Business leaders are less confident in their capabilities, but fighting to improve productivity levels.
The Productive Business Index focuses on the productivity of micro, small- and medium-sized businesses in the UK. We track changes in the five key areas (management skills, training and HR, innovation, process efficiency and technology adoption) as well as general operating conditions, barriers to growth and expectations for the future.
The data we collect is analysed and combined to produce our index:
Business performance measures trading conditions and company sentiment
Business capabilities assesses activity in the five areas that drive productivity improvements
In both performance and capabilities, we assess the current situation, as well as asking about future expectations and plans for improvements
We then produce a business performance index and a business capabilities index
These are combined to produce assessments of the overall current and expected situation
Finally, these combine to form our overall Productive Business Index figure
Our latest edition finds that:
Over half (56 per cent) of UK business leaders believe their management teams have the right blend of skills, an eight per cent decrease from Q1 2022.
However, determination and the drive to improve shine through, with 45 per cent expecting to spend more time on management and leadership activities – a nine per cent increase in only six months
Just 54 per cent of business leaders believe they have the skills and talent needed to succeed, a ten per cent decrease from Q1 2022
But four in ten have plans to reassess pay, rewards and incentives to improve employee motivation, an increase of eight per cent on the last PBI
There has been a significant drop (nine per cent) in the number of business leaders that feel their company fosters innovation and new ideas from employees
Yet, 41 per cent of business leaders plan to develop new ideas, an increase of seven per cent compared to the beginning of the year
Related
Be the Business Productive Business Index – Edition One Q1 2021
Be the Business G7 Productive Business Index
Be the Business Productive Business Index – Edition Three Q3 2021
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