What does productivity measure in a workplace?

Productivity in a workplace is fundamentally about the efficiency and output of work, which is captured well by the combination of both quantity and quality. It measures how effectively resources, such as time, labor, and materials, are converted into goods or services. High productivity means that more work is completed within a given timeframe, and that work meets or exceeds the standards necessary for quality.

Focusing solely on quantity could lead to a situation where a large amount of work is completed, but if the quality is poor, it does not reflect true productivity. Conversely, prioritizing quality at the expense of quantity might also yield a lower productivity measure. Therefore, a balance of both the quantity and quality of work provides a comprehensive measure of productivity in a workplace.