pstrongDefinition of Productivity:/strong/p
pSuccessful companies create surplus through productive operations./p
pimg alt=Productivity-management src=http://suppotech.com/blog/wp-content/uploads/2012/03/productivity-management.jpg width=300 height=300 //p
pnbsp;/p
pThere is no complete agreement on the true meaning of productivity, generally it is defined as the output-input ratio within a time period with due consideration for quality. It can be expressed as follows:/p
pProductivity = Outputs / Input (within a time period, inputs quality considered)br /
Examplebr /
Quantity $/Unitbr /
Car X 4000 $8,000br /
Car Y 6000 $9,500br /
Labor Hours for X 20,000 $12/Hourbr /
Labor Hours for Y 30,000 $14/Hour/p
pWhat is the labor productivity in Hours for each car type?/p
pCar X: (4000 cars / 20000 Hours) = 0.2 Cars / Hours/p
pCar Y: (6000 / 30000) = 0.2 cars/Hours/p
pSimilarly you may get productivity in Dollars/p
pCar X: (4000 X $8000) / (20000 X $12) = $133.33 / cars/p
pCar Y: (6000 X $9500) / (30,000 X $14) = $135.71/ Car/p
pSo in this example productivity by hours for both car is same, but with respect of Dollars car X is cheaper than Car y.br /
How to increase Productivity/p
pIt can be increase by doing following 3 methods/p
p1. By increasing outputs with the same inputs./p
p2. By decreasing inputs and maintaining the same output./p
p3. By increasing output and decreasing input./p
pFurther Productivity implies effectiveness and efficiency in individual and organizational performance./p
pimg alt=Be-effective src=http://suppotech.com/blog/wp-content/uploads/2012/03/be-effective.jpg width=300 height=272 //p
pnbsp;/p
pEffectiveness/p
pEffectiveness is the ability to choose appropriate goals and achieve them. Effectiveness has two parts First, goals must be appropriate. Second, goals must be reached. It is the achievement of objectives/p