skip to Main Content

Your relationship between Talent Management, Productivity and Profit.

by Timothy Barlow

September 2018

There is a direct relationship between managing your people well and supporting them effectively in their role and their productivity. Increasing your productivity increases your profits. Your relationship and results, like your people, are unique to you and your organisation.

Andy Haldane, The Bank of England’s Chief Economist said (5)

Improving productivity in the UK is not a matter of getting people to work harder, but better. It involves training,investment, innovation and finding smarter ways to do things and our Managers are those who have the power to do it. A lack of management quality is a plausible candidate explanation for the UK’s long tail of unproductive companies because there is a statistically significant link between the quality of firms’ management processes and practices and their productivity which suggests potentially high returns to policies which improve the quality of management within companies.

The majority of poorly performing British firms are failing to understand their own predicament. For the same reason most car-owners believe they are above-average drivers, most companies might well believe they have above-average levels of productivity, when in fact, we know most companies have below-average levels of productivity and a large fraction of them have seen no productivity improvement for several decades.”

The facts:

  1. If an Organisation is not productive, it is not profitable. Managing your Talent well consistently over time, defining and re-defining your best practices, measuring your productivity and reacting to your data will increase your Productivity and Profit

  2. Productivity can be sought on a micro level throughout an Organisation, but Growth is usually easier to find than sustain

  3. Cumulative nature of economic growth; small drifts over time make a big difference in the long run. Growth is not equal or shared equally in an economy and socio-economic gaps can arise

  4. Growth is measured by Gross Domestic Product and it is growth which holds the key to rising living standards. GDP is the sum of all that is produced by the people and businesses within the country. GDP is a reflection of our combined actions and activities. Governments like growth because they can collect higher amounts of tax so they can invest in vote winning areas or where business will not but society needs, raising the standard of living

Productivity growth can be caused by

  • Employee’s brains, bodies and knowledge by Increasing skills + education

  • Communication & Motivation

  • Improved Processes

  • Reallocation of resources

  • New technology & Innovation

  • Improved Infrastructure

  • Economies of scale

  • Investment

Motivation of Labour is affected by:

  • Culture & Communication

  • Infrastructure, Tools, Equipment & Processes

  • Their personal situation

Efficiency of labour is determined by

  • Managers and Leaders of employees

  • Education and training

  • Working conditions

  • Welfare services

  • Cooperative factors

  • The employee themselves and their motivation to work

Talent Management

CopiasTM helps you manage these areas of risk and includes the forms and alerts to help you manage your people with all known drivers of employee engagement, HR best practice and analysis.

Productivity Gain

CopiasTM allows you to see your HR actions and results alongside the records and memories of your people and your financial results allowing your managers to manage their Productive Forces more effectively to become more productive.

Using our Productive Forces Questionnaire will help you understand how to move your business to one of increased productivity and profitability.

This Post Has 0 Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

Back To Top