According to the office of national statistics, we British workers are a quarter less productive than our US counterparts. Disappointing really, because as a nation we’re usually known for our no nonsense, get-down-to-work type attitude.
Apparently the gap in productivity levels between the two countries rose sharply last year and is now the largest it has been in 17 years. We’re now second from the bottom in the league of developed nations – not the greatest accolade, and no doubt CEO’s across the country are turning to HR for answers.
It’s certainly an alarming statistic for the government and for business leaders alike – so what can be done to pull us up from bottom of the table to top of the class?
The statistics showed that The Gross Domestic Product per worker in Britain in 2010 was lower than Italy, France, USA and Germany. These low productivity levels will no doubt be worrying for the government and will add pressure for them to kick-start the economy during this slow climb to economic recovery.
It will also be worrying for business leaders to hear of the country’s apparent lapse in efficiency in terms of their own company culture.
Although economists have blamed the latest figures on public sector workers, it’s vital that all organisations keep a close eye on their productivity levels and identify any discrepancies – before they become major issues.
Rather than waiting until cracks start to show, it’s important to keep a continual check on the efficiency of all your different departments. Perhaps the success of certain areas of your business are compensating for the flaws in others? Perhaps poor leadership in one area is causing a slow but steady decline in output without anyone really noticing?
Especially in large organisations, it can be easy to overlook any changes in productivity. It’s rare that you’ll notice a sudden and notable drop in efficiency –it’s more likely to be a slow-burning decline. With that in mind, regular monitoring of your workforce and on-going open, honest communication between employers and employees is crucial.
At present, there’s mounting pressure on the coalition to introduce new strategies to boost business investment and productivity. A bloated public sector has been blamed for low productivity as well as inefficiencies in the education system. It’s recognising these problem areas and pin-pointing where flaws lie that is half the battle.
By using an appraisal tool, such as 360 degree feedback – businesses could help identify any failing areas, or individuals, within their company who could be held responsible for lapses in efficiency. This isn’t just about pointing the finger and shouting at someone to pull their weight, it’s about identifying the exact reasons why targets and potential is not being met. If workers feel they can express their frustrations or concerns in a transparent and anonymous way, you can really build up a realistic and insightful picture of your organisation.
Yes, our sluggish reputation may not be cheering or celebratory news, but it may make businesses wake-up to productivity issues and ensure that monitoring happens sooner rather than later.
Elva Ainsworth
Talent Innovations – read our latest whitepaper on Employee Engagement
