PRODUCTIVITY BARRIER

The continuous strive for increasing productivity sometimes lead to a productivity barrier. An insurmountable wall that is just too high or too slippery to climb in order to continuously increase productivity.

This is normally caused by trying to consider productivity improvement from a single dimension perspective.  Major effort and investment is placed on the element but no real productivity benefits are achieved.

In order to overcome barrier the whole system needs to be considered:

  • Need to think methodically of the system; CONTENT, CONTEXT; PROCESS
  • Need to think how things interact with one another; CONTENT (System Dynamics)
  • Need to find system focus to achieve required efficiency and effectiveness.

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With respect to productivity ; the roadmap entails understating actuality , elevating productivity capability to finally determining potentiality. This can be possible via ‘systemic transformation’

How is productivity defined: Ratio between throughput and operating expenses. Operating expenses normally relate to efficiency while throughput relate to effectiveness.

This implies that the productivity barrier is not just operating expenses or just throughput, it is both.

A system is not the sum of its elements/parts – it is the sum of their interactions. This implies that in order to overcome productivity barrier it is critical to understand how the elements of the system interact with each other with respect to efficiency and effectiveness.


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