What is Employee Productivity Ratio & How Do You Calculate It?
Good employee productivity goes a long way in boosting your company’s revenue and profits. But how do you quantify productivity? One way is by calculating the employee productivity ratio. The ratio considers different outputs (like the number of units produced) and inputs (like labor hour values) to determine how well your organization uses the resources. In this article, we’ll discuss what the employee productivity ratio is, its formula, and the steps to calculate it.