How productivity can be measured?Ripunjay Tiwari
Ans. Productivity can be measured in such a way that it clearly reflects the imp-ordnance, and there must not be any ambiguities about the measurements of inputs and outputs
Productivity is measured by different methods in various concerns –
(i) In service industries basic difficulty is to measure outputs and to convert various outputs to one common factor. In such concerns, one way to measure can be customers attended per man day or man week. The problem is that different customers require different types of services and the mix of customers changes from day to day. Therefore, revenue earned per man-day is more suitable and goal oriented measure.
(ii) Productivity of indirect labour engaged in manufacturing may be measured as.
(iii) In manufacturing concerns, productivity can be measured by any of the above two methods.
(iv) In offices, there is no basis of measuring productivity in the administrative offices. Outputs can be measured in terms of letters replied, pages typed, number of files referred to. Time spend for these works can be measured by work sampling techniques. The problem in the measurement is that letters replied may cover different amount of labour involved in dealing them. Some important formulae of productivity measurements are as follows-
(i) Material Productivity –
It can be increased by using minimum materials with the help of skilled worker, and good design produces.