Focus on innovation, not just productivity
Panellists say that preoccupation with raising productivity comes at expense of creativity
[SINGAPORE] Companies shouldn't chase productivity for productivity's sake, but strive to create value through innovation instead, said participants at BT's Budget Roundtable. This would place more emphasis on tangible outcomes that ultimately boost output.
Explaining how attempts to measure productivity (such as unit labour cost) are "flawed to begin with", Mizuho Bank economist Vishnu Varathan said: "There is a risk that productivity and creativity could be almost mutually exclusive, if not slightly at odds at the very least. If productivity is measured within the year (as) how much more output you can have, (it does) to some extent exclude the creative process that may have a longer gestation period.
"The way to go about it is to not get hung up on year-to-year measures, (whether they reflect) slippages or spurts in productivity. We're in it for the long haul, and I think we ought to treat it as such," he added.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
New Articles
HDB resale prices accelerate, rising 1.8% in Q1 on stronger demand
Digital Core Reit Q1 distributable income slips 2.4% to US$10.6 million
BT subscribers can now share 5 premium articles a month with unlimited number of non-subscribers
First Reit reports 3.2% lower Q1 DPU of S$0.006 amid interest rate, forex headwinds
Vietnam holds first gold auction in 11 years to stabilise market
How Hudson Yards went from ghost town to office success story