Difference Between Production and Productivity


Main Difference

The main difference between Production and Productivity is that Production is the action of manufacturing, or creating something, whereas Productivity is the action of calculating how much you are producing.

Production vs. Productivity

Production is a process to create something, whereas productivity is a process to calculate something. The production is a complete process, while productivity is a measurement. The production displays the items of units that are producing by any firm; on the other side, the productivity is highlighting the manufactured items. Production is a process of value calculating, whereas productivity is a portion of competence. Production is a systematized motion, where the raw material converts into the useful material step by step; on the contrary, productivity is a sign of efficiency of the invention.


Production is the exact process of transformation, whereas productivity is the operation of capital to form the belongings. Production is the measurement of produced goods, while productivity is the measurement of efficiency. Production is the sum of manufactured work that is calling the output, whereas productivity is the sum of work that is getting for a particular expenditure. Production determines the value of the output, while productivity determines the issues of creation.

Production is adding value to products or services, whereas productivity is the ratio between the goods or services. Production is signifying as the act of trading assets for their use or selling purpose, while productivity is signifying as the level at which products are producing. Production is playing a role of an organization that is relating with the adaptation of a variety of inputs into anticipated output, whereas productivity is playing a role to the extent of how resources are combining and utilizing powerfully in the firm, for attaining the expected outcome.


Comparison Chart

Production is the act of developing or creating somethingProductivity is the act of computing how much are producing.
It measures of efficiencyIt measures of created goods
It is using to form goodsIt is the using for adaptation
To create somethingTo calculate something
Value of outputIssues of creations

What is Production?

Production is the complete procedure to manufactured, develop, or to create something. Production shows the articles of items that are creating by any organization, Production is a method of cost computing Invention, and it is an organized gesture where the rare material transforms into the beneficial material by gradually, Production is the positive development of alteration. Production is suggesting as the act of transitioning goods for their routine or marketing purpose, and Production is performing a part of an association which is connecting with the adaptation of diversity of inputs into predicted output.

Production is increasing if productivity is rising. Production is effortless to calculate; production is a beneficial procedure but less than productivity. The production helps to improve the way of surviving lives. The whole process of Production generates goods and services accessible to individuals. The production helps to increase export possibilities. Production enhances the wealth of the people and also allows people to get additional skills. There are two ways of production first is direct production; it produces goods and services on a small scale and usually done by the singular. Second is indirect production, and it delivers products and services on a large scale.

There is some more process to define productions like job shop production; it creates few products according to the demand; in this method, product volume is low, and the variety is wide. Another is batch production; it passes the product through various stages. One more is mass production, which is manufacturing separate parts. Last is continuous production, in which production facilities are in orders.

What is Productivity?

Productivity is the procedure of calculating how much you are producing something; productivity is a measurement; productivity is a symbol of efficiency of the development. Productivity is the action of the assets to form the belongings. It is the amount of work that is getting for precise spending and controls the matters of the formation. Productivity is the ratio between the goods or the services. Productivity is performing a part to the extent of how resources are relating and applying powerfully in the firm, for achieving the expected outcome.

Productivity measure the competence of an individual, factory, system, etc. it transforms inputs into valuable outputs. Productivity is calculating by distributing regular production per period by the total costs acquired in that period. Productivity is the leading cause of economic development and attractiveness. The economists use productivity growth to idealize the productive volume of the markets and conclude their ability operation proportions. Two energetic resources in the production process are labor and capital.

Productivity is difficult to measure, but it is more useful than production, Productivity growth is very important for the business because it controls the actual income, Great productivity is leading to more significant profits for companies and more substantial revenue for people. Five main processes of productivity are actual process, benefits providing process, manufacturing process, financial process, and market value process. Productivity means various things to diverse people. The level of productivity shows the higher is the productivity of any firm, and there will be a higher earning capacity.

Key Differences

  1. The production is an organized activity, whereas productivity is a sign of efficiency.
  2. The production is a process to create something; on the other hand, productivity is a process to calculate something.
  3. The production controls the value of output; conversely, the productivity controls the issues of creations.
  4. The production shows the numbers of produced units; on the flip side, the productivity shows the ratio of output to input spent.
  5. The production is a process; on the other hand, productivity is a measurement.


The production and productivity are not challenging terms for each other, but they both are closely connecting. The production is a transformation process, whereas productivity is all about the calculation process. In short, the efficiency of production is the productivity of an organization.