7 Metrics That Matter to Your Agency

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Deltek Advertising | Deltek WorkBook

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April 29, 2019

Deltek Vantagepoint’s contract management tools help architecture and engineering firms centralize contract documents, automate key workflows, and maintain compliance, all within a single ERP platform. The result: fewer administrative bottlenecks, stronger financial oversight, and more time focused on billable work.

Managing contracts is one of the most detail-intensive responsibilities in any architecture or engineering firm. Missed terms, misplaced documents, and manual tracking create costly delays and in project-driven environments, those delays compound fast. Deltek Vantagepoint addresses this head-on with a dedicated contract management framework built specifically for A&E firms.

What Is Contract Management in Deltek Vantagepoint?

Deltek Vantagepoint’s contract management module centralizes all contract-related activity within the same platform your team already uses for project management, accounting, and resource planning. Rather than toggling between spreadsheets, shared drives, and email chains, your team accesses every contract document, amendment, and approval in one place.

Key capabilities include:

Contract document storage: Attach and organize executed contracts, amendments, and supporting documentation directly to project records
Contract type configuration: Define contract structures, lump sum, cost-plus, time and materials—and align billing rules accordingly
Amendment tracking: Log and manage contract modifications with a clear audit trail
Compliance visibility: Monitor contract terms against actuals to flag potential overruns or scope discrepancies early

How Contract Documents Work Inside Deltek Vantagepoint

Contract documents in Deltek Vantagepoint are linked directly to project records, which means the information lives where the work happens. When a project manager needs to verify a billing cap, check a deliverable deadline, or confirm a client requirement, that information is accessible without hunting through external systems.

This tight integration between contract documents and project financials creates a direct line between what was agreed upon and what is being executed. Project managers and accounting teams work from the same source of truth, eliminating version confusion and reducing the risk of billing errors tied to outdated contract terms.

Why This Matters for Architecture and Engineering Firms

A&E firms operate across multiple contracts simultaneously, often with layered sub-consultant agreements and phased deliverables. Without a structured system, tracking contract status across a portfolio of projects becomes unmanageable.

Deltek Vantagepoint brings order to that complexity. Contract terms inform billing workflows, approval thresholds, and revenue recognition, automatically. This means your team spends less time reconciling data and more time delivering on project commitments.

The Business Value of Streamlined Contract Management

The operational benefits of Deltek Vantagepoint’s contract management tools extend well beyond document storage. Firms that structure their contracts within Vantagepoint gain:

Faster invoice cycles: Billing rules tied to contract terms reduce the back-and-forth between project managers and accounting
Stronger financial visibility: Real-time data on contract value, billed amounts, and remaining budget supports proactive decision-making
Audit readiness: A centralized document repository with version history makes internal reviews and external audits significantly more straightforward
Reduced compliance risk: Automated alerts and structured contract records help firms stay aligned with client requirements and regulatory obligations

For C-level executives and project leaders, these capabilities translate directly to improved cash flow, fewer write-offs, and greater confidence in financial reporting.

Getting the Most Out of Vantagepoint Contract Tools

Deltek Vantagepoint’s contract management features deliver the most value when they are configured to match your firm’s specific contract types, billing structures, and approval workflows. Out-of-the-box functionality provides a strong foundation, but firms that invest in proper setup, and ongoing optimization, see the clearest gains in efficiency and financial performance.

This is where working with an experienced Deltek partner makes a measurable difference. Proper configuration ensures your contract data flows accurately through project financials, reducing the manual corrections that drain time and introduce risk.

Make Contract Management Work for Your Firm

Deltek Vantagepoint gives architecture and engineering firms the tools to manage contracts with precision, transparency, and confidence. When your contract documents are integrated with your project and financial data, your entire team operates from a stronger, more reliable position.

At PCI, we help firms configure and optimize Deltek Vantagepoint to match how they actually work, so the platform supports your operations rather than complicates them. We make your operations comfortable.

Ready to see what streamlined contract management looks like for your firm? Contact PCI today to connect with a Deltek specialist.

Frequently Asked Questions

What types of contracts does Deltek Vantagepoint support?
Deltek Vantagepoint supports multiple contract types, including lump sum, time and materials, and cost-plus structures. Each type can be configured with corresponding billing rules and financial controls.

