Definition, Meaning & Synonyms
utilization-rate
noun
/ˌjuːtɪlaɪˈzeɪʃən reɪt/
Definition
The percentage of available resources or capacity that is being utilized or used at any given time.
Examples
- The utilization rate of the manufacturing plant increased by 15% this quarter.
- To improve profitability, the company focused on enhancing its utilization rate.
- Monitoring the utilization rate helps managers allocate resources more effectively.
Meaning
Utilization rate refers to how effectively a company or organization uses its available resources, such as employees, equipment, or facilities, to achieve its goals. A higher utilization rate indicates that resources are being used efficiently, while a lower rate may suggest inefficiencies or downtime.
Synonyms
- Efficiency rate
- Productivity rate
- Capacity utilization
