Employee Productivity Improvement

In simple words, employee’s productivity is the output per worker per hour/day/ week/month. For an easy understanding, productivity is measured through generated revenue by employees. If productivity goes up, revenue follows and vice versa, resulting in profit or loss. Not all employees are productive. Their productivity depends on their interest, motivation, and work satisfaction. Productivity can be measured for individual, team, unit and organisation as a whole.

Organisation’s business objectives like profit, volume, customer satisfaction, expansion etc. will largely depend on productive output delivered by each employee working in the organisation. If evaluated regularly, employee productivity will bring unimagined results to the organisation. Employee productivity will enable organisations to control or eliminate extra cost of acquiring new business or manufacturing goods.

There are many factors which impact employee productivity like pay scale, incentive structure, competition, work-life balance, product quality and acceptance, Industry performance, government policies etc. There are factors that affect low employee productivity that are out of your control. But for the factors that you can control, you must analyse the situation and figure out how to resolve the issues. Some of the factors which can be improved to uplift manpower productivity are workload management, rewards & recognition, work culture, clear SOPs, regular training and development initiatives.

There are three most important factors contributing to high employee productivity.

• Capability of human capital
• work environment
• Technology. Right combinations of these three factors can bring enormous results to employee productivity.

There are structured ways to measure and improve workforce productivity.

• Set benchmark
• Evaluate current productivity on a pre-set benchmark
• Identify gap areas
• Prepare and execute action plan
• Measure improvement
• Reinforce action plan on gap area
• Rewards improvement