[Music] hi welcome to business time i am melisha and today we will be looking at production and productivity now let's look at what is production production is the process of using certain inputs such as material and converting it to goods and services uh which would consider to be the output so we can say that production is a creation of a raw materials or the converting of raw materials into finished or semi-finished goods so we can say that production is a creation of foods and services for example address makeup may turn uh the cloth that she has and convert it into a dress that is production so in our in a restaurant uh you might have um the chef who will prepare the that you use the raw material the chicken the the rice whatever it is and convert it into delicious into a delicious dish of say perhaps curry chicken and rice yes now when we talk about productivity productivity now is a measure of how much output that can be produced from a given level of input so a given unit of input is considered to be very productive if it can produce a good amount of output for example how many uniforms could a dressmaker sew within an hour so various input can be used like the labor the machines the capital so in other words how how much more productive will these inputs that are used will make the business and so sometimes to increase productivity businesses may introduce new machinery or equipment or they may train workers so remember now that production looks at what is produced and productivity looks at how well or quickly how efficiently the products are being produced productivity is very important because when a business is productive it is producing greater and better output and when there is rising productivity guess what there is rising income greater profit for the business and greater opportunity for exports when the workers are trained they would definitely become more productive just imagine before our car a factory worker was trained or someone who is let's say a dress maker or a tailor let's say the dressmaker tailor could produce uh make 15 uniforms per day no after training and the the the dress maker or the tailor would have learned certain skills and you know uh by the end of the day the person could be able to double that amount that is being produced and so training and educating your workers that will in return that will in turn allow the business to become so much more profitable and competitive we're going to be looking at several ways in which we can make labor more productive the first one is to improve the labor supply now the labor supply refers to the number of hours that the labor force is is prepared to work for at a given wage rate so you realize that um to increase the labor supply one way to do that is to increase the wage rate yes so uh persons more persons will be willing to work for more money so you'll find that persons will be really willing to work for longer hours if they know that they will be paid more and so that will increase the productivity of the business another way to make the labor force more productive is to have human resource development now what is human resource development it's basically enhancing your workforce by training educating your workers so it's all about providing greater opportunities for the workers to be to become more effective and motivated so workers can be engaged with on-the-job training or off-the-job training so that they can perform their jobs better provide opportunities for workers to be able to study at um institutions tertiary institutions or training institutions a well-trained worker will naturally uh produce be more productive than any other another way to make the labor force more productive and is that they the the workers need to have a positive work ethic and when we talk about having a positive work ethic it is simply meaning that the workers believe that you know they are to work hard at what they are with whatever tasks they are given to do and to do it to the best of their ability a worker who has a poor work ethic will not be as productive as he or she could be and so it's so important that every worker understands how important their contribution is to the productivity of the workplace any worker who has a very good uh work ethics will always be very productive because there will not be wasting time they will not be idling when they should be working they will not be you know doing other things or doing online shop shopping at work when they are supposed to be doing their their work that they are getting paid for and so it's so important that workers have very good work ethics employers will choose people or will promote persons who have very good work ethics for the most part above those who have very little and you will see that in most instances people will tell you even in your institutions your your teachers persons around you who you will see will get promoted are those persons who are considered to be hard workers if given a task they get it done that's having very good work ethics but some of you you know even while you're in school you know you need to work on your work ethics because sometimes you get an assignment you don't do it you know as opposed to others who when they do get their assignments they get it done even before the due date that's very good work ethics and so even though for you you have to start uh developing the habit of of just working hard and doing well and another factor that can increase the productivity of a business is to use more tablet capital we're talking about machine so let's imagine uh a workplace that is labor uh intensive compared to one that is capital intensive the one that is capital intensive would naturally be using more machine and equipment to produce their goods and provide their services and so naturally having the machine equipment that will work faster than people would they will be able to produce a lot more and so uh increasing the level of capital within the workplace will naturally cause that business to be more productive hope you have a greater understanding of productivity and how important productivity is to the success of an organization all right hope you learned something see you next time