Productivity

Question 1

Define productivity in English?

Answer 1

The output of a business measured against the inputs used to create it.

Question 2

Define productivity - formula wise?

Answer 2

Output (over a given period of time) /Number of workers.

Question 3

What is the reward for increase productivity?

Answer 3

As employees become more efficient the output per employee will rise (they become more productive) and therefore, average costs will fall.

Question 4

Give the 2 strategies a business can use to increase productivity?

Answer 4

Motivational and occupational.

Question 5

Give 2 motivational strategies that may be used to increase productivity?

Answer 5

• Worker incentives (E.g. bonuses, shares)
• Job rotation
• Fringe benefits (E.g. School fees for employee children)
• Improved working conditions

Question 6

Give the 2 organisational strategies that may be used to increase productivity?

Answer 6

• Stock control/inventory control

- New and latest technology