Productivity


Productivity is a measure of how much output can be produced with a given input. Output usually refers to the total production or added value of a company, a sector or the entire economy. The input can be divided into labor, capital and intermediate consumption, which includes the use of energy, materials and services. There are different types of productivity, such as labor productivity, capital productivity and multifactor productivity. Labor productivity measures the amount of output per unit of labor.

How productive is an employee? Productivity shows the extent to which an employee is directly engaged during the available hours. In other words, it's the ratio between the total net hours and the direct hours (the total hours an employee is active and the hours directly allocated to a task).
100 / total net hours * direct hours