London, UK, 21st August 2019 – Sage, the market leader in cloud business management solutions, today launches its second annual Productivity Tracker, which investigates the amount of time lost to administrative tasks. The study reveals that the global ‘Productivity Puzzle’ is far from solved – in fact it has worsened. The total amount of economic value lost to admin in the last 12 months totalled £446billion, an increase of 2.6% compared to the year before.
The Productivity Tracker surveys small and medium sized businesses across 12 countries, uncovering the percentage of time spent during an average working week on unproductive administrative tasks; time that could be reduced by using technology and digital tools.
The admin burden continues to hold back the productivity of small and medium businesses:
Global Snapshot: We Power The Nation – Productivity Insights
|Country||Currency 2019||% time lost to 'admin'||2019 implied productivity loss (bn)|
This research has been produced by Sage Group plc (“The Group”). All primary research survey figures, unless otherwise stated, are from YouGov or are calculated by The Group using figures from YouGov.
To establish time lost, Sage commissioned YouGov to run a survey sample size of 1,466 small and medium business decision makers ensuring a minimum sample size of 100+ in each of the 12 countries analysed. Fieldwork was undertaken between 19th March and 5th April 2019 and carried out online. We summarised findings as a single statistic for SME productivity, based on an average of business time spent on administrative tasks. This is calculated by assigning a mid-point to each of the answer bands for both business size and days spent by the business on administrative tasks e.g. 7.5 for the band 5-10.
For tracking the cost of lost productivity in 2018, the implied value has been calculated based on 2019 IMF data with changes vs 2018 extrapolated over 12-month changes when compared to the 2018 ‘Sweating the Small Stuff’ valuations. The research has assumed a linear time-bound impact using GDP growth figures taken from the IMF’s World Economic Outlook (April 2019).
While a compound effect of underinvestment in technology may cause the costs to accelerate through the year, adoption of productivity-enhancing tools for business may counteract this effect.
Sage is the global market leader for technology that helps businesses of all sizes manage everything from money to people – whether they’re a start-up, scale-up or enterprise. We do this through Sage Business Cloud - the one and only business management solution that customers will ever need, comprising Accounting, Sage Intacct, Enterprise Management, People & Payroll and Payments & Banking.