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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.
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More Articles:1. How to Manage Your People Well: Tips for Managers of Training By Andrew E. Schwartz As a training manager, there are two important aspects to managing your people well: hiring, supervising, and motivating (managing with your people) and building up corporate support for your department (managing for your people). Unfortunately, training is not well understood by some executives, and its benefits can be hard to assess. Even a good training manager’s department risks cuts by cost-conscious administrators convinced that training is an unnecessary expense. In The Secret of My Suc… 2. Unifying Principles for Family and Youth: Some Head Start Builders PERMISSION TO REPUBLISH: This article may be republished in newsletters and on web sites provided attribution is provided to the author, and it appears with the included copyright, resource box and live web site link. Email notice of intent to publish is appreciated but not required. Mail to: eagibbs@ureach.comManagers, supervisors, parents, teachers, see if these Head Start Seven Builders for Family and Youth apply to you as well.Principle 1. Commit to Quality and Excellence in Thought and Act… 3. Company Liability: Harassment by Non-Employees By Rhonda Goetz Harassment by Non-employees falls under the Hostile Environment category of the federal law that governs harassment and discrimination in the workplace.The Civil Rights Act of 1964 makes it illegal to discriminate on the basis of race, color, religion, age, national origin, and sex. Businesses are required to comply with both federal and state laws governing harassment and discrimination.Hard to believe, but yes the government expects you to protect your employees from outside harassment. Hara… 4. Getting the most from appraisals - from both sides Does your organisation have one of those annual ‘occasions’ that few look forward to: the annual appraisal or performance review? How do you look forward to it? I wonder how people talk about it before and after? Are appraisals worth doing? If done properly – yes. If done poorly – no!!!Why have appraisals? When carried out properly they can achieve a number of benefits for all parties. The organisation, the manager and the appraisee can: establish current levels of performance, and the organisat… |
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