Calculating head hour rates can be complex and confusing for marketers, procurement and even agencies themselves. There are so many variables such as:
1. Overhead and Profit Mark Ups
a. Mark Up or Margin
b. Direct versus In-Direct Salaries
c. Profit on Overhead and Salary Costs
2. Billable Hours Per Year
a. Annual Leave
b. Sick Leave
c. Public Holidays
d. Hours per week
e. Non-billable time
TrinityP3 has taken our agency compensation calculators and developed them into an iPhone Business App that is now available for free on the iTune App Store.
The TrinityP3 Resource Rate Calculator app has all of the market variables to allow the application to be used in almost every market in the world including:
1. Currencies eg. dollars, Euros, Pounds, Yuan, Yen, Rand, Peso, Won and more.
2. Billable Hours Per Year
3. Overhead and Profit Multiples
Marketers can use the TrinityP3 Resource Rate Calculator to calculate the underlying salaries behind their agency’s head hour rates.
Agency Account Management can use the TrinityP3 Resource Rate Calculator to calculate agency resource rates from their salary costs using the agreed or contracted overhead and profit multiple.
Procurement can calculate billable hours per year for various markets and see how increasing and decreasing the number of billable hours impacts on the head hour rate.
What other functionality would you like to see in a resource rate calculator? Let me know so we can develop the functionality further in new versions.
More on the TrinityP3 iPhone Resource Rate App here: iPhone Business App
