Employee productivity monitoring tools are on the rise in current times, given that employee engagement has dipped after COVID-19.
- Only about 21–23% of employees globally are actively engaged at work a major driver of productivity outcomes.
- Low engagement is estimated to cost the world economy hundreds of billions to trillions in lost productivity (e.g., ~$438B in lost productivity and potential gains of ~$9.6T if fully engaged).
This makes it instrumental to assess productivity via team productivity tracker tools to make meaningful changes in the workforce productivity.
The next question is:
What is productivity data?
Productivity = Output / Input
It means setting a goal and measuring how efficiently you achieve it in terms of output. How many tasks did you complete over a certain period of time that was scheduled? You can measure what you’ve done in the EOD to gauge how productive you were and what the causes of being unproductive were with productivity monitoring software. You can block time for important tasks that need to be done and stick to it. To achieve maximum productivity, break tasks into smaller chunks and follow the Pomodoro Technique, OKRs (Objectives and Key Results), or SMART (Specific, Measurable, Achievable, Relevant, and Time-bound) goals.
Why should you measure productivity?
Measuring productivity with employee productivity monitoring tools is pivotal. It gives insight into the measurable results of work (units produced, tasks completed, sales closed, code deployed, tickets resolved, designs delivered). If each member of the team becomes productive, then team performance is assured. Nowadays, there are many productivity monitoring software that help enhance the productivity of employees and also emphasize their well-being.
Productivity metrics and KPIs to be measured to understand real performance
To understand the real performance of employees, it is instrumental to understand productivty metrics. Most instrumental productivty metrics are:
1. Revenue per employee (RPE)
RPE = Total revenue / Total number of employees
It is the measure of revenue each employee generates for your company. Ideally, your company should look for the highest revenue per employee, which implies each employee of your organization is highly productive. Companies with high RPE are often profitable.
Across all industries in 2024, the average revenue per employee globally was about $350,000.
2. Percentage of projects completed within deadline
Projects completed within deadline (%) = Number of projects completed on or before deadline / Total number of projects completed ×100
It implies how frequently an employee or a team meets its deadlines. This reinforces the effectiveness of your team plans, how it manages time and executes work without delays. It assesses delivery reliability and operational efficiency.
3. Total cost of workforce (TCOW)
It is the total money your organization spends on its workforce.
TCOW per Employee = (Salary+Benefits) + Training & Onboarding + Software & IT Tools + Office & Infrastructure
TCOW reveals hidden workforce costs and helps optimize staffing and workloads.
4. Self-rated productivity
It is the tool for employees to assess their productivty on their own. This can be done via individual scorecards or through regular check-ins. Your team productivty tracker can ask questions such as:
- How productive did you feel during your working hours today?
- On a scale of 1–10, how would you rate your overall productivity today?
- What percentage of your planned tasks did you complete today?
- How focused were you while working today?
- How effectively did you use your working time today?
Self-Rated Productivity (%) = (Employee’s rating / Maximum possible rating) × 100
5. Employee retention rate
Employee Retention Rate (%) = ( Employees at end of period − New hires during period) / Employees at start of period ×100
Employee Retention Rate measures the percentage of employees who stay with an organization over a specific period. While it is primarily an HR metric, it is also a strong indirect indicator of productivity, because stable teams tend to be more efficient, engaged, and experienced.
6. Employee satisfaction (eNPS)
Employee Net Promoter Score (eNPS) measures how likely employees are to recommend their organization as a place to work. It is a widely used indicator of employee satisfaction, engagement, and overall workplace experience, and a strong indirect signal of productivity.
eNPS = %Promoters − %Detractors
We360.ai: Are your employees just busy or productive?
There is a lot of confusion around remote work. It comes from a debate: busyness and productivity are not the same. When in office, if you're present and busy it may create the mirage of being productive. It looks like you’re working hard. But remote work doesn’t reward busyness. It rewards actual results. You need a tool that sees it all. Whether remote, hybrid or in-office.
This is where we360.ai steps in.
It’s one of the leading employee productivity monitoring tools that lets employees block out time for most important tasks, batching small distractions instead of letting them interrupt, and defining what success looks like before their day even starts.
So if you’re struggling with chalking out a plan for your employees to be highly productive, book a FREE DEMO with we360.ai and we will take it from there.
