Welcome to the Operating Leverage Benchmark (OLB).

Please download the below Excel file so you can access the data.

Here are the instructions on how to leverage this tool:

In Step #1 – indicate your current or desired Profit Margin (EBITA) as a number (the sheet will calculate percentages).

In Step #2 – choose any role/function you would consider offshoring.  Place a monthly salary in the box that corresponds to a normalized onshore / local salary.  This could be what you’re paying today, or what you anticipate paying.  Choose as many roles/functions as you would like.

Focus on the two calculated areas for you:

a. Increased annual profits – this is the opportunity cost of profits you would create by shifting these roles/functions offshore.  These are $$$ in retained earnings OR your pocket!

b. Additional revenue you’re supporting – this is the headwind of extra revenue you require winning/maintaining each year to breakeven vs. the opportunity cost of shifting these roles/functions offshore.  This can create undo pressure on your sales & marketing teams.

 

When you’re ready, we look forward to reviewing our Mastermind Community with you.  You can schedule a call with us here.

 

Jamie Shanks
Founder, Get Levrg