INDEX

INTRODUCTION
MEANING
SCOPE
TYPES
FEATURES
PROBLEMS
SOLUTION
QULALITIES
CONCLUSION
 INTRODUCTION
A Productivity Audit determines management
effectiveness and resource utilization efficiently and
identifies the most promising areas for improvement .
It is used to assess the efficiency and effectiveness of
companies existing resource use. The productivity of
labour and capital are critical to competitive success.
Recently more companies are recognising that by
implementing techniques which measure and improve
productivity, they can continuously improve their
organisation's performance.
 MEANING
The term productivity, if simply put, may be ‘output’ divided by ‘input’. ‘Output’ may mean
goods as well as services and there is no simple way of totalling them because goods
may be expressed in quantitative norms whereas the services cannot be expressed that
way. For ‘input’ we may come across diverse factors, such as men, materials, machines,
land, capital, energy, organisation and a host of others.
This audit outlines why and how managers should carry out productivity assessments. It
provides you with a set of tools which help you define the scope of an audit, the steps
which need to be taken and the types of situations where an audit may be used. It
examines:
a) The basic concepts underlying productivity.
b) The steps required to conduct a productivity audit.
TYPES OF PRODUCTIVITY AUDIT
• Material Productivity Audit
Material productivity audit’ seeks to examine and evaluate the
productivity of materials.
• Labour Productivity Audit
 Labour productivity audit attempts to examine and evaluate the
productivity of labour.
• Capital Productivity Audit
Capital productivity is frequently measured as the output of goods or
services in a given number of machine-hours.
 SCOPE OF
PRODUCTIVE
 Objectives  Policy

 Labour  Leadership

 Management  Capital

 Materials
 Technology
FEATURES OF PRODUCTIVE AUDIT

Labor-Management corporation

Constructive manner without the

Imposition of the Age-old Concerns

Productivity gains are to be apportioned

among the several parties involved

Job security and formula provisions

for distribution of predictivity gains
 Problems of productive audit
Verifying
Lack of appropriate parameters
records

subjective
Use of wrong
evaluation
standards

Unable to
Lack of Audit assess
expertise
Different means are suggested to overcome the problems of
productivity audit

•Training
• Well design formats
•Use of outside experts
• Computerization
• Use of productivity
charts
 QUALITIES
There are five keys to driving audit productivity in
the increasingly regulated and competitive
healthcare industry.

•Leverage a modern, data-driven compliance

and revenue integrity platform
•Define and document standard
•operating processes
•Set clear goals and measurable objectives
•Execute seamlessly
•Measure, communicate and adjust targets
CONCLUSION
The Productivity Audit will help your company create
consistent productivity measures right across your firm.
Productivity improvement is increasingly recognised in
the service sector - as well as in manufacturing sector, of
course - as the key to performance improvement. This
audit outlines why and how managers should carry out
productivity assessments. It provides a set of business
tools to help define the scope of the audit.