PRODUCTIVITY DEVELOPMENT (copy)

PRODUCTIVITY

It is the relationship of the volume of goods and services produced to the physical inputs used in its production.

PRODUCTIVITY GROWTH

• is driven by factors like workforce skills, technology, capital utilization, production scale, management quality, and labor relations.

• It requires collaboration among businesses, labor, investors, consumers, and governments, with economic expansion playing a key role in job creation, investment, and operational efficiency.

FACTORS AFFECTING PRODUCTIVITY GAINS

1. TANGIBLE CAPITAL PER WORKER (Physical Capital) - Increases in productivity and the higher income thus produced help generate capital formation.

2. IMPROVEMENT IN THE QUALITY OF LABOR - Labor, which is also a form of investment is a critical factor in the equation of productivity improvement.

3. MORE EFFICIENT USE OF CAPITAL AND LABOR - Improvements in managerial techniques as well as modifications in tools and equipment.

PRODUCT SIMPLIFICATION

Means essentially the elimination of extraneous or marginal lines, types, and models of products.

PRODUCT DIVERSIFICATION

• It is the direct opposite of simplification.

• It involves the additions of lines of products, types, and models.

PRODUCT ENGINEERING

The process of designing, developing, and improving products to meet customer needs and market demands while ensuring efficiency in manufacturing and functionality.

PRODUCT DESIGN

the process of creating products that are functional, manufacturable, and meet customer needs through a blend of creativity and technical expertise.

INDUSTRIAL STANDARDIZATION

the process of developing and implementing technical standards within an industry to ensure that products, services, and processes are compatible, safe, efficient, and of high quality.

PRODUCT STANDARD

are guidelines or specifications that define the characteristics, quality, and safety requirements for a product, ensuring consistency, safety, and compatibility.

ENGINEERING STANDARD

are documented guidelines and specifications that ensure consistency, safety, performance, and quality in the design and development of engineering products and systems.

MATERIAL STANDARDS

established criteria defining the quality, composition, properties, and performance requirements of materials used across various industries, ensuring consistent quality and facilitating communication and commerce.

QUANTITY STANDARDS

the pre-determined, acceptable amount of inputs (like raw materials or labor hours) needed to produce a product or service, used for cost control and performance evaluation.

PROCESS STANDARDS

documented procedures and guidelines for performing specific tasks to enhance efficiency, reduce errors, and ensure uniformity across an organization

EQUIPMENT STANDARDS

ensure consistency, compatibility, and safety across different applications and industries by establishing and implementing technical standards for tools and equipment.

SAFETY STANDARDS

are standards designed to ensure the safety of products, activities and/or processes to create a safe and healthy workspace.

INCIPIENT PERIOD

refers to the early stage of a project, typically at the beginning, when work is just starting, and progress is relatively slow.

DEVELOPMENT PERIOD

• A project where actual work is progressing at a more consistent and noticeable pace after the incipient period (early stage)

• This is where most of the work is done, and the project's progress becomes much more visible and measurable.

SATURATION PERIOD

• Refers to the phase during the project when work is progressing at its maximum possible rate or output.

• It represents the point at which resources, efforts, or capacity have been fully optimized, and the project reaches its most efficient stage of progress.

PREMATURE STANDARDIZATION

refers to the process of establishing standards or regulations for a technology or industry before it has had a chance to fully develop or mature.