What KPIs should you track after implementing PSA software?

Track them in three waves. First 90 days: time-entry compliance, approval latency, and active usage. Months 3 to 6: manual reporting hours, invoicing cycle time, and DSO. Months 6 to 12: billable utilization, revenue leakage, project margin visibility, and forecast accuracy. Each wave only becomes meaningful once the previous one is healthy.

How long until PSA software shows ROI?

Efficiency returns show up first, typically between months 3 and 6, as recovered reporting hours and faster invoicing. Business outcomes such as utilization and margin improvements need 6 to 12 months of clean data. When the pre-purchase baseline showed real leakage, payback usually lands inside the first year.

What is a good utilization improvement after PSA implementation?

A firm-wide gain of 1 to 3 percentage points within the first year is a realistic, defensible range based on observed implementations. Attribute it honestly, since hiring and client mix move the same number. For context, SPI Research's 2026 benchmark puts the industry average at 66.4% against a 75% optimal target.

How do you measure PSA ROI for a CFO?

Convert each delta into money: recovered hours multiplied by loaded cost, plus utilization points multiplied by billable capacity, plus recovered unbilled revenue. Set the total against the full cost of ownership, including implementation and internal time. Use conservative assumptions and show them openly.