Trinity Horne launches FTSE 100 productivity index

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Trinity Horne launches FTSE 100 productivity index

Warwick Ashford

Trinity Horne has launched the UK's first annual Total Factor Productivity (TFP) Index that ranks the FTSE 100 companies by their operational efficiency.

It also links operational efficiency with company value and demonstrates that companies with high operational efficiency have higher value than those with low operational efficiency.

The TFP was produced by the London-based performance consulting company in collaboration with former MIT professor Shlomo Maital to create awareness of the importance of productivity improvement within UK business.

Brendan Cahill, chief executive of Trinity Horne, said, "Over time, the index will become invaluable, providing a consistent record of how companies are performing compared with their peers."

Initial results include evidence that 40 of the companies listed failed to achieve the 5.7% average growth, 80 within the FTSE 100 experience productivity improvement last year, and 15 companies had productivity gains of more than 28%.

Trinity Horne plans to release a software-based TFP Analysis Methodology in coming months to enable companies to improve their understanding of the drivers of productivity.





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