Productivity in an organization is indicated by how well it utilizes resources to produce goods and services and generate revenues. Resources can be human, material, intellectual or financial. Higher productivity results in higher efficiency and ultimately greater success.
Greater productivity ensures that more quality work can be completed in less time. How to increase productivity in an organization?
1. Build trust
The management works with employees to establish relationships, and eventually, those relationships build trust. It takes time and effort to build the relationships necessary to establish trust and that trust can be broken with a single action.
Employees spend most of their time in the workplace. If they don’t believe they are being treated fairly, they lose trust in the leadership. If they feel they are being treated fairly, they will also return the favor by being more productive.
3. Honesty & transparency
When it comes to establishing employer-employee relations, honesty is the best policy. Honesty is very important for developing a good culture. Dishonest leadership lowers employee morale and productivity. At the same time, transparency helps employees build trust in the company.
Employees will be more productive if they are respected. They want leaders to listen to them because they have acquired a lot of knowledge that can be useful for the company. If leaders do not listen, then employees will lose trust and might leave the company.
Employees want to know what’s happening in the organization and future plans. Employees lose trust when management does not communicate with them. Without communication, employees feel they don’t have a guide, and productivity falls.
6. Provide training
Training helps people to perform the job required and good training helps people to perform at higher levels, increasing their productivity. Organizations should put time, effort, and money into training employees. Quality training results in
7. Increase skills
The most important part of increased employee skills is that they benefit both the employees and the organization. Companies benefit by having more competent employees to help achieve work-related goals and objectives. Employees benefit by becoming more skilled and valuable in their work domain.
Training provides employees with new knowledge and that knowledge is shared through collaboration between coworkers. Collaboration encourages people to think differently due to the diversity in teams and the resulting ideas can be beneficial for productivity throughout the company. Collaboration also helps in producing the best quality output because people can work on things they are good at.
10. Don’t micromanage
Employees become less productive when they are micromanaged. Because they are spending less time doing actual work and more time waiting for their boss’s approval for every task they complete.
11. Reward and recognize employees
Employees put a high priority on their compensation. Compensation can come in many forms including salary, bonuses, stock, commissions, benefits, etc. Regardless of the type of compensation, money is typically a major reason why workers remain productive at their jobs.
12. Provide work-life balance
People need to work to sustain a certain lifestyle. But they also need the time to enjoy that lifestyle. Employers can offer employees work-life balance in several ways including, working from home, job sharing, flexible work schedules, and extended maternity/paternity leaves.
When employees have a work-life balance, they believe they are being treated fairly and want to give back. And, the best way to give back to the company is by becoming more productive.
13. Set expectations
Your team can only know what you expect from them, only if you tell them. You need to tell them not only the tasks they have to complete but also the quality of the output required.
14. Provide feedback
According to one study, 82% of employees state that they actually appreciate receiving feedback. Provide feedback at regular intervals. Feedback not only helps employees improve their performance but also helps them understand your expectations. Also, it is necessary to provide specific feedback rather than generic comments.
15. Job rotation
Job rotation entails moving employees from one job function to another. It relieves boredom and stagnation while allowing people to learn skills. As employees learn about new job functions, they get a more holistic view of how the company functions.
16. Workspace design
Employee workspaces are important because they influence productivity. Ergonomics, noise, appearance, and physical size all play a role in the quality and the quantity of work produced. Also, check out our post on how workspace design improves productivity in the workplace.
17. Equip people with the right tools
Software is eating the world and different people are familiar with different tools to get the job done. Give employees the freedom to use the tool of their choice. By doing that, you are not only giving them autonomy but also helping them be more productive.
18. Balance between people and automation tools
There are so many software tools available that help getting most jobs done. Whether it’s project management, social media management, design, sales…there are plenty of tools available. You need to research and see which ones are suitable for your organization.
19. Increase overall happiness
The happier employees are, the better they will perform. So how do you make people in your company happy? A few ways include building a friendly atmosphere, team building activities, Friday pizzas, monthly movie night, etc.
