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How to Measure Employee Productivity?

September 3, 2019 by OSYB Staff

Employees factor in as a large business operating expense, therefore it is important to track and record employee productivity. Intuit QuickBooks shares a measuring method that is helpful:

  • Set a baseline that you can use to measure employee productivity. Use your daily business output and divide that by the number of employees who participate in the process. For example, if you own a sandwich shop and you sell 220 sandwiches in a day and you have 4 employees, your baseline would be 220 divided by 4 which is an average of 55 sandwiches per employee.
  • Look for areas in the job flow that could become more efficient. For example, put required equipment closest to where it will be needed.
  • Track your employees individually and help them to find ways to become more efficient and meet the baseline.
  • Measure and track your employees regularly to find ways to improve productivity together.
  • Create a motivated culture that values employees who understand their roles and expected outcomes, and are provided with the necessary training to meet set business goals.


For full article: How to Measure and Increase Employee Productivity
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