the need for strategic evaluation of existing technology to align with overarching objectives. Prioritizing solutions that offer both immediate and long-term ROI is essential for cost-effective technology adoption. Internal champions play a pivotal role by facilitating seamless integration and inspiring colleagues, contributing to heightened employee engagement and retention rates. Cultivating a culture of technology champions ensures that firms maximize their technology investments while enhancing overall workforce effectiveness.

Overcoming Technology Adoption Hurdles

The adoption of emerging technologies presents several challenges, including concerns regarding their relevance, the absence of internal expertise, and potential knowledge gaps among employees. To effectively address these hurdles, firms are encouraged to proactively invest in upskilling their existing staff. This investment not only equips employees with the necessary skills but also fosters a culture of continuous learning and adaptability, crucial in today's dynamic technological landscape. Additionally, leveraging tech-savvy champions within the organization can be transformative. These champions serve as enthusiastic advocates for technology initiatives, bridging the gap between vision and implementation.

Data and Cybersecurity Concerns

Data and cybersecurity are paramount in the A&E industry, with 68% of firms citing it as a top IT operations challenge. Cybersecurity threats impact businesses, making robust security policies and procedures crucial. Ensuring the protection of sensitive information and maintaining clients' trust are central to the industry's continued success.

Redefining Digital Transformation

A&E firms are continually evolving their use of technology to gain a competitive edge. While digital maturity is on the rise in companies of all sizes, technology costs can be a significant barrier. Firms are encouraged to focus on upskilling staff and leveraging existing technology capabilities, as this strategic approach can not only drive operational excellence but also empower firms to navigate the challenges posed by the fast-paced technology landscape effectively. By investing in their workforce and maximizing the potential of their current technology solutions, companies can position themselves as industry leaders ready to embrace the future of technology.

Manual Data Entry: A Persistent Challenge

Even with advanced technological solutions at our disposal, many organizations still find themselves heavily dependent on labor-intensive manual data entry. This dependence spans across various departments, including administrative, accounting, finance, and operations, where human intervention remains a necessity. To optimize their operations and enhance efficiency, these businesses must pinpoint existing inefficiencies and begin to automate their workflows.

A closer look at the statistics reveals the extent of this reliance on manual data entry across key organizational departments:

• A significant 72% of accounting and finance departments within firms rely anywhere from completely to moderately on manual data entry.
• Similarly, a substantial 74% of Operations/Resource Management departments within these organizations are found to be anywhere from completely to moderately reliant on manual data entry.
• Furthermore, a staggering 81% of Administrative/Management divisions within firms also exhibit a significant reliance on manual data entry.

These figures underscore the pressing need for organizations to embrace automation and technological advancements to alleviate the burdens of manual data entry and unlock the full potential of their workforce.

Embrace the Future of Technology

To flourish in this technology-driven era, firms must go beyond acknowledging emerging trends; they must empower their staff with the skills and knowledge needed to harness these technologies effectively. Cultivating a culture of comprehensive education across operational staff is pivotal for the successful deployment of these solutions, and collaboration with external experts can significantly amplify technology adoption.

As A&E firms strive for digital maturity and navigate the challenges of rising technology costs, they must continue investing in their workforce and maximizing the potential of their current technology solutions. This strategic approach not only drives operational excellence but also positions companies as industry leaders prepared to embrace the future of technology. Despite the persistence of manual data entry challenges, the industry's resilience and commitment to transformation ensure that the path forward remains illuminated by the beacon of technological progress.

For more details on Technology Trends from the 44th Clarity Study, read the entire report. 

Within Deltek Vantagepoint lies an extremely useful tool that, when enabled and configured, allows a professional services firm to manage multiple companies within a single Deltek Vantagepoint database. However, the benefits of multicompany functionality seem to elude many professional services firms that would gain the most from its capabilities. So, in this blog, let’s delve into this multicompany functionality and discuss why, when, and how firms should use this fantastic feature.

Why Use Deltek Vantagepoint Multicompany?

Basically, the need for a multicompany environment comes down to the ability to track entities with separate tax ID numbers in a single Deltek Vantagepoint database. Some of the scenarios that require multicompany management include:

• Banking relationships
• Investments and/or holding company requirements
• Tax reporting
• Professional licensing requirements
• Foreign country reporting requirements

Additionally, the need for intercompany billing can occur when two or more related companies make payments on behalf of the other companies. The most common reason for intercompany billing is the sharing of labor resources between companies that have separate payrolls and/or vendor payments for another related company.

When a professional services firm decides to utilize multicompany functionality, it is recommended that sub-ledgers be enabled to track the due to and due from, and clear intercompany balances. With multicompany enabled, users can use both the Accounts Payable and Accounts Receivable aging reports for intercompany balances.

