How To Increase Productivity in the Workplace

What is productivity in the workplace?

Productivity in the workplace is a measure of how much employees are accomplishing as they perform tasks and functions tied to an organization’s desired output. It’s a measure of the goods or services that employees can produce within a certain timeframe. The ability to measure employee productivity is critical to ensure desired performance outcomes.

Companies are obviously concerned with ensuring maximum productivity. Boosting employee productivity means that the environment must be right for employees to thrive. That means keeping them engaged, ensuring they have the tools and resources required to get their jobs done, and keeping them onboard, aligned, and committed to desired organizational outcomes. 

What are the four types of workplace productivity measures?

There are generally four types of productivity measures: labor productivity, capital productivity, material productivity, and total factor productivity.

• Labor productivity is a measure that compares human output to the effort required to produce that output.

• Capital productivity is a measure of the effectiveness of an organization’s physical resources in the production of its goods and services.

• Material productivity is a measure of how efficiently raw materials are used to produce goods and services.

• Total factor productivity is a measure of how much output can be created based on the input required to create that output.

Companies are driven to “do more with less” when it comes to each of these productivity measures. The fewer resources expended, the greater the profitability of the company.  

Measuring employee productivity varies by industry and role, but there are some common metrics that many companies use to determine the value of their human resources. These might include:

• Task completion rates

• Total cost of workforce (TCOW)

• Absenteeism

• Turnover and succession planning

• Time to productivity

• Learning metrics

The ability to deploy a company’s resources—both people and capital—efficiently has a direct impact on business outcomes.

The link between workplace productivity and business outcomes

Workplace productivity drives business outcomes. It’s important to note that productivity isn’t just a measure of the quantity of work output. It must also take into consideration the quality of the output. Productive employees are able to effectively prioritize their work, deliver work on time, and meet or exceed performance expectations.

When employees are productive, business outcomes are supported and achieved. Employees themselves recognize this important link. Deloitte research indicates that 89% of all surveyed workers believe that when they’re happier and more satisfied at work, they’re more productivity. Forbes Coaches Council has also pointed to the important link between employee engagement and business outcomes, saying that “leaders who focus on their people’s well-being can build energy-inspired workplaces, where they keep their people fueled and encourage sustianable work.” 

That makes people management especially important. 

From the moment an employee is hired, the organization, its HR leaders, managers, and supervisors are focused on ensuring that the employee is supported in their ability to get work done efficiently, on time, and in a way that achieves product, service, and customer quality expectations. In fact, one of the important productivity metrics that organizations often monitor is “time to productivity,” a measure of how quickly new employees are able to ramp up to full productivity.

One recent major impact on workplace and employee productivity is technology—specifically artificial intelligence (AI).  

How can AI boost productivity in the workplace?

AI tools like generative AI (genAI) have had a significant impact on productivity over the past few years and are likely to continue to boost productivity for employees in various types of job roles. AI has a role to play in both increasing efficiency or productivity, and in measuring how productive an organization and its employees are.

Brookings points out that technological advances have historically been the primary source of productivity increases and notes that “recent advances have triggered massive investments and a range of new applications.” AI, they note, is contributing to productivity in a number of ways:

• Increasing the productivity of workers, especially in less-skilled occupations like call center agents

• Contributing to scientific advancements

• Improving productivity in the healthcare industry

Importantly, while AI is already contributing in a positive way to boosting productivity, it is likely to have an even greater impact in the future—although the specifics of these improvements are yet unknown.

Visier is at the forefront of using AI to help organizations both measure and improve productivity.

7 steps to increase productivity in the workplace

1. Set clear goals and expectations

Establish well-defined performance goals aligned with business objectives. Communicate these expectations clearly to employees and regularly review progress through check-ins and performance analytics. Encourage continuous feedback between employees, managers, and teams to keep goals on track and adjust as needed.

2. Use analytics to gain deep workforce insights

Leverage foundational people analytics to understand key workforce trends. Identify skills gaps, monitor employee engagement levels, and track workforce demographics. These insights enable HR leaders to proactively address challenges, enhance employee experience, and optimize talent strategies.

3. Connect people data with work data

Integrate people data with business and operational data to reveal how tasks, collaboration patterns, and workflows impact productivity. By understanding these connections, organizations can fine-tune processes, improve team dynamics, and remove bottlenecks that hinder efficiency.

4. Optimize digital collaboration and automation

Improve efficiency by leveraging digital tools that enhance collaboration and streamline workflows. AI-powered chatbots, project management platforms, and knowledge-sharing systems can reduce inefficiencies, automate repetitive tasks, and help employees stay focused on high-value work. 

5. Make data-driven talent development decisions

Upskilling and reskilling employees based on evolving business needs can prevent productivity roadblocks caused by skill gaps. People analytics can help HR leaders identify development opportunities and create personalized learning pathways, ensuring employees have the right skills at the right time.

6. Encourage innovation problem-solving mindsets

Empower employees with data-driven insights and autonomy to solve challenges proactively. When employees understand how their work contributes to larger goals, they are more likely to take ownership and drive continuous improvement. Creating a culture that values innovation and problem-solving fosters long-term productivity gains.

7. Continuously track, measure, and adapt

To sustain long-term productivity gains, organizations must continuously track key performance indicators (KPIs), measure progress, and adapt their strategies quickly based on real-time insights.

Using Vee Boards, HR and business leaders can gain a dynamic view of workforce performance, operational efficiency, and employee engagement. These tools provide real-time, AI-driven insights that help identify trends, spot potential issues before they escalate, and measure the impact of productivity initiatives.

How organizations can use Visier to increase workplace productivity

Visier helps companies improve productivity by offering deep insights into workforce data through people analytics. Visier AI-powered tools allow organizations to identify areas of opportunity for improvement, optimize staffing levels, improve employee engagement, and make data-driven decisions to improve overall workforce efficiencies.

By unifying and activating people and work data across their organization, leaders can better understand the impact of employee engagement on productivity and business impact. Harnessing data that may have been previously in silos, and bringing that data together can help companies glean reliable, current, data-driven insights.

Through the power of AI, Visier can help you build, scale, or extend your people analytics practices--delivering insights that can have measurable business impact. 

Armed with ready access to reliable people data, you’ll be able to focus more strategically on workforce planning efforts to maximize your human resource investment while maintaining satisfaction and engagement. Visier Workforce Planning helps neusre that HR, finance, and other business leaders are working in concert to achieve business goals. 

Vee, Visier’s AI companion, can help you leverage your data to answer your most pressing people-related qeustions. Vee can serve as a go-to digital assistant to deliver the insights you need to drive productivity through an engaged workforce. 

Learn how Visier can have a positive impact on your organization’s productivity and quality outputs. Explore the workforce AI edge.