Guide
Glossary
Utilisation
Utilisation is the share of a person's available working hours spent on chargeable client work, shown as a percentage. If someone records 26 chargeable hours in a 37.5-hour week, their utilisation is 69%. Firms define "available hours" differently: some use contracted hours, while others first subtract leave, public holidays and training, which gives a higher figure. Targets usually vary by role, with partners and managers expected to record less chargeable time than the people doing the work. Utilisation shows where time goes, not whether it is billed or paid, so firms read it alongside recoverability and lock-up.
Also called Chargeable utilisation, Billable utilisation, Utilisation rate
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Example
In an accounting firm
For example, a 30-person accounting firm reports utilisation by team every Monday from the timesheets in its practice management system. In the weeks before a BAS deadline, the tax team is at 85% while the advisory team sits at 55%, so the partners move two accountants across for a fortnight instead of hiring contractors.
Guides that explain it in context
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