Efficiency is Everything

Organizations strive to be efficient.  They claim to be by way of their dedicated colleagues.  How efficient, effective, and productive, are they?  All enterprises suffer from some form of waste.  The waste comes in the form of poor use of materials and sadly what is worse, poor use of team member talent.


Two antonyms come to mind for efficiency; sluggish and ineffective.  When workers sense their organization is wasting, they will lose initiative.  A dedicated colleague that senses inefficiency will begin to feel that he or she does not count, that their efforts do not matter.  Even worse, the worker may begin to suffer poor self-esteem.

Mani Ice writes in a paper titled, A Study on Job Satisfaction Among Employees Job Satisfaction, an organization that wastes its resources yields a decrease in the motivation of its employees.  The success of any company is directly linked to the satisfaction of the employees and that retaining talented people is critical to the organization’s success (Freeman, 2005).


Studies show that organizations that outshine in employee satisfaction reduce turnover by 50%, increase customer satisfaction scores to an average of 95% and decrease labor costs by 12% (Carpitella, 2003).  Furthermore, the more satisfied an employee is, the less turnover and absenteeism occurs.

The U.S. Bureau of Labor Statistics, a 2004 report stated that profit and growth are stimulated directly by customer loyalty.  Value is created by satisfied, loyal, and productive employees.  It is employees who feel a sense of teamwork and common purpose, a strong commitment to communication, and managerial empowerment are most stable, and willing to deliver the results that customers expect.

SHRM (Society for Human Resource Management) in 2016 reports that one workplace implication is that millennials believe employers and leaders should nurture and invest in them.  They desire outcomes and meaningful projects and conversely, become impatient with mundane jobs.

Where does your organization stand in being efficient and productive?