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Utilization Rate

Definition

The percentage of an agent's total paid time (including breaks and training) that is spent on productive, billable work.

Business Importance

Utilization is the metric that connects workforce planning to contract profitability — it's what determines whether a staffed FTE is generating the output a client is paying for.

Industry Examples

A pod billed for 10 FTEs where actual productive output only equals 8.5 FTEs signals a utilization gap worth investigating.

Related Terms

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