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Importance of Employee Productivity in Business

Any business aims to make money and profits, and employees are the primary source of increased revenue for any enterprise. Individual employees contribute to the overall workings of a business with their skills. It is naïve to assume that large companies are successful because of their enormous workforce. Tracking employee productivity is a sure way to bring high ROIs. However, most enterprises focus on the macro aspects of workforce productivity more than the micro aspect of employee productivity, which affects the overall results.

Understanding Individual and Workforce Productivity

Individual productivity is the productivity of each employee in the workforce of a company. Workforce productivity refers to the overall productivity of an enterprise. Though they are interlinked, they require different optimization strategies. A common way to evaluate workforce productivity is to conclude from insights provided by metrics like revenue, production levels, customers, and similar metrics over time.

However, individual productivity gets submerged in this arrangement. This is because even if there are ‘unproductive’ members or employees, it is the enterprise’s overall productivity that matters. This approach towards productivity is a significant cause of reduced workforce productivity.

For a company to reach its optimal level, it has to tap into the productivity of every employee. An analysis of individual productivity ensures assistance to the less productive employees, turning them into productive ones over time.

Best Approach to enhance Employee Productivity

It will be an unrealistic assumption that employees will give their 100% all the time. The best approach to enhancing individual productivity will be to set a clear productivity baseline. Companies should ensure that employees’ productivity does not fall below this level while allowing for occasional dips in their productivity. Optimizing individual productivity is vital for enhancing the overall productivity of any enterprise.

How to enhance Employee Productivity

“Which is the best way to enhance individual productivity of employees” is a question that plagues enterprises even today. Though there is no clear answer to the question, considerations must be made while formulating an action plan. Enterprises should understand that productivity is a combination of skill, time management, and the drive to get the job done. There are six ways through which a top-down model of individual productivity enhancement can be implemented:

  1. Business process optimization where employees can be productive
  2. Transparency about business goals so that employees know the objective of a project
  • Building confidence among employees by engaging them in decision-making processes and suggestion channels in the business
  1. Hiring employees who have proven their productivity previously
  2. Employee engagement through company events like office parties, incentives, and groups. The enterprise has to ensure that the employees use the “reach out to us today ” service extended to them by their managers.
  3. Brainstorm about how employees can be made productive by monitoring their overall productivity