Manufacturing Consultant UK
See how much revenue each hour of labour produces, what labour costs as a share of that revenue, and whether it is worth a closer look.
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Enter your figures to see the result.
Revenue per labour hour is parts per person per hour multiplied by the sale value per part. It shows how much value each hour of labour produces before materials and overheads, so it is a quick screen for productivity and pricing.
| Revenue per labour hour | What it suggests | Next step |
|---|---|---|
| Under £80 | Needs attention | Check output per person, waiting, rework and pricing |
| £80 to £200 | Room to improve | Find the largest loss with an operations assessment |
| Over £200 | High performance | Protect it and look at digitalisation to scale |
Bands are a rule of thumb. Sector, product mix and how much value is added in-house all matter.
It links output, price and labour cost in one number, so it shows quickly whether labour is being used productively and whether pricing reflects the work.
Revenue is simpler and works as a first screen. For a sharper view, subtract material cost to get value added per labour hour.
Rarely. Low figures usually come from waiting, rework, poor flow or pricing, not people working slowly. A floor-level assessment finds the real cause.
An operations assessment shows where labour time is lost and what it costs.
Manufacturing operations assessment and digitalisation for UK manufacturers. Led by a chartered engineer. Stabilise first, then automate.