March 11th, 2021

The Importance of Productivity in the Workplace

Knowing more about the importance of workplace productivity is beneficial to any company. Productivity is defined by how efficiently resources are used to produce profits or gains through a product or service offering, evaluating the result then taking the necessary steps based on the results to increased sales and lower costs. In essence, its vital and the key to success in any company.

Companies that are productive perform better and tend to last longer in industry. Here are some key areas productivity impacts the most:


If staff are unproductive, even just for a few hours a week, this in the long term is enough to cause serious impact to business overheads. The larger the company, the greater the impact. Unproductive working is usually caused by a shortage of skills or not providing staff with the right tools they need to perform their roles.

Though, ensuring staff are trained regularly and in line with the best practices in industry not only keeps them engaged but allows them to progress within the business and personally too, aiding productivity and therefore benefiting a companies finances.


Companies create lasting relationships with customers when products and services are delivered on time, accurately and with minimal hold ups or flaws. Productive employees help to make this happen and also make a positive impression on the other businesses they come into contact with which eventually leads to greater opportunities for the company they are representing. Staff that act in this way also help to build new business due to positive word-of-mouth in industry based on the experience they provide others.

When staff are productive, time is optimised when working meaning more tasks are completed in less time, and usually to a higher standard. When customers get the first hand impact of this, it can only result in positive outcomes.


Productivity is not solely dependent on the performance of employees but also about the operation methods being used. It is not just solved by simply asking workers to do more and in less time. Actions to develop the work process should also be considered. Improving this area of the organization also causes productivity to improve which, in turn, saves time.

Saving time allows employees to perform other tasks that will help benefit them in the long run such as planning ahead and creating work strategies. It is a cycle that benefits itself that ultimately makes the company run smoother.


Productivity and morale have a co-dependent relationship with one another. When morale is low, productivity is low. When morale is high, productivity is high. Stress plays a big factor in workplace environment, and when one employee sees another one slacking off, their morale and productivity is affected. This might continue on as a dangerous cycle, lowering one employee’s morale to another’s.

Productive operations and setting up a system that boosts morale is one way to maintain great productivity levels. If employees are able to finish their work in a certain amount of time, they will feel satisfied. However, not doing so might frustrate them. Utilizing a work system that keeps them productive so that they can finish their work is a way to improve company morale.

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