Production; The art or process of producing things.
Productivity; Efficiency in production
Example
Mega Co.Ltd had 20 Staff and produced 2'000 items in 2008. In 2009, Mega hired 10 more Staff and produced 2'800 items.
Production in 2008 = 2'000 items per year
Production in 2009 = 2'800 items per year
There is an increase in Production of 800 items per year.
Percentage increase in Production = 800/2'000*100= 40%
Productivity in 2008 = 2'000/20 = 100 items per staff per year
Productivity in 2009 = 2'800/30 = 93 items per staff per year
There is a decrease in Productivity of 7 items per staff per year.
Percentage decrease in Productivity = 7/100*100 = 7%
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