How long is a piece of string? So many variables. No hard fast rules. Depends on project/client/sector/consulting firm. Some firms charge daily rates on a time and material basis (which if the client has any sense puts in a total ceiling limit, hence the more efficient a firm is in delivering its objectives, the greater its margin) others are paid on a charging model which is tied into successful achievement of objectives (e.g. share in increased revenues or savings etc). Consulting firms dont really look at charge out rate, they look at the margin and yield for each project in order to determine the NPV of the project and whether it is viable to bid for the piece of work. At the end of the day we're all in it to make money. Thus, unless the project delivers a positive NPV that makes it worthwhile, then unless the project is strategically important and is required to maintain or initiate an important client that will lead to future more lucrative deals, then there's no point in proceeding. In the past the yields of my projects have been historically around the 25-30% mark. Hope this helps. S
