The competence and attitudes of managers have an important bearing on productivity. In many organizations, productivity is low despite latest technology and trained manpower. This is due to inefficient and indifferent management. Competent and dedicated managers can obtain extraordinary results from ordinary people.
Productivity: Meaning, Concept, Factors, Importance, Formulas, Techniques, Measurement and Other Details
Productivity refers to the physical relationship between the quantity produced (output) and the quantity of resources used in the course of production (input). “It is the ratio between the output of goods and services and the input of resources consumed in the process of production.”
Output implies total production while input means land, labour, capital, management, etc. Productivity measures the efficiency of the production system. The efficiency with which resources are utilized is called productive efficiency. Higher productivity means producing more from a given amount of inputs or producing a given amount with lesser inputs.
At the level of a plant or an industry productivity is an output-input ratio. But at the macro level, productivity is a measure of performance of an economy or country. From a nation’s viewpoint productivity is the ratio of available goods and services to the potential resources of the country.
Productivity means an economic measure of output per unit of input. Output refers to the total production in terms of units or in terms of revenues while input refers to all the factors of production used like capital, labour, equipment, etc. Productivity is a good indicator of the efficiency with which a factory is operating. If a firm has higher productivity, i.e. it produces more with a given amount of inputs, it means it is utilising the resources properly.
Similarly, a lower productivity indicates wastage of resources and time. It is vital to have a high productivity rate because resources like capital and time are scarce and should be exploited in the best possible way. Productivity can be calculated as the ratio of the volume of output to the volume of inputs.
For the long term growth of the firm and the economy as a whole, it is impertinent that a high level of productivity is maintained. A high productivity means that the resources are utilised to the optimum, while minimizing wastage. This leads to reduction in cost of production, and subsequently availability of quality products to customers at lower price. Profitability of the firm is also related to its productivity. More profits mean that more retained earnings which would ultimately increase shareholders’ wealth.
Productivity – Concept (With Formula)
The concept of productivity can be applicable to any economy, small, medium and large business, government and individuals. Productivity aims at the maximum utilization of resources for yielding as many goods and services as possible, desired by consumers at lowest possible cost. Productivity is the ratio of output in a period of time to the input in the same period time.
“Productivity is the quantitative relation between; what a firm produces and what a firm uses as a resource to produce output, i.e. arithmetic ratio of amount produced (output) to the amount of resources (input)”.
Productivity is the ratio between output of wealth and input of resources used in production processes. Output means the quantity of products produced and the inputs are the various resources used in the production. The resources used may be land, building, equipment, machinery, materials, labour etc.
What makes people productive?
There is no magic formula for productivity. But decades of research suggest that some people are better able to execute and be productive than others and that personality, motivation, and emotions all play a key role in how well someone is able to get things done. While some factors that drive productivity, like personality, aren’t always easy to change, those who feel naturally less productive need not despair. Anyone can take steps to increase their productivity, identify hacks and techniques that work for them, and overcome obstacles to productivity that may be in their path.
In humans, the drive for productivity tends to be motivated by a set of overlapping natural desires. These include a desire to contribute to a group, a desire to be challenged and mentally stimulated, and a desire to fulfill basic needs such as food, shelter, and safety. Such desires could motivate someone to complete a project at work, clean the house, make dinner for loved ones, or engage in any other necessary task.
Beyond these basic needs, productive pursuits are also driven by identity and emotions; people may be motivated to complete a difficult project because it will grant social status, for instance, or because they will feel pride afterward. The desire to be perceived by others as a productive person—a highly valued trait in many cultures—may also motivate someone to get things done, even if they aren’t technically necessary for survival.
Best Productivity Books
— It’s no secret I’m a fan of Drucker. This book provides a practical perspective on productivity that I think every knowledge worker should read. The most important lesson I’ve learned about work is this: It’s not about what you do, it’s about the results you get. That’s the difference between efficiency and effectiveness. Sending 100 emails per hour might be a very efficient use of your time. But what results does it bring you? That’s what matters the most. — Productivity is about doing the right things. And this book helps you to focus better on what matters to you, personally. Once you know what you’re after, it’s easier to get there. — Forming new habits is a practical skill that immediately impacts the quality of your life. Want to lose weight? Be more productive? Exercise regularly? Build successful companies? One thing is sure: Without habits, those things will be extremely difficult to pull off. — A unique insight into the habits and rituals of the world’s most renown figures. You’ll be surprised how simple their lives were.
Productivity tools can make your life a lot simpler. They help you to save time, improve focus, and improve the overall quality of our work. However, every time I talk about productivity tools, I also talk about the downside. Too much technology often decreases our productivity. That’s why the list of apps and tools is short. I don’t overcomplicate productivity.
