Most would accept it is a measure of how much “output” a worker produces and he in lies the challenge. For the blue-collar roles, it is measured in physical items produced, in the service industry productivity is measured in; increased sales, higher profits per customer and managing more clients. Therefore, for the services sector, it is about comparing each worker against the average.
What do you think will increase productivity?
For manufacturing, the best example is Henry Ford who looked at every task required to make a model T and built a production line were each worker did one thing very efficiently. We can’t directly apply this to the services sector, but we could look at the tasks and see if we can make them more efficient or remove them altogether.
How would you order the task below for dealing with customers or clients with the one that consumes the most time or takes the longest to complete or inconvenience to the customer at the top?
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