Employee Productivity Calculator
Two common ways to measure workforce productivity: revenue generated per employee, or units of output per labor hour. Pick whichever matches the comparison being made.
Revenue per Employee
$50,000
Two Formulas, Two Questions
Revenue per Employee = Total Revenue ÷ Headcount
Answers "how much revenue does the business generate per person on staff?" — a company with $1,000,000 in revenue and 20 employees generates $50,000 per employee. Useful for comparing overall business efficiency across companies or time periods, but it blends every role together — sales, support, operations — into one number.
Output per Labor Hour = Units Produced ÷ Total Labor Hours
Answers "how much gets produced for each hour of labor paid for?" — 800 units across 160 labor hours comes to 5 units per hour. Useful for direct production or service roles where "units" (parts made, orders fulfilled, tickets closed) is well-defined, and where headcount alone would hide part-time or overtime hours.
Use revenue per employee for company-wide or cross-department comparisons; use output per labor hour when comparing a specific production or service function where hours worked vary independently of headcount.