Productivity isn’t just a way to get more done at work – or grow more pumpkins. When you’re thinking, “ What is productivity to me ? Why do I want to be more productive?,” the most obvious answer that will probably come to mind is that you’ll have more free time to do the things you enjoy doing. If you’re able to reach your goals sooner, that leaves you time to set and achieve other goals, whether that’s relaxing with a book or learning a new skill.
What is productivity, really?
The classic productivity definition is “a way to measure efficiency.” In an economic context, productivity is how to measure the output that comes from units of input. Farming makes for a good example: One acre of land that produces 10 pumpkins? That’s not very productive. But one acre of land that produces 2,000 pumpkins? That’s a much better return on your pumpkin planting.
But what is productivity in our daily lives? It’s easy to produce theories and examples based on abstract units of work or numbers of plants, but your life isn’t a managed supply chain. To get what you want in life, you need to learn that what makes you productive isn’t a day planner or a to-do list. The art of productivity goes much deeper.
What is productivity?
Writer Charles Duhigg defines productivity as “making certain choices in certain ways” that moves us from being “merely busy” to “genuinely productive” in his book Smarter Faster Better . Tony Robbins’ approach to productivity focuses on ways people can systematize and better manage their lives so they can stop procrastinating and have more time to do what they want.
How do you define productivity? While the end goal for how to be productive in life is personal, productivity is always about getting the results you want with less time and effort. When you’re trying to understand how to be productive, what you’re really seeking is a way to achieve your goals while having time to spend on what matters. “We’re living through an economic revolution,” Duhigg said in an interview on The Tony Robbins Podcast .
Given that workplace productivity is basically completing goals in a timely manner, it is important to understand how to accomplish that without sacrificing the quality of the work. This means that in addition to being quick, employees must also be correct. It is the efficiency that cannot be ignored if maximum productivity is the aim.
In order to increase efficiency, and ultimately workplace productivity, employees can do a number of things. In today’s technological world, getting rid of distractions is one of the first necessary steps to achieving efficiency and productivity. This often means silencing personal cell phones, blocking social media from work computers, and even turning off music with lyrics.
It is also recommended to focus on the least favorite item on your to-do list first thing in the morning. While doing the easy tasks first might seem as though you can ease into the workday, in truth, you are putting off the things that require more effort. By the end of the day, you will likely lose steam and have to put off those tasks for the following day.
That said, some people are not as productive in the mornings. It is important to identify your own most productive hours. Once those hours have been identified, scheduling tasks based on difficulty within those times will help to achieve the highest level of efficiency.
The most efficient day will not only be scheduled out, but the day will adhere to that schedule. Using a daily to-do list and a timer will allow you to ensure that no time is being wasted and the appropriate tasks are getting done at the most efficient times. If a task takes longer than scheduled for, analyze the situation and learn how to improve.
Efficiency is also hugely affected by goal setting. While a to-do list can be daily goals of sorts, other goals, such as sales reached this week, or total words written today can make noticeable positive changes. Whatever it is that your company would like to accomplish for long term reasons should be written down and truly attempted to achieve.
Although some workers feel that a break does nothing but waste time, it can actually help to clear the mind and allow working times to be better. When the brain spends so much time on a specific task without a break, it can be difficult to come up with new information or thoughts on the topic. This why a 10-15 minute break strategically placed throughout the day can help productivity.
Productivity also gets a boost when your office space is clean and properly organized. Ensuring that items are where they should not only save time from looking for it, but it can help in the thought process. When we have to stop during our most productive times in order to locate a document, we can easily post our train of thought. Getting back into the right mindset after searching for that document can be a struggle, thus a productivity killer.
Surprisingly, multitasking is not a way to improve productivity or efficiency. In fact, performing multiple tasks at once will likely diminish the quality of the work and take longer in the long run. While it may seem like so much is being accomplished, by avoiding multitasking and completing the tasks one at a time, both quality and time will be saved.
By taking the time to learn how to be more efficient, a company and its employees will discover that productivity provides benefits in numerous ways. Focusing on those benefits will help to drive change.
How to be productive in life
We all have 24 hours in a day; productivity is being able to make the most of them and create lasting habits of achievement and fulfillment instead of chasing endless lists of tasks. Here’s how to work smarter, not harder.
1. Discover what makes you productive
Why have you set those goals in the first place? If you really want to increase your productivity , think about what’s driving you to do so. Sure, you probably want to make more money at your job or be able to go on more vacations, but why? What’s the hunger or purpose that’s driving your actions?
2. Look to others for productivity in action
We’d all like to succeed with less effort. But how can you calculate productivity, let alone increase it? Your first step is to find some models of what productivity means and what it doesn’t mean to you personally. As Tony says, success leaves clues. Failure does, too.
If your desire to increase your productivity begins at work, model your success after a colleague noted for their productivity. Look for someone who’s got a clear vision for their day, sets limits on their time and even gets projects done early. Ask them how they designed their particular structure and if they’re using any tools. You can start to design your own method based on theirs.
