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Published on September 28, 2018

Productivity vs Efficiency: Which One Matters More and Why?

Productivity vs Efficiency: Which One Matters More and Why?

In this article you will discover the key difference between productivity and efficiency, and which one will help you achieve your goals.

Productivity vs efficiency is a discussion between quantity and quality. A productive person is known as someone who gets things done. Although their accomplishments may be short-lived if they did not build their strategy for the long-haul. In most of our lives, productivity and efficiency are at odds with each other.

When you are focusing on productivity, your efficiency is the first thing to suffer. Likewise, when you are confirming your plans are thoughtful and well-crafted, you run the risk of burying your goal in months of red tape.

Productivity In Your Life

Measuring productivity tends to be straightforward, so it is usually where people place their focus. People usually calculate productivity by measuring a person’s output during two similar time periods. For example, if you read two books in January and four books in February, you were more productive in February.

Businesses will calculate productivity by comparing employees, departments, and locations. For instance, the California office of a firm generated $60,000 in March, while the Florida office generated $50,000 in the same month, making the California office more productive.

Productivity’s Blind Spot

Because most people measure productivity by calculating output, you have probably felt at least once in your life that productivity was capturing the complete picture.

If your supervisor asks you for a report by end of day, they are thinking it is a reasonable request. While it is true the report only takes 30 minutes to create, that is not the only thing you are working on today.

If the report was your only task, you agree you should have it completed by the end of the day. However, your department added a new employee and you agreed to train them on all the processes.

Depending on the complexity of your role and the engagement of the trainee, it could take you an entire day to walk step-by-step through your work. You also have a few additional time sensitive matters that you accepted last week and they have the same deadline.

As you are starting to see, when you only capture someone’s output to determine if they are being productive, you are lacking key information.

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You open yourself up to the possibility of thinking someone had a less productive week, when they were more productive than last week.

Efficiency, the Other Half of the Productivity Coin

If productivity focuses on your output, then efficiency emphasizes the quality of your work, which usually focuses on saving time or conserving resources.

Think of your productivity as the revenue you generated from a sale, and think of your efficiency as the money you get to take home after you pay your expenses.

Using the business example from before, while the California office generated $60,000 in sales, they spent $20,000 in related seminar and travel expenses. The Florida office generated their sales by using an inexpensive online-webinar platform, so the Florida office was more efficient and generated larger profits.

Efficiency also accounts for quality in relation to time.

For example, Autumn and Alek work in a call-center where their job was to survey 100 customers per day. Autumn reached her number after she called 150 customers and Alek reached her number after calling 300 customers.

While they both achieved their productivity milestone, Autumn was more efficient because she only had to call an extra 50 people, while Alek had to call an additional 200 people.

Is There Such a Thing as Being Too Efficient?

Like productivity, focusing solely on efficiency can lead to unintended consequences. You do not want to complete your work hastily, but you also do not want to set the unreasonable expectation that you can achieve perfection.

Challenges, missteps, and failure are a part of growth and achieving results.

Whenever you focus too much on quality, you will find yourself coping with self-doubt, anxiety, and procrastination. If you are in a leadership position, your team may be too scared to produce anything because they are so worried about making a mistake.

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Out of fear, everyone remains in the analysis phase as they continue to plan for every possible outcome. Even though it is tempting to celebrate successful perfectionists like Steve Jobs and others, there are studies that confirm most successful people in any given field are less likely to be perfectionist.

Perfectionism keeps most people from making decisions because the anxiety about making mistakes holds them back.[1]

Striking a Balance Between Productivity and Efficiency

When trying to decide whether productivity or efficiency is more important, it is important to understand you need both. Accomplishing your goals and keeping your resolutions provide a great feeling, but you are going to want to measure the cost.

You need to monitor the amount of time and resources you invested into achieving your goal. There is a point of diminishing returns where you are producing at such a high output, your work is full of errors and requires additional attention.

The same diminishing returns exist if you are concerned about quality to the point you are teetering on perfectionism — as perfectionists have an unhealthy fear of failure that keeps them from producing anywhere near optimum levels.

Three Strategies to Maximize Your Results

1. Be Intentional with Your Time and Resources

Start by attempting to maintain your current level of production while lowering the resources you use.

