Collections performance metrics help finance teams understand how effectively the business turns billed revenue into cash. These metrics reveal how swiftly customers pay, how reliable cash inflow is, and where collections processes may need refinement.

Strong collections metrics support healthier working capital, more accurate forecasting, and smoother operations across the business.

Collections Effectiveness Index (CEI) measures how successfully a company collects the payments it is owed within a specific period. It focuses on how much of your receivables portfolio actually turns into cash — not just how fast invoices move.

A high CEI signals a healthy collections process and reliable cash conversion. A low CEI suggests gaps that may slow growth, limit liquidity, or create avoidable operational friction.

Billable Utilization Rate measures how much of an employee’s working time is spent on billable client work. It’s one of the clearest indicators of how efficiently a services team generates revenue.

A healthy utilization rate supports better margins, more predictable revenue, and stronger capacity planning. A rate that’s too low or too high can create challenges for both profitability and employee well-being.

Bill Rate is the hourly amount a company charges clients for professional services. It plays a central role in profitability, project planning, and forecasting because it determines how much revenue each hour of work generates.

A well-designed bill rate helps ensure your team is priced correctly, your margins hold up under pressure, and your growth plans stay grounded in reality.