Getting through a packed to-do list doesn’t always equal real progress. The most successful entrepreneurs and teams don’t just stay busy and check things off their lists — they make every effort count by being efficient and productive.
While the terms efficiency and productivity are often used interchangeably, they’re not actually the same. Efficiency is about minimizing wasted time, effort, and resources, while productivity is about maximizing output and achieving meaningful results.
Understanding the difference — and knowing how to improve both — can help you work more effectively. Read on for practical strategies to improve performance, reduce inefficiencies, and get better results.
Productivity measures the rate at which you perform work over a set period, tracking how quickly you complete tasks or reach goals. For example, a sales team’s productivity might equal how many deals they close in a week, while a marketing team might track the number of campaigns launched per quarter.
Businesses use productivity metrics to evaluate whether work is moving forward fast enough to meet company objectives. Higher productivity means teams are completing more results in less time without sacrificing quality.
On the other hand, efficiency is about completing work with fewer resources, whether that’s time, energy, or materials. An efficient team finds ways to cut down on wasted effort while still getting the job done right. For example, if one team completes a project in half the time of another without forsaking quality, they’re working more efficiently. Unlike productivity, which measures how much work gets done in a set period, efficiency focuses on how smoothly and effectively that work happens.
Worth noting: Efficiency and efficacy also aren’t the same. While efficiency is about minimizing waste, efficacy is about whether the labor produces the right outcome.
For example, an executive assistant (EA) might efficiently manage an entrepreneur’s inbox by filtering emails, handling routine responses, and flagging critical information. But when essential messages are misprioritized, teams can delay decisions and miss important opportunities. Processing an inbox faster without delivering value signals a lack of efficacy.
The best systems run smoothly and deliver results. Maximizing efficiency and efficacy ensures work gets done quickly and makes an impact.
A highly productive team might complete many tasks, but if they use more resources than necessary, they aren’t as efficient as possible. Both factors impact performance, but to fully understand how they differ, it helps to look at a real-world example:
Productive efficiency occurs when an individual or workforce produces the highest possible output with the least waste. This means using all available resources to their full potential, ensuring you’ve made every possible improvement without sacrificing quality or increasing costs.
For example, an EA might restructure a business owner’s meeting schedule to maximize decision-making in fewer hours. This helps the entrepreneur achieve the same output with less time and effort.
Measuring productivity and efficiency helps businesses and leaders identify gaps, improve output, and make better strategy decisions. The formulas are simple to follow, and applying them determines whether a company is running at full capacity or wasting resources.
Productivity = output/input
This calculation measures how much work a person or team completes in a given time. For example, if a sales team closes 50 deals weekly, their productivity rate equals 50 deals per seven days.
Efficiency = useful output/input
Efficiency factors in resource waste, making it a more specific measure of performance. For example, if a team produces 50 reports but only 40 are accurate and actionable, the efficiency rate is 80%.
Tracking efficiency and productivity is key to finding a balance between both. High productivity measures alone can lead to burnout. On the other hand, focusing only on efficiency — perfecting processes without increasing output — can limit overall business growth.
Tighten your team’s efforts by following these 12 tips.
Manual processes typically slow teams down, but using automation tools to handle scheduling, reporting, and follow-ups lets employees focus on work that drives results. Whether you choose auto-generated reports or AI-driven inbox sorting, automation removes friction and frees up valuable time.
Set clear agendas for essential meetings, keep discussions focused, and cancel anything that doesn't require real-time collaboration. If a meeting can be an email or an asynchronous update, make the switch — every hour people spend in an unnecessary meeting takes time away from critical work.
Interruptions kill focus and make increasing productivity more challenging, so encourage deep work by muting notifications, setting communication hours, and blocking off time in team members’ calendars for focus. For example, teams that batch responses to emails instead of constantly reacting can reclaim hours of productive time.
Handing off the right work to the right people keeps operations running smoothly and lets leadership focus on things like growth. Instead of juggling everything, strong teams delegate strategically.
Outsourcing non-core responsibilities, like bookkeeping and administrative support, helps team members focus on high-impact work within their expertise. If you outsource work, don’t forget to calibrate costs to ensure you pay fair wages.
Scheduling blocks of time for specific tasks prevents multitasking and improves time management, leading to higher productivity measures. Grouping similar activities — like back-to-back calls or focused project work — helps teams maintain momentum and reduces the mental load of shifting between functions.
Streamline communication by reducing back-and-forth emails and centralizing information in shared platforms. Clear, concise updates prevent misunderstandings and keep employees aligned. Implement structured check-ins, like weekly stand-up meetings or project dashboards, to keep key updates easily accessible.
Even the most productive teams can lose time to inefficient processes. Take a step back and evaluate bottlenecks. Are approvals slowing things down? Are team members repeating the same work? Mapping out workflows by cutting unnecessary steps and clarifying who owns each task keeps things moving along.
Time boxing involves setting strict time limits for tasks and working within a specific window accordingly. Completing work within defined timeframes encourages effectiveness without overcommitting resources. This method forces prioritization, helping you focus on what matters most instead of overworking details or making endless lateral changes.
Ask employees and clients where they see inefficiencies — those on the front lines often notice problems before leadership does. Seeking regular feedback helps you refine processes, so productivity improvements actually work in practice, not just in theory.
A productive workplace hinges on getting more done and ensuring the work contributes to the company’s long-term plan. Clearly defined objectives tied to productivity measures help teams focus on high-impact tasks rather than unnecessary busy work. For example, instead of setting a vague goal like "improve customer service," a team might track the resolution rate to measure success. When people understand how their work drives company success, they stay more engaged, aligned, and effective.
Scaling a business before establishing proven systems may lead to inefficiencies. Make workflows consistent, eliminate waste, and confirm processes run smoothly before expanding teams or operations.
A skilled EA removes operational burdens, boosts team productivity, and lets leadership focus on strategic priorities. From handling tasks like calendar management to streamlining cross-department coordination, the right assistant creates efficiency across the organization — not just in an executive’s personal workflow.
Building a workplace that runs at peak efficiency and productivity requires the proper support — and that’s where Athena comes in.
Our virtual EAs do more than manage schedules and check emails. Whether you need a general assistant to manage operations, a legal assistant to handle critical documents, or a bookkeeping assistant to track expenses, Athena pairs you with top-tier talent who drive real results.
Join the elite leaders, founders, and investors who trust Athena today. We can’t wait to work with you.