Let’s take a look at the pure definition of the word Productivity: the effectiveness of productive effort, especially in industry, as measured in terms of the rate of output per unit of input.
As you can see the word productivity is supposed to help you get more work done. But there is more to it. Productivity can be defined as:
- Manage for profits and cash flow. Manage your business like the profit generating business it is, not just merely as your job. This is your livelihood, so you need to start treating it as so. It is important to understand that productivity starts with you as the owner and manager. Therefore, in order to improve productivity, you must strive to be more productive, which is typically measured in profit generation and cash flow.
- Set goals. Goal setting helps direct your efforts in the right direction so that your efforts can be measured. As in anything, goals need to be made in order to track progress and gain results from your efforts.You should have specific goals for every area of your business, especially when measuring cash flow and th the profitability to your business. Yes, you need cash flow goals, not just merely profit goals. In order to set cash flow goals you must first understand the difference between profit and cash flow.
- Outsource. Outsourcing the jobs that are easier done by an outside company can keep your day to day operations running much smoother, causing your office space to operate more productively. If you don't need someone full time doing a certain task, like marketing, then it will remain to be unproductive to keep that position within an office, draining cash flow and profits, thus being unproductive for the purpose of your business, which is to make money.
Begin engaging in these practices and take note of how your productivity increases and then notice the domino effect of increased cash flow.