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Glossary · Term 185

Utilization Rate

A measure of the share of an employee's available work time charged to billable or otherwise defined project work. Firms may calculate it using different time categories, capacity assumptions, and reporting periods. The metric does not by itself show workload quality, project profitability, or employee performance.

Why it matters for owners

Utilization trends can inform staffing and workload planning when interpreted alongside project needs and wellbeing.

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