Productivity measurement and analysis of a public sector automobile rebuild organization
Public sector automobile rebuild organizations have comparatively low productivity as compared to private sector organizations especially in developing countries. Despite gigantic budgetary allotments, public sector rebuild organizations remain non-productive, ineffective and inefficient as they are not exposed to aggressive market competition and profitability. These organizations are administered by government rules and procedures unlike private sector organizations which are driven solely on profitability factor. Therefore, conventional productivity improvement models are as such not fully applicable to public sector rebuild organizations. In this context, data of a public sector automobile rebuild organization has been collected. Total and partial productivities of the organization have been measured and analyzed by using Total Productivity Model (TPM). Detailed productivity analysis of the selected organization has been carried out with specific focus on limitations of model when applied to public sector organizations alongside reasons for low productivity. Results indicate that public sector organizations need to focus on cost minimization and resource optimization to enhance productivity and output as compared to private sector organizations which focus on cost minimization and profit maximization.
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