Top Issues An Entrepreneur Must Know About Productivity – Part 2

Welcome once again.

Being the second part of this article, today I would like to briefly consider the major production resources, and try to bring out productivity issues regarding them. As I mentioned last time, most people talk about productivity in relation to staffs or human resource, but forget that there are other areas of productivity that are even more critical.

All productive resources be it labour, materials, money etc have to be looked at in terms of productivity. Don’t you think so? Would it not make a lot of sense to ensure that whatever you have in your entrepreneurial hands are well managed to ensure maximum productivity and return on investment? So, we will take a quick look at these resources below.

  • Labour – I will start with labour productivity, at least to make some people happy, as I mentioned before that many entrepreneurs and leaders talk about productivity with special emphasis on labour. Anyway, what do you get per hour of labor input Mr. Entrepreneur? Are you content in having staffs clock in and out daily, with a well- kept log-in register but hardly anything to show for the countless man-hours? Of course you can explain away your poor business circumstances and blame the economy, not knowing that you are paying money for near-nil labour productivity. Couldn’t this be possible?
  • Machinery – What about making those poor machines run for countless hours and produce hardly anything. You could call it scrapping by or hard work. Isn’t it? Do your understand machinery productivity? What output does your enterprise have for every hour the machines run? It is not just about running machines Mr. Entrepreneur. Do you get what I mean? I know some people do not even oil and grease the machines, leave alone other forms of maintenance, not knowing that these determine what they get per hour of running the machines. If machines could talk, I think they would blacklist some entrepreneurs! Are you among them?
  • Materials – Again, some people have a faint idea of material productivity. You might think I’m not speaking the truth but I am. I have met people who easily explain away 40% material loss. It’s even worse when they think this is normal and they defend their waste very seriously. Now, don’t get me wrong. You might be in some extractive industry where the 40% loss is normal. OK? But what is the normal material waste or loss in your industry? Do you have an idea? Have you considered ways of improving output per unit of material you put into the process in your enterprise? Have you considered the impact of your machines and labour on materials productivity and waste?
  • Land – When I talk about land some people’s minds run to farming, a thing that some people do not like at all and yet they expect food products to be available in the market. For you to appreciate land productivity, think of any piece of land that you own or have control over in terms of use. Even when your enterprise is purely a manufacturing one, your plant and machinery and factory premises still sit on land anyway, not in space. What returns are you getting from the utilization of that land under your control? How does it compare with what others are gaining from the same land? How does it compare with the potential?
  • Money – Finally, we have money, the thing that speaks the language that everybody understands. If you gave 10,000 dollars to two individuals and allowed them say 10 years to multiply that money, you might be very surprised by the result of comparing the outturns or returns after that period. Money begets money – though this rule does not apply to everybody. Some people are so daft, I mean so financially unintelligent, that even a zillion dollars inflow cannot redeem them because they would lose it all in a short time. They would just remain as poor and as hopeless as they were simply because they have no clue about managing the money. Money productivity differs depending on how you manage it and what you invest it in. Keeping your money in the bank certainly will not give you the kind of returns you would get when you invest in a profitable business. Don’t you think so? As an entrepreneur, do you consider money productivity or returns before choosing your investment options?

So, as I conclude this brief article today, you had better start looking at productivity from a broader perspective. Bring into focus all the productive resources you have, those that you have mobilized and those that you have borrowed. Make decisions that will rapidly multiply the talent (read resource) that you have. To him that has more, more shall be given. If you choose to do the opposite, that’s up to you, but don’t come back crying about losses in your enterprises, because low resource productivity is a good friend to business losses.

At least, we have looked at productivity (output per unit of input) without all those numbers and calculations that some people fear like a plague. Haven’t we? Cheers!

Till then,

The Wise Entrepreneur

Comments

comments

17 Comments

  1. I was more than happy to seek out this web-site.I wanted to thanks in your time for this wonderful learn!! I definitely enjoying each little little bit of it and I’ve you bookmarked to check out new stuff you blog post.

  2. adidas nmd says:

    WONDERFUL Post.thanks for share..more wait .. ?

  3. I wanted to write a small comment to say thanks to you for these amazing tips you are placing at this website. My considerable internet search has finally been rewarded with high-quality information to go over with my classmates and friends. I ‘d admit that many of us site visitors actually are unequivocally endowed to be in a magnificent network with so many lovely individuals with insightful tactics. I feel truly lucky to have encountered the webpage and look forward to so many more amazing minutes reading here. Thanks a lot once again for all the details.

