Define: Revenue Per Employee

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Definition: Revenue Per Employee



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Full Definition of Revenue Per Employee


Revenue Per Employee is an operating performance ratio that looks at a company’s sales/revenue in relation to the number of employees they have.

Industry and product-line characteristics will influence this indicator of employee productivity. Tracking this dollar figure historically and comparing it to peer-group companies will make this quantitative dollar amount more meaningful in an analytical sense.

Revenue per employee is also influenced by the age of a company. Young companies usually have small revenues and they are usually in the process of hiring employees to fill key positions.


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https://payrollheaven.com/define/revenue-per-employee/
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Revenue Per Employee. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. April 06, 2020 https://payrollheaven.com/define/revenue-per-employee/.
Chicago Manual of Style (CMS):
Revenue Per Employee. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/revenue-per-employee/ (accessed: April 06, 2020).
American Psychological Association (APA):
Revenue Per Employee. PayrollHeaven.com. Retrieved April 06, 2020, from PayrollHeaven.com website: https://payrollheaven.com/define/revenue-per-employee/

Definition Sources


Definitions for Revenue Per Employee are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 22nd March, 2020