Firms Operating Expenses Revealed in New Survey
Zweig Group’s 2017 Operating Expenses Survey provides a comprehensive view of the largest line items that impact an architecture, engineering, planning, or environmental firm’s overhead, including human resources, marketing, IT, insurance, bonus plans and other incentive programs.
This year, the survey found nearly 30 percent of a firm’s net service revenue is allocated to these basic business needs. Across the survey it is interesting to note the considerable differences in overhead cost allocation from the average or stable-growth firms to the fast-growth and high-profit firms. High-profit and fast-growth firms are strategically spending more money than other firms in key areas of the business.
In comparison to other industry firms, Zweig Group’s research found that multi-discipline and full-service engineering firms spent 2-5 percent less on rent and utilities, HR, and IT, but paid out more in bonuses and spent more on their group insurance programs.
Zweig Group also found a correlation between spending on programs designed to attract and retain talent, employee retention rate, and profitability.
This survey was released on June 1, 2017. For more information on Zweig Group's Operating Expenses Survey of A/E/P & Environmental Consulting Firms, visit: https://zweiggroup.myshopify.com/collections/2017-surveys/products/2017-operating-expenses-survey?variant=31916235393