Achieving greater efficiency with a smaller staff requires grasping effective ways to understand job functions and outputs. Not all methods of measuring productivity work due to varying differences based on industry and a variety of tasks. Nevertheless, there are consistent approaches on how to measure employee productivity.
This metric is unavoidable to identify who is either failing or excelling in their position. Employers must develop measures that track performance and emerging issues. The sooner employee output that can impact key drivers to business outcomes are identified, the better.
Here are 11 ways for employers to measure the productivity of employees and move towards cost-efficient activities.
Set a baseline
It is necessary to establish a starting place to measure employee productivity. Typically, this entails using operation output numbers for a business normal day to set an average. This total is divided by the number of employees, either for the entire company or separate departments.
A practical example of this a small business repair shop that uses the average number of repair services it performs. That number is divided by the number of workers to determine the baseline.