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← KPI Glossary
Professional Services

Overhead Ratio

Non-billable costs as a percentage of total revenue. Tracks operational efficiency and cost discipline.

What is Overhead Ratio?

Overhead Ratio is defined as: Non-billable costs as a percentage of total revenue. Tracks operational efficiency and cost discipline.

What data source is used to measure Overhead Ratio?

Overhead Ratio is typically measured using data from a Accounting / ERP. This system of record provides the transactional and operational data required to calculate and monitor this metric accurately and in real time.

Typical Data SourceAccounting / ERP

Which industries track Overhead Ratio?

Overhead Ratio is a key performance indicator used across the following sectors:

  • ›Professional Services

How does Firehawk Analytics measure Overhead Ratio?

Firehawk Analytics connects directly to your Accounting / ERP and delivers a live Overhead Ratio dashboard. Configuration is completed within 48 hours — no data analyst required on your team.

More metrics from Professional Services

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Utilisation Rate

Percentage of available working hours spent on billable client work. The single most important profitability lever for services firms.

Professional Services
PSA / Timesheet SystemView →

Revenue per FTE

Track Overhead Ratio in your business

In 48 hours, you'll have a live Overhead Ratio dashboard connected to your Accounting / ERP.

Browse all KPI definitions →

Total revenue divided by the number of full-time equivalent employees. Measures workforce productivity at a macro level.

Professional Services
ERP / PayrollView →

Project Margin

Gross profit on a project after deducting direct labour and expenses. Indicates pricing accuracy and delivery efficiency.

Professional Services
Project AccountingView →