Journal of Social Sciences and Humanities Research Fundamentals
121
9
https://eipublication.com/index.php/jsshrf
TYPE
Original Research
PAGE NO.
121-125
DOI
OPEN ACCESS
SUBMITED
24 March 2025
ACCEPTED
20 April 2025
PUBLISHED
22 May 2025
VOLUME
Vol.05 Issue05 2025
COPYRIGHT
© 2025 Original content from this work may be used under the terms
of the creative commons attributes 4.0 License.
Labor Productivity as A
Developing Indicator
Alikariev Nuriddin
Doctor of Economics, Professor Department of Sociology of the National
University of Uzbekistan
Abstract:
At the level of enterprises and their large
divisions, as in economic sectors, the value method is
mainly used to measure the volumes of production and
labor productivity. The article discusses technologies for
using the intellectual properties of labor resources that
correspond to
today's
realities
of
economic
development. Currently, increasing labor productivity is
manifested in the more effective development and use
of human resources, especially their intellectual
properties. In this regard, it is necessary to form,
develop and implement modern technologies for the
use of intellectual resources in order to increase labor
productivity in the conditions of digitization of all
spheres of activity.
Keywords:
Teamwork; digital work; labor productivity;
scope of work; product quality.
Introduction:
The problem of measuring labor
productivity is somewhat more complicated than
determining the essence of this economic category. In
practice, various methods are used to measure the
growth of labor productivity and production. The use of
one or another method depends, firstly, on the level of
measurement of labor productivity, and secondly, on
what task is faced by the economic service that
performs the calculation.
METHODOLOGY
It is possible to specify separate jobs that produce the
same product according to the level of labor
productivity measurement. In this case, it is appropriate
to use the natural (natural) method of determining the
volume of the produced product and production norms
(pieces, tons, cubic or square meters, etc.). Although
this method is simple, convenient and reliable, it is used
only in workplaces where the same product is produced,
so it is used less in practice. The natural method can be
used only in this case if the same product is produced in
the units and sections of the enterprise:
Journal of Social Sciences and Humanities Research Fundamentals
122
https://eipublication.com/index.php/jsshrf
Journal of Social Sciences and Humanities Research Fundamentals
A variant of the natural method is the conditional-
natural method, in which the volume of work is
considered in a conditional unit of the same product.
For example, wagons of different sizes, cans of
different sizes into conditional cans, different shoes
into conditional pairs. Conversion to conventional
measurements is usually done using coefficients of
conversion units [1].
Conditional natural method is convenient to use,
because with the help of conversion coefficients of
many different goods, services, production can be
made comparable. For example, the cost of selling
flour, bread and pasta products can be expressed by
converting bread products into conditional kilograms.
Another common way to measure labor productivity is
a work method.
When measuring labor productivity by the labor
method, the normative time for the production of a
product unit or the sale of a product unit is used.
The advantage of the labor method is that it can be
applied to all types of work and services. However, the
wide use of this method requires time regulations for
each type of work, which are not always available. This
method cannot be used to calculate the productivity of
working employees, because time standards are not
applied to them.
Productivity measurement also has a number of
shortcomings
(norms
are
not
sufficiently
substantiated, they are not equally serious, they are
often revised, etc.), which does not allow an objective
assessment of the level and growth of labor
productivity even in some workplaces and teams.
Labor productivity is affected by the workload of the
work. Employment is an indicator that reflects live
labor costs and it is expressed in work time, product
production (services). Labor is usually measured in
standard hours (actual hours), which is the time spent
completing a unit of work.
At the level of enterprises and their large divisions, as
in economic sectors, the value method is mainly used
to measure the volumes of production and labor
productivity. The value method is a universal method,
which expresses all types and volumes of products,
works and services in sums, which are the only
monetary indicators, which are determined by
multiplying
the
volume
indicators
by
the
corresponding wholesale prices.
The value method of measuring labor productivity
makes it possible to compare the labor productivity of
employees
with
different
professions
and
qualifications, for example, the labor productivity of a
confectioner and a baker, a plumber and a driver.
However, despite the fact that this method seems to be
a universal method, it also has several disadvantages. In
particular, it is more influenced by the price factor, that
is, market conditions and inflation [2].
All three methods of measuring labor productivity have
their advantages as well as various disadvantages. They
can be seen in the table below:
RESULTS
The value method of measuring production volumes
and labor productivity is somewhat complicated. The
most optimal method can be chosen based on certain
conditions. The most commonly used method of
measuring production volumes is gross, merchandise
and products sold indicators. Thus, it seems that the
most accurate results are obtained when the rate of
production is determined by gross output. However, in
the conditions of a market economy, it is much more
important to calculate productivity by the volume of
products sold, since the increase in unfinished
production and the accumulation of unsold product
residues do not have a positive economic value. The
disadvantage of measuring the volumes and rates of
production of gross goods and goods sold is that
wholesale prices include the value of all material costs.
Any increase in material costs (be it more expensive
material) or delivery and sale of products in cooperation
with other enterprises, regardless of gives an idea of
increasing labor productivity. A decrease in the material
capacity - it gives rise to the idea of a decrease in this
indicator.
