"Our latest Productivity Lab analysis of more than 300,000 workers across 5,619 organizations reveals a costly reality: Companies lose $11.2 million in productivity per 1,000 employees every year. Utilization averages just 87% of capacity, while payroll costs continue at 100%-the equivalent of paying for 130 workers who aren't contributing. Most leaders don't realize this is happening. Across all tracked organizations, that gap adds up to $2.86 billion in lost productivity each year,"
"The data goes further, showing that 58% of staff failed to meet productivity goals set by their own organizations. By industry, the gap is significant: Computer hardware has the highest underutilization rate at 71%, while logistics is lowest at 41%. One likely factor is the nature of the work and the corresponding work culture. Industries like logistics often operate with built-in accountability-billable hours, compliance requirements, and mission-critical timelines-that make performance visible and consequences immediate."
Analysis of more than 300,000 workers across 5,619 organizations shows companies lose $11.2 million in productivity per 1,000 employees each year. Average utilization is 87% while payroll runs at 100%, equating to paying for 130 noncontributing workers. Across tracked organizations the gap totals $2.86 billion annually based on a 6 hour 50 minute productivity goal. Fifty-eight percent of staff failed to meet internal productivity goals. Underutilization varies by industry: computer hardware 71% and logistics 41%. Small organizations lose $162,000–$542,000 annually; large enterprises lose $3.7–$3.9 million. Underutilization also contributes to disengagement, quality issues, and collaboration shortcomings.
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