First Determine the Internal Pricing Structure

Upon implementing multicompany functionality in Deltek Vantagepoint, professional services firms must first determine what internal pricing structure to adopt. The options are:

• Re-class only - moves the transaction to intercompany Accounts Receivable/Accounts Payable at cost
• Project Centric - leaves the transaction on the books of the project’s company with some amount of compensation also moving to keep the loaning organization whole
• Employee Centric - moves the transaction back to the employee’s company with some amount of revenue moving back as well
• High Accountability – which uses a work breakdown structure (WBS) to manage transactions and point directly to the company that owns the transaction

Keep in mind that there is considerable flexibility within the options above. Different methods can be configured for different transaction types. Also, by order of operation, the distinct options can be overwritten at the individual company level or by the project at the lowest WBS level.

Intercompany billing makes accounting’s job easier regarding multicompany transactions. When transactions are made to projects not in the home company (the company where the transaction is being posted), invoices and vouchers are created through a series of postings that are reflected in the general ledgers (GLs) of the respective companies. These invoices and vouchers also appear on the Accounts Receivable and Accounts Payable aging reports noted above. The Accounts Payable and Accounts Receivable balances can then be cleared by using the standard check processing and cash receipt routines.

More Benefits of Multicompany

Using Deltek Vantagepoint’s multicompany functionality provides another benefit to firms with consolidated reporting. Consolidated reporting allows a view of the performance of all the companies within the database. Consolidated groupings can represent all companies or a cross-section of companies depending on the needs of company leadership. The consolidation process incorporates standard eliminations of configured control accounts and client-defined accounts, such as capital investments in related companies. Consolidations are “memo” entries and are not posted to the GL.

A multicompany database permits each company to maintain a unique GL while still only creating one set of shared GL account numbers. Furthermore, professional services firms can restrict GL account numbers, and other master records can be shared and/or restricted as well. Vendors (managed in the Vantagepoint Firms Hub) can be shared across the enterprise. However, the accounting tab is company-specific for account number and 1099 purposes.

In addition to the benefits mentioned above, the multi-currency application works in tandem with multicompany to allow companies to have a unique functional currency – the currency the company does business in. This is an excellent feature for professional services firms that work internationally. Lastly, the consolidation process can include Generally Accepted Accounting Principles (GAAP) compliant currency translations and gains/losses entries.

Take Advantage of Deltek Vantagepoint Multicompany Functionality

Is the multicompany functionality in Deltek Vantagepoint the right fit for your professional services firm? Don't leave it to guesswork. Schedule a Navigational Analysis with Full Sail Partners today. We'll help you assess your firm's unique needs and guide you in determining if the multicompany feature is the best solution for you. Dive deeper, make informed decisions, and ensure your firm sails smoothly towards success. Contact us now and let's chart the best course for your business!

Using the Resource View in Deltek Vantagepoint is a quick and easy tool for project-based firms to determine which employees are properly scheduled or utilized, and/or those who may not have enough or too many hours planned. This view has a lot of valuable information on one screen and can sometimes seem a bit overwhelming. So, the content provided here in this blog, which is utilized with Resource Planning licensing, will assist you with the questions like “What do the blue/red/grey colors mean?” or “How is the utilization % calculated” and help make this form one of the most important tools in your firm’s resource management toolbox.  

Three Show Capacity Views 

There are three different options to monitor your resources: Planned Hours, Scheduled %, and Utilization %. Below you will find illustrations showing how these three views are calculated for you to better understand the information Resource View is displaying. 

Planned Hours 

Planned Hours is the simplest of the calculations as it is what it says it is – all planned hours! Use this view to simply check each selected resource's total planned hours for the time period shown in the Forecast Range. Planned hours will be shown for all published plans for ALL types of projects – overhead, promotional, and regular projects. Planned hours will show even if the project is showing a capacity calculation of excluded from scheduled and utilized % on the project’s summary pane. 

Scheduled %

When you change the view from Planned Hours to Scheduled %, you will notice the “heat map” will appear. This “heat map” is used to visually draw a user’s attention to which resources are properly scheduled (grey), under scheduled (blue), or over scheduled (red) based on the firm’s chosen thresholds (Settings > Resource Planning > Resource Settings). 

The Scheduled % is a calculation of Planned Hours divided by Available Hours for the resource. This view is great to use to get an understanding of if a resource is too busy (red) or has availability to be assigned to more projects (blue) or if they are appropriately scheduled during the timeframe (grey). 

• Planned Hours - this calculation will include all types of projects (regular, promotional, & overhead). However, if a project shows as “Excluded from Scheduled and Utilization” on the Project’s Summary tab, those planned hours will not be used in this calculation. Note that excluded hours will still show the hours when the details are expanded for the resource. 
• Available Hours - these are calculated using the employee’s standard hours from their employee hub, less any non-workdays as indicated in Settings > Resource Planning > non-Workdays. 

