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Productivity – What is it and what can I do to lift it? 

How CEOs can prevent burnout from fighting problem fires

Productivity is a buzz word in Australia right now, with the federal government announcing high-level discussions on productivity and economic reform this August.

"Strengthening growth," "improving efficiency," and "building economic resilience" during uncertain global times are the key areas the government wants to see ideas on.

This national conversation reflects the urgency around similar productivity challenges facing Australian organisations. 

As Jakob Stausholm, CEO of Rio Tinto Group, recently told [AFR](https://www.afr.com/companies/financial-services/government-out-of-the-way-ceos-on-how-to-fix-productivity-problem-20250104-p5l23o), "The country’s productivity is closely linked to how we drive innovation, invest in future industries, and improve existing ones." 

Understanding what productivity means for your business (and how to lift it) has never been more important.

The Wake-Up Call From Canberra

Productivity isn't about working harder or longer hours (necessarily). It's about creating more value with the same or similar resources. Simply put, productivity means producing more goods and services from the same inputs – often with the aid of new skills or technologies.

Think of it as your organisation's [multiplier](https://preprod.thegrowthfaculty.com/articles/multipliersanddiminishers) effect; getting better results from your existing team, tools, and time.

What Productivity Really Means

Higher productivity drives three critical business outcomes. 

*   First, it boosts profitability by generating more output per dollar invested 
*   Second, it enhances competitiveness by allowing you to deliver better value to customers while maintaining margins 
*   Third, it creates sustainable growth without proportional increases in costs or resources

For employees, productivity improvements often translate to better working conditions, reduced [stress](https://preprod.thegrowthfaculty.com/articles/half-of-workers-stressed-shows-gallup-survey) from inefficient processes, and more opportunities for meaningful work ("great work" as [Michael Bungay Stanier](https://thegrowthfaculty.com/articles/michaelbungaystaniercoachingquestions) would call it) rather than busy work.

The Compelling Case for Better Productivity

The COVID-19 pandemic created a unique productivity story. Initially, many organisations saw productivity spikes as they rapidly adopted digital tools and eliminated time-wasting activities like excessive meetings and commuting.

However, the long-term picture proved more complex. Remote work challenges, supply chain disruptions, and workforce disruptions created lasting productivity drags that many organisations are still addressing today.

The Pandemic's Productivity Paradox

The productivity lag effects from the pandemic continue to challenge Australian businesses. Skills shortages, changed worker expectations, and [hybrid work arrangements](https://preprod.thegrowthfaculty.com/articles/playbook-for-leading-remote-and-hybrid-teams) require ongoing management attention. 

Many teams are still learning to work effectively in distributed environments, and organisations are grappling with maintaining culture and collaboration across physical distances.

The key is recognising these challenges as temporary growing pains rather than permanent productivity barriers.

Lingering Pandemic Effects

Flexible work arrangements, when implemented thoughtfully, offer genuine productivity benefits.

Employees often experience fewer interruptions, reduced commute stress, and better work-life integration. For organisations, the talent pool expands beyond geographical constraints, and overhead costs can decrease.

The secret lies in intentional design ([leading more effectively in a hybrid workplace](https://preprod.thegrowthfaculty.com/articles/leadershiphybridworkplace)) rather than default remote work policies.

The Upside of Changed Work Patterns

Research from leading management thinkers reveals specific leadership capabilities that directly impact team productivity. 

*   Clear [communication](https://preprod.thegrowthfaculty.com/articles/communication-principles-for-leaders) and goal-setting eliminate wasted effort on misaligned activities
*   [Trust-building](https://preprod.thegrowthfaculty.com/articles/trust-lessons-for-leaders-from-rachel-botsman) reduces the need for micromanagement, freeing both leaders and team members to focus on value creation
*   Effective delegation and development [coaching](https://preprod.thegrowthfaculty.com/articles/michaelbungaystaniercoachingquestions) multiply leadership impact by building capability across the team. 

Leaders who master these skills create environments where productivity naturally flourishes.

Leadership Skills That Drive Productivity

Several common [organisational friction](https://preprod.thegrowthfaculty.com/articles/michaelbungaystaniercoachingquestions) practices systematically destroy productivity. 

*   **Excessive meetings** fragment focus and create scheduling bottlenecks
*   **Unclear priorities** lead to busy work rather than meaningful progress
*   **Over-complex approval processes** slow decision-making and implementation
*   **Poor communication systems** create information silos and duplicate efforts

Recognising and eliminating these productivity drains often delivers immediate improvements.

Productivity Killers to Avoid

Different generations bring distinct productivity strengths and preferences to the workplace. Younger workers often embrace digital tools and flexible work arrangements more readily, while experienced employees may excel at relationship-building and institutional knowledge transfer.

The most productive teams leverage these generational differences as complementary strengths rather than sources of conflict.

Generational Productivity Differences

Recent research on four-day work week trials shows promising results. 

In 2022, 56 out of the 61 U.K. companies who did a [six-month trial](https://www.cam.ac.uk/stories/fourdayweek) were so pleased with the results (improved wellbeing, lower turnover, greater efficiency) they've made the four-day workweek permanent.

The trial found that the four-day workweek significantly increased job satisfaction, improved work-life balance, and reduced employee stress. The results also showed improved product quality and customer service, and a significant reduction in absences and sick days.

Other companies have followed suit. In 2024, 22% of respondents to APA’s Work in America [survey](https://www.apa.org/monitor/2025/01/rise-of-4-day-workweek) said their employer now offered a 4-day workweek, compared with just 14% in 2022. 

However, implementation requires careful planning and isn't suitable for all industries or roles.

The Four-Day Work Week Reality Check

[Liz Wiseman's research in "Impact Players"](https://thegrowthfaculty.com/articles/LizWisemanImpactPlayers) puts personal agency at the heart of workplace productivity.

"Impact players" (as she calls A-players) recognise they have the power to take action and make decisions that can change and improve situations, moving beyond simply completing assigned tasks to actively identifying "what needs to be done." 

Rather than waiting for clear direction or perfect conditions, these productive powerhouses step into ambiguous situations, solve problems proactively, and focus their efforts where they can create the most value. 

This self-directed approach multiplies productivity by reducing management overhead while generating solutions that benefit the entire team and (possibly) organisation.

Personal Agency and the Productivity Multiplier

Several simple strategies can immediately improve team productivity without significant investment.

**Time-blocking techniques** help individuals and teams protect focused work time from interruptions. Encourage 90-minute focused work blocks with clear boundaries around meetings and communications.

**Weekly priority alignment sessions** ensure everyone understands the most important outcomes for the week. These brief check-ins eliminate confusion and misaligned effort.

**Process mapping exercises** reveal inefficiencies and bottlenecks in current workflows. Teams often discover simple changes that save hours of work weekly.

**Recognition programs** for productivity improvements create positive momentum. [Positive leadership](https://thegrowthfaculty.com/articles/positive-leadership-creating-a-climate-where-people-thrive) and celebrating teams who find better ways of working encourage continuous improvement across the organisation.

**Digital tool optimisation** involves auditing current software and systems to eliminate redundancies and improve integration between platforms. [Becoming an AI-driven leader](https://thegrowthfaculty.com/articles/becoming-an-ai-driven-leader-the-strategic-framework) helps here.

Low-Cost, High-Impact Productivity Boosters

The key to sustainable productivity improvements lies in involving teams in the solution design. When people help create better processes, they're naturally more committed to making them work.

Focus on [eliminating friction](https://thegrowthfaculty.com/articles/how-to-reduce-organisational-friction-interview) and frustrations rather than adding more work. Most employees welcome changes that make their jobs easier and more effective.

Communicate productivity improvements as investments in people's success rather than efficiency drives. Frame the conversation around enabling _better_ work rather than working harder.

Building Enthusiasm for Productivity

Start with one small area where productivity improvements would make the biggest difference to your team's satisfaction and results (read about Jim Collins's concept of [Bullets and Cannonballs](https://thegrowthfaculty.com/articles/Jimcollinsvideosnippets)). Involve your people in identifying solutions, implement changes with clear success metrics, and celebrate early wins.

Remember: productivity is not squeezing even more from your people; rather it's about creating conditions where they can do their best work with less friction and more satisfaction.

The conversation happening in Canberra reflects challenges facing businesses across Australia. The organisations that address productivity proactively will emerge stronger, more competitive, and better positioned for sustainable growth.

Your Next Steps

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Productivity – What is it and what can I do to lift it?

Finding productivity improvements that make the biggest difference

Keep informed
Stay Inspired

Productivity – What is it and what can I do to lift it?

Finding productivity improvements that make the biggest difference

Keep informedStay Inspired

Keep informed
Stay Inspired