Does Productivity have any Relation with Staff Strength?
Have you ever seen a shopkeeper in a shop with an assistant there, waiting for customers, struggling with less number of customers visiting the shop and decided to increase more assistants in the hope of increasing customer volume just by increasing the staff?
Yes, but it's true in large businesses with no. of outlets, where we have no idea about the sufficiency of staff, and we never try to get the optimum productivity from the existing staff. Rather, We need more staff only because existing ones are not productive.
What is the leaders' role then?
Are we taking responsibility for Non Performance of our staff? Have we done enough to improve the productivity with any structured approach? Is there any science behind minimum and sufficient staff strength? Minimum staff is always required to start the business, to cater smooth customer service, but what after that? When do we need additional staff?
Few organisations follow sales only criteria and ignore the service part in the calculation of staff strength. Remember, Service plays the most important role in improving your sales. Many job roles are sales and service combo, but while calculating output, sales part overtakes service. In result, calculation of staff strength became faulty, which affects customer service and responsible for a drop in sales over a period of time.
There must be clear math behind staff strength, and it should be followed religiously. All the calculations must be visible to all the stakeholders regarding staff strength. All the persons in the hierarchy must know that after what level of achievement, there is a possibility of the additional staff. It will help in increasing the productivity of existing staff in the hope of getting more staff only when we reach that level.
Excessive and insufficient staff strength both have a negative impact on business. Excess staff not only increases cost but also develops habit among staff to always underperform, while less strength put unnecessary pressure and responsible for higher attrition and dissatisfaction. Transparency in staff strength calculation can eliminate these problems up to a large extent.