This strategy requires you to be intentional with your goals. For example, if you oversaw the marketing budget for a multi-billion-dollar company, you may be reaching your results, but only because of you are flooding the market with ads.

If you wanted to increase your efficiency without impacting your productivity, what would you do?

One simple strategy is to conduct a review of all your marketing campaigns. Once you have completed the review, you can rank your campaigns based on their return on investment.

You can then increase your productivity and efficiency by reallocating the money you spent on the bottom 10% of ads and moving them to your top 10% of ads.

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2. Reduce Waste

Another strategy that will provide an immediate impact is for you to focus on reducing your waste. Again, we are going to implement techniques that will positively impact your efficiency and productivity.

Start reducing waste by finding less expensive alternatives that will accomplish the same tasks you are currently producing.

As was the case with our business example where the California office spent significantly more money that the Florida office. Are there more cost effective, but reputable options that you have not explored yet?

It is a great idea to review your expenses annually to see if there are places you can improve. If you are not sure, shop around to see if your prices are in line with the market.

You can even employ this technique with your own personal finances.

Have you ever wondered why every car insurance commercial promises they can help you save 40%+ on car insurance? It is because most people do not update their auto coverage on a regular basis. Since automobiles are a depreciating asset, your car is losing value every year.

If you bought your vehicle for $20,000, then it may only be worth $15,000 after the first year. However, if you are still paying insurance based on a $20,000 value, you are naturally going to be paying more if you received insurance based on a $15,000 value.

Therefore, when you call the new insurance company, they are going to offer you insurance based on the vehicle’s current value of $15,000.

The reason car insurance companies are so confident they can save you money is because they know you are paying for insurance on a $20,000 car when your car may be worth half or a third of that.

3. Prioritize Your Goals

The third approach to help you balance productivity and efficiency is to prioritize your goals. If you want to avoid falling into the perfectionism trap, you are going to have to admit you cannot have everything exactly the way you want.

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You are going to need to decide what matters to you most and be willing to sacrifice other less important goals to ensure you achieve your top priority.

For instance, the truck driving industry is extremely competitive and as a result, truck drivers must focus on keeping costs down and operating higher efficiency. To manage their costs, truck drivers like to make sure they are never driving an empty truck. If they have a delivery in Miami, they want to make sure they have a pickup in Miami to cover the drive back.

Anytime a truck driver is unable to find cargo for their drive back, they are wasting time and resources. Imagine if your next pickup was in Atlanta. Without cargo, that entire drive would be an uncovered expense and those can add up quickly.

To ensure they have their costs under control, truck drivers will prioritize ensuring they are not driving empty over all other goals and objectives.

Sometimes the driver is unable to find a pickup at their drop-off location at the same rate they hauled the cargo down. However, since they have prioritized “not driving empty,” they do not have an issue offering reduced pricing when they find themselves in this situation.

If they did not prioritize their goals, they would be waiting in Miami for a back-haul that would cover their drive to Atlanta. Perfectionism tells you that you must accomplish all your goals or none of them.

When You Cannot Have It All

When you find yourself faced with difficult decisions, take a moment, and determine what matters to you most. If you can only accomplish one or two goals, which one will provide the greatest impact?

Then, take the time to understand and account for the necessary shift you will need to make to your productivity or efficiency levels. In the case of the truck driver, they sacrificed their productivity by taking a lower rate for their back-haul. Yet, they increased their efficiency because they covered their costs and made a small profit with their lowered rate.

What it ultimately means is the truck driver increased his productivity because the choice was not between their normal rate or a reduced rate, it was between an empty haul and a reduced rate haul.

Conclusion

By being intentional with your time and resources, reducing waste, and prioritizing your goals, you can increase your overall efficiency and productivity.

No matter the goal you have set for yourself in your life, there will always be a benefit to working more efficiently and balancing that with increased productivity.

Featured photo credit: rawpixel via unsplash.com

Reference

More by this author

Undre Griggs

Founder of Forecast Hope | Mindset Coach Who Is Focused On Helping You Overcome Your Fears and Self-Doubt So You Can Get Results

Productivity vs Efficiency: Which One Matters More and Why?

