How To Measure Productivity In The Workplace | 4 mins read

7 Tips on How to Measure Productivity in the Workplace

7 tips on how to measure productivity in the workplace
Mary Kate Morrow

By Mary Kate Morrow

7 Ways to Measure Workplace Productivity

Workplace productivity, also commonly referred to as employee productivity, is an important element of business success and profitability. There are various methods available to measure workplace productivity that can be utilized alone or combined.

Gaining a better understanding of employee productivity helps businesses in a wide range of everyday functions. For example, it is much easier to make sure there are enough team members on staff if productivity levels are meeting demand.

There are also other notable benefits of measuring employee productivity that all businesses should be aware of. Firstly, productivity measurements help a business to ascertain if employees are working effectively and if they can expand operations.

However, measuring individual productivity does not always provide a clear picture of productivity levels. As such, measuring team productivity should also be undertaken to make sure a company can take on additional clients or tasks.

Secondly, decision making capabilities are enhanced by measuring employee productivity. From revisions in business goals to crucial financial choices, companies can make better and more informed decisions after measuring productivity levels.

7 best practices for measuring workplace productivity include the analysis of-

1. Time Management

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When a team member spends too much time on their tasks, the productivity of the entire company can be negatively impacted. When team productivity is lowered, business goals and customer service capabilities may also suffer.

To combat this, many companies choose to measure employee productivity through monitoring time spent per task completed. A time management software program can be very helpful to track employee productivity through this method.

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2. Employee Performance Feedback

Analysis of feedback is an excellent way of evaluating employee performance over a period of time. A high productivity workplace encourages team members to provide feedback to one another.

Instead of viewing feedback as negative, it should be reframed as an opportunity to improve productivity and help employees work well together. However, employees must make sure to be especially polite, respectful, and constructive whenever they are providing each other feedback.

3. Goods Produced

A method widely used to measure workplace productivity is the comparison of time spent in relation to goods produced. Dividing hours worked by all team members by the number of goods produced provides a team productivity ratio.

A business can also measure individual productivity through this method by analyzing hours worked by a single employee by the goods they produced. With this information, companies can evaluate if enough quality work is being performed per hour per team member on staff.

4. Customer Service

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Business best practices recognize that providing excellent customer service is essential to business success and profitability. Customer feedback, like employee feedback, is a technique used to measure productivity and track employee performance.

Measuring productivity through customer feedback can be accomplished in many different ways, from administering customer surveys to analyzing social media reviews. Implementing the information that customers supply can help businesses increase productivity and employee performance overall.

Online employee scheduling software that makes shift planning effortless.
Try it free for 14 days.

5. Employee Progress

Consistently measuring the productivity and progress of team members on staff is a great way to improve productivity levels long term. From daily one on one check-ins to weekly team member meetings, there are many different techniques for management to monitor employee progress.

Checking in with team members both individually and as a group presents management with a baseline of daily and weekly employee productivity levels. An additional benefit of this productivity measurement type is that it can increase employee engagement levels and foster a company culture of collaboration.

6. Business Profits

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Monitoring profitability is a common method of measuring productivity in the workplace. Using profits to measure productivity is an ideal option for businesses that find it difficult to measure how long specific activities take.

One significant negative of using profits as a productivity measurement is that there is often a multitude of factors influencing profitability that extend beyond employee performance and workplace productivity. For example, in any given time period there could have been an increase in industry competition or market changes that influence profits.

7. Quality Work

Some productivity measurements do not focus on how much quality work is actually accomplished. Instead of focusing primarily on the time spent to complete individual tasks, the quality work productivity measurement type focuses on the finished product.

In order to make sure that the final product does not take too much time to create, project management skills are useful. Project management skills can be used to break up larger projects into smaller tasks so that management and team members can make sure that everything is going according to plan.

Key Takeaways

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  • Workplace productivity can be measured in many different ways, from analyzing quality work performed to customer service capabilities.
  • From time management to project management software programs, technology can be incredibly helpful in measuring workplace productivity.

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