Monthly Archives: December 2015

Production And Productivity || Basic Concepts Of Productivity


Production is related with the productive work. This term is both refer the production and service provided by the men or other source. It is mostly used in the production related sector. It is very important to know the definition of production. Normally production means to produce something by a process. In the other hand production means the integrated effort of Land, Labor, Capital and Organization. It is very important to measure the production of an industry or an organization. In this article I will emphasis on production and productivity.


Productivity is very important to compare with the two different production units. By measuring productivity, we can determine the progress or decrees of a company related with production. Followings are the definition of productivity. They are-

  • Productivity is the ratio between output and input.
  • Productivity is concerned with the efficient utilization of resources (Input) in producing goods and services (Output). We can measure the productivity as follow:

If, Productivity = P

Output = O

And Input = I

According to Productivity Definition

Productivity, P = O/I

Basic Concepts of Productivity

Productivity is the important terms in the new day. Everyone tries to improve their productivity by utilizing their limited resources. If one can find out the obstacles’ in the path of improvement then he or she can take necessary steps to remove that are obstacles. Here, I will compare two production units for giving clear concept about productivity.

Production Unit 01

Production = 10,000 unit.

Employment = 50 no

Hours = 8   hour per day

Days = 25 days

So, Production P =10,000/ (50*8*25) = 1 unit

And Production Unit 02

Production = 12,000 unit.

Employment = 60 no

Hours = 8 hour per day

Days = 25 days

So, Production P =12,000/ (60*8*25) = 1 unit

From the above, I have take two changes in the two production unit; they are production and men power. In the both stage I did not change the total hour, days. So, it’s your time to calculate the productivity in your industry.

If we can change the productivity ration in upward then it will sure to get success. Remember it, today is better than yesterday and tomorrow will be better than today. Best of luck.