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Last Updated on October 17, 2018

7 Natural (And Highly Effective) Ways to Improve Memory

7 Natural (And Highly Effective) Ways to Improve Memory

How is your memory? Is your cognitive function as strong as you’d like it to be?

If not, then you’re definitely going to be interested in the memory improvement tips I’ll be sharing with you in this article.

Despite what you might think – or have been told – improving your ability to recall information is certainly possible. You just need to know the right ways to do it. (Don’t worry, as you won’t need to make any significant lifestyle changes.)

So how to improve memory? Let’s dive straight into the first of seven easy ways to improve your memory significantly.

1. Meditate

We live in a world of non-stop, 24/7 information. It’s like a waterfall that’s endlessly pouring news, data, facts and figures into our conscious minds.

Unfortunately, our brains are not designed to absorb this tremendous amount of information. It’s no wonder then, that most people struggle to remember information and recall things.

Even if you believe you have a good memory and are comfortable with multi-tasking, you’ll also be aware that there’s only so much information your brain can process at one time. And research suggests that the more information and distractions, the harder it is for you to transfer information to your long-term memory.[1]

Fortunately, meditation can help you out.

Even if you just meditate for 10 minutes per day, you’ll boost your ability to focus, which in turn, will make it easier for you to remember important facts.

If you need help in shifting into a meditative state, I recommend trying an app like Headspace – which can assist you to achieve this in a convenient and structured way.

And don’t forget, meditation doesn’t just have to be closing your eyes and sitting in a lotus position. Some people prefer to simply take a short walk in nature. This clears and calms their mind, and still provides the all-important boost to their focus.

2. Get plenty of sleep

If you’re sleep deprived or have not been sleeping well, then I’m guessing you’re not remembering well either. This is because sleep and memory are intimately connected.

If you have a busy life and regularly find yourself not getting enough sleep, then this will negatively impact your cognitive abilities – including your memory.

How much sleep should you be getting?

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Well, according to the National Sleep Foundation, you need a minimum of seven to nine hours of sleep per night. If you get this amount of sleep regularly, then within just a few days, you’ll see a tangible improvement to your ability to remember and recall things.

Now, I’ll be honest with you, maintaining a proper sleep cycle is not always easy (especially when the latest Netflix series has just been released!). But if you care about improving your short-term and long-term ability to remember things, then it’s critical that you try to get at least the recommended amount of sleep every night.

Are there ways to hack the sleep cycle?

Yes, there are.

Try these three things:

  • Have a fixed bedtime (preferably before 10pm)
  • Don’t eat too late
  • Make sure your bedroom is as dark as possible

Sleeping is a precious activity. It regenerates your body, clears your mind, and helps with the storing and retrieval of information.

However, don’t sleep just yet, as I want to tell you about another great way to increase memory…

3. Challenge your brain

When was the last time you challenged your brain?

I don’t mean challenged in the sense of overeating or undersleeping. I’m referring to stretching your mental capabilities through things like crossword puzzles, Sudoku and memory games.

To expand your memory bank, and to make your recall razor-sharp, you need to continually challenge your brain.

Feedback from Lifehack readers such as yourself, has suggested that brain training apps are a super-effective way of doing this. Used regularly, these apps can enhance your focus, attention span, problem-thinking ability and memory.

There are hundreds of these apps available (most of them for free), but I recommend starting out with one of the big three:

  • Peak (Android/iOS, free, 10 million+ downloads)
  • Lumosity (Android/iOS, free, 10 million+ downloads)
  • Elevate (Android/iOS, free, 5 million+ downloads)

If you normally spend a chunk of your week playing computer games, then instead of shooting and killing your enemies, why not let some of them live – while you put your attention into boosting your brain power!

Challenging your brain will strengthen your neural pathways and enhance your mental abilities. But don’t just take my word for it, try one of the apps above and see the positive benefits for yourself.

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4. Take more breaks

When I think back to my days as a budding entrepreneur, I distinctively remember working all the hours under the sun – and many under the moon too!

At that time, I believed that breaks were for the weak, and to become wealthy and successful, I needed to shed blood, sweat and tears.

However, I was wrong.

Taking regular breaks is the best way to keep yourself productive, creative and alive to opportunities. It’s also the best way to learn new information.

Let me explain.

