What Is Resource Bench Time?
Resource Bench Time typically refers to the duration or period for which skilled resources within an organization remain unassigned or on the bench—available for deployment but not actively engaged in projects or tasks.
Resource bench time refers to the amount of time that a resource (e.g., a consultant, developer, or project manager) spends working on billable projects. It’s a critical metric for professional services organizations because it directly impacts revenue, profitability, and customer satisfaction.
Why is Resource Bench Time So Important?
Resource bench time is essential for several reasons:
1. Revenue: Resource bench time directly impacts revenue. The more time resources spend working on billable projects, the more revenue the organization generates.
2. Profitability: Resource bench time also affects profitability. By maximizing resource utilization, organizations can reduce costs, increase revenue, and boost profitability.
3. Customer satisfaction: Resource bench time plays a crucial role in ensuring that projects are delivered on time and to a high standard. Happy customers are more likely to provide repeat business and recommend the organization to others.
Why Is Resource Bench Time So Important?
How to calculate Resource Bench Time?
Calculating resource bench time is straightforward. Here’s a simple formula:
Resource Bench Time = Total Billable Hours / Total Available Hours
Let’s say a consultant has 2,000 available hours per year (40 hours/week x 50 weeks/year) and spends 1,500 hours working on billable projects.
Resource Bench Time = 1,500 / 2,000 = 0.75 or 75%
This means that the consultant’s resource bench time is 75%, indicating that they’re spending 75% of their available time working on billable projects.
Resource Bench Time vs Other Resource Metrics
1. Resource Utilization: Utilization measures the actual usage of resources, while bench time assesses the duration of their idle periods.
2. Resource Availability: Availability focuses on readiness for deployment, whereas bench time highlights periods of non-engagement.
3. Resource Allocation: Allocation deals with assigning resources, while bench time evaluates their periods of non-assignment.
|Importance / Use
|Resource Bench Time
|Duration or time resources spend without specific assignments
|Indicates underutilization and potential cost implications
|Resource Utilization Rate
|Percentage of available resources actively used
|Measures the efficiency in using available resources
|Billable Utilization Rate
|Percentage of time billable resources spend on client work
|Reflects the revenue-generating capacity of resources
|Forecasting and planning for future resource needs
|Ensures that adequate resources are available to meet future demands
How Is Resource Bench Time Used?
Resource bench time is a valuable metric that can be used in various ways to optimize professional services delivery. Here are a few examples:
1. Resource planning: By understanding resource bench time, organizations can better plan for project resource requirements and allocate resources accordingly. This helps ensure that the right people are working on the right projects at the right time.
2. Staffing: Resource bench time can help organizations identify staffing needs. By analyzing resource bench time data, organizations can determine which skills they need to develop in-house or hire externally.
3. Project management: Resource bench time plays a critical role in project management. By monitoring resource bench time, project managers can ensure that projects are progressing as planned and make adjustments as needed.
4. Client management: Resource bench time can help organizations manage client expectations and deliver high-quality services. By tracking resource bench time, organizations can ensure that clients receive the attention and expertise they deserve.
Ready to Optimize Your Resource Bench Time?
Now that you understand the importance of resource bench time, it’s time to take action. KEBS, a cutting-edge PSA software, can help you optimize resource bench time and take your professional services organization to the next level. With KEBS, you can streamline resource management, automate routine tasks, and gain valuable insights into your organization’s performance.
KEBS aids in efficiently assigning resources to projects, minimizing idle periods and bench time. Utilizing real-time data, KEBS provides insights into resource availability, enabling prompt deployment and reducing bench time. KEBS offers forecasting capabilities to predict resource needs, aiding in reducing bench time through proactive resource allocation.
Want to optimize your Resource Bench Time? Contact us at KEBS or request a demo to explore how our solutions enhance resource deployment, minimize idle periods, and maximize resource productivity within your organization.