What this article covers: A reference for BrizoSystem's built-in Efficiency KPIs — the formula behind each KPI and how to interpret the result. For a full list of all KPI categories, see Built-in KPIs Overview.
Efficiency KPIs measure how effectively the business uses its assets and resources to generate revenue. They highlight operational productivity and asset utilisation — at both entity and consolidated group level — and are most meaningful when compared across periods or between entities within the group.
? How these KPIs are calculated: KPIs that use average balances (e.g. Asset Turnover, Inventory Turnover) calculate the average from the opening and closing balances for the selected period. Efficiency KPIs are most meaningful when compared across periods or business units rather than read in isolation.
KPI Reference
Asset Turnover Revenue ÷ Average Total Assets
Measures how efficiently the total asset base is being used to generate revenue. A higher ratio indicates stronger asset utilisation. Use this to identify entities that are under-utilising their assets relative to others in the group, or to track improvement following capital investment.
Inventory Turnover Cost of Goods Sold ÷ Average Inventory
How often inventory is sold and replaced during a period. A higher ratio indicates faster stock movement and better inventory management. A declining ratio may signal slow-moving stock, overstocking, or weakening demand. Particularly relevant for product-based businesses.
Receivables Turnover Revenue ÷ Average Trade Receivables
How quickly the business collects payments from customers relative to the revenue it generates. A higher ratio indicates faster collection. A low or declining ratio may indicate collection issues, lenient credit terms, or customers under financial stress. Use alongside Accounts Receivable Days in Pulse for a fuller picture.
Payables Turnover Cost of Goods Sold ÷ Average Trade Payables
How quickly the business pays its suppliers. A lower ratio indicates longer payment terms — which can be favourable for cash flow if within agreed terms, but may also signal cash constraint if payments are being delayed. Use alongside Accounts Payable Days in Pulse for a fuller picture.
Working Capital Turnover Revenue ÷ Working Capital
How efficiently working capital is being used to support revenue generation. A high ratio can indicate lean, efficient operations — but an extremely high ratio may also reflect working capital pressure if the business is growing faster than its current asset base. A negative result signals negative working capital.
Fixed Asset Turnover Revenue ÷ Average Fixed Assets
How well fixed assets — property, plant, equipment — are being used to generate revenue. Particularly useful for capital-intensive businesses such as manufacturing or property. A declining ratio over time may indicate that assets are ageing or underperforming relative to revenue expectations.
Where to Use These KPIs
Where How
Pulse — Key Metrics Add turnover KPIs to your Key Metrics page to monitor operational efficiency alongside profitability
Pulse — Receivables & Payables Use Receivables Turnover and Payables Turnover alongside the Receivables and Payables Pulse pages for a complete working capital view
Custom Reports Include KPI rows in a rolling 12-month custom report to track efficiency trends over time
Health Scores Use Asset Turnover or Inventory Turnover as inputs to the Pulse health score for operational health monitoring