Annual output per 1 employee formula. Output is measured by the number of products produced per unit of working time or per one average employee or worker per year

Output is an indicator measured in the number of units of output that was produced in a certain time or by one worker.

How is production determined?

Output is a direct indicator of labor productivity. There are three main methods of determining it, namely: natural, monetary and labor.

The first option involves dividing the volume of products that was manufactured or sold by the average number of employees directly involved in the production process. This technique is applicable only to those enterprises that produce products of the same name.

If an organization is engaged in the production of heterogeneous products that cannot be reduced to one unit of measurement, then it is advisable to use the cost method. In this case, output is the ratio of the monetary equivalent of all manufactured goods to the number of employees.

As for the labor method for determining output, we note that it is used to assess the productivity of individual teams, jobs or departments. The indicator is determined in standard hours. This takes into account not only finished goods, but also work in progress. The value of this indicator lies in the fact that it helps to assess the efficiency of labor organization and the rational use of labor.

Production rate

Production is an indicator that is determined based on the results of a certain period. However, there are also standards that define the desired state of affairs. It's about normative work. To determine this indicator, it is necessary to multiply the duration of the period by the number of workers involved in the production process. The result is divided by the time, which, according to the standards, is allotted for the production of a unit of output. Thus, the maximum result that can be achieved in the enterprise is determined.

Production analysis

Production is the most important indicator of the work of the enterprise. To draw any conclusions on its basis, it is necessary to conduct a thorough analysis. It may be as follows:

  • dynamics of the indicator over time (based on data for several years, it is possible to determine trends in the work of the enterprise, as well as make forecasts for the future situation);
  • factor analysis (determines which factors most affect labor productivity and output, which provides an opportunity to adjust further work);
  • determination of growth and growth rates (shows the ratio of the increase in production for different periods, which allows you to study in more detail intervals with unsatisfactory performance).

Indicators for determining output

Production, as an indicator of labor productivity, is regularly calculated to assess the functioning of the enterprise. To determine this value, you need to collect the following information:

  • the volume of production in physical or value terms (moreover, you can take the value of the indicator after the fact, or you can take the planned value in order to calculate the standard output);
  • the number of employees who are directly involved in the production process (this makes it possible to assess the effectiveness of their work, as well as determine the direction of rationalization of the staff);
  • the duration of the work of production units (indispensable if you need to evaluate the output per unit of time).

How production is accounted for

Development - a quantitative expression of labor productivity. Since this indicator plays a rather important role in the analysis of the enterprise, it is necessary to somehow keep track of it. This is especially true in cases where a piecework wage system is used, which directly depends on the output indicator. Maintaining such accounting gives the entrepreneur the following opportunities:

  • availability of data on the performance of each employee;
  • fair distribution of wages in accordance with the output indicator (excluding defective products);
  • ensuring control over the compliance of the quantity of manufactured products with materials and raw materials released to the workshop);
  • identification of "bottlenecks" that impede the movement of semi-finished products between workshops and divisions.

As for modern accounting systems, in relation to the development, the following are most widely used:

  • in accordance with the order for the performance of a certain amount of work;
  • in accordance with the so-called "route map";
  • assessment of the indicator based on the final results of the work.

Production level

Output is the amount of finished goods (also in some cases, components and semi-finished products are taken into account) that was produced by one unit of labor or per unit of time. In addition, the concepts of indicators of the level of production are also distinguished:

  • average output per hour - is determined by dividing the volume of products manufactured for the period by the number of man-hours of the workshop;
  • average output per day - directly related to the previous indicator (determined by multiplying the value per hour by the length of the working day or shift);
  • output of one worker - is determined by the ratio of products manufactured per month (or any other reporting period) to the average payroll number of production personnel.

What can affect production

Yield is the amount of output produced per unit of time. It should be noted that this indicator is not stable and may fluctuate depending on a number of factors:

  • the introduction of new technologies or operations can act in two ways: on the one hand, it leads to a rationalization of the production process, and on the other hand, it can cause delays for the development period;
  • infusion of new employees into the team, who need time to adapt and get acquainted with the production process;
  • the use of previously unused raw materials (here, production may also decrease for some time);
  • mass production leads to natural fluctuations of this indicator.

Conclusion

Production can be considered one of the key indicators, because it, in fact, is a reflection of labor productivity. This value makes it possible to evaluate the results of work in natural or monetary terms. This indicator is especially important for enterprises that use a piecework wage system, because it makes it possible to fairly distribute financial resources among employees.