3. Turn productivity into a habit
It would be nice to say “I’m making a change” and then it just happens with no further effort on your part. But learning how to be productive in life , like any other shift, requires some work on your end. It can take up to three months to form a new habit , whether that’s creating a daily checklist of tasks to guide your day or building out a weekly gym habit.
Once something becomes a habit, it becomes much easier to integrate into a routine. Soon, you realize that a task can become second nature. By turning productivity into a habit , you can achieve far more in your professional and personal life.
4. Get the right tools
Tony tells us that success is 80% psychology and 20% mechanics – but it’s still important to have the right tools in our toolbox. From apps to daily planners, there are plenty of products out there. Tony has used his decades of experience coaching top businesspeople, entrepreneurs and athletes to create his own proven methods for productivity , like:
The Rapid Planning Method®️ (RPM™)
The Time of Your Life®
As Tony says, “You can’t have a plan for your day until you have a plan for your life.” With this ten-day program, you’ll discover what really matters to you – and how to create more time for those things in your life.
Remember, there’s a big difference between movement and achievement; while to-do lists guarantee that you feel accomplished in completing tasks, they don’t ensure that you move closer to your ultimate goals. There are many ways to increase your productivity ; the key is choosing the ones that are right for you and your ultimate goals.
As a student you may find yourself bogged down with work, trying really hard to get your grades up in order to reach your goals and ambitions for the future. It’s challenging for everyone and if you don’t structure your time right, it can become a real nightmare.
The main productivity means getting the results you want with less time and effort. When you’re trying to understand how to be productive, what you’re really seeking is a way to achieve your goals while having time to spend on what matters.
We all want to know how to increase productivity and how to improve our time management strategies in order to lead more productive and fulfilling lives. But sometimes, however hard we try we just find ourselves getting distracted by everything, everywhere.
Whether you’re a student or a professional in the workplace, there’s always a way to procrastinate and waste time, and that to-do list you were so sure you’d finish by the end of the day, just goes out the window. With barely anything checked off of it, you go home at the end of the day with a feeling of self doubt and annoyance knowing you could have got more done should you have just concentrated harder and been less distracted.
Researchers in the past have noticed that productivity can be cultivated through focusing on meaningful elements of a larger goal, or focusing on a larger meaningful goal that can help activate energy and drive to complete tasks.
With that in mind, it’s time to increase productivity whether you’re at work, studying at school or just looking for a way to get more done during the day and we’re here to give you some of the best tips and tricks to help you improve your productivity starting today!
What are the main measures?
Usually, the growth in labour productivity exceeds the growth in multifactor productivity. The additional contribution comes from ‘capital deepening’. That is, the accumulation of more and better capital equipment over time helps to make people more productive.
The output of simple businesses can sometimes be measured in physical units, such as the number of shoes or tons of steel. However, when thinking about entire industries or the economy as a whole, the range of different outputs need to be added together. The Australian Bureau of Statistics (ABS) calculates productivity using a measure of output called ‘gross value added’ (GVA), which is the value of the output produced by a firm minus the intermediate inputs used (materials, services and energy used in production).
In what parts of the economy is productivity measured?
The most accurate estimates of productivity are for those industries where prices are set in markets — known as the ‘market sector’. Market prices provide a measure of the quality of different products and make it easier to measure output in terms of real industry gross value added. The ABS provides estimates for two ‘market sectors’ — the 12 and 16 industry market sectors — the latter distinguished by the fact that less historical data are available.
Labour productivity can also be measured for the whole economy (in terms of real GDP per hour worked). Labour productivity measured in this way contributes to growth in living standards (commonly measured as GDP per capita), but is a poorer indicator of technological change and efficiency improvement because of the difficulty measuring output in health, education and public administration.
Productivity measurement: a stylised example
Suppose Ben works in a chocolate factory. Ben’s boss, Colin, wants to measure the labour productivity of his workforce in order to make operational improvements at the factory. Colin estimates that during a 40 hour work week, Ben produces 2000 chocolate bars. So Colin calculates Ben’s labour productivity as:
While this allows Ben’s performance to be compared to other employees in the chocolate bar branch, Colin cannot compare Ben to employees in the chocolate biscuit division. To allow for comparison, Colin estimates the gross value added of Ben producing 2000 chocolate bars is $4000. Colin then calculates Ben’s labour productivity as:
Other Useful Productivity Apps
30. 24me (Android, iOS, Web)
What you need is an assistant, but then you’d have to keep up with their calendar! That’s where the 24me sync comes in. It’s the smart personal assistant to sync all of your calendars–including Google, Microsoft 365, Yahoo and whatever else.
31. Grammarly (Android, iOS, Web)
32. Pocket (Android, iOS, Web)
You can save any article that you want and then read it later in a simpler, less-cluttered interface. You can also tag and organize any of your articles, so if you’re interested in a particular topic then it stays top of mind. Their suggested reading list is a winner, too.