If you are a business leader, ‘profit’ will be the buzzword living rent-free inside your brain. The straightforward answer to this is increasing workplace productivity. Productivity has become the governance parameter for measuring whether a business is progressing or not.
Here are the key strategies the business leaders need to leverage to improve productivity in a ‘smart’ manner as they look forward towards their 2024 prospects.
Here Are The Tips
As remote and hybrid work cultures have become the new normal since 2020, employees are getting more control over how and where they work. This new work culture reduces commute times and ensures better work-life balance, but the downside is the blurring of boundaries between work and personal life, which can lead to longer working hours and physical and mental burnout.
“Without a regular cadence of in-person and virtual communication, there can be silos throughout companies that ultimately decrease collaboration. In these circumstances, meetings are often largely spent getting the rest of the team up to speed, resulting in productivity losses,” mentioned the Entrepreneur.
To handle this, businesses are now focussing on adapting to the new and tech-savvy work cultures, while maintaining a specific focus on fostering collaboration. Some of the ventures are leveraging in-person and virtual communication opportunities for purposeful connection between the employees. Expect the trend to continue in 2024 as well.
CEOs need to understand the fact that just because employees can do the same activity in less time, doesn’t mean that it will lead to increased results. Instead of doing the same, mundane activities, the tasks need to be smart and goal-oriented ones, especially at a time when technology is there to take care of these repetitive tasks.
Businesses need to foster a culture of innovation to ensure growth.
“Great leaders ensure their team is focused on activities that drive the company’s goals. They measure performance by effectiveness, rather than solely efficiency. These leaders also aren’t afraid to stop investing in initiatives that no longer meet the required productivity metrics. They are right-sizing both their hiring and marketing investments, moving incrementally to ensure they are effective before they continue to invest,” Entrepreneur remarked further.
Streamlining and optimising the company’s resources, time and labour will ensure the business growth for a CEO, as the move will drive his/her venture’s profitability and market competitiveness quotient.
Since business metrics are critical for CEOs to chart their road ahead, they need to measure productivity through smart metrics like revenue per employee and profit per employee, to ensure that their businesses proactively identify areas where operational improvements and resource allocation are needed.
A company generating higher revenue and profits per employee, often possesses the resources to invest in employee development, job creation and career advancement opportunities. This becomes a win-win situation as it helps to boost employee satisfaction and retention ratios, while also attracting top talent, thereby creating a growth cycle.
Consistent Review Is The Key
After setting up the business strategy for the year, the CEOs need to practice governance to drive progress, as time-bound task completions will lead to a situation where the businesses can accommodate more initiatives within the financial year that will generate new investment opportunities.
“Weekly and monthly check-ins on progress against goals provide a structured framework for evaluating priorities, identifying bottlenecks and setting strategic goals. When teams participate in regular reviews of what they plan to accomplish, each person knows exactly what they should be working on and how their tasks will contribute to the company’s overall success. Further, it ensures that the team is celebrating the progress and successes along the way,” Entrepreneur stated further.
Businesses need to adapt to the technology and enhance overall productivity by equipping employees with the resources they need to streamline tasks, automate routine processes, and facilitate smooth communication and collaboration.
An October 2023 study by the Vistage CEO Confidence Index shows over 65% of business leaders investing in AI in 2024, given the fact that it will power individual worker productivity and offset some of the pressures created by the persistent lab or shortage.
Increased productivity will result in higher revenues and lower costs, the fundamental elements of sustainable growth and profitability.
In the coming years, CEOs need to prioritise ‘Smart Productivity’, if they want lasting success and resilience for their businesses.