What employers should consider important to achieve high productivity |09 April 2021
- Discipline in work
- Teamwork
- Diligence in work
- Quality consciousness
- Pride in work
What is productivity?
Productivity is defined as the efficient use of resources, labour, capital, land, materials, energy and information in the production of various goods and services.
In public services, productivity could be defined as efficiency with which resources are consumed in the effective and equitable delivery of human services.
The people side of productivity
Productivity concerns people, is initiated and conducted by people, and it is for the benefit of people. Productivity is, above all, a mind-set. It is an attitude of mind that seeks constant improvement of that which exists. It is based on a conviction that one can do things better today than yesterday and tomorrow shall be better than today.
At the workplace, it is the will to continually improve our quality of systems and methods, to lower costs, reduce wastage, to deliver service with efficiency and effectiveness.
The will to improve on the present, no matter how good it really may be, the constant adaptation of economic activities and social life to changing conditions, the continual effort to apply new techniques and new methods. It is the faith in human progress.
Benefits of productivity
Higher productivity benefits all. The direct beneficiaries are the workers of the company, the company itself and its customers. Productivity growth leads to lower cost which in turn enables:
- Higher wages, large bonuses and better benefits for workers
- Greater competitiveness and higher profitability for companies
- Cheaper and better quality goods and services for customers
Importance of productivity
- Rise in productivity results in higher production which has direct impact on standard of living. It reduces cost per unit and enables reduction in sales;
- It increases wages for workers and increased profit for organization;
- Higher demand creates more employment opportunities;
- Quality life for workers, customers and companies;
- Higher productivity leads to economic growth and social progress.
How to improve productivity
- Remove barriers to competition/productivity growth
- Excessive regulation
- Excessive bureaucratic procedure/red tape
Contributed by the Production Unit, Ministry of Employment & Social Affairs