How to Measure Your Employees’ Productivity?

If you are not using recruitment automation to make better hiring decisions. Also, you must be struggling with how you can measure your measuring employees’ productivity, how can you decide their impact on the business growth, etc.

In the capitalist model of businesses where profitability rules the market, measuring productivity becomes very important for a business model to work efficiently, with a recruitment automation system or otherwise.

Let Us Address the Roadblocks First

There are some challenges to productivity, such as when workers are paid way too much than they produce. 

With a problem like that, managers must find ways to optimize the efficiency of the employees (automation in recruitment maybe to hire great talent?).

In such a scenario, very productive workers can be paid thousands of rupees more, and the business can see a good rise as well. But have you thought of utilizing automation, AI, and predictive analytics to settle on better-recruiting decisions?

So the question is, how do you precisely measure productivity? Here are the ways in which you can measure employee productivity quite easily:

1. Quantitative Method

This method of measuring employee productivity is apt for small organizations and those who are not running recruitment automation.

In the quantitative approach, you have to calculate your company’s standard operational output, take an average out of it and divide it by the total number of your employees.

After you have gathered this number, you can use it as a ground on which your employees will be judged and how efficient is their performance.

However, make it fair. Like a recruitment automation system that accounts for everything while assessing a profile, you also have to measure factors that affect your employees’ productivity such as broken equipment, materials coming in late, and various other things that your employees can’t control.

2. Objectives

In this method, you have to clearly lay out objectives or goals that your employees are to achieve in a stipulated frame of time.

Automation in recruitment means transparent communication with employees about what is expected out of them. For this method to work well, having a clear goal path is critical. Communications in terms of how valuable the employees are to achieve these goals for themselves and the business are essential.

Did you know that companies that use automation in recruitment are better off in terms of analyzing employees which can produce better efficiency and productivity?

This not only sets a firm ground to measure employees’ productivity but also empowers them to perform better. To make this method work even stronger, you must make your employees meet their superiors to talk about their progress and problems in the workplace.

3. Time Management Method

The Time Management Method lays out how employees manage their time, and they are given guidance on how they can limit their time loss.

You do not particularly need recruitment automation for this. Employees are given proper training to keep track of how they use their time in non-work-related practices such as texting, chatting with employees, or using the internet. It also sets up a precedent for employees to align themselves better with the business goals.

To align this better, consider opting for automation in recruitment. Why? Because that helps interviewers assess factors such as statement decisions, time is taken to answer complex problems, speech patterns, and facial expressions to foresee how well an applicant fits the job.

4. Profit Measuring Method

Profit Measuring Method works the best for those employers who don’t like to keep track of how the employees are doing their jobs or how employees are using their time.

In this method, the focus is usually only on the result and hence you look up only at your profits, where what you’ve earned is worth the investment in your employees. When you have a system of automation in recruitment, the investment in employees gives a better return.

The best part of using this method is that firstly it is less time-consuming at your end and secondly task and time tracking do not end up hindering the employees’ productivity as well as creativity.

5. Customer Feedback Method

When the business is a B2B model, then taking customer feedback, reviewing their feedback, and measuring the number of feedback are the best ways to measure the productivity of employees.

When there are no physical products or outputs to measure, one can surely consider what the client says about the business or the employee they were engaged with.

This determines how well the employees are doing their jobs. By utilizing Talent mapping and AI as part of recruitment automation during hiring innovation, recruiters can incorporate filling any skill gaps, decide their candidate needs well ahead of time, and build up an essential arrangement for hiring long-term.


These are the concrete methods that any business admin can use and put into place considering the ethics, values, size, and requirements of their business. These methods, when applied, can give you the best idea about the increment that your employees can provide.

Editor’s Note: Originally published January 21, 2020, 2:38 PM, updated 13 April 2021.