Typically, when studying lots of new information, most people will spend hours reading it – in an attempt to learn and remember the content as quickly as possible. Unfortunately, they’ve overlooked something.

Namely, extended study sessions are rarely a good thing, as your ability to retain information naturally declines after a certain period of time.

It’s similar to physical exercise. You wouldn’t attempt to train vigorously for four hours in a row. Instead, you’d take regular breaks to give your lungs, heart and muscles adequate time to recover. Failing to do this will result in muscle cramps and overexertion.

It’s the same with your brain. If you overload it with information, you’ll suffer from mental fatigue.

What’s the answer?

Make sure you take regular breaks when learning new information. I recommend at least a 10-minute break every hour. (You may also want to take a look at the Pomodoro Method.)

If you don’t want to be as regimented as that, then take breaks as soon as you find yourself losing the ability to focus on the new material. Your brain will thank you – and your learning aptitude will move up a level.

5. Learn a new skill

I love this quote, as it’s 100% true – but frequently overlooked:

“Learning never exhausts the mind.” – Leonardo da Vinci

From my experience of helping to develop the careers of dozens of Lifehack employees, I can definitively say that participating in meaningful and purposeful activities stimulates the mind. It also reduces stress and enhances health and well-being.

Let me give you an example of this:

Imagine you work for a global financial institution in one of their call centers. You take over 100 calls a day – many of them complaints. When you started the job a few months back, you were excited to be in full-time employment and working for a household name.

Unfortunately, your initial enthusiasm quickly turned into frustration.

The endless complaint calls began to take their toll on you. And the supervisors irritated you too, as they were far too interested in micro-managing you – rather than letting you work in your own way.

Now, in the story above, the ending could be that you put up with a job you didn’t like, and led a dull and frustrated working life for years and years. However, an alternative ending is this: you channeled your dissatisfaction in to learning a new skill (computer coding). It took you a year or two to get up to speed, but it allowed you to successfully upgrade your career – and the ongoing learning made the call centre job much more bearable.

Clearly, learning new skills gives you impetus, focus and something to aim for. Your brain loves to learn, and you should tap into this by always seeking our new information. And when learning becomes a habit, you’ll find your ability to remember and recall things effortlessly, becomes a habit too.

6. Start working out

If you’re not already working out regularly, then here’s another reason to do so:

Exercising for 20-30 minutes three times a week will improve your long-term memory.

Regular exercise increases blood flow in your body and supplies the brain with extra oxygen and nutrients. And a well-nourished brain is a well-functioning brain!

“But I just don’t have the time?,” I hear you say.

Not a problem.

A research has shown that a daily burst of 60 seconds of high-intensity exercise, offered many of the benefits of the longer exercise routines.[2] So, if you’re short on time – now you know what to do.

Interested in getting started?

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Here are five different ways that will help you work out:

  • Join a gym
  • Join a sports team
  • Buy a bike
  • Take up hiking
  • Dance to your favorite music

7. Eat healthier foods

I’m sure you’ve heard the expression: “You are what you eat.”

This applies to your brain too.

The food that you eat helps determine your brain’s capacity to store and recall information. A poor diet (think junk food + soda!) harms not just your physical health, but your mental health too.

Fortunately, there are several foods that are especially good for your brain and your memory. These include: blueberries, celery and dark chocolate. But anything high in antioxidants will have a positive effect on your brain and memory.

Conversely, highly-processed foods and those loaded with sugar will have a negative impact on your memory. This is due to them providing insufficient nutrients for your brain – leading you to easily suffer from mental fatigue.

Want to be mentally healthy? Then eat and drink an abundance of these for brain health:

  • Turmeric – helps new brain cells grown
  • Broccoli – protects the brain against damage
  • Nuts – improves memory
  • Green tea – enhances brain performance, memory and focus[3]
  • Fish oilfish oil supplements can increase your brain power

Here’re more brain food options that improve memory!

Final thoughts

I sincerely hope these seven memory boosting ways that I’ve covered in this article will be of help to you.

You don’t need to implement them all. I suggest just trying the ones that appeal to you.

But, if you’re serious about dramatically improving your memory, then make a start right now on adopting one or more of the ways I’ve suggested. I’m confident you won’t regret it.

Featured photo credit: Eric Ward via unsplash.com

Reference

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