Difference between productivity and efficiency

Posted By: Sm Adminon: December 03, 2015In: Miscellaneous

Productivity:
Productivity is the amount of output per unit of input. As human wants are unlimited, productivity either directly or indirectly satisfies the wants of the humans. It is a source of income as well. The increase in productivity helps to earn more profit and expand the business as well.
Efficiency:
Efficiency is the comparison between the actual production made and the real production could be done. Efficiency will never be greater than 100%.
Differences:

Basis	Efficiency	Productivity
Definition (www.oxforddictionaries.com)	A viscous liquid derived from petroleum, especially for use as a fuel or lubricant.	The state or quality of being productive.
Synonyms	Productivity, skill, readiness, talent and capability	Yield, fertility, production, capacity and richness
Antonyms	Inability, ignorance, inefficiency, lack, and inadequacy	Unproductivity and idleness
Pronunciation	Eng (UK): /ɪˈfɪʃ(ə)nsi / Eng (US): /əˈfiSHənsē /	Eng (UK): /prɒdʌkˈtɪvɪti / Eng (US): /ˌprōˌdəkˈtivədē/ /ˌprädəkˈtivədē/
Word origin	The word efficiency is originated in 1633.	The word productivity was originated in circa 1810.
Measurement	It is the measure of waste in a system.	It is the measure of output produced by one unit of input.
Depends on	It depends on the quality.	It just depends on production.
Production	It is how much one produces in a given amount of time with resources.	It is the amount of time one spends on productive tasks.
Advantages/Benefits	The advantages of efficiency are: Reduces the energy costs Improves the operating performance Enhances the comfort Strengthen the organization’s image	The advantages of productivity are: Increase in income/profitability. Lowering running costs/operational costs. Maximising the use of all of the company’s resources such as land, equipments/machineries, factory, workers, and etc. Gaining a greater share of the market. More cash flows mean more opportunity for the company to expand and grow.
Example in Sentence	The working efficiency of the employees should be increased. The work is being completed with higher efficiency.	Higher the productivity higher would be the cost. The productivity should be increased in order to increase the profit.