✅ Productivity – Meaning and Measures to Improve It
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? Meaning of Productivity
Productivity refers to the efficiency with which inputs are converted into outputs. It measures how effectively an organization, department, or individual uses resources like time, labor, capital, and materials to produce goods or services.
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? Definition of Productivity
> International Labour Organization (ILO):
“Productivity is the ratio between output of goods and services and the input of resources used to produce them.”
> Peter Drucker:
“Productivity means a balance between all factors of production that will give the maximum output with the minimum effort.”
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? Formula:
\text{Productivity} = \frac{\text{Output (Goods or Services)}}{\text{Input (Labor, Time, Capital, etc.)}}
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? Major Measures to Increase Productivity
Area of Focus Measures to Increase Productivity
1. Workforce Development - Regular training and skill upgrades
- Encourage employee engagement and teamwork
- Clear goal-setting and performance incentives |
| 2. Technology & Tools | - Use of automation and software systems
- Upgrading machinery and production tools | | 3. Work Environment | - Maintain cleanliness, lighting, and ventilation
- Provide ergonomic furniture and equipment | | 4. Time Management | - Implement efficient scheduling and task prioritization
- Avoid unnecessary meetings | | 5. Process Improvement | - Use techniques like Six Sigma, Lean, or Kaizen
- Eliminate waste and streamline processes | | 6. Motivation & Morale | - Offer recognition, rewards, and career growth
- Provide work-life balance and job satisfaction | | 7. Leadership & Management | - Strong, supportive leadership
- Open communication and clear delegation of responsibilities | | 8. Monitoring & Feedback | - Regular review of performance data
- Use KPIs (Key Performance Indicators) to guide improvements |
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✅ Summary
Productivity is a measure of efficiency in resource use.
High productivity = more output with less input.
Improving productivity involves a combination of technology, training, motivation, and process optimization.