  4. yeezy boost says:

    I am commenting to make you be aware of what a superb experience our princess undergone viewing yuor web blog. She noticed a good number of issues, not to mention how it is like to possess a wonderful teaching heart to get the others just learn certain multifaceted issues. You truly surpassed visitors’ desires. Many thanks for producing such powerful, trustworthy, educational and even fun guidance on that topic to Emily.

  5. I wish to voice my admiration for your generosity in support of individuals who absolutely need guidance on this important subject. Your very own dedication to passing the solution all through was rather effective and have constantly made employees much like me to reach their aims. Your entire warm and friendly tutorial can mean a lot to me and even more to my colleagues. Many thanks; from everyone of us.

  6. curry 3 says:

    I have to express my appreciation to this writer for bailing me out of such a difficulty. After exploring throughout the online world and getting tricks which are not beneficial, I believed my life was gone. Existing without the presence of strategies to the problems you have fixed by means of this blog post is a critical case, and the kind which could have negatively damaged my career if I had not discovered your site. Your good skills and kindness in controlling every part was excellent. I’m not sure what I would’ve done if I hadn’t encountered such a thing like this. I am able to at this point look forward to my future. Thanks a lot very much for this reliable and effective help. I will not hesitate to refer the blog to any person who will need support about this situation.

  7. Thanks for all your valuable efforts on this web site. Kate really likes making time for investigations and it’s really easy to understand why. My spouse and i learn all of the dynamic mode you produce efficient guidelines on the website and as well as increase participation from other ones on this matter then my daughter is learning a whole lot. Take advantage of the remaining portion of the new year. You’re performing a dazzling job.

  8. I抎 have to test with you here. Which isn’t something I often do! I get pleasure from reading a post that will make folks think. Also, thanks for permitting me to remark!

  9. Absolutely pent content material, Really enjoyed studying.

  10. jordan retro says:

    My husband and i felt really ecstatic Emmanuel could do his web research by way of the ideas he received through the web page. It’s not at all simplistic just to possibly be making a gift of key points that many the rest may have been selling. And we all acknowledge we need you to thank because of that. The type of explanations you’ve made, the simple site navigation, the relationships you can assist to foster – it is most fabulous, and it’s aiding our son in addition to us reckon that the content is awesome, and that is especially important. Many thanks for all!

  11. nike dunks says:

    I precisely desired to say thanks all over again. I am not sure the things that I might have gone through in the absence of those information contributed by you relating to my subject matter. It actually was a very alarming concern in my opinion, however , viewing this well-written tactic you solved the issue took me to jump over contentment. Now i am thankful for this advice and sincerely hope you are aware of a powerful job that you are accomplishing instructing the rest by way of your web site. I am sure you have never met any of us.

  12. I needed to draft you this little bit of observation to finally thank you very much as before over the splendid strategies you’ve featured above. It’s certainly surprisingly open-handed with you to grant openly all that a number of people would’ve distributed for an e-book to end up making some money on their own, notably considering the fact that you could have tried it if you wanted. These guidelines in addition served as a good way to be aware that other people online have the same dream much like my own to find out a whole lot more pertaining to this matter. I know there are thousands of more fun opportunities up front for people who go through your blog post.

  13. hermes belt says:

    Thank you for all your valuable hard work on this web page. Kate delights in getting into research and it is obvious why. Almost all learn all regarding the lively way you present simple things via this blog and as well improve participation from other people about this topic plus my girl is actually studying so much. Take pleasure in the rest of the year. You have been carrying out a really great job.

  14. yeezy shoes says:

    I have to show some thanks to this writer just for bailing me out of this crisis. After looking out through the world-wide-web and meeting things which were not pleasant, I assumed my entire life was over. Being alive devoid of the answers to the problems you have solved through your main report is a critical case, and the ones that would have negatively affected my career if I hadn’t come across your blog post. Your good knowledge and kindness in maneuvering almost everything was priceless. I am not sure what I would have done if I had not discovered such a solution like this. I can at this moment relish my future. Thank you very much for the reliable and sensible help. I won’t hesitate to propose your web sites to any individual who needs to have care about this situation.

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

Share