Tag Archive: Scope

Mar 23

Pareto for Productivity

Pareto, a 19th century Italian economist, spotted that “80% of effects arise from only 20% of possible causes” – apply this rule to national productivity levels and just the top quintile of companies determine whether improvements are made – and it has been ever thus In other words, the great majority of companies are doing …

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Five steps for big improvements

Managers, whatever their level, need to take just five basic steps to make big productivity improvements – click on the link below for outline details http://www.productivityknowhow.com/?page_id=378 BUT: 1. Corporate plans – If they exist, they’re not seen or understood by most managers 2. Performance measures – Most lack 80% of the measures they need 3. Analysis …

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Why do national productivity gaps persist?

Philip Hammond, UK Chancellor of the Exchequer, says: “It takes a German worker four days to produce what a UK worker makes in five” Others say much the same about French workers But such claims are not new, they’ve been made over the last 30 years at least – big changes are never made so …

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Low productivity affects all, not just a few

New Reserve Bank governor, Philip Lowe, says boosting productivity is essential if Australia is to maintain the living standards it has enjoyed in recent years. He warns that “Australia’s remarkable boom times are over and the best way to maintain our standard of living is to have a “laser-like” focus on productivity”. In his first appearance …

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It’s the rest, not the best, that’s the problem

Brooking’s Martin Neil Baily and Nicholas Montalbano summarised the global productivity puzzle recently: “The most promising sign for future growth is that the most productive firms are growing faster than the rest – the frontier is still moving out – but the diffusion of best practices is not pulling the rest of industry along” Of …

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“All we know is that productivity is really bad”

The above quote is from Dominic Konstam of Deutsche Bank when interviewed on Bloomberg – apparently ‘nothing is clear’ but bad productivity might be due to “over-employing versus investment taking place” and that might be due to employers expecting demand to improve, but it hasn’t (yet) It’s just another example of a top banker who …

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Action needed post Brexit

In the Guardian, Katie Allen  has just recommended SEVEN ways Prime Minister Theresa May could ‘lift the UK economy’s post-Brexit’ blues: Tax cuts – esp VAT More infrastructure spending Delaying the planned apprenticeship levy Boosting productivity via investment in innovation, education and infrastructure Reduced planned rises to the national living wage Helicopter money – echoing …

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GE announces ‘Big Data’ productivity gains

A new report from GE found that the Industrial Internet could add €2.2 trn to European GDP by 2030, boost productivity and spur economic expansion. The report, called The Industrial Internet – Pushing the Boundaries of Minds and Machines: A European Perspective, says that a mere 1 % increase in efficiency in healthcare, aviation, transportation …

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UK public sector wastes £120 billion – every year!

A new report from the Taxpayers’ Alliance claims that the UK public sector wastes £120 billion each and every year – this despite claims to be tightening belts and being forced to close libraries or fire lollipop ladies. This is equivalent to some £4,500 for every British family. Much is due to public sector staff being …

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Adam Smith on pin factory productivity

Adam Smith illustrated how the division of labour could improve productivity in his famous small pin factory example from his tome ‘Wealth of Nations’, 1776: 10 workers, each specialising in a different aspect of the work , could produce over 48,000 pins a day However, if each of these ten workers had made the entire pin …

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