Can contract documents be attached directly to projects in Deltek Vantagepoint?
Yes. Deltek Vantagepoint allows users to attach executed contracts, amendments, and supporting documents directly to project records, keeping all relevant information in a single, accessible location.

How does Deltek Vantagepoint help with contract compliance?
Deltek Vantagepoint tracks contract terms against project actuals in real time, enabling firms to identify potential overruns or scope discrepancies before they become financial or legal issues.

Do I need a Deltek partner to set up contract management in Vantagepoint?
While basic features are accessible out of the box, working with a certified Deltek partner like PCI ensures your contract management setup is properly configured for your firm’s specific workflows, contract types, and billing structures.

In Deltek’s recent webinar, Financial KPI’s for the Healthy Agency: Are You Really Measuring What Matters Most, David Baker, Author, Speaker, Entrepreneurial Advisor at ReCourses, Inc. talks through the 7 KPIs in which your agency should be measuring.

1. Billings per FTE

A simple, but extremely important metric. Take your total agency fees divided by your full-time employees. This is assuming your staff isn’t working ridiculous hours and that you have removed all external expenses from the total (media cost, freelancers, other COGS, etc.). Baker’s minimal milestone for this is $200k per employee. In short, he states, ““You can’t really be a serious agency until you are above this.”

2. Other Key Financial Metrics

Baker’s research of the most efficient (and profitable) agencies concludes these financial metrics as key to a well-run agency:

Set aside 2-4 months of overhead in cash (not receivables or line of credit)
No debt (or at least avoid at all costs)
Look at your fee base (total invoiced amounts minus COGS) and don’t spend more than 45% of it on unburdened (no taxes, benefits, or bonuses) compensation
60% of realized utilization (add up all the hours worked, not just billed) should be captured financially

3. Sales Prospecting

Have an inbound list of 8,000 individuals who signed-up for your insight. Baker explains, “I’m talking about real insight that they are excited to read about and eventually will say, “That is a smart agency. I really need to talk with them. Maybe the fit is right.” All of this insight is free until somebody hires you, and then it costs a lot of money. “

Accumulate 50 opportunities, choose 12 to go after, win 3-4 of them

Cap labor devoted to new business at 4% (this includes pitch decks, conferences, networking, etc.)

Use progressive profiling and lead scoring

4. Insight Assets (Content)

Your sales prospecting is dependent upon the insight deliverables (content) you create and make available to new business leads. Here are some minimal guidelines for what you’ll need in your asset stack:

At least 2 articles per month (400-800 words with the occasional longer piece)
Have a clear point of view and use video when you can
Produce at least one of these “higher rung” insights very well every year:
eBook with speaking opportunities
hosting your own marquee event
invitation-only roundtables 3-4 times a year with 20 guests (prospects and clients)
research report co-issued with a more popular brand (or speaker)
podcasts (your own series or multiple guest appearances on others)

5. Pitches

New business pitches take a lot of time and effort. Baker advises to pitch only if you know who the other competing firms involved. There should be no more than six and no incumbent. If prospect isn’t willing to spend time with you (no answered questions, no inside information) it probably isn’t worth it.

6. Client Landscape

How many clients should you have, and what should they represent of your fee base?

Have 15-22 active clients at any given time (doesn’t matter your agency size)
Fewer than 15 will result in a client concentration problem
Each client represents 4-15% of the whole (any more will put you at risk when they leave, any less means you’re not deeply engrained enough and probably losing money)
Relationships should last only 2-3 years (the longer they are with you the harder it is to make money)
Projects should yield a net of 0-40% (okay to lose money on some projects as long as the client relationship as a whole is doing well)
You only need to close a new client every 2 to 4 months because you’re keeping them 2 to 3 years, and you have 15 to 22 of them.

7. The priorities of an agency lead

As the captain of your agency ship it is the job of the agency lead to understand the daily inefficiencies that hamper good workflow and proper money management. A few key concentrations Baker highlights for agency leaders:

Focus on financial performance and the entire process in pursuit of good performance
Devote yourself to KEY staff (4-8 people handpicked by you)
“Stake out an unambiguous positioning that’s not interchangeable in the marketplace” (i.e. this is what we are really good at and where we are focused)
Participate in new business to signal to prospect that “this is a big opportunity”
Make sure every third hire is an “expert” at something. One-third of all employees should contribute to your thought leadership insights.

Learn how WorkBook can increase your agency’s KPIs and streamline your operations. Contact us for more information!