Productivity in services:

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Measuring productivity is difficult task in service business. Many challenges are there like

1. Variety in services: Many services delivered take different lead times. Complexity and skill requirement changes in bill processing of crude oil ( of large amount) and tissue paper (of small value). Stakes are different. Many managers calculate based on invoice count per person.

2. Additional work: It is difficult to measure activities like follow up, mails, events, meetings, reminders, or improvement projects. These activities are very time consuming. Sometimes. Layers of approvals needed for rejected bills. Delays and rework delay things further.

3. Strategy work: Transactions are easy to measure but strategy and decision making need time.

4. Quality: Delivering quality work demands focus. Managing both quality and quantity is difficult job. Person A may be good in quality. On other hand, Person B will be good in quantity. Very few deliver both.

5. System Constraints: Data coming from system should be corrected first. Many CRMs /SAP based portals make it difficult to take out meaning full data. There is difference between data and KPI.

Functional Skill: