Professional Services Research: Closing the Gap Between Revenue Growth and Profitability

New findings reveal why midsize firms are thriving in top-line growth — but struggling to convert it into sustainable profit. Download the report by SAP and Oxford Economics to learn what sets high-performers apart.

Report: Staying Ahead - How Professional Services Firms Use Automation to Become Agile

In today’s highly competitive and fast-changing services landscape, midsize professional services firms find themselves at a crossroads: how to maintain momentum in revenue growth while unlocking more profitability and resilience.

Recent research reveals an encouraging trend: 85% of firms reported positive revenue growth over the past three years, and nearly one in five experienced annual growth rates of more than 20% — significantly outpacing the average across other industries. But here’s the challenge: profitability hasn’t kept up. Only 67% of firms saw profit growth during the same period, and just 8% exceeded 10% gains.

So, what’s the missing link? The answer increasingly points to agility powered by automation.

Why Agility Matters More Than Ever

To stay ahead, firms are sharpening their focus on growing revenue, attracting new clients, retaining top talent, and launching new offerings and business models. But these goals are only achievable if firms can eliminate bottlenecks, streamline operations, and empower teams to do more strategic, high-impact work. That’s where automation, especially through cloud ERP, enters the conversation.

Smarter Processes, Better Performance

Forward-thinking firms are moving beyond spreadsheets and disconnected systems. They’re embracing cloud-native ERP platforms that:

Provide real-time visibility into performance and resources

Automate manual, repetitive work

Help match skills to the right projects at the right time

Support integrated, end-to-end project delivery workflows

This shift allows employees to focus on what matters most — delivering value to clients.

Is Your Firm Ready to Scale Profitably?

The firms leading the pack are already laying the groundwork for more scalable and resilient business models, driven by insights and automation. But many others are still at the tipping point.

Get the full report to explore:

Where midsize professional services firms are seeing the greatest ROI from automation
How top performers are bridging the profitability gap
Practical steps to make your firm more agile and future-ready