10 reasons why you should measure employee productivity

01/17/2024

In today's fast-paced business environment, employee efficiency and productivity are key elements of any organization's success. One of the effective tools that supports human resource management is to systematically measure employee productivity.

Organizations that actively measure employee productivity can adjust business strategies, identify areas for training, and effectively control their operational processes.

Importantly, measuring employee productivity benefits not only the entrepreneurs who employ them, but also the employees themselves. Let's take a closer look.

Why measure employee productivity?

Here are 10 reasons why you should measure employee productivity and invest in your team's performance monitoring processes.

1. Improve Operational Efficiency: Performance monitoring allows you to identify areas that need corrective action. As a result, operational processes can be optimized, which translates into greater efficiency for the entire company.

2. Optimal Work Planning: Performance measurement allows for better management of human resources by adjusting the number of employees to the current needs of the company. This is measurable data for optimal work planning to handle changing volumes.

3. Rapid Response to Processes: Thanks to ongoing work monitoring, management can quickly react to possible problems in the process, make necessary transfers between teams to ensure the continuity of the process and timely execution of orders.

4. Employee Motivation: Knowing that their work is being monitored motivates employees to be more engaged and focused. It also translates directly into an increase in employee awareness of punctuality and the use of breaks.

5. Individual Employee Development: Measuring performance allows to identify strengths and areas for improvement for individual employees. This, in turn, makes it possible to tailor training programs to individual development needs.

6. Fair Evaluation: Systematic performance monitoring provides reliable, objective data that can be taken into account when evaluating an employee. Measurable, objective data recorded by the system can be taken into account in the bonus process, giving employees a sense of fairness and agency, and thus increasing employee motivation.

7. Development of Organizational Culture: Systematic evaluation of employees' work influences the formation of a positive organizational culture, where achievements are appreciated and any challenges are treated as an opportunity for development.

8. Replication of Good Practices: comparing and collating data on the performance of individual teams or locations in order to replicate good practices and fully exploit the potential of all employees.

9. Identifying Potential Leaders: Analyzing performance outcomes allows you to identify high-potential individuals. This is valuable information for the process of human resources development and planning of the career path and succession.

10. Financial Resource Optimization: Measuring performance allows you to identify areas where financial resources are being misused. Optimizing these resources translates into better financial results for the company.

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Optimize working time and efficiency of your team

Measure employee productivity in Time Harmony

Labour Management System within the Time Harmony operating system measures the time of all performed activities and, based on the norms and parameters assigned to these activities, calculates the efficiency of employees. Performance data is available for individual employees, teams, locations, or parameters.

See what employee performance data reports are available in Time Harmony.

What is extremely important, thanks to anonymized data, knowledge about the employee's performance, pace of work and time of activities is available only to the employee himself and his leader. This gives employees control over their pace of work and the ability to increase work rates while maintaining confidentiality.

Compare performance data across locations

Time Harmony gives the ability to track data on the pace of order execution and the performance of teams in different locations, providing knowledge to analyze causes and correct process elements in locations with lower performance.

Planning work based on performance data

Thanks to the use of filters and extensive data granularity, Time Harmony is a tool for planning and tracking work at the level of one or more locations, also at the global level. It is a unified communication and reporting that significantly supports the management of operational processes.

 

The performance data provided by Time Harmony is an invaluable source of knowledge to help plan the workload. Based on performance data, work managers can adjust the staffing of individual shifts to meet the changing volume in a timely manner.
We encourage you to read our case studies, in which we describe the use of the performance measurement functionality in our clients' companies operating in the logistics, warehouse and production industries.
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