Profitability

In Costlocker, we can view profitability from various perspectives:

• Employees – identify which employees generate the most profit and who might need training to use their time more efficiently.
• Projects – discover which types of projects are the most profitable.
• Clients – compare which clients bring in the highest margins.

How to Analyze Profitability

1. Employee Profitability

To find out the profit margin generated by individual employees:

1. Go to the People section – Finished Projects Report.
2. You can use filters to view only employees vs. freelancers or choose a specific time period.
3. Sort by profit margin from highest to lowest by clicking on the Profit Margin column header.

You can also find profitability data for each person individually in their user detail view.

TIP: Track margins for individual employees – compare their costs with how much revenue their work generates. Use this data to optimize workload distribution or adjust pricing strategies.

2. Project Profitability

To compare the profitability of individual projects:

1. Open the Projects Overview and go to the Finished section.
2. Sort the projects by profit margin.
3. You can filter by date or clients you're currently interested in.

TIP: Identify which projects yield the highest profitability and which ones bring in low or even negative margins. Analyze the reasons – such as high employee costs or inefficient processes.

3. Client Profitability

To compare the profitability of different clients:

1. Go to the Clients section – Finished Projects Report.
2. Select Profit Margin as the main metric and sort clients from highest to lowest margin.

TIP: Find out which clients are the most profitable for your company. Use this data to adjust your pricing policy or prioritize working with high-value clients.

How to Use This Data for Better Decision-Making

• Work Optimization – focus on projects and employees with higher margins.
• Improved Pricing Strategy – if certain projects or clients yield low profits, you might need to revise your pricing model.
• Better Resource Allocation – assign employees to projects with higher profit potential.

With these insights from Costlocker, you'll be able to make more informed decisions and continuously improve your company's profitability.