What is productivity? And, why does it matter?Learn Management Articles on management-info.biz. What is productivity? And, why does it matter? article will help answer your questions on Management Articles.We at management-info.biz specialize in Management Articles. Management Articles at management-info.biz provides the most up to date news and articles. If you have questions please do not hesitate to contact us.
By: Robert F. Abbott When Phil hires a new helper for one of his construction projects, he first watches to see whether or not the newcomer has the right attitudes and habits to keep him as an employee. And, if the newcomer meets expectations,' Phil introduces him to his philosophy about work by telling him the woodcutters story. Two woodcutters who are working together for the first time, set off in the morning to cut down trees. One woodcutter works very hard, and aside from a couple of breaks, works steadily all day. The other woodcutter, though, seems to take many more breaks, at least one every hour. So the first woodcutter expects he'll have cut down many more trees by the end of the day. But, when they quit for the day, the first woodcutter finds, to his surprise, that the second woodcutter has done more, despite taking all those breaks. And, in his frustration, the first woodcutter wonders out loud how the second woodcutter did it. The second woodcutter couldn't help but hear the first woodcutter's question, and replies, 'Yes, I take many more breaks, but every time I take one, I sharpen my axe.' Phil uses this story of the woodcutters to explain his ideas about productivity, and he doesn't relate it to the productivity which economists refer to in their statistics. Phil thinks of productivity in a very immediate way: how many nails you can drive in one hour, for example. The economists are talking about the same thing, only they're talking about it as the sum of many millions of businesses and organizations, so they're talking about productivity in an abstract way. Whatever the case, productivity simply refers to the amount of value you can get from labor, land, or capital (invested money). As we'll see in the next section, Phil's income goes up when he (and his helper’s) productivity goes up. Increasing productivity across a whole nation is also good news. It means everyone in society becomes more prosperous, that everyone (or almost everyone) will have more money to spend or save. Increased productivity can also mean lower prices. For example, if carpenters and home building companies increase their productivity, then house prices will go down. Generally speaking, though, consumers, owners of businesses, and workers in those businesses all share productivity gains. And what about people without job? Well they often gain, too, because when businesses owners and workers make more, they pay more in taxes. In turn, that makes more money available to governments for social programs. Having heard all that, you may be skeptical, thinking your prosperity hasn't gone up much, if at all. But you'd be wrong. Productivity has gone up, and gone up a lot over the past two hundred years, and especially over the past 50 years. It may be invisible to most of us, but productivity is one of the silver bullets that have given us our prosperity and so many of our choices.
|
More Articles:1. What to Ask When You’re Invited to a Meeting By Steve Kaye 1) Where is the agenda? A meeting without an agenda is like a journey without a map; it will always waste your time. Once you have the agenda, make sure that it consists of more than a list of words because this is almost useless. The agenda for an effective meeting will provide a complete description of how the meeting will proceed.2) What is the goal? Is the chair seeking an agreement, a solution, or a plan? Knowing the goal gives you head start on participating effectively. Be cautious… 2. Retain Your Best People By Dorene Lehavi Many managers and team leaders ask me how to deal with employees in a way that will maximize their potential, create loyalty and respect, and cut down on high turnover and destructive behavior in the workplace. The single most common reason people stay or leave an organization is based on the relationship they have with their direct supervisor. Therefore, the key is to show a keen personal interest in each person. Recognize everyone's uniqueness and find ways to allow that uniqueness to be exp… 3. Is Your Management Style Assisting or Hurting Your Business? By Vishal P. Rao Many times business owners can have significant differences in management styles that can deter the growth of both the employees and the business.Employees can have differing needs that require differing methods of management as well. Problems arise when the management style of a business owner does not match the needs of the employees.There are two basic management styles that are also broken down into more minor categories, the Autocratic Management Style and the Permissive Management Style.… 4. Coaching Skills for Peers: Extending Influence Many people think of coaching solely as a management technique. Although coaching skills provide managers with the means to get business results while creating solid relationships, the value of coaching in other arenas is often overlooked. Utilizing coaching skills is also beneficial when cooperating and collaborating with others, developing influence within the organization, and getting effective business results.Peer coaching is not a new idea, but is not widely practiced. In fact, there are s… |
||||