Labor productivity for the year or month for the enterprise is calculated by the formula: PT \u003d B / R, where

  • PT - average annual or average monthly output;
  • B - revenue;
  • P - the average number of employees for the year or month.

For example: in a year, the same enterprise earns 10,670,000 rubles. As already mentioned, 60 people work. Thus: Fri \u003d 10,670,000/60 \u003d 177,833. 3 rubles. It turns out that for one year of work, each employee brings an average of 177,833.3 rubles of profit. Average daily calculation You can calculate the average daily or average hourly output using the following formula: PTC=W/T, where

  • T - the total cost of working time for the production of products in hours or days;
  • B is revenue.

For example, an enterprise manufactured 10,657 machine tools in 30 days. Thus, the average daily output is equal to: PST=10657/30=255. 2 machines per day.

Formula

Attention

Example The following initial parameters are given: In total, one cook spends 25220 s to make a curd cake. The preparatory time takes 1260 s, the preparation of the workplace and the necessary materials costs 1008 s.


In breaks for rest and personal needs, it takes 1260 s. According to the timing specified in the regulatory documents, 32.39 seconds should be spent on the manufacture of one unit of cottage cheese cake.

Info

Find the rate of production. We substitute the data into our formula and get the result: Hb \u003d (25220 - (1260 + 1008 + 1260)) / 32.39 \u003d 671 pcs. Thus, one cook is able to produce 671 units of cottage cheese cake in one shift.


The results obtained serve as an assessment of labor productivity and are the main data for payroll calculation. Production Rates for Cleaners of Non-Industrial Premises Consider another example.

Methods for calculating labor productivity

The amount of bonuses and incentives will be calculated correctly if it provides a corresponding increase in the company's revenue and profit.

  • The analysis also reveals specific factors that positively and negatively affect labor intensity. For example, interruptions in the supply of spare parts, raw materials and materials, frequent breakdowns of equipment, insufficient organization of labor in the workshop or at the enterprise.
    If necessary, such an analysis is supplemented with the timing of working hours and appropriate adjustments are made to the rationing of the work of individual departments and the work of middle and senior managers.

You can see detailed information on calculating this indicator in the following video: Read this article on how to correctly calculate the profitability of an enterprise. If you are interested in how to register your trademark, please review this material.

How to calculate labor productivity in an enterprise?

Relativity of labor productivity Labor productivity as an economic indicator carries direct information about the degree of efficiency of workers' labor invested in the output. Working, a person spends time and energy, time is measured in hours, and energy is measured in calories.

Important

In any case, such work can be both mental and physical. If the result of labor is a thing, product or service created by a person, then the labor invested in it takes on a different form - “frozen”, that is, embodied, it can no longer be measured by the usual indicators, because it reflects already past labor investments and costs.


To evaluate labor productivity means to determine how efficiently a worker (or a group of workers) has invested his labor in creating a unit of output in a specified time period.

Labor productivity indicators and calculation methods

In order to calculate the total production productivity, we need to use the conversion factor, metal products. It takes 1000 grams of iron to make 120 nails, 500 grams to make 30 bolts, and 1500 grams to make 40 screws. As a result, adding up all the manufactured products in their general initial form (iron) 1000 gr + 500 gr + 1500 gr = 3000 grams / metal products. Formula for calculating labor productivity The labor method is based on measuring the volume of manufactured goods, for the calculation of which it is necessary to use the conditional production labor intensity.

Labor productivity formula

Formulas and examples of calculations Generalized formula for labor productivity: P \u003d O / H, where

  • P is the average labor productivity of one worker;
  • O - the amount of work performed;
  • H - the number of employees.

Such an indicator, which characterizes how much work one person performs for a selected period (hour, shift, week, month), is also called output. Example 1. In January 2016, a fashion studio completed 120 orders for sewing outerwear (jackets).

The work was done by 4 seamstresses. The productivity of one seamstress was 120/4 = 30 jackets per month. The inverse indicator - labor intensity - determines how much labor (man-hours, man-days) is needed to produce a unit of output.

Example 2. In December 2015, the workshop of a furniture factory produced 2,500 chairs. According to the time sheet, the staff worked 8,000 man-hours.