Additional measurement methods are used to eliminate
the negative impact of the change in material capacity
on the volume indicator of the manufactured product
and the product production rate in the measurement of
labor productivity: conditional net, normative net
product and normative value methods in processing are
applied. The use of these methods completely or
partially eliminates the negative effects of material
capacity changes. Nevertheless, each of them has its
own shortcomings, and in fact, none of them fully meets
the requirements of the market economy.
In the indicator of conditional net product, which is used
to determine labor productivity in the value method,
the direct costs of raw materials, components, energy,
fuel, etc. are deducted from the value of the gross
product. At the same time, wages, depreciation of fixed
assets and profit are not deducted from this figure.
Here, the change in material costs is eliminated, but the
weight of profit and the weight of depreciation
increases. Their change can slightly falsify the indicators
of production volume and labor productivity.
The net product indicator used to determine labor
productivity is calculated by subtracting all material
Journal of Social Sciences and Humanities Research Fundamentals
123
https://eipublication.com/index.php/jsshrf
Journal of Social Sciences and Humanities Research Fundamentals
costs, including depreciation, from the value of the
gross product. In the calculation of costs and labor
productivity, the distorting effect of previous labor
costs is completely eliminated, but the weight of profit
is seriously increased. Therefore, in the conditions of
different types of profit, it is profit that plays the main
role in falsifying indicators of net product and labor
productivity. Suffice it to say that the diversity of
profits is typical for the economy of our country, and it
developed within the framework of centralized
planning during the rule of the Soviets. It did not follow
the existing equation of the average rate of profit and
value. Many foreign countries consider the net product
method to be perfectly acceptable for determining
product volumes and labor productivity, due to the
lack of significant differences in profit levels [3].
However, even in countries with a settled market
economy, the net product indicator has a greater
impact on price fluctuations than the commodity or
gross product indicators.
labor productivity, unlike the net product indicator,
includes nominal wages and wages added to it, as well
as average industry profit. Due to this, the product
ends up providing different benefits of different types.
There are certain difficulties and shortcomings in the
experience of using this method. First of all, there is a
need to create a system of integrated wage regulations
parallel to the system of wholesale prices for all types
of products. Although this does not cause difficulties in
mass production, serious difficulties arise in the
conditions of production of grains and small series and
frequent changes of product nomenclature in them.
Secondly, in the development of the wage norms,
which form the basis of the normative net product,
there was a tendency to increase these norms. This led
to a relative increase in labor consumption, and
therefore to a slowdown in labor productivity growth.
Thirdly, the normative net product indicator of
productivity is weakly connected with the final
financial results of the enterprises: it is possible to have
an indicator of the volume of product production and
labor productivity. But it may not be profitable due to
excessive consumption of material resources. This
reason alone makes it appropriate to use the
normative net product indicator as the main method.
It will be widely used for analysis purposes only.
The normative value indicator of processing, which is
used in the value method of measuring labor
productivity, is used to determine production volumes
in light industry. The cost of processing regulations
includes wages and additional fees of workers in
production, workshop cost regulations; general plant
cost norms will be introduced [4].
Labor productivity is a developing indicator. It is
constantly changing under the influence of many
reasons and factors. Some of them help increase labor
productivity, while others can cause it to decrease. In
addition, the level and growth of labor productivity can
be influenced by the conditions in which the labor
process takes place. If the conditions are favorable, the
influence of this or that factor will be strengthened, or
if unfavorable, this influence will be weakened. For
example, the natural and climatic conditions seriously
affect the results of labor in agriculture and its
productivity. Social conditions related to forms of
ownership of the means of production, as well as
conditions related to production relations, other things
being equal, can seriously affect labor productivity.
The increase in labor productivity in the enterprise is
manifested in the following way:
•
Time unit during to be created of the product
increase in size without changing the quality;
•
Time unit during to be created of the product
increase in quality without changing the size;
•
Work released product _ _ to the unit work
reduction of consumption;
•
Reduction of the share of labor costs in the
product cost;
•
Reduction of production and circulation time of
goods;
•
The benefit is manifested in the form of an
increase in mass and rate.
Many factors affect the level of labor productivity and
its dynamics.
Factors are the driving forces or reasons that influence
changes in labor productivity. Some of them help to
increase labor productivity, while others can cause a
decrease in productivity. The first group of factors
includes all activities related to the increase in the
efficiency of labor tools, the organization of work and
production, and the improvement of the conditions of
social groups of workers; the second group includes
adverse effects of natural conditions, deficiencies in
production and labor organization, and effects of
negative elements in social conditions.
When looking at the factors at the individual enterprise
or organization level, they can all be divided into
internal and external factors.
Internal factors include the level of equipment of the
enterprise, the efficiency of the technology used, the
level of energy supply of labor and production, the
effectiveness of the implemented incentive systems,
the training and qualification of personnel, and the
improvement of personnel composition, etc. The
Journal of Social Sciences and Humanities Research Fundamentals
124
https://eipublication.com/index.php/jsshrf
Journal of Social Sciences and Humanities Research Fundamentals
following can be included in the external factors:
changes in the types of products and their level of labor
due to changes in government orders and market
demand and supply; socio-economic changes of
society and regions; level of labor cooperation,
material and technical supply, natural conditions, etc.
