Some agencies put a lot of effort into understanding their team’s Utilization. Others don't even really know what it is. But no matter how big you are or what your goals may be, every agency wants to be profitable. And understanding your team’s Utilization Rate is a crucial part of that. There are a lot of tools out there to help; some of which will just put you on the right track, and others that will minimize that effort as those calculations become more complex. 

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As a digital agency, you’re selling your time and expertise. Every billable hour matters. You know your team works hard, but without measuring their efficiency, their efforts could actually be costing you. We already explained the reasons why Utilization Rate is so important, so now, you need to figure out how to calculate it. Spoiler alert: there is no one magic formula with all the answers. The right calculation depends on your specific business objectives and some other important metrics...

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Monitoring the productivity of one employee is simple. Monitoring it for an entire team is another story. But what does that even look like? How can you know that every employees’ workday is actually useful? That’s called Utilization. It turns productivity into actual measurable data — calculating how much that effort is beneficial to an organization. 

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In any professional service, there are three key benefits clients seek:

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According to the State of Remote Work report by OWL Labs, 52% of employees work remotely at least once per week (data includes 1,097 US-based respondents across all company sizes and industries). Time tracking is the simplest way to account for remote work this days. Companies that support remote work have 25% lower employee turnover than companies that don't.In 2018, there is no need make another time tracker, but the must-have features for teams are:

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