Currently, organizations, under the constant influence of competition, strive to stand out from the general competitive row, to become the best for their consumers. The fundamental goal of any enterprise remains to make a profit. Its increase is the main task of the management personnel.
Instructions
Step 1
The increase in profits is directly dependent on two factors: lower costs and an increase in labor productivity. Cost reduction is possible due to the use of cheaper materials for production, staff reduction, lower wages. Of course, this kind of "event" does not in the best way affect the reputation of the organization. In addition, cheap materials reduce product quality. The increase in labor productivity is a complex factor that requires detailed consideration.
Step 2
First you need to understand what performance is. Productivity is labor efficiency, which is determined by the amount of goods produced by one worker per unit of time. Thus, the elements of productivity are workers and time.
Step 3
How can you increase the amount of goods produced by a worker and reduce production time at the same time? Firstly, this is possible by improving the quality of the equipment on which the goods are produced by a given worker, i.e. through modernization. Automation of the workplace will help reduce production time.
Step 4
Also, the working conditions will affect the worker's productivity. In scientific terms, an increase in productivity is possible by reducing the labor intensity indicator. Labor intensity is an inversely proportional value to productivity, defined as the cost of labor and labor time for the production of a unit of output.
Step 5
Of course, modernization, automation and improvement of working conditions are very costly activities. However, the money invested in increasing productivity will definitely return and multiply. That is why you should not be afraid of long-term investments in production.
