5 Tips to Boost Your Small Business’ Productivity

It’s no secret that improving employee productivity is crucial to a small business’ success, in fact for all businesses. But for small businesses, it can often be challenging to make the right changes to improve efficiencies and increase profits. So how do you balance productivity with cost-effectiveness and maximize results?

Small businesses have several options for getting more done faster and cheaper. But suppose you want to see real, measurable improvements in your day-to-day operations. In that case, you may need to assess where your company could use additional support — especially when it comes to tracking employee performance. That’s where employee time trackers come into the picture.

How to Improve Employees’ Productivity

Improve productivity for Small businesses

One of the most effective ways to improve employee productivity is to hire people with the right skills for the job rather than relying solely on resumes. Hiring experienced and knowledgeable employees can help ensure tasks are completed quickly and efficiently.

Providing employees with the right technology and education by attending relevant seminars or taking a course can also help to increase productivity. Technology such as time trackers can track employee activities, allowing them to monitor their productivity and adjust accordingly.

Below are the five effective ways small businesses can use time trackers to improve their productivity — while helping employees become more efficient.

Also Read: Employee Experience vs. Employee Productivity: Does One Affect the Other?

Implement an Online Time Clock App for Accurate Time Tracking

Implementing an online free clock-in clock-out app is essential when improving a small business’s productivity. These apps help track attendance, timesheets, and labor costs and export payroll data while enabling many other features through which a custom report can also be created.

For instance, the GPS tracking feature can record employee location when they clock in and out of their work day. This can be extremely helpful for businesses that need a better handle on where their employees are at any given moment.

Time clock apps can also help businesses manage employee scheduling and time tracking. It can also help in task management and payroll with ease. Accurate employee time tracking allows business owners to build schedules around employee availability. They can assign tasks based on individual strengths. Furthermore, these apps can calculate worked hours and prepare detailed reports for accurate payroll processing at the end of the month.

Online time clock apps are a definite must for any small business looking to improve productivity and save time in the long run.

Set Clear Goals and Key Performance Indicators (KPIs) for Employees

Goals and KPIs provide measurable targets to track progress and efficiency. When it comes to performance-based metrics, KPIs are the standard. KPIs are quantifiable metrics used to measure progress toward a goal. 

They should be aligned with the business strategy, attainable, acute (easily measured and monitored), accurate (consistent), actionable (immediate or short-term), and alive (reviewed regularly).

Examples of KPIs include Voluntary Attrition, Employee Net Promoter Score (NPS), and Quarterly Sales Goals. Establishing these metrics throughout every level of the organization motivates employees. 

It also creates accountability for everyone on the team. NPS measures employee satisfaction by rating their performance on a scale from 1 to 10. While Quarterly Sales Goals help check whether groups meet their desired target sales. Setting clear goals for employees to reach helps managers determine how productive their staff is.

Also Read: OKR vs. KPI: Differences And Importance

Provide Adequate Training and Learning Opportunities

Providing adequate training and learning opportunities for employees will lead to improved productivity and higher staff retention. Training is a crucial factor for small businesses to stimulate proactive thinking. This can include onboarding, company culture training, leadership development, and even industry-specific skills.

The idea of providing training and learning opportunities is two-fold. It helps to build employee skill sets allowing them to stay current with new technology and systems. At the same time, it also gives them a chance to show initiative in the workplace. Both are important for improving staff morale.

Building a learning culture in small businesses has benefits. It can include better employee engagement and an understanding that their work matters within the business. This gives employees an environment where they can thrive. They can experiment with creative ideas and collaborate with different departments or colleagues. This leads to greater productivity.

Conduct Regular Performance Reviews and Feedback

Regular performance reviews and feedback can play a fundamental role in improving employee productivity for small businesses. Most companies have abandoned traditional performance reviews. However, many argue that feedback given during regular assessments can enhance employee performance. 

Performance reviews help maintain a healthy and positive company culture. It also allows employers to identify areas where employees need improvement. It can help in training them to manage their workloads better. Moreover, it helps employees feel supported. Knowing that their employers are invested in their success. And that they are available to offer constructive feedback when needed. 

