Author: Ian Graham, Staff Editor
The International Institute for Management Development measures business efficiency based on five factors: productivity, labor market, finance, management practices, and attitudes and values. <p>Productivity criteria include: GDP per employed person; the percentage of change in real GDP per employed person; GDP per person employed per hour; related GDP per person employed in agriculture; related GDP per person employed in industry; and related GDP per person employed in services.<p>Some of the labor market criteria include: total hourly compensation for manufacturing workers; gross annual income in services professions; salary, bonuses and long-term incentives for management; <a href=http://www.nationmaster.com/graph/lab_hou_wor>average number of working hours per year</a>; <a href=http://www.nationmaster.com/graph/lab_str>annual number of working days lost to industrial disputes per 1000 population</a>; and the <a href=http://www.nationmaster.com/graph/lab_lab_for_cap>labor force</a> as a percentage of the population.<p>Finance criteria include: banking sector assets as a percentage of GDP; number of credit cards issued and credit card transactions per capita; and value traded on stock markets. <p>Under management practices, examples of the criteria examined are: the adaptability of companies; the implementation of ethical practices; the emphasis placed on customer satisfaction; and the extent of entrepreneurship in the economy. <p>Attitudes and values criteria include: attitudes towards globalization; whether a countryâ€™s image abroad encourages business development; and if the national culture is open to foreign ideas.
DEFINITION: Based upon a business efficiency index where '100' represents the highest level of business efficiency.
|Non-religious countries average (profile)||72.11||2005|
|Group of 7 countries (G7) average (profile)||71.1||2005|
|High income OECD countries average (profile)||69.6||2005|
|Eurozone average (profile)||64.98||2005|
|NATO countries average (profile)||63.05||2005|
Interesting observations about Economy > Business efficiency
- United States ranked first for business efficiency amongst High income OECD countries in 2005.
- Finland ranked first for business efficiency amongst European Union in 2005.
- Italy ranked last for business efficiency amongst Group of 7 countries (G7) in 2005.
- Chile ranked first for business efficiency amongst Emerging markets in 2005.
- Iceland ranked first for business efficiency amongst NATO countries in 2005.
- Hong Kong ranked first for business efficiency amongst Non-religious countries in 2005.
- United Kingdom ranked last for business efficiency amongst English speaking countries in 2005.
- Greece ranked third last for business efficiency amongst Eurozone in 2005.
- Russia ranked third last for business efficiency amongst Europe in 2005.
- Canada ranked third for business efficiency amongst Cold countries in 2005.
Posted on 29 Apr 2005
Ian Graham, Staff Editor