There is a lot of difference between production and productivity , and in fact, these two words go together but they are not very related when planning a business strategy, for example. It is important first of all to know this, to be able to understand the difference between producing and being productive.
This concept of link between production and productivity was created over the years and thus the view that they are the same thing or often that one is synonymous with the other has been maintained, which is not true.
In order to propose this better understanding, in this article we will briefly the concept of Production and Productivity , as well as its importance for companies. Check out!
Production
Production is any type of activity aimed at the origin of a service, object or product. Production is also related to the difference between the volume of what is produced and the goods consumed, as it is what determines the value added to these resources, indicating whether or not there will be a profit for the company.
It can also be considered a measure of results, that is, data on what was produced in a given company over a certain period of time. This information is important for production planning and control (PCP), which in the future will involve deciding on the best use of production resources.
Production has more to do with what should be done than how it should be done. It is of great importance that the understanding of production is wrapped in this sense, as a person can produce on a large scale and still not be productive, it is relative.
Even because many times when an increase in production is required, there is a decrease in productivity, because working hours and the quantity of activities that must be carried out increase, thus affecting the quality at the time of delivery and other factors that are related to productivity.
Many people associate production with an image of manual labor, for example, which was often done many years ago, without the presence of machines and technology. However, production today is also carried out on the internet, through which many activities are carried out. It is also clear that in many companies there are a large number of employees working, but there are no significant results, while in other companies there can be a smaller number of workers and much more results.
Productivity
Productivity is the ability to do more using fewer resources and in less time . Being seen by many as the act of scientifically minimizing the use of material resources, labor, machines and equipment. To reduce production costs, expand markets, increase the number of employees, fight for real wage increases and improved living standards, in the common interest of capital, labor and consumers.
While production is more concerned with quantity, productivity is more concerned with the quality of what is delivered. Its main objective is to stimulate work and the search for better results, thereby helping the company grow as a whole.
There are some actions that can increase productivity. The first of these is to identify the problems, find where the waste is, be it time, raw materials or quality and apply the adjustments and corrections that are necessary.
Create a good corporate environment , clean and organized, that offers conditions for work to be carried out, improve communications channels, whether internal or external communication and invest in knowledge, the more you know the details of your business in depth, the more chance of success you will have.
What is more important, production or productivity?
Both . You need to have both production and productivity in your company. If you don't maintain one of them, you will have great losses, reducing results and increasing the incessant search for growth, which takes a long period of time or is even not achieved. Furthermore, even though production is not synonymous with productivity, or the opposite, they go together, and for everything to work correctly they need to be in cooperation.
Company managers and directors must know that the team is the soul of the business, therefore a well-structured team that knows how to produce and be productive is what will make results arrive faster. Therefore, maintaining a clear dialogue between management and employees is essential, this way it is possible to define goals and objectives that the company and employees have.
And does your company have production and production going together? Share your opinion with us and keep following our blog !
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