Measure Productivity of Employees: An Overview

Having a productive workplace is essential for any business to succeed. But how do you measure productivity? This article will explain the various methods of how to measure productivity of employees, so you can identify areas where improvements are needed and increase efficiency in your workplace.

Time-Based Measures of Productivity

Time-based measures of productivity are one of the most common ways to measure employee output. It is based on the idea that more time spent on a task equates to higher productivity. This method can be used for many tasks, such as customer service or data entry, where each task requires a specific amount of time to complete. The number of tasks completed per hour can then be used as an indicator for productivity. This type of measurement is also useful when tracking employees’ work hours, as it allows managers to compare how much time each employee spends on individual tasks.

Output-Based Measures of Productivity

Output-based measures are another way to measure employee performance. Unlike time-based measures, which rely on an individual’s speed and accuracy alone, output-based measures look at the actual outcomes or results achieved by an individual or team in relation to the resources they have available to them. Output-based measurements are especially useful when measuring complex projects that involve multiple steps and processes. It allows managers to assess how well resources are being used and make changes accordingly if they need improvement.

For example, if a sales team has a goal of selling 10 units per day but only sells 7 units per day, it indicates that either their technique needs adjusting or they need additional resources such as better training or more staff members. Output-based measurements help managers identify these issues quickly and make necessary changes before it affects their bottom line.

Quality-Based Measures of Productivity

Quality-based measurements focus on how well employees perform their tasks rather than just how much they produce in terms of quantity. Quality measurements take into account factors such as accuracy, customer satisfaction, and turnaround times when assessing productivity levels. For example, if a customer service representative takes too long to respond to customers’ queries or provides inaccurate information, this would reflect poorly on their quality score regardless of how fast they work or how many queries they respond to in an hour. Quality scores can also be tracked over time so managers can see whether employees are improving or declining in their performance levels over time. 


Measuring employee productivity is essential for any business looking to improve its efficiency and ensure that its employees are performing at their best level possible. Time-, output-, and quality-based measures provide different perspectives into employee performance levels which allows managers to accurately identify areas where improvement is needed and take the necessary steps towards increasing efficiency in the workplace.. With these methods at hand, businesses can create strategies for success by optimizing their processes and utilizing resources effectively while still providing excellent service and satisfaction for customers overall!