- 1 What is Employee Productivity?
- 2 Why is Employee Productivity Important?
- 3 How Do You Measure Employee Productivity
- 4 Measure Employee Productivity with PeerBie
Measuring employee productivity has become a more critical issue with the change of work models. The advantages and disadvantages of the remote and hybrid work model become a subject for companies and researchers to discuss with the higher rate of applications in various businesses. Most of the big companies like Microsoft, Spotify, Twitter, etc. have started adapting flexible work models for their workplace culture. For example, Facebook has made more than half of its employees work from home.
With the given results, the remote and hybrid work models are here to stay since traditional office days are not preferred anymore. The reason can be found in statistics, apart from examples. Gartner’s CFO Survey concluded that 74% of employees intend to shift to remote work permanently. Employees think that remote work is creating better work-life balance thus, increasing performance.
In fact, employees who work from home are more productive than those who work in the office. The main reason is the freedom, employees can establish their work hours according to their most productive hours and day, rather than the usual 9 to 5 hours.
According to Forbes, one of the most effective advantages of flexible work is that it provides employers a boost in employee retention, 75% of employers agreed with this assertion. When companies provide remote work opportunities, they observe a significant drop in employee attrition.
There is a big change happening in the business world, and in large part to make things better and increase productivity. But there is a problem that should not be overlooked. How can we measure employee productivity while working remotely? Things can go bad if new management systems are not adopted and productivity is not thought about, as a new working model is adopted through the way.
Let’s dive into this topic.
What is Employee Productivity?
Employee productivity is an assessment of the efficiency of worker of a group of workers. It is defined as an employee’s capacity to convert input (instructions, directives, requirements, and so on) into output. It is a measurement of how employees create input and transform it into output during a certain time period.
Why is Employee Productivity Important?
Productivity influences business costs as well. Employees will have more time to devote to other projects or activities if they accomplish duties on time. As a result, productivity rises, resulting in cost savings. There is no question that if people are productive and devoted to their jobs, the quality and quantity of work will improve. The organization will attain higher production and more targets.
How Do You Measure Employee Productivity
These steps may be helpful in the process:
Concentrating on Profits
You can start by calculating how much you have sold and how many inputs you have put into making this sale. By comparing the data, you can measure how productive your strategies and plans are when it comes to profit.
Task and Time Management
Another step of measuring the productivity of your employees is by calculating when and how tasks are completed. As you do this, ask the following question: ‘How and when do they get the job done?’.
Sometimes it is all about measuring the time it takes, remember time is money. You can manage time by using timesheets and you can make a measurement with the connection between the workload and time used.
Feedback and Peer Assessment
You can measure employee productivity with the feedback you collect from employees and managers. Do people think their coworkers are doing enough or do they pass the work on to others? Is the manager able to deliver the assigned tasks on time, or do more resources need to be used? You can make a performance evaluation with such observations.
Comparing Labor Time to Good Produced
Some business areas require direct proportioning, for example on production lines. Another measurement that can be made here is to make a comparison. Here, the question of interes is how much goods are produced and how much labor & time you have put into a specific time frame.
Monitoring Employee Progress
Running a business means taking steps with your employees every day. In this case, you can have an idea about how productive an employee is by evaluating their development.
How many sales you make or how many people use your service may not give you the exact measure of productivity. Even if you take as many actions as you want, they can not be considered successful if the customer is not satisfied. Succesfull customing ratings based on better productivity.
Measure Employee Productivity with PeerBie
It may seem impossible to collect the data for measuring employee productivity with remote or hybrid work models. Actually, there is an opposite situation. Even though you remain in the in-office work model, there is no way that you can check or collect information right away or fast enough. The process will take longer since you have to deal with many documents and files. On the contrary, methods provided by certain software and apps make it easier than ever before.
You can learn every information you need and provide a better solution for your business with PeerBie. Assign tasks to employees with deadlines, importance, and required notes and just collect the performance results.
Planning is one thing, you can also track the progress of any employee or project with PeerBie. PeerBie prepares performance reports of each employee with special algorithms. You can see who started their workday, what they plan to do, or when with ‘Daily Dashboards.’ Monitor projects and status of your teams, if something is off track you can see and interfere without losing a second.
Access all necessary data to measure employee productivity with PeerBie:
- Task management
- TT & Issue management
- Project management
- Customer management
- Performance management
- Time management
- Calendar Management