The results indicate that recognising and rewarding performance and providing a more structured approach to work would have the biggest beneficial impact on outputs in the manufacturing sector, helping to plug this efficiency gap.
The ‘Impact of investing in people’ report, based on research among 8,750 businesses and ONS data, was commissioned to identify the key management factors driving workplace performance across a range of industries. The study is the first of its kind to calculate the monetary benefits of implementing more effective people management approaches.
Paul Devoy, head of Investors in People, said: “It’s obvious that a skilled, confident workforce is essential to a productive enterprise. However, it is difficult to determine the true impact on the bottom line. This study provides the evidence that focusing on excellence in people management can lead to significant performance gains for the sector.
"The effect of this efficiency gap is hitting the manufacturing sector hard and better people management should be recognised as a key mechanism by which the industry can address low performance.”
To make it easier to identify and compare approaches of the best performing firms, Investors in People has launcheda real-time ‘People Management Dashboard’: www.investorsinpeople.com/dashboard
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