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  • 🧮 Metrics That Matter: 🔹 Labor Productivity Ratio

🧮 Metrics That Matter: 🔹 Labor Productivity Ratio

Each edition, spotlight a key metric that affects jobsite performance or project health.

This week’s focus: Labor Productivity Ratio (LPR)

📊 What is it?
LPR measures the efficiency of your crew by comparing earned labor hours (based on actual progress) to actual labor hours spent.

🔹 Formula:
Labor Productivity Ratio = Earned Hours ÷ Actual Hours

Why it matters:

  • A ratio above 1.0 means your team is ahead of schedule or more productive than planned.

  • A ratio below 1.0 indicates overruns and may signal delays or inefficiencies.

  • Tracking LPR helps identify high-performing teams, scope risks, and areas where workflow or manpower needs adjustment.

🛠️ Pro Tip:
Use LPR weekly for each crew or phase. Pair it with daily logs and earned value milestones to keep your project on track and your labor costs tight.

📊 Why It Matters

  • LPR > 1.0 → You're ahead of schedule.

  • LPR = 1.0 → You're on track.

  • LPR < 1.0 → You're falling behind.

It’s a quick way to check if your team is productive, where you're losing time, and how to fix it.

🛠️ Quick Tips

  • Use daily production logs to track earned hours.

  • Break LPR down by phase: rough-in, wire pull, fixtures, etc.

  • Pair it with delay notes — material or RFI issues often explain dips.

🧾 Simple Example

Task

Earned Hrs

Actual Hrs

LPR

3/4" EMT Rough-In

44 hrs

40 hrs

1.10

Feeder Pull

20 hrs

24 hrs

0.83

💡 Use LPR weekly to stay on track, coach your team, and forecast smarter.

Want a field-ready tracking sheet for this? Let me know!