MEASURMENT
,You can’t improve what you
can’t measure
How to measure performance
•Productivity
•Efficiency
•Effectiveness
, Productivity
Productivity = output/input
• Partial Productivity (measures of output against a
specific input)
Partial Productivity = i.e. items made/employee
• Multifactor Productivity (ratio of output to a group
of inputs such as labor and material)
• Total Productivity (includes all inputs in an
organization i.e. labor, materials, overheads,
capital)
Total Productivity = sales/All inputs