ps insights


TPSA Members: Simply click on the PS Insight title to download a copy of the full document in .PDF format.

Navigating 97-2: Revenue Recognition Part 2pdf icon
Thomas E. Lah, Executive Director, TPSA

Ever since AICPA SOP 97-2, PS managers within software companies have been forced to arm wrestle with both internal accounting staff and external auditors regarding revenue recognition policies for service engagements that are bundled with software and support offerings. Now, hardware companies that are bolting in value added software products are being forced to navigate 97-2.

In March 2006, TPSA published an article titled Revenue Recognition Part 1 which provided an overview of the revenue recognition issues faced by software companies and specifically defined the pain points in establishing VSOE for professional service offerings. This Professional Services Insight (PSI) takes the discussion to the next level.

Strategies in Professional Development for TPS Organizationspdf icon
Thomas E. Lah, Executive Director, TPSA

TPSA members know that high-performance PS organizations look for ways to add value and build strong account relationships. In order to move from simply serving as a company's tactical implementation team to becoming a critical partner to the customer base, PS consultants must develop the necessary soft skillsĀ to engage clients in a professional manner, confidently lead project teams, and successfully up-sell project work. This is not a one-time training activity, but an on-going training commitment throughout the PS consultant's career. This article provides specific strategies PS organizations can pursue to develop these required soft skills in front line PS employees.

Opportunities in Service Innovationpdf icon
Thomas E. Lah, Executive Director, TPSA

Service innovation is the theme for the 2008 TPSA spring summit.  For the summit, we are defining service innovation as “the embodiment, combination, and synthesis of knowledge that accelerates the creation and delivery of original, relevant, and valued services.” This article provides a practical assessment of the sources for this service innovation in the next three to five years.

Focus Group Highlights: Leveraging Solution Centerspdf icon
Bo Di Muccio, Ph.D., Senior Director, Research and Advisory Services, TPSA

Periodically, TPSA convenes focus groups of 5 to 7 member companies who are willing to share experiences and best practices.  This is a vehicle that we typically use to jumpstart framework maturity in areas where we lack extensive benchmarks, but where there is also keen member interest in understanding what others are doing.  In January 2008, TPSA facilitated a focus group discussion on the subject of Solutions Centers.  This PSI offers a summary of the context and highlights from this session.

Professional Services in a Downturn: Surviving Management Expectations pdf icon
Thomas E. Lah, Executive Director, TPSA

As we enter 2008, there are strong indications the U.S. economy may experience an economic slowdown. The economic slowdown could be mild or severe—TPSA will leave it to the economic experts to predict and track this. In a severe economic downturn, professional service organizations are called upon to help their companies weather the rough seas. Specifically, priorities are shifted from product adoption to customer retention and cost control. This shift places new expectations on PS performance; expectations that are often challenging to meet. Hopefully, 2008 will present nothing but a mild slowdown in continued economic growth. But to be on the safe side, this article outlines the priorities for a professional services organization that will help it weather both the economic and management storms created in a downturn.

Negotiating with the GEOS
Thomas E. Lah, Executive Director, TPSA

In their efforts to optimize the business on a global basis, technology professional services (TPS) organizations confront head on geographic centers of power, so predominant in the technology industry for the past 30 years. Read this PS Insight to explore the dynamics of negotiation between the exigencies of sound global TPS management and the traditional geographic power structure.

The TPSA Playbook: Leveraging Analyst Relations
for Technology Professional Services
Bo Di Muccio, Ph.D., Senior Director, Research and Advisory Services, TPSA

Many PS organizations under-utilize or eschew industry analyst relations (IAR) altogether, driven in part by misconceptions IAR and also what is required to achieve valuable results.  TPSA believes that a targeted IAR program should be beneficial for most TPSOs. This TPSA PS Insight outlines the IAR “play” using the TPSA Playbook structure previously used in other PS Insight research documents.

Sourcing Solution Architects
Thomas E. Lah, Executive Director, TPSA

Solution architects have become the critical path to a PS organization’s ability to successfully scale the business. This TPSA PS Insight thoroughly defines the role of the solution architect, discusses the factors to consider when sourcing and developing solution architects, and presents several industry benchmarks related to this increasingly important role.

Calculating Utilization
Thomas E. Lah, Executive Director, TPSA

TPSA will never completely put to rest the debate surrounding utilization calculation. However, this PS Insight provides the TPSA recommendation for the most effective way to calculate utilization across multiple geographies. This PS Insight also introduces a recommended practice for calculating utilization. Additionally, TPSA does see variances in utilization metrics based on the service strategy profile of the professional service organization. Finally, this paper reviews existing TPSA benchmark data regarding utilization targets and services mix.

Essentials of Global Resource Management in Technology Professional Services
Randy T. Mysliviec, President, RTM Consulting
Bo Di Muccio, Ph.D., Senior Director, Research and Advisory Services, TPSA

During the past decade, the growth of services as part of the revenue and profit mix of technology companies has changed how these companies must think about managing human capital.  To help technology companies better understand how to deal with the rapidly changing dynamics of Global Resource Management (GRM), RTM Consulting and TPSA have collaborated to create a framework to focus this dialogue.  This white paper introduces the many facets of GRM and how to effectively perform GRM in a rapidly transforming marketplace.


Post Summit Report: May 2007
Thomas E. Lah, Executive Director, TPSA

This PS Insight summarizes key findings from the summit. Also, this document identifies recommended action items for both TPSA members and TPSA staff based on summit findings and discussions.


Profiles in PS Leadership
Thomas E. Lah, Executive Director, TPSA

In January of 2007, TPSA held its first Professional Services Executive (PSE) Roundtable where twenty-five service executives met to discuss the topic of “profiles in service leadership.” This PS Insight discusses the changing requirements for PSE’s within product companies and the fundamental differences between professional service executives that serve as general managers and those who simply steward the business.