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Productivity

In general, productivity is a measure of how well an organization uses its resources. It is a measure of the amount of output per unit of input (inputs like labor, equipment, and capital). Productivity is a specific measure of the efficiency of production. Also, productivity is a ratio of what is produced compared to what is required to produce the result. Usually the productivity ratio is an average, expressing the total output divided by the total input for a period of time. Productivity is a measure of output from a production process for a unit of input. Productivity can be measured in several ways: 1) output per worker or per hour of labor, 2) output per unit of time (eg., hour or day or week) and 3) output per machine.



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