How to correctly calculate labor productivity

Cleaning of industrial premises is carried out according to approximately the same plan, therefore, data from a real-life enterprise, for example, the beer and non-alcoholic industry, are taken as a basis. The calculation of the production rate is made taking into account the following points:

  • basic operations: washing and sweeping floors, washing and wiping walls, windows, doors;
  • cleaning rooms: technological workshops and auxiliary areas;
  • characteristics of cleaning objects: material of manufacture, labor intensity during work;
  • 8-hour shift is taken as the optimal working time.

Calculation formula for cleaning industrial premises Directly at the enterprise, their own measurements of time are carried out when calculating production rates.

This is done in order to most accurately understand how many minutes or hours it takes to wipe windows, for example, 1 by 1 m or 2 by 3 m.

Working out the calculation formula example

The average output can be calculated by taking the ratio of output to the total number of workers. The output is calculated using the following formula: B \u003d V / T where:

  • B - production;
  • V - the volume of manufactured products (in money, standard hours or in kind);
  • T is the time taken to manufacture a given volume of products.
  • Labor intensity is the costs and accompanying efforts that accompany the production of goods. They can be of various types:
  • technological - labor costs for the production process itself;
  • maintenance - expenses for equipment repairs and production services;
  • managerial - labor costs for managing the production process and its protection.

NOTE! The totality of technological and maintenance labor costs is the production labor intensity.

Production rate: formula. how to calculate the rate of production?

In the regulatory documents for the food industry, special labor intensity factors have been developed, without which it is impossible to calculate the production rate. The coefficient of labor intensity of the food industry The coefficient of labor intensity shows how much time is needed to prepare one dish in relation to the dish, taken as a unit of labor intensity. In other words, there is a single parameter taken as a unit, and all the rest are equated to it. For example, the simplest chicken soup in the amount of one serving is cooked for 100 seconds. This is a unit. Milk soup will take 90 seconds, in which case the labor input will be already 0.9. Timing helps to set such limits.
In any case, such labor can be both mental and physical. If the result of labor is a thing, product or service created by a person, then the labor invested in it takes on a different form - “frozen”, that is, embodied, it can no longer be measured by the usual indicators, because it reflects past labor inputs and costs. To evaluate labor productivity means to determine how efficiently a worker (or a group of workers) has invested his labor in creating a unit of output in a specified time period.


Formula for output to content Labor intensity The indicator is an accurate reflection of the level of labor expended per employee to create one product. Represents the inverse factor in relation to output.

The efficiency of any enterprise is determined on the basis of an assessment of the productivity of the personnel involved in the production process. This universal criterion allows employers to control baselines that reflect the real situation in the enterprise.

It becomes possible to compare different groups of workers employed in the manufacturing sector and plan the performance indicators of their labor activity for the near future. The success of companies or enterprises largely depends on the correctness of productivity calculations.

And the universality of this parameter allows you to work both with statistics in a narrow area (for example, in evaluating the work of an individual workshop), and with data received from the entire region, country, or even a group of countries.

Concept definition

Labor productivity should be understood as the effectiveness of labor costs for a certain period (day, month, year).

For example, using a special formula, you can find out how many units of output one worker produces per hour of working time.

But in enterprises, for calculation accuracy, they usually take into account two factors:

  • labor intensity indicators (number of personnel involved and labor spent);
  • and performance indicators (the number of manufactured products or products for the accounting period).

It is these indicators that make it possible to determine the economic. It is proved that the increase in performance indicators is guaranteed to lead to a decrease in the cost of payment and to an increase in production volumes.

Basic indicators

Performance is a combination of three important parameters:

  1. Production or volume (quantity) of finished products produced per unit of paid time (for example, per hour) by one employee. To determine this indicator, the amount of production is divided by the time spent. Or the number of products is divided by the average number of employees (according to the lists).
  2. Labor intensity or indicator (volume) of labor expended per unit of output. To determine the indicator, the time spent is divided by the volume of products produced (calculated in units or pieces). Or the average number of employees is divided by the volume of production, expressed in natural units.
  3. Performance index, which is determined through a more detailed calculation.

Calculation methods and examples for them

First of all, it is worth noting that there are several ways and methods for calculating labor productivity. Below we will look at the following:

  • calculation of the cost productivity of labor;
  • natural method of calculation;
  • conditionally natural method of calculation;
  • calculation of labor productivity;
  • labor intensity calculation.

Let's consider each of them in detail.

