1. Take stock of how you
and your workers are spending time. Mark
Ellwood, president of Pace Productivity of Toronto
invented a device called a TimeCorder that does just
that. It's a series of stopwatches combined into one
gizmo. Don't want to use a TimeCorder? Consider keeping
a diary of your pursuits that documents how much time
you are spending doing what.
2. Take a snapshot.
Most small companies don't have the resources to spend
inordinate amounts of time measuring productivity.
Ellwood advises sitting down and prioritizing what
variables to track. What matters most in your business?
"Figure out what measures are of the biggest
concern for your business," Ellwood says.
3. Figure out what's already
working. Based on your research determine
areas where your company is doing well and how that
success can be ported over to other areas, Ellwood
says.
4. Look for what's not
working. Keep on doing what's working and
then cut out what's not. For example, many small-business
owners are enamored of the Internet. They spend a
great deal of time and effort at building and maintaining
Web sites. If you discover through your research that
your Web site is a waste of time and effort, spend
less time on it and more time on what pays, Ellwood
says.
5. Ask your employees.
Generally, workers will better know how to
boost their own productivity than their boss will.
It stands to reason that they understand their jobs
better than you do and are more familiar with the
day-to-day intricacies of how they get their jobs
done. "Employees will engage in productivity
procedures and improvement if you ask them and engage
them," Ellwood says.
6. Engage with education.
One way to get employees behind productivity efforts
is to educate them. Teach them about the business,
how it makes money and what drains on profitability.
Educating employees on profit and loss will not only
help them buy in to boosting productivity, but will
help them figure out what will work, says Tony Dottino,
president of Dottino Consulting in Hartsdale, N.Y.
7. Use technology to produce
more with less effort. Investing in technology
is one of the best-known ways to increase productivity,
says Doug Jobling, program manager for the Rhode Island
Small Business Development Center at Bryant College
in Smithfield, R.I. For example, when copiers became
equipped with collators, document collation no longer
had to be done by hand. That freed up an employee
to do other work, such as working in customer relations
or direct sales, Jobling says. "By constantly
improving the production system, making it more efficient,
the manufacturer is able to produce the same number
of manufactured product with less labor cost required,
improving productivity by definition," Jobling
says.
8. Train workers.
After using technology, training workers is one of
the most popular ways to boost productivity, Jobling
says. In other words, a small business can make production
more efficient or it can make its workers more efficient.
The result -- more units produced at a lower cost
-- is the same.
9. Procure raw materials
at a cheaper price. If a small business can
cut what it spends on suppliers, it can lower its
manufacturing costs. By producing the same or more
for less money, a company increases productivity,
Jobling says.
10. Improve the productivity
curve. Every company has a core group of
standout employees, people who do a better job than
anyone else. Find out who these workers are and what
makes them better, says Niko Canner, co-founder and
managing partner of Katzenbach Partners in New York
City. The idea is to take the minority of people who
excel and turn them into the majority. The hardest
part of this exercise is that many natural performers
can't explain why they can do things better or faster
than their co-workers. "It's just second nature
to them," Canner says. Employers then must spend
the time to observe, interview and analyze these workers.
Once you find what makes these people tick, move your
slower performers up the productivity stream by teaching
them what your high performers do.
11. Identify obstacles
to productivity. Canner's review of a telemarketing
organization found that the company's first-line supervisors
were spending only 12 percent to 15 percent of their
time coaching and working with their employees. The
rest of the day was devoted to administrative tasks:
performance evaluations, memos, compliance monitoring,
etc. Once the telemarketing firm discovered this,
it was a matter of adjusting goals and prioritizing
so that supervisors spent the most time managing employees
rather than doing paperwork.