Sales per employee
Sales per Employee Calculator Explained:
(a) What is this? This calculator tells you the Sales per Full Time Equivalent (FTE).
(b) What does this tell me? What your staff is achieving in terms of sales. It is an especially useful measure because it also includes the support staff as well as sales staff. It will tell you whether the business is becoming more efficient, or less.
(c) Why should I use it? To determine how well you are operating the business. It will also show, (as sales grow), that perhaps efficiency improved and therefore sales improved as a result. This number should be growing regardless as it shows continued overall improvement.
(d) Caution: This calculator by itself is misleading. It does not consider profit at all, nor does it consider the value of sales or whether they are increasing or decreasing. Those are critical business measures and they should be used in conjunction with at least Net Sales, GP%, GP$ and total expenses.