Utilisation Rate in A&E Firms: What to Track and How to Improve It

Utilisation rate is one of the clearest signals of project profitability in A&E firms. Here's what to track and how to improve it without burning out your team.

 

Ask five people in the same firm what their utilisation rate is, and you could get five different answers.

Utilisation is one of the most discussed metrics in architecture and engineering, but it’s also one of the easiest to misunderstand. Before a firm can improve utilisation, everyone needs to agree on what the number actually means.

Firms that track utilisation consistently have a clearer picture of how their teams are spending time and how that time affects profitability.

What is Utilisation Rate in A&E Firms?

Utilisation rate measures how much of a person’s available time is spent on billable project work.

For example, if someone works 38 hours in a week and records 30 billable hours against projects, their utilisation rate is around 79%.

The harder part is deciding what counts as “available” hours in the first place. Some firms measure utilisation against total rostered hours. Others exclude leave and public holidays, and some separate billable utilisation from total utilisation, which includes non-billable but still productive work like business development or internal training.

There isn’t necessarily one right approach. What matters is using a clear definition consistently so the number can be compared over time.

This is also where utilisation can get confused with resource planning. Resource planning looks at who is assigned to what. Utilisation looks at how much of that time is actually being spent on billable work. This distinction matters most when a firm looks fully staffed on paper but still can’t say whether that work will keep the pipeline moving.

Why Utilisation Matters for Project Profitability

Utilisation is one of the clearest early signals of project profitability, because it connects directly to two things that determine your margin: how much billable work is genuinely happening, and how efficiently your team’s time is being used.

Total Synergy’s 2026 Engineering Industry Benchmark Report found that 56% of engineering firms are now operating at 71-80% utilisation, up from just 34% the year before. The 2026 Architecture Industry Benchmark Report tells a different story for architecture practices, with only 37% sitting in that same band, and just one in four firms tracking utilisation consistently enough to know their real number with any confidence. That difference is important. A firm that doesn’t track utilisation consistently isn’t necessarily performing worse. It simply has less visibility into where it stands.

Low utilisation also doesn’t always mean people are sitting idle. Time can disappear into non-billable work, administration or tasks that aren’t being recorded accurately.

What Utilisation Metrics Should Architecture and Engineering Firms Track?

Tracking utilisation well means going beyond a single practice-wide percentage.

Billable utilisation by role can show whether a utilisation gap is concentrated in a particular discipline, seniority level or team, rather than being a practice-wide problem that gets misdiagnosed.

Utilisation trends over time matter more than any single week, since one snapshot rarely tells you anything useful about a longer-term pattern in how a team is working.

Realisation rate should also be considered alongside utilisation. High utilisation doesn’t automatically mean strong profitability if billable time is later written off or discounted.

Time tracking accuracy sits underneath all these metrics. Utilisation figures are only as reliable as the timesheets feeding into them, and inaccurate timesheets quietly undermine every metric built on top.

Practical Ways to Improve Utilisation Without Overloading Your Team

Improving utilisation shouldn’t mean squeezing more hours out of people. Done badly, that simply replaces a utilisation problem with a burnout problem. A better starting point is making better use of the hours you already have.

Simplify time tracking so people log hours as they work, rather than reconstructing a week from memory on a Friday afternoon. Timers and quick task-level entry reduce both the admin burden and the guesswork in the resulting data.

Give project managers visibility into utilisation while a project is still running, not after it closes, so imbalances can be corrected in real time instead of analysed in hindsight when the project is already finished.

It’s also worth looking closely at non-billable time. Some of it is valuable, such as professional development and business development. Other non-billable time is simply friction in your systems, such as duplicated admin or searching for information that should already be at hand. Those are areas where better systems can make a real difference.

Improve Resource Visibility with Total Synergy

Total Synergy delivers project management software built for architects and engineers, trusted by teams across Australia (AUS), New Zealand (NZ), and the United Kingdom (UK). It connects time tracking, resource planning and financial dashboards in one place, so utilisation isn’t a number you have to chase at the end of the month.

Timesheets and timers feed straight into people dashboards that show utilisation by role and by project as it happens, giving your leadership team a live, trustworthy view instead of a retrospective one.

Book a demo to explore how Total Synergy supports your firm’s resource visibility and lets you see your utilisation data in one place.

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