Optimize labor productivity for businesses
In the context of fierce competition, businesses not only need good human resources, but more importantly, how to optimize their work performance. Labor productivity is not only measured by the number of hours worked, but more importantly, the quality of the results achieved. Businesses need to customize their performance management strategies to ensure maximum productivity of human resources, helping businesses surpass their competitors.
The right strategy
View Performance as Competitive Advantage
1.1. Focus on performance rather than just quantity
Many businesses still measure performance based on hours worked, but in reality, an employee who works 8 hours a day with high performance is still better than an employee who works 10 hours a day but is less effective.
→ Businesses need to change from “doing a lot” to “doing effectively”.
1.2. Link personal goals with business goals
People perform best when they feel their personal goals are aligned with the corporate mission. CEOs need to ensure that everyone working on the team knows how they contribute to overall success.
THE RIGHT METHOD
Apply modern performance measurement tools
2.1. Performance management using OKR/KPI
Businesses should adopt systems OKR (Objectives and Key Results) or KPI (Key Performance Indicators), or combine both as leading organizations are adopting to track performance scientifically and transparently.
2.2. Continuous feedback instead of annual reviews
Instead of waiting until the end of the year to evaluate, businesses should establish a mechanism continuous feedback so employees can improve immediately.
Effective execution
Maximize human resource performance
3.1. Build a reasonable reward policy
Timely and fair rewards help motivate employees. Rewards can be money, promotion opportunities, or advanced training courses.
3.2. Soft skills training in parallel with professional skills
In addition to professional knowledge, staff need to be trained in soft skills such as communication, self-management, and critical thinking to work more effectively.
Summary: Optimizing labor productivity is the key for businesses to maintain competitive advantage. CEOs need to focus on strategy, apply modern performance tools and implement actions scientifically for sustainable growth.
