Capacity Utilization Calculator

How it is calculated

The tool compares what you produced with what you could have produced: utilization % = actual output ÷ potential output × 100 and idle capacity % = (potential − actual) ÷ potential × 100. The two always add up to 100%. Both figures must use the same unit and cover the same period, for example units per month or machine-hours per week; the unit cancels out. Potential output must be above zero and actual output cannot be negative. Actual output also cannot exceed potential output: if it does, no result appears, so the potential figure has to be set at the level you really consider full capacity. Utilization can therefore range from 0% to 100%. Results are rounded to two decimals and the potential figure is echoed as a whole number. The tool does not decide what counts as potential; that is your choice, and it changes the answer a lot.

Common mistakes

• Using different periods for the two figures, such as a month of output against a yearly capacity.
• Entering potential output as the theoretical machine maximum when the plant can never run without breaks. Decide whether potential means nameplate or practical capacity, and use that figure consistently over time.
• Mixing units, for example actual output in tonnes and potential in kilograms.
• Entering actual output above potential output, for example 7500 against 6000. The tool shows no result; raise the potential figure or check that both numbers cover the same period.
• Swapping the two fields. The larger number belongs in potential output, so a swap usually produces no result.