3.4.2 Labour productivity

Question 1

what are the key factors in labour productivity

Answer 1

motivation
quality of components
extent of training
reliability of suppliers

Question 2

what is the calculation for labour productivity

Answer 2

output per period.
number of employee

= —— output per employee per (time frame eg month)

Question 3

ways to improve labour productivity

Answer 3

set targets
streamline production
invest in capital equipment
employee training
improve working conditions
Increase motivation with:
1) Financial benefits
2) fringe benefits (free gym)
3) personal praise
4) etc

Question 4

problems with increasing labour productivity

Answer 4

increase cost
Could have trade off such as reduced quality
employee resistance