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by klausjensen 2417 days ago
Trying to understand "average productivity" here. The 15K is what an average IT worker produces per year - for example if they were billed out for 1500 hours at 10$ per hour?

Genuine question, trying to understand. :)

2 comments

That is true. Most companies have bench+overhead and billed resources may be 60% or less of total work force. Average billing works out to $10-15 for the low value high volume work these IT services firms do and that has not changed over the last 20 years or so. What has changed is a bloated middle/senior management which is a drag to the above business model. They did try to move up into consultancy and productised services - which did not really work.
Nah.. That's how much they get paid. The consulting company will charge about 5-10x for this resource though. (source from a friend who was there)