This KPI measures the ratio between productive staff and non-productive staff.
Typically, non-productive staff could be the Service Manager, Service Receptionist and Warranty Clerk.
Composite results appear to average at around 3:1, or in other words, for every 3 Technicians that you employ, you have 1 member of staff who is non-productive.
This ratio can vary wildly and is dependant upon how you apportion your Apprentices and Foreman. Obviously, if your Productive Ratio is lower than 3:1 you will need to take corrective action.
Example:
A) Productive staff = 12 B) Non-Productive staff = 4 C) Productive Ratio = 3:1 (A ÷ B)
Discussion:
Make sure that you understand what you are looking at when you read this information as some financial reports show this equation in reverse.