What is allocation?
Allocation is the number of hours planned for a team member on a project. It represents the demand placed on their time.
What is utilization?
Utilization is the percentage of a team member’s available capacity that has been allocated.
Utilization = Allocated hours ÷ Available capacity × 100
Example
If a team member has 40 available hours and is allocated 30 hours, their utilization is 75%.