Productivity Analysis Of Banking Sector. Productivity. Meaning : “Productivity refers to the capacity/efficiency of banks to produce maximum output with the available input resources” Productivity of banks has two facets: Commercial Productivity Social Productivity.
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Productivity Analysis Of Banking Sector
“Productivity refers to the capacity/efficiency of banks to produce maximum output with the available input resources”
Productivity of banks has two facets:
Branch Productivity (Per Branch Indicators)
It shows how much the bank groups produce at
branch level. It is a tool to measure branch
Labor Productivity (Per Employee Indicators)
It is the indicator of long term viability of banks which
shows contribution of an employee over the total output.
This ratio helps in checking whether the bank group is
under or over staffed.
It is the measure of financial efficiency which indicates
operational productivity as percentage of total assets.