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In summary, there are key correlations to understand regarding the professional services triangle of profitability. First of all, you must constantly be managing and improving the three main levers for profitability: revenue, repeatability, and references. Specifically, you should work on improving your revenue mix to include more direct revenue. You should instill discipline and processes to capture valuable intellectual property that can be reused repeatedly. And finally, you should strategically identify customers who will provide the most powerful references for your target industries. If you acknowledge and manage these levers, you can dramatically increase your ability to run a profitable professional services organization.

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