Article: A profit equation: rethinking employee productivity. (tips)

Employee Productivity: Rethinking the Options

Of all the expense control opportunities in a typical distribution firm, payroll is by far the most important. For the typical distribution firm, payroll and fringe benefits account for between two-thirds and three-fourths of total expenses. Employee productivity clearly is an area that must be controlled.

Unfortunately, employee productivity has stagnated for distribution firms in recent years. While there has been no serious erosion in performance, there also has been no real improvement. This lack of improvement has come during a period when many executives have focused very hard on the productivity ...

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