The calculation algorithm is as follows:

  • To find out the labor productivity of one worker per shift, you need to divide the total volume of production in monetary terms (rubles) by the number of workers in the shift.
  • To find out the labor productivity of one worker per hour, you need to divide the volume of output by one worker in monetary terms (rubles) per shift by the number of hours in the shift.

Let's look at an example:

35 confectioners work at the enterprise, which is engaged in the production of festive cakes. For a 10-hour shift, they produce products worth 350,000 rubles.

To find out the labor productivity of one worker, we need to do the following:

  1. 350,000 rubles divided by 35 confectioners = 10,000 rubles (one confectioner makes products per shift);
  2. 10,000 rubles divided by 10 hours = 1,000 rubles (one confectioner produces products per hour).

In total, each pastry chef produces products worth 1,000 rubles per hour, and 10,000 rubles per shift.

The calculation algorithm will be as follows:

  1. The number of products produced per shift divided by the number of workers - the productivity of one worker per shift;
  2. The number of products produced by one worker divided by the number of hours in a shift is the productivity of one worker per hour.

Let's look at an example:

If we return to our previous example with cakes and confectioners. Then productivity can be calculated in cake/hour.

Let 35 confectioners make 105 cakes per shift.

You need to do the following:

  • 105 cakes divided by 35 confectioners = 3 cakes (one confectioner produces per shift);
  • 3 cakes divided by 10 hours = 0.3 cakes (one confectioner produces per hour).

In total, per shift, the productivity of one confectioner is 3 cakes, and per hour - 0.3.

This method of calculation can be used if the company is engaged in the production of homogeneous goods that have minor differences, i.e. goods are made from the same material.

To find the labor productivity of workers per shift and per hour, you need to do the following:

  1. Find the total volume of material used per shift by adding the volume of material used for each product;
  2. Divide the amount of material received by the number of workers - the labor productivity of the worker per shift will be found;
  3. Divide the amount of material received per shift per worker by the number of hours in the shift - the labor productivity of one worker per hour will be found.

Let's look at an example:

The company is engaged in the production of stainless steel cookware. For a shift, 20 workers produce: 160 forks, 100 spoons, 120 knives. The working shift is 10 hours.

The production of 160 forks takes 2000 g of stainless steel, 100 spoons - 1700 g, 120 knives - 1500 g.

Find the labor productivity of a worker per shift and per hour:

  • 5200 g divided by 20 workers = 260 g (worker productivity per shift);
  • 260g divided by 10 hours = 26g (worker output per hour).

In total, per shift, the productivity of one worker is 260 g of stainless steel, and per hour - 26 g of stainless steel.

Any work must be efficient: to produce material or other benefits in sufficient quantities and with a reasonable ratio of income and expenses. Labor is embodied in the products produced by man. Therefore, it is so important to evaluate the indicator of labor productivity as a factor in production efficiency. Thus, we can conclude that the labor costs of both an individual worker and a group or a large team are optimal.

In the article, we will talk about the nuances of assessing labor productivity, give a formula and specific examples of calculations, as well as factors that an analysis of the results can show.

Relativity of labor productivity

Labor productivity as an economic indicator carries direct information about the degree of efficiency of workers' labor invested in the output.

Working, a person spends time and energy, time is measured in hours, and energy is measured in calories. In any case, such work can be both mental and physical. If the result of labor is a thing, product or service created by a person, then the labor invested in it takes on a different form - “frozen”, that is, embodied, it can no longer be measured by the usual indicators, because it reflects already past labor investments and costs.

Assess labor productivity- means to determine how efficiently a worker (or a group of workers) has invested his labor in creating a unit of output in a specified time period.

Performance Study Coverage

Depending on how wide the audience needs to be researched for labor productivity, this indicator can be:

  • individual- show the efficiency of labor costs of one employee (its increase reflects the efficiency of production of 1 unit of output);
  • local- the average for the enterprise or industry;
  • public- show productivity on the scale of the entire employed population (the ratio of gross product or national income to the number of people employed in production).

Production and labor intensity

Labor productivity is characterized by two important indicators.