Some tips for conducting effective performance reviews include:

  1. Be clear on the goals you set for each review.
  2. Allow employees time to share their thoughts on past accomplishments and present challenges.
  3. Always finish by providing constructive criticism and areas for improvement.
  4. Ensure a two-way dialog with both parties listening to exchange views.

Motivate Employees through Recognition and Rewards

One way to motivate employees to become more productive is by recognizing and rewarding them. A simple thank you, or a few words of encouragement can make employees feel appreciated. It can act as an incentive for them to continue working hard.

Moreover, rewards can reinforce good behavior and motivate employees to continue their best efforts. It can be bonuses, time off, gift cards, or recognition awards. The rewards don’t have to be extravagant. Something as small as a gift card or words of appreciation can go a long way in recognizing hard work. Rewards help boost morale and encourage employees to strive for higher productivity levels.

All people want to feel that their contributions are appreciated and rewarded. Businesses foster an environment conducive to higher performance levels by recognizing individual accomplishments. Recognizing employees‘ achievements boosts morale and motivation. This encourages them to continue striving for excellence. 

Also Read: Engagedly + Meta Workplace: Elevate Rewards and Recognition to New Heights

Challenges of Small Startup Companies when Having Remote Workers

Remote work - Challenges of Small businesses

Small startups tackling the remote working model for the first time might face a few challenges.

Communication is a Key Challenge

Communication is a crucial challenge for startup businesses. Especially when it comes to remote work arrangements. With tech-based solutions, it’s easy to keep everyone in the loop for communications.  But to do so, you need to ensure that everyone uses the same tools. This requires trial and error and training.

Remote Employees Requires Additional Consideration

When it comes to remote employees, there are more considerations you’ll need to take into account. Like job descriptions and communication style preferences. You’ll also need to consider handling work interaction without having an office space. Consider a place where workers can physically meet up and collaborate.

Remote Work Can Lead to Overworking, Isolation and Communication Breakdown

Remote work can lead to overworking. This is due to a lack of boundaries. Isolation also happens due to a lack of physical interaction with colleagues. Breakdowns in communication can occur when stakeholders need to learn how or when they can access your remote team. To avoid these issues, clear expectations must be set from the start. Regular check-ins are carried out with remote workers and on-site team members.

Final Thoughts

Implementing a few of the practices outlined in this article can improve employee productivity for your small business. Introducing a time clock app or setting boundaries for work hours can create a more efficient work environment. It can also promote productivity among employees. 

Ultimately, it’s worth the effort to optimize the workplace to improve the success and productivity of the business.

Also Read: The Essential Guide To Employee Productivity In A Hybrid Setup

Frequently Asked Questions

Q1. What is employee productivity for small business?

Ans. Employee productivity for small business is the efficiency of workers in achieving business goals and completing tasks effectively.

Q2. How to improve employee productivity for small businesses?

Ans. To improve employee productivity for small businesses, focus on clear goals, training, engagement, work-life balance, efficient communication, proper tools, recognition, time management, streamlined processes, and teamwork.

Q3. Why focus on improving employee productivity for small businesses?

Ans. Focusing on improving employee productivity for small businesses boosts efficiency, competitiveness, and profitability, leading to better customer satisfaction and business growth.

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3 Proven Ways to Boost Employee Productivity

Employee productivity is an essential part of your company’s success and growth. If you’ve made the switch to remote working and have been struggling to find the right ways to motivate your employees, this is the perfect blog for you. 

We’ve collected the three best ways to boost employee productivity and written an actionable guide for you. Not only will we explain the importance of each strategy, but we’ll also give you tips on how to help your workers transition into remote work successfully. 

1. Provide Support for Your Remote Workers

You should be able to provide support for your remote employees from the onboarding process onward. 

When you’ve checked the best-written resumes and are hiring new employees, make sure they understand what working from home entails. Don’t just talk about the positives, make sure to paint a realistic picture. Describe how you’ll support your employees and how they can best prepare themselves. 

Also Read: How To Create A Time Management Plan For Remote Teams

It would be a good idea to create a remote work guide you could share with new employees. Cover the topics of: 

  • How to set up a home office
  • When is the best time to talk to other employees
  • How to organize your workday
  • What to do when taking a break
  • How to destress after work

Make sure to have regular check-ins and support your team whenever any issues arise. That way you’ll be proactive about your employee productivity. 

