Service Leadership
Total Profit Solutions for IT Companies®
Service Leadership Index®
- Product GM% - BIC Profit SPs: Q2-12 27.6% Q3-12 26.8% Q4-12 29.0% Q1-13 23.6%
- Product GM% - Median Profitability SPs: Q2-12 24.0% Q3-12 20.2% Q4-12 21.9% Q1-13 20.8%
- Product GM% - Bottom 1/4 Profitability SPs: Q2-12 12.0% Q3-12 22.3% Q4-12 15.0% Q1-13 6.4%
- Services GM% - BIC Profitability SPs: Q2-12 53.7% Q3-12 57.6% Q4-12 54.9% Q1-13 53.1%
- Services GM% - Median Profitability SPs: Q2-12 47.7% Q3-12 47.5% Q4-12 46.9% Q1-13 44.0%
- Services GM% - Bottom 1/4 Profitability SPs: Q2-12 41.0% Q3-12 37.8% Q4-12 36.8% Q1-13 32.7%
- SG&A% - BIC Profitability SPs: Q2-12 27.2% Q3-12 26.3% Q4-12 27.3% Q1-13 28.5%
- SG&A% - Median Profitability SPs: Q2-12 29.6% Q3-12 28.8% Q4-12 29.8% Q1-13 29.7%
- SG&A% - Bottom 1/4 Profitability SPs: Q2-12 32.0% Q3-12 34.7% Q4-12 37.3% Q1-13 35.7%
- EBITDA% - BIC Profitability SPs: Q2-12 18.4% Q3-12 23.7% Q4-12 21.5% Q1-13 17.2%
- EBITDA% - Median Profitability SPs: Q2-12 8.6% Q3-12 10.3% Q4-12 8.5% Q1-13 6.3%
- EBITDA% - Bottom 1/4 Profitability SPs: Q2-12 −0.3% Q3-12 −2.4% Q4-12 −6.7% Q1-13 −5.2%
Quarterly Solution Provider Performance
Customized Channel Partner S-L Tools
Table of Contents
Exclusive Service Leadership “One-Screen” Flash-Based Tools
Custom Tools for Vendors – Selected Examples
Tools Available for License
Excel-Based Tools
Exclusive Service Leadership “One-Screen” Flash-Based Tools
In early 2007, Service Leadership introduced its first, single-screen, flash-based interactive tool. Building on Service Leadership’s well-received adaptation of the Multiple of W2 concept to the Solution Provider industry, the Multiple of Wages Calculator™ quickly became a hit: thousands of Solution Providers now use this straightforward, insightful, graphical desktop tool to help them quickly assess what hourly rate they should be charging for a given engineer or services deal, and to double-check the profit performance of their services teams.
Since then, Service Leadership has constructed an ever-expanding suite of tools enabling Solution Providers and channel managers to simply and quickly assess their strategic, sales and service plans or results and make more informed and more effective decisions to reach their goals.
In this section, you’ll find our tools available for licensing, as well as selected examples of custom tools built specifically for our vendor clients for use by their partners and/or channel management teams.
Custom Tools for Vendors – Selected Examples
Tools Available for License
The following tools are available for licensing in single or bulk quantities and in varying distribution methods. In addition, many of these tools are available as audience take-aways for the speaking topics listed in previous sections.
| ID | Title | Purpose | Branding Available | Distribution |
|---|---|---|---|---|
| SLFT001 | Multiple of Wages Calculator™ | Enables Solution Provider managers to quickly determine the hourly rate they should charge for a given resource, project or services offering, and to periodically assess their overall services pricing strategy in light of their actual services financial performance. | S-L Index™ or Co-Branded | S-L Website Vendor Website or Distribution Kits |
| SLFT002 | Sales Compensation Model Example™ | Enables Solution Provider managers to explore the key components of best practices sales compensation plans, to learn how the components serve to motivate the sales team while producing a result that stays within the company’s financial plan and delivers market-competitive pay. | S-L Index™ or Co-Branded | S-L Website Vendor Website or Distribution Kits |
| SLFT003 | Service Compensation Model Example™ | Enables Solution Provider managers to explore the key components of best practices services compensation plans, to learn how the components serve to motivate the sales team while producing a result that stays within the company’s financial plan and delivers market-competitive pay. | S-L Index™ or Co-Branded | S-L Website Vendor Website or Distribution Kits |
| SLFT004 | Solution Provider Compensation Modeling Tool™ | Enables Solution Provider managers to explore the key components of best practices executive/management compensation plans, to learn how the components serve to motivate the sales team while producing a result that stays within the company’s financial plan and delivers market-competitive pay. | S-L Index™ or Co-Branded | S-L Website Vendor Website or Distribution Kits |
| SLFT005 | Small Business Cost of IT Operations Calculator™ | Many Solution Providers find it hard to quantify to the SMB customer the financial benefit of using the Solution Provider’s Managed Services offering. This tool enables the Solution Provider to engage in a quick, straightforward conversation with the customer decision-maker, entering the customer’s own answers into the tool and immediately producing an ROI analysis based on Service Leadership’s proven research on IT operating costs. May be used by the Solution Provider in preparing for a customer meeting, or used during the meeting, or may be offered to prospects as an inducement to accept a preliminary assessment meeting with the Solution Provider. | S-L Index™ or Co-Branded | Solution Provider internal use or distribution |
| SLFT006 | Solution Provider Business Model Explorer™ | Enables owners of Solution Providers to quickly try “what-if” scenarios as part of their long term (3 to 5 year) business planning, seeing the difference in stock value appreciation resulting from various growth and business model strategies. Analytics based on current market multiples tracked by the Service Leadership Index®. | S-L Index™ or Co-Branded | Solution Provider internal use |
| SLFT007 | Economic Exposure Dashboard™ | Enables Solution Provider executives to quickly compare their current financial performance and ratios to the results of the Service Leadership Index® SMB IT Recession research database, to assess their degree of operational and strategic risk given their business model, geography, vertical markets, customer sizes and do so, to determine where and to what degree they are at risk in the current economic situation. | S-L Index™ or Co-Branded | Solution Provider internal use |
Excel-Based Tools
Where the number of data inputs needed is high, or where the result must be highly integrated into other applications, use of Microsoft Excel as an operational tool is preferred.
| ID | Title | Purpose | Branding Available | Distribution |
|---|---|---|---|---|
| SLFT008 | SMB Customer Qualification Tool™ | Excel-based example of a tool used by Solution Provider salespeople to shorten their learning curve and speed qualification of sales prospects in order to determine when to bring in sales support and subject matter experts. | S-L Index™ or Co-Branded | Solution Provider internal use |
| SLFT009 | Technical Compensation Calculator™ | Excel-based tool enables Solution Provider managers to precisely determine the appropriate wages to pay various levels of service personnel to attain the needed profitability and in light of their actual or planned utilization, gross margin and hourly rates. Enables setting of the size of incentive pay ratios and produces pay grades or tranches. | S-L Index™ or Co-Branded | Solution Provider internal use |
| SLFT010 | Managed Service Financial Simulator™ | Excel-based in-depth financial simulator for learning about the complete financial structure of a Managed Services offering, from cost of goods sold, to sales cost, to per-customer fees, to business unit profitability. Used by Solution Provider managers to learn about Managed Services business models, or to critique and validate their own Managed Service financial model. | S-L Index™ or Co-Branded | Solution Provider internal use |


