Blog

Firm economics, from the trenches

Practical writing on multipliers, utilization, realization, and the operating decisions that keep AEC firms profitable.

FinanceAugust 11, 20268 min read
How to Calculate Utilization for an Engineering or Architecture Firm
Utilization is billable hours divided by available hours. Most firms target 60–65% firm-wide — but that number only means something when you know the role mix, the denominator, and the multiplier sitting next to it.
Read article
FinanceAugust 10, 20267 min read
How to Calculate Net Multiplier for an Engineering or Architecture Firm
Net multiplier is net revenue divided by direct labor. Most A/E firms target 3.0. Here's how to calculate it, the pass-through mistake that inflates it, and what your number should actually be.
Read article

How to Calculate Utilization for an Engineering or Architecture Firm