  1. Working out- the amount of labor performed by one person - this way you can measure not only the number of things produced, but also the provision of services, the sale of goods and other types of work. The average output can be calculated by taking the ratio of output to the total number of workers.
    The output is calculated according to the following formula:
    • B - production;
    • V - the volume of manufactured products (in money, standard hours or in kind);
    • T is the time taken to manufacture a given volume of products.
  2. Labor intensity- costs and attendant efforts accompanying the production of goods. They can be of various types:
    • technological- labor costs for the production process itself;
    • serving- expenses for equipment repair and production service;
    • managerial- labor costs for managing the production process and its protection.

    NOTE! The total of technological and maintenance labor costs is production labor intensity. And if we add to the production managerial, then we can talk about full labor intensity.

    To calculate the labor intensity, you need to apply the following formula:

Methods for assessing labor productivity

The use of this or that formula for calculating this economic indicator is due to the intended result, that is, the answer to the question of what units we want to receive as indicators of labor efficiency. It can be:

  • monetary expression;
  • the product itself, that is, its quantity, weight, length, etc. (the method is applicable if the manufactured product is the same);
  • conditional units of goods (when the manufactured products are heterogeneous);
  • volume for accounting time (suitable for any type of product).

To use any of these methods, you must know the indicators:

  • N - the number of workers for which the calculation is applied;
  • V is the amount of work in one expression or another.

Calculation of labor productivity by cost method

PRst = Vst / N

  • PR st - cost productivity of labor;
  • V st - the volume of manufactured products in financial (value) terms.
  • N - the number of units producing products

Example #1

The owner of the pastry shop wants to know the productivity of the pastry department. This department employs 10 confectioners who, in an 8-hour work shift, make cakes estimated at 300,000 rubles. Let's find the labor productivity of one confectioner.

To do this, first divide 300,000 (daily output) by 10 (number of employees): 300,000 / 10 \u003d 30,000 rubles. This is the daily productivity of one employee. If you need to find this indicator per hour, then we divide the daily productivity by the duration of the shift: 30,000 / 8 = 3,750 rubles. at one o'clock.

Calculation of labor productivity by natural method

It is more convenient to use it if the manufactured products can be easily measured in generally accepted units - pieces, grams or kilograms, meters, liters, etc., while the goods (services) produced are homogeneous.

PRnat = Vnat / N

  • PR nat - natural labor productivity;
  • V nat - the number of units of manufactured products in a convenient form of calculation.

Example #2

We investigate the productivity of the calico fabric manufacturing department at the factory. Suppose that 20 employees of the shop produce 150,000 m of calico in 8 hours of daily hay. Thus, 150,000 / 20 = 7500 m of calico is produced (conditionally) per day by 1 employee, and if we look for this indicator in metro hours, then we divide the individual output by 8 hours: 7500 / 8 = 937, 5 meters per hour.

Calculation of labor productivity according to the conditionally natural method

This method is convenient in that it is suitable for calculations in cases where the manufactured products are similar in characteristics, but still not the same, when it can be taken as a conventional unit.

PRsl = Vcond / N

  • PR conv - labor productivity in conventional units of production;
  • V conditional - the conditional volume of production, for example, in the form of raw materials or others.

Example #3

The mini-bakery produces 120 bagels, 50 pies and 70 buns in an 8-hour working day, 15 employees are employed in it. We introduce a conditional coefficient in the form of the amount of dough (assume that all products use the same dough and they differ only in shaping). For a daily norm of bagels, 8 kg of dough is consumed, for pies - 6 kg, and for buns - 10 kg. Thus, the indicator of the daily consumption of dough (Vusl) will be 8 + 6 + 10 = 24 kg of raw materials. Let's calculate the labor productivity of 1 baker: 24 / 15 = 1.6 kg per day. The hourly rate will be 1.6 / 8 = 0.2 kg per hour.

Calculation of labor productivity according to the labor method

This method is effective if you need to calculate time labor costs, while taking the volumetric indicator in standard hours. It is applicable only for such types of production, where the temporary tension is approximately the same.

PRtr \u003d Vper unit T / N

  • PR tr - labor productivity;
  • V per unit T - the number of products manufactured in a selected unit of time.

Example #4

It takes a worker 2 hours to make a stool, and 1 hour to make a high chair. Two carpenters made 10 stools and 5 chairs in an 8-hour shift. Let's find their labor productivity. We multiply the volume of manufactured products by the time of production of one of its units: 10 x 2 + 5 x 1 \u003d 20 + 5 \u003d 25. Now we divide this figure by the time period we need, for example, if we want to find the productivity of one worker per hour, then we divide by (2 workers x 8 hours). That is, it turns out 25 / 16 \u003d 1.56 units of production per hour.