All factors can be divided into three groups according
to their internal content and essence: material and
technical, organizational and socio-economic. The
material basis of increasing labor productivity is the
development of science, technology and technology,
and the introduction of their achievements into
production. Therefore, the group of material and
technical factors is usually considered the leading
group and determines all other factors.
The material and technical factors of increasing labor
productivity include increasing the supply of labor with
equipment and energy based on the continuous
development of scientific and technical progress. The
main
directions
of
scientific
and
technical
development in production are as follows:
mechanization of production in connection with the
transition to automation; increasing the power of
machines and equipment based on increasing the level
of energy supply of labor; electrification of production;
chemicalization of production in several branches of
industry and agriculture; the creation of completely
new technologies (they ensure an increase in
production intensity and drastically reduce the cost of
live labor); reduction of material consumption in
production and saving of material resources;
deepening of specialization of machines and
equipment and so on. The acquisition of new powerful
sources of energy - atomic, internal nuclear,
geothermal, space, etc., is also of great importance.
Labor productivity as a result of the influence of
material and technical factors
Organizational factors related to the growth of labor
productivity include the organization of production at
the level of enterprises, sectors and the economy as a
whole. In particular, placing enterprises in the regions
of our country, establishing transport connections
both within the country and with foreign countries;
specialization of enterprises and their subsequent
cooperation; materials and equipment, energy supply,
repair service, etc. are of great importance. Important
tasks for the improvement of production organization
within enterprises are as follows: improvement of the
quality of planning; organization of organizational and
technical
preparation
of
production;
timely
introduction of new techniques and technology;
modernization of working equipment; providing
current and capital repair of machines, mechanisms,
equipment, apparatus, as well as proper organization
of material and technical support within the enterprise.
All organizational factors are strongly interconnected
and form a single system of organization of production,
labor and management. Incomplete use of them, the
presence of various organizational deficiencies mainly
affects the use of working time. Waste of working time
is a consequence of deficiencies in the organization of
labor and production, which reduces labor productivity,
and reducing the waste of working time ensures an
increase in labor productivity [5].
CONCLUSIONS
In the system of organizational factors, the
improvement of the personnel composition - the
relative reduction of the number of management
personnel and the increase of the weight of workers in
the total number of industrial and production
employees, and among them the weight of the main
workers, take an important place. Industry - the higher
the share of workers in the total number of production
employees, the higher the labor productivity per
employee.
Socio-economic factors are related to the fact that the
development of science and technology, the provision
of the material basis of production (technique,
technology) and the implementation of various, and in
many cases, very complex organizational activities do
not happen by themselves, but only through social it
happens only as a result of active work of people who
are participants in production. This is the driving force
of labor activity - the interest in obtaining a certain
result. It, in turn, allows to satisfy the material and
spiritual needs of people who are participants in
production. In addition, the participants of production
or other activities must have the necessary personal
qualities, such as business and enthusiasm, as well as be
entrepreneurial and vigilant, as well as striving to
achieve a certain result of labor activity [6].
The most important socio-economic factors affecting
labor productivity include:
✓
material and moral interest in labor results;
✓
the level of qualification of employees, the
quality of their professional training and general cultural
and technical level;
✓
attitude to work and the level of work
discipline;
✓
development of self-management of labor
teams.
REFERENCES
Korotnev V.D., Vinnichek L.B., Kochetova G.N. and
others. Organization and management of production:
Textbook for universities Publisher: M: Kolos S, 2015.
–
Journal of Social Sciences and Humanities Research Fundamentals
125
https://eipublication.com/index.php/jsshrf
Journal of Social Sciences and Humanities Research Fundamentals
464 p.
Fedorova N.V., Minchenkova O.Yu. Organization
personnel management. Publisher: M: KnoRus, 2015.
–
416 p.
Shapiro S.A. Human Resource Management: A
Handbook. Publisher: M: GrossMedia, 2017.
–
304 p.
Shepelenko S.G. Organization, regulation and
remuneration of labor at the enterprise. Tutorial.
Publisher: March, 2004.
–
160 p.
Alikariev Nuriddin. Comprehensive analysis of
productivity improvements // “Sociology Sciences”
(www.tadqiqot.uz\
soci) electronic journal. №3.
Volume
5.
-
Tashkent,
2022.
DOI
http://dx.doi.org/10.5281/zenodo.0000000.
Alikariyeva A. “Assessment of the implementation of
the educational quality management system”
мавзусида мақола нашрдан чиқди. Frontline social
sciences and history journal (ISSN
–
2752-
7018).Volume 03 ISSUE 01 Pages: 88-96.SJIF Impact
Factor (2021: 5. 376) (2022: 5. 561).
Alikariyev N., Alikariyeva A. Complex factors of
increasing the efficiency of human labor//Neuro
Quantology. November 2022. Volume 20. Issue 18.
Page
102-107.
doi:10.14704
/nq.2022.20.18.NQ880012.
www.
neuroquantology.com. eISSN-1303-5150.
