The Evolution of Productivity

When you consider that disengaged employees cost the economy $350 billion a year in lost productivity, it becomes clear that our economic stability and continued growth hinges on making workplaces more productive. However, despite increasing pressures to improve productivity rates, many businesses continue to struggle. Why?

In order to answer this question, we must first clearly define the concept of productivity.

The Old Definition of Productivity

Historically, productivity was defined as doing more—completing a large number of tasks, perhaps with greater velocity. This definition of more came from the outdated business model of setting unmovable goals and rigid strategies to reach those goals and objectives. The thought was that if we threw more people at a task and demanded they increase their speed, their productivity would naturally increase as well.

Given the fact that productivity has been growing at snail speed since 2010 (only 0.4% annually), that old business model has done little to yield the expected results. In fact, we could surmise that the opposite effect has taken hold: in the 15-year history of Gallup’s tracking, the percentage of employees considered to be actively engaged (and therefore productive) in their jobs has consistently been less than 33% each year.

Upon assessing the impact of disengaged employees, we must redefine productivity for today’s workforce.

Productivity in the Digital Age

In today’s economy, which is largely comprised of millennial workers, healthy businesses that value productivity move with agility. Agility is the ability to move and adapt quickly to a constantly changing environment. Agile workers have mastered the art of doing the right things, which often means doing less.

In order for the people in your organization to do the right things, they must first understand their strengths. Knowing what they’re good at motivates and enables them to effectively use those strengths on a daily basis. Research shows that employees who use their strengths daily are more engaged, and therefore, more productive.

Moreover, optimizing team dynamics for better team performance also begins with knowing the strengths of your individuals; some will be strong where others are not. Placing individuals in roles that allow them to be at their very best will naturally improve the relationships among them, which leads to greater productivity.

Bottom line: It all starts with your people. Harnessing their power is essential for growth. As we realize its impact on our economy, the definition of productivity is rapidly changing. Is your business adapting to these changes?

Originally posted on the Throwing Words blog: http://throwingwords.com/the-evolution-of-productivity/