There are two general approaches to measuring labor productivity: through indicators of output per unit of labor (time) or labor intensity - labor costs (time) for the production of a unit of output (services).

The first indicator of labor productivity is the output (B). An indicator of the volume of products (works, services) produced per unit of labor costs. Production is a direct indicator of labor productivity, since the more products are produced per unit of labor costs, the higher the level of labor productivity. Calculated according to the formula:

where V- production volume; T - labor costs for a given volume of production.

Time worked is measured in man-hours or man-days worked. In accordance with this, when studying labor productivity, indicators of the average hourly and average daily labor productivity of workers, as well as the average monthly (quarterly, annual or for any period from the beginning of the year) labor productivity of workers or workers are used. These indicators are calculated as follows.

Average hourly output of a worker:

where V- the volume of products (works, services) produced in the reporting period; - man-hours actually worked by workers in the reporting period.

Average daily output of a worker:

where - man-days actually worked by workers in the reporting period.

Average monthly (quarterly, annual or for any period from the beginning of the year) output of a worker (employee):

where - the average number of workers (employees) in the reporting period.

Methods for determining production are classified depending on the unit of measurement of production volume:

■ natural (conditionally natural) - used in the production of homogeneous products at individual workplaces, production teams, at an enterprise, i.e. when determining the production of a specific type of product (works and services). When using this method, the output is expressed in physical units (B = q: t, where q- physical volume of production of homogeneous products);



■ cost (according to the cost indicators of manufactured or sold products) - in case of production of heterogeneous products at the enterprise. When using this method, the output is determined in terms of money ( , where C is the price of a unit of production, r.);

■ labor ( the measurement of labor productivity is based on accounting for the volume of products produced in the cost of working time (standard hours)). Its advantage over others is that a more accurate meter is used in the calculations - the labor intensity of each type of product, regardless of its degree of readiness (products, semi-finished products, work in progress). At the same time, both actual and standard labor costs are widely used.

The cost method is widely used. However, if labor productivity (PT) is calculated on the basis of manufactured or sold products, then this method overestimates the PT, since the result includes the cost of past labor - raw materials and materials used, volumes of cooperative deliveries, etc. This shortcoming is eliminated when calculating output on the basis of net output or profit, as well as when calculating the profitability of labor, which reflects the ratio of profit to costs.

If we are talking about labor productivity in industry and the denominator uses the average number of PPP or the average number of workers in the denominator instead of the time spent, then the output indicators can be respectively determined by the formulas:

Accordingly, the average number of industrial and production personnel and the average number of workers, pers.

The second indicator of labor productivity is the labor intensity of products (Te). This indicator of individual labor productivity characterizes the costs of working time (expenses of living labor) for the production of a unit of output or for the performance of a unit of work.

Among the types of labor intensity of products, depending on the composition of the included labor costs, there are:

Technological labor intensity () - reflects all the labor costs of the main workers (pieceworkers and time workers) that directly affect the objects of labor;

labor intensity of production maintenance () - labor costs of only auxiliary workers engaged in maintenance of production;

Production () - all labor costs of the main and auxiliary workers; is determined by the formula:

labor intensity of production management () - labor costs of employees: managers, specialists and other employees;

full labor intensity () - labor costs for the production of products of all categories of the PPP of the enterprise. It is determined by the formula:

The total labor intensity (), determined by the labor costs of all categories of PPP workers:

The total labor intensity of a unit of production is determined by the formula:

where T- hours worked by employees of all categories of PPP of the enterprise (workshop), h; V- natural volume of manufactured products, pcs. (or in tons, meters, etc.).

The labor intensity of production is an inverse indicator of labor productivity. Therefore, the indicators of production and labor intensity of products are inversely related:

Allocate the actual and normative labor intensity of products. The first is used in the analysis process, the second - in the planning of labor productivity.

The actual labor intensity of products is determined by the actual labor costs (in hours) for the production of a unit of output.

Normative labor intensity determines the amount of necessary (normative) labor costs (in standard hours) for the production of a unit of output in the conditions of existing production.

The ratio of the standard labor intensity of products () to the actual () determines the coefficient of fulfillment of time standards:

Thus, the concept of "labor intensity of products" is closely related to the norm of labor, rationing, which is one of the directions of growth in labor productivity.

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