Interlock reports bring together stakeholders and real-time data to boost resource management benefits. Here’s what they are and how to make one.
An interlock report gathers accurate data on current and potential projects to inform demand forecasting.
It’s about getting stakeholders from sales, delivery, project management, resource management, HR, and finance together to understand resource supply and demand – so you can rightsize your workforce for future opportunities.
However, according to a recent survey conducted by the Resource Management Institute, only 35% of professional services organizations have a formalized interlock framework to improve demand forecasting.
We’re here to change that with our easy-to-follow guide to interlock reporting for resource managers.
In this article you’ll learn:
An interlock framework is simply a structured way to ensure relevant stakeholders are involved in resource-related decisions. It’s about bringing together anyone with insights into – or an interest in – resource supply and demand, so you can share data, test assumptions, and move forward in agreement.
An interlock framework describes:
One of the products of an interlock framework is an interlock report, which is what this article is all about.
In resource management, an interlock report is a rolling report that captures resource supply and demand.
Built using data gathered through interlock meetings, it provides an accurate summary of resources needed vs. the resources currently available, helping resource managers and other stakeholders identify and address gaps.
Interlock reports are typically created at team or departmental level, where those closest to the projects can provide the most accurate input into resource needs and availability.
These reports are then consolidated into an aggregated interlock report, to give a birds-eye view of overall organizational capacity.
Ultimately, the aim of an interlock report is the answer these questions:
An interlock report is usually presented as a spreadsheet. Each row contains data for a different project.
It has columns containing data on:
The final rows are used to calculate and display:
Probability and probability adjustment in an interlock report recognize that not all proposed projects are going to go ahead. They’re an attempt to manage the unpredictable nature of project management and give resource managers a "best guess" for how many resources they’ll need, based on the likelihood that projects will proceed.
During an interlock meeting, resource managers will ask sales about forthcoming projects, and sales need to give the probability that they’ll go ahead. For example, 100%, 75%, 50%.
The resource manager will then use this information to adjust the projected demand for resources.
Say a potential project needs 20 FTEs but is only 75% likely to go ahead. You multiply 20 x 0.75. This gives you a probability-adjusted FTE need of 15 resources.
Now, you might be thinking, "Hey, if this project goes ahead, I’m going to be 5 people short!" And you’re not wrong. But across the entire portfolio, there will also be projects with FTEs assigned that DON’T go ahead. And that provides a surplus of FTEs who could be reassigned.
It’s about hedging your bets, to avoid having too many resources – otherwise you’ll be overstaffed and they’ll be underutilized, which wastes money.
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Let’s take a look at the interlock report example above and explain it.
An interlock report is beneficial in resource management because resource plans are only as strong as the data they’re built on. And that data is spread across numerous departments and stakeholders.
An interlock framework makes sure relevant data is collected in a structured, standardized way. And an interlock report helps stakeholders use that information to make strategic, data-informed decisions.
As a result, the organization benefits from:
Basically all the benefits of effective resource planning ➡️
Will this be a team, departmental, or organization-wide interlock report?
Apart from you, who holds the vital data you need to know? Consider the following:
Decide how often you’ll meet and what data everyone is responsible for providing, for example:
Break out the coffee and get down to business. Collect data and updates from stakeholders. Enter them into your interlock report and discuss the implications. Is demand steady or growing? Can your current staff levels meet future demand? If not, what are you going to do about it?
Implement a regular meeting cadence and update your report each time. Be alert to trends over time, such as seasonal staffing fluctuations or long recruitment lead times for specific roles. This can impact your action plans going forward.
According to the Resource Management Institute, you should have monthly meetings with leadership and management, and quarterly meetings with service leads:
If your interlock covers multiple teams and departments, make sure there’s a standardized format and terminology for data. This will avoid confusion and ensure cross-department data is comparable. For example:
Don’t waste time – and risk human error – by manually entering data and calculating totals. Use appropriate software that can automate data collection and calculation - such as resource management platforms like Runn, with built-in reporting and data visualization tools.
