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Productivity is a very important measure on several diverse levels. Whether it’s individual, company, or national productivity that’s being measured, it’s a robust indicator of what the output is on each of those levels, capable of predicting the future of each factor.

It is considered that good and increasing productivity leads to greater prosperity for both the individual and the group they belong to.

The Definition of Productivity

Productivity describes the ratio of total output to input or all input factors used in a production process. This is usually represented as output per unit of input, typically over a specific period of time.

In other words, productivity is a measure of all the resources invested in creating some specific output, where time is always an important factor. The definition of productivity also takes efficiency into consideration and the eternal struggle between the two. The optimization of productivity means optimizing efficiency as well, and finding the right balance leads to the most effective results.

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