Building a business is like conducting a huge experiment. So try out a few experiments to increase productivity. For example, can you conduct employee appraisals every month and increase pay based on performance? Or maybe instead of hiring 3 people in a team, see if you can hire 2 people instead and use a software tool that could help them complete the job.
High productivity is indicated by how well organizations use human, material, intellectual and financial resources. higher productivity typically results in higher efficiency and ultimately greater success of organizations and the people associated with them.
If you are a startup founder, aspiring entrepreneur, or running a business, take some of our assessments to help you build a better business.
FAQ – Increasing Productivity in an Organization
Q1: What is productivity in an organization? A: Productivity in an organization refers to how efficiently it utilizes its resources, such as human, material, intellectual, and financial, to produce goods and services and generate revenues. Higher productivity leads to increased efficiency and greater success.
Q2: How can trust-building contribute to increased productivity? A: Building trust between management and employees fosters positive relationships. Trust takes time and effort to establish but can be easily broken. Trusting relationships create a conducive environment for higher productivity.
Q3: Why is fairness important for increasing productivity? A: Fair treatment of employees is crucial for maintaining their trust in leadership. When employees feel they are treated fairly, they are more likely to reciprocate by being more productive in their work.
Q4: How does honesty and transparency impact productivity? A: Honesty in employer-employee relations creates a positive culture. Conversely, dishonesty lowers employee morale and productivity. Transparency helps build trust in the company, enhancing overall productivity.
Q5: How does respect influence productivity? A: Respecting employees by valuing their opinions and expertise increases their motivation and productivity. When leaders listen to employees and acknowledge their knowledge, trust is maintained, resulting in higher productivity.
Q6: Why is communication important for productivity? A: Effective communication keeps employees informed about organizational updates and future plans. When management fails to communicate, employees lose trust and feel directionless, leading to decreased productivity.
Q7: How does training contribute to increased productivity? A: Quality training helps employees develop the necessary skills to perform their jobs effectively, leading to higher productivity. Investing time, effort, and resources into training can yield significant productivity gains.
Q8: Why is increasing employee skills important for productivity? A: Enhanced employee skills benefit both the individuals and the organization. Companies gain more competent employees who can contribute to achieving work-related goals, while employees become more valuable in their respective domains.
Q9: How does collaboration impact productivity? A: Collaboration facilitates knowledge sharing among employees, leading to fresh perspectives and innovative ideas. Diverse teams foster productivity and help in producing high-quality outputs by leveraging individuals’ strengths.
Q10: Why should micromanagement be avoided? A: Micromanagement decreases productivity as it hampers employees’ autonomy and increases waiting time for approvals. Allowing employees to work independently and take ownership of their tasks promotes higher productivity.
Q11: How does rewarding and recognizing employees contribute to productivity? A: Employees prioritize compensation, including salary, bonuses, benefits, etc. Rewarding and recognizing their contributions motivates them to remain productive in their roles.
Q12: How does providing work-life balance impact productivity? A: Offering work-life balance options, such as flexible schedules, remote work, and extended leaves, shows employees they are being treated fairly. This, in turn, motivates them to be more productive as they feel valued.
Q13: Why is setting expectations important for productivity? A: Clearly defining tasks and expected output quality helps employees understand their responsibilities. When expectations are communicated, employees can align their efforts accordingly, leading to improved productivity.
Q14: How does providing feedback enhance productivity? A: Regular feedback helps employees improve their performance and align with organizational expectations. Specific feedback is particularly valuable as it guides employees toward higher productivity levels.
Q15: What is job rotation and how does it impact productivity? A: Job rotation involves moving employees across different job functions, reducing monotony and fostering skill development. It provides a broader understanding of the organization, contributing to improved productivity.
Q16: How does workspace design influence productivity? A: Workspace design factors, such as ergonomics, noise levels, aesthetics, and space availability, affect the quality and quantity of work produced. An optimized workspace can contribute to increased productivity by providing a comfortable and efficient environment for employees.