Canadian software developer Promys today announced the addition of profitability tracking to its professional services automation software solution.

The enhancement to the Promys PSA for technology solutions providers enables automated tracking of managed services contracts, analyzing billing data and comparing it to information about costs, like those from initial set-up services, licenses and subscriptions, and proactive and reactive labor.

Users will be able monitor in real time, managed services pricing versus contract support costs for each customer.

“The historical challenge with accurately tracking managed services contract profitability is there’s a crossover between the project-based set-up costs for new customers and the transition to on-going ticket-based labor for preventative and reactive managed services support,” said David Donnelley, vice-president of product development at Promys. “The initial contract set-up might require the procurement of subscriptions (or) licenses (Amazon, Azure, RMM and others), prepaid blocks of hours, or customer purchase orders for initial set-up services.”

“Some set-up services need to be tracked separately from the hours for ongoing ticket-based support and other items that will transition into ongoing costs associated with the managed services contract,” Donnelley said. “Some systems are good at tracking the project-based work and others at the ticket-based work, but until now there weren’t many solutions that were equally strong at tracking both, under the same managed services contract.”

In addition to automatically comparing accumulated recurring billing for managed services contracts with ongoing accumulated labor costs, contracted services, licenses and other expenses, the new functionality analyzes new contract set-up hour projections versus actual hours from prior set-ups.

The result is “learned back” into the platform’s quoting and estimating processes.

“This allows Promys customers to validate managed services pricing versus contract support costs and to get real-time visibility into the current accumulated managed services contract profitability at any point in time,” Promys said in a statement.

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