This KPI measures the ratio between productive staff and non-productive staff and is sometimes called the Productive Ratio.
Typically, non-productive staff could be the Bodyshop Manager and Receptionist.
Composite
results appear to average at around 2:1, or in other words, for every 2
Productives that you employ, you have 1 member of staff who is
non-productive.
This
ratio can vary wildly and is dependent upon how you apportion your
Apprentices and Foreman. There are also differences between a franchised Bodyshop and an Independent body repairer.
Example:
A) Productive staff = 12 B) Non-Productive staff = 6 C) Productive : Non Productive = 2:1 (A ÷ B)
Discussion:
In any event, make
sure that you understand what you are looking at when you read this
information as some financial reports show this equation in reverse.