07/24/2024

How Companies Can Rethink the Idea of Productivity

Organizations can prosper by broadening their definition of productivity

Traditional productivity metrics are used by many companies to assess the value that employees bring to the organization. These tangible, quantifiable and results-based measurements include work quality and output, efficiency and the number of projects completed on time and on budget. Some managers rely solely on these metrics to determine promotions, salary increases and performance bonuses.

However, some companies and managers may take this too far. It becomes problematic when the number of hours an employee works or is available is seen as a measure of productivity and, therefore, their value to the firm. Take the recent example of Baidu’s former head of public relations Qu Jing. After videos of her glorifying an always-on, work-till-you-drop culture – including statements such as “don’t expect weekends off” and “keep your phone on 24 hours a day, always ready to respond” – were made public, she faced intense backlash, with many describing her management style as toxic. Qu eventually issued a public apology and was reportedly fired by the Chinese tech giant.

Qu seems to have failed to understand that employee well-being is a critical – but, sometimes, overlooked – factor that drives both productivity and performance. To truly reap the benefits of an engaged and motivated workforce, organisations need to broaden their definition of productivity to account for their employees’ mental and physical health. 

Please select this link to read the complete article from INSEAD Knowledge.