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Spec point: A-Level AQA – 3.4.3 Making Operational Decisions to Improve Performance: Increasing Efficiency and Productivity

Every note that covers this specification point.

Operations

Labour Productivity

Labour productivity measures the output produced per worker over a given period. It is calculated by dividing total output by the number of employees. A rise in productivity per worker means a business is getting more from its workforce, which can lower unit costs and boost profitability. Understanding this metric is essential for GCSE and A-Level Business Studies students, as it connects to efficiency, competitiveness, and human resource management.

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