In the example shown below, I will break down the calculation for the week of 9/4 – 9/10 where Amy Allen is showing over scheduled at 138%. 

Planned Hours / Available Hours = Scheduled %      =     44 / 32 = 138% 

Planned Hours = 59 total hours planned less 15 hours for Greenhouse Café Remodel as that project is currently set to “Exclude from Scheduled and Utilization” in the project. The numerator is 59 -15 = 44 hours. 

*Note when you click on the blue link of each project, a small summary box for the project will appear where you can easily see if a project is “included” or “excluded” from Scheduled and Utilization. 

Available Hours – Amy Allen’s standard hours are set as 8 hours per day in her employee hub, which is typical for a full-time 40-hour/week employee. The week of 9/4 – 9/10 contains a Labor Day Holiday in the company’s non-workday settings. As discussed earlier, holiday hours are excluded from available hours. Therefore, the denominator is 40 – 8 = 32.  

 *Note that when you click on a resource’s name, the Employee Card will appear. On that employee card, you will find the Hours/Day in the bottom right of the Profile Tab. 

Now, the shading!  What is this heat map telling you?   

Understandably, being scheduled at 138% would seem to be over scheduled just because it is a relatively large number, but the system is compared to the firm’s Resource Planning Settings. In my demo database shown here, the blue shading indicates under scheduled as under 90%, and the red shading for over schedule when over 105%. Grey is “just right” of 90 – 105%, which this firm has indicated as appropriately scheduled.    

In summary, in my database, a full-time, 40-hour/week employee would show as properly scheduled (grey) if the scheduled hours are between 36 (90% x 40) and 42 hours, under-scheduled would be less than 36 hours (blue) and over scheduled as over 42 hours (red). 

Utilization %

The Utilization % will show the percentage of the planned hours for billable projects (regular/won projects) and those In Pursuit projects marked as “included in scheduled and utilization”. Use this view to show how an employee is tracking against their Target Utilization. Even if an employee is well scheduled, in the example above, if several of the projects are either overhead or In Pursuit and not included in scheduled and utilization, the employee may be shown as under-utilized.  

Utilization % is a calculation of Total Billable Planned Hours divided by Available Hours (same calculation as above). 

Total Billable Planned Hours only includes regular projects, no promotional projects nor overhead projects. Regular projects will be all those in the Stage Step of Won and any In Pursuit that are “Included in Scheduled & Utilization” Capacity calculations. 

For this example, I will be showing the calculation for the week of 9/11 – 9/17 from the picture above. In this view, I am also showing a few additional columns in the middle grid that help demonstrate if a project is “billable” or not.   

As you can see, I have one project that is a Lead Stage – Greenhouse Café Remodel, and as discussed above, that project is Excluded from Scheduled and Utilization so those hours will not be included in the numerator. Additionally, there is one project that is overhead (no stage listed), which is PTO.   

Total Billable Planned Hours / Available Hours = Utilization %      =     22 / 40 = 55% 

Total Billable Planned Hours = 53 total hours planned less 15 hours for Greenhouse Café Remodel as that project is currently set to “Exclude from Scheduled and Utilization” in the project, less the PTO hours of 16. The numerator is 53 -31 = 22 hours. 

Available Hours (as stated above) are calculated using the employee’s standard hours from the employee hub, less any non-workdays. This week does not have a holiday and this employee’s standard hours are 8 hours/day so the Available Hours = 40. 

Shading for Utilization %: 

To understand the heat map for the Utilization %, the formula considers each employee’s Utilization Target, which is set in the Employee Hub. This employee, Amy Allen, has a Utilization Target of 75%. 

The threshold calculation is the Utilization % divided by the employee’s Utilization Target. 

For the week ending 9/17, Amy’s planned Utilization % is 55% divided by the target of 75% equals 73%. In my demo database shown here, the blue shading will be under-utilized if the utilization % is under 90%, red shading over 105%, and “just right” or grey is between 90 – 105%. Therefore, since Amy’s threshold calculation is 73%, she is showing blue as that is under-utilized in my database. 

Capacity Calculations Made Easy with Resource View 

So, in summary, the Resource View in Deltek Vantagepoint has a lot of valuable information on one screen. You can use it to navigate to three different views to understand (1) how many hours an employee has planned in total (Planned Hours), (2) if the employee is over/under scheduled (Scheduled %), and (3) if the employee is over/under utilized by simply navigating between the three options in “Show Capacity”. Project based firms should be making the most of the resource management tools available within Deltek Vantagepoint! To learn more about this feature and other Resource Management tools, please visit our webinars located here: Webinars for Project Manager Rockstars!