In an hour-based agency, the billable utilisation serves as a crucial metric, representing the percentage of billable hours employees spend on billable client projects. A higher billable utilisation indicates optimal efficiency and resource allocation, while a lower rate may suggest under-utilisation or potential areas for workflow improvement.

The Cost Of Goods Sold (COGS) is the measure of direct costs incurred by a company to manufacture or deliver their product or service. Costs typically include raw material and direct labour, but this varies from business to business, depending on the products or services that are being sold. COGS is the building block to understanding Gross Margin and Gross Margin Percent.

First Pass Yield (FPY) measures the percentage of units that meet specifications and pass inspection on their first attempt with no rework or repair. It shows how consistently your process produces conforming output and how much hidden capacity is lost to scrap, fixes, and retests. Track FPY at a step, line, or plant level, and segment it by product, shift, supplier, or machine to find where right-first-time quality breaks down.

Measures the time it takes for manufacturing to produce a given product from the time the order is released to production, to finished goods. It helps identify bottlenecks and optimize production flow.

On-time delivery measures the percentage of orders delivered to customers on or before the promised delivery date. It helps evaluate the efficiency of the supply chain in meeting customer expectations. On-time delivery is crucial for maintaining high customer satisfaction levels. Timely delivery is often seen as a reflection of a company's reliability, and consistent punctuality can lead to increased customer trust and loyalty. Moreover, on-time delivery helps to avoid unnecessary costs related to late delivery compensation or loss of business, directly impacting the company's bottom line.