How to determine the increase in output

Determine the growth of production in the firm at the expense of increase of labor productivity. Thus the change in the value of production can have a simultaneous and direct impact a number of key factors, which are divided into extensive (quantitative) and intensive, that is, qualitative factors of growth, which characterise the extent of quantitative factors.

Calculate the sum of extensive factors. To do this, add each of the following indicators: number of employees, value of fixed assets, the cost of material resources and capital expenditures.

Calculate the amount of intensive factors. This will add the necessary indicators: labour productivity, capital productivity, material consumption and capital intensity.

Calculate the rate of growth of production. For example, the following data: volume of production for 2010 is equal to 100 thousand rubles, for 2011 - 150 thousand rubles. In this case, you must calculate the total change in the volume of production: 150-100=50.

Find change, the increase in the number of employees. Also subtract the measure of the number of workers for this year the data available for the previous.

Size of increase of production in the firm due to changes in value productivity. For this you need to calculate the average output of products per worker (labour productivity) and multiply it by the number of employees.

Calculate the size of the growth in production when you change the number of employees. In this case, the increase in the number of employees multiplied by the average output of products per worker (labour productivity). To achieve growth of volumes of production by increasing only quantitative factors are constantly simply impossible, so we need to go through the best use of all the resources available in the enterprise, that is, with the intensification of production.