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Productivity is an average measure of the efficiency of production. It can be expressed as the ratio of output to inputs used in the production process, i.e. output per unit of input. When all outputs and inputs are included in the productivity measure it is called total productivity. Outputs and inputs are defined in the total productivity measure as their economic values. The value of outputs minus the value of inputs is a measure of the income generated in a production process.
Productivity. Productivity is a measure of a company's effectiveness in converting inputs into outputs. It is broadly defined as, An output is the final product from a service or production process, such as an automobile, a hamburger, a sale, or a catalog order.Inputs are the parts, material, labor, capital, and so on that go into the productive process.roductivity. Productivity is a measure of a company's effectiveness in converting inputs into outputs. It is broadly defined as, An output is the final product from a service or production process, such as an automobile, a hamburger, a sale, or a catalog order.