If you’re worried your employees won’t come to you with problems, try being proactive and organizing weekly meetings, in which you don’t exclusively talk about work. Start with a fun icebreaker that will help your team bond.

Don’t skip over topics of – employees’ birthdays, important events, pets, etc. 

Then, talk about what’s progressing nicely in the company. Make sure your employees feel valued. From that, transition into talking about the general topic of your meetings. 

Throughout the week, you can use Slack and other communication tools to recommend movies, series, podcasts, books, and more. It’s a great way to connect with your team members and help them forge real friendships. 

2. Remove Distractions – Digital and Other Ones

It might be tempting to work from bed, while still wearing pajamas. But this type of working style will leave you feeling less motivated and less productive. That’s why it’s essential to help your employees and set them up for success. 

Explain to your team members that they need to find a place in their house to set up a desk. Having a routine helps us stay motivated and it’s important for your employees to know what distracts them and how to find a fruitful practice. 

Make sure to explain to them where the best place for setting up a home office is and how to talk to their roommates and families about working from home. Although they can never fully isolate themselves from their surroundings, they should have a place where they can take calls and host meetings in peace. 

Whether you’re providing them with equipment or not, you should be ready to help them with any technical issues they may encounter. 

Furthermore, they should be able to restrict themselves from using social media during work hours. Instagram and Twitter tend to steal hours of our time if we don’t proactively avoid them. They can try putting their smartphones in a different room or logging out of their social media. 

Lastly, make sure all your workers have clear roles and responsibilities. If they are expected to ‘read the room’ and pick up on tasks, you’ll end up with a confused team and unfinished business. 

Once everyone knows which projects they’re working on and how they can help others, you’ll get a productive team that knows how to work toward the big picture. You’ll also see a rise in employee productivity. 

3. Work at Set Hours

As you already know, working from home allows you to set up a better work-life balance. You’re not wasting time commuting and have the option to work flexible hours on days when you have other commitments. 

However, working from home can sometimes turn into working for the entire day. That’s why it’s so important to set up strict working hours. Make sure to explain to your employees that even if they don’t start their work day at the same time every day, they should try to work for a set number of hours instead of going overboard. 

If you have set weekly meetings, make sure it’s not too early or too late for any of your team members. Working with an international team has a lot of benefits, but make sure your employees aren’t working night shifts in order to attend the meetings. 

They should also have a relaxing routine to slip into after work. It could be anything from going on a walk, chatting with friends, having lunch, relaxing watching a TV show, or something else. 

A good trick is to set an alarm for when the working day is over – just like a school bell signaling the end of school. 

Also Read: The Complete Guide To Working From Home

employee productivity

Key Takeaways

Boosting employee productivity in a remote setting doesn’t have to be tricky. You can do it by sticking to our actionable guide that makes sure both you and your employees understand how to succeed in a remote environment. 

Making sure you support your employees will help you build loyal relationships with them. Once they see how much you’re investing in them, their education, and their work-life balance, they will feel appreciated, and in turn, it will lower your turnover rate. Furthermore, you need to help your employees remove any possible distractions like doing the washing up, social media, etc. 

Lastly, make sure your employees don’t overwork themselves. Overworked employees are unproductive employees and you want to avoid that. Help them stick to their fixed working hours by avoiding messaging them outside of work. 

If you have enough time to invest in your employees, you’ll see how your team members react to your strategies and you can shape them accordingly.

employee productivity

Frequently Asked Questions

Q1. What is employee productivity?

Ans. Employee productivity, also known as workforce productivity, refers to the quantity and quality of work delivered by an employee or a team within a specific time.

Q2. What are the factors that affect employee productivity?

Ans. Factors that affect employee productivity are:

  1. Work environment
  2. Processes
  3. Pay structure
  4. Training and career development opportunities
  5. Employee wellness
  6. Goals

Q3. How to measure employee productivity?

Ans. Employee productivity can be measured using:

  1. The labor productivity method
  2. The hours worked method

This article is written by Vanja Maganjić.

productivity of employees

Vanja Maganjić is an experienced writer with a unique passion for creating content that helps brands connect with their customers. She believes in brands that stand up to the man and thinks that storytelling is an essential part of what makes us human. Her long-term goal is to become the cool auntie that gives out family-sized Kit Kats on Halloween.