Certified Supply Chain Professional (CSCP) Practice Exam

Which of the following would NOT be an important consideration in productivity measurement?

1. Cost efficiency of processes

2. Quality of output produced

3. Employee turnover rates

4. Market share growth

The correct answer is: Market share growth

In the context of productivity measurement, market share growth is typically not regarded as a key consideration. Productivity primarily focuses on how effectively resources are used to generate output, which is often assessed through metrics related to cost efficiency, quality of the output produced, and employee turnover rates. Cost efficiency of processes relates directly to how well resources (like time, labor, and materials) are utilized in production, making it essential for determining productivity levels. Quality of output is equally important; high-quality products can enhance productivity by reducing waste and rework, ultimately leading to better resource utilization. Employee turnover rates can affect productivity as well; high turnover may lead to increased training costs and disruptions in workflow, which can impact overall efficiency and effectiveness. Market share growth, while a significant indicator of a company's competitive position and success in the marketplace, does not directly measure the operational efficiency or productivity of the processes involved in producing goods or services. Therefore, it stands apart from the other factors considered in productivity measurement.