# Productivity

Source: https://projectalevel.co.uk/business_studies/people/productivity

> We offer many resources for students revising for their AS and A2 exams including: AS/A2 revision notes and practice questions, revision guides and the take a break section.

- Productivity is a measure of a firm's efficiency.
- A common way of measuring it is labour productivity which is calculating the output per person.
- Productivity can be increased by: - Investment in new technology, - Training of staff, - Motivating staff, - Improving management.
- The problem with increasing productivity is that the company may not have the money available to implement these improvements.
- The more productive a firm is, the more competitive it can become (higher profit, lower prices etc.)