Factors Affecting Productivity
Productivity measures the output of production with respect to input. It can be measure by mathematical expression as
Productivity = Output / Input
Productivity measures the efficiency of production process. Higher productivity allows organisation to pay higher wages and achieve increased profits at the same time. Thus every organisation always trying to improve it’s productivity.
Let’s discuss about factors influencing the productivity
Productivity can be affected by many different factors, out of which some are controllable while some are uncontrollable. These factors are as follows –
• Controllable factors –
1. Product
Contributions, nature or type of product affect the productivity as simple design and less skill requirement results in increased productivity and vice versa.
2. Plant and equipment
To enhance productivity proper layout as well as proper tools are required. This will reduce your time of manufacturing and also enhance quality of the product.
3. Technology
As new generation has come into the technology, latest technology boost the product8. Industry 4.0 is the best example of use of latest technology.
4. Material and energy
Increasing efficiency the consumption of material and energy which will improve the productivity.
5. Human factor
Operator skills plays very important role in productivity. Increased skills and confidence of operators can boost productivity.
6. Work method
Efficient work method makes work flow smooth, causes increased productivity.
• Uncontrollable factors –
1. Government policies
Government policies and taxes are decided by the government authorities, which can not be changed.
2. Social and economical structure
Social and economical structure changes purchasing power human being. Their tradition, cultural value affects the overall productivity.
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