Production Vs Productivity : 8 Differences (With Table)

Basir SaboorJanuary 27, 2023

Many people use the words ‘production’ and ‘productivity’ interchangeably, but the truth is that they are not the same. The difference between production and productivity lies in the meaning of the word “production.” Production is the act of producing something, such as manufacturing or creating. Productivity can be a person’s effectiveness in meeting their goals and objectives. So let’s first have a look at the table that compares both production vs productivity.

Table of Contents

Production Vs Productivity

Production	Productivity
The process of producing or manufacturing a number of goods or services is called production.	Productivity is actually the measure of how efficiently the production process is carried out.
It can be measured in the terms of quantity	It can be measured in terms of output per unit of input.
Production is also expressed in absolute terms.	Productivity may also be expressed in relative terms.
Production can be affected by factors like technology, land, capital, and labor availability.	Productivity is affected by factors such as efficiency and management practice.
The production helps in satisfying the wants of the customers.	Productivity helps in improving and increasing production.
It can be expressed as the total number of units produced over a period of time.	It can be expressed as a ratio or a rate over a period of time.
It is a static measurement	It is a dynamic measurement
Production can be seen as a measure of output.	Production can be seen as a measure of efficiency.

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What is Production?

Production is the process of creating or manufacturing something. It usually refers to the creation of goods or services, but it can also refer to the creation of art, music, or any other type of work.

The term “production” can also refer to the act of creating something, or the amount of something that is produced. For example, a company’s production department is responsible for creating the company’s products.

Moreover, in production, there are different types of processes that are followed in order to create something. These processes can include manufacturing, assembly, packaging, and many others. Several components, some of which are extremely complex, must be combined until the process is completed. Production can be measured in terms of physical units or monetary value (value terms).

Types Of Production

The five types of production are:

Job Production – This is where items are made one at a time and are often used for customized or unique products.

Batch Production – This is where items are made in small batches and is often used for products that require more than one operation to create.

Flow Production – This is where items are manufactured in a continuous flow and is often used for products that are mass-produced.

Line Production – This is where items are assembled on an assembly line and is often used for products that require a lot of repetitive actions to create.

Service Production – The production of intangible goods such as haircuts, car washes, and restaurant meals.

What is Productivity?

Productivity, on the other hand, is a measure of how efficiently production is carried out. It is usually expressed as a ratio or percentage and can be used to compare different methods of production or different periods of time.

In general, productivity measures how much output is produced per unit of input. For example, if a factory produces 100 widgets in an hour using 10 workers, then its productivity is 100 widgets per hour per worker.

There are many different ways to measure productivity, and it can be applied to any type of production process. For example, a manufacturing company might measure the productivity of its assembly line by the number of products that it produces per hour. A service company might measure the productivity of its customer service representatives by the number of calls they handle per hour.

It is to remember that productivity is often confused with efficiency, but they are not the same thing. Efficiency is a measure of how well something is done, while productivity is a measure of how much output is produced relative to the inputs used.

Production Vs Productivity – Main Difference

One major difference between production and productivity is that production is a measure of quantity while productivity is a measure of quality. In other words, production is how much you produce. On the other hand, productivity is how effective or good you are at producing.

6 Key Differences Between Production and Productivity

There are six key differences between production and productivity. They are as follows:

Production is the process of creating goods or services. On the other hand, productivity is a measure of how efficiently this process is carried out.

Production can be done manually or through machines while productivity is always measured in terms of output per unit of input.

The goal of production is to create value while the goal of productivity is to maximize efficiency.

Production involves the use of resources while productivity only measures the output generated from these resources.

Production can be increased by either increasing inputs or improving processes while productivity can only be improved by improving processes.

Finally, production can be described as a static concept whereas productivity is a dynamic one since it changes with time and technology.”

The following table compares production vs productivity in a sequential manner.

production vs productivity comparison table

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Key Takeaway(s)

Conclusion

So, to wrap up this article, we can say that production refers to the quantity of output, while productivity measures the quality of the output. In other words, the former is a measure of how much stuff you’re making. On the other hand, the latter is a measure of how good that stuff is. Productivity is important because it’s a measure of efficiency – if you’re productive, that means you’re doing more with less. And in today’s competitive business landscape, being efficient is key to success.

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