Analysis of the work productivity in the agricultural exploitations under the conditions of free market economy

 

Lecturer Simona Cristina COSTEA*, PhD Candidate

Assistant Nicoleta BUZILĂ, PhD Candidate

Tibiscus University Timişoara /Romania, Faculty of Economic Sciences

 

 

          Abstract

          The present work is aiming to undertake a thorough investigation of the way the various economic phenomena as well as economic, social and ecological processes in agriculture have to be handled, using the work productivity as a central point.

          Out of the many forms of expressing productivity, the most important role is attributed to the work productivity because of the key role of work as a resource within the other production factors.

          In agriculture, due to its technical, economic, social and organizational peculiarities, the factors affecting the work productivity need a specific approach in order to consider their mutual influence as well as the interaction between the natural and the economic conditions.

 

          Keywords: agricultural exploitations, productivity, workforce, market economy.

 

          Introduction

          The human resources in agriculture comprise the required labor force needed to carry out the agricultural works and the one that provides for the technical coordination, the organization and the administration of all the agricultural resources. Concerning the agricultural production factors, one can notice that human resources have a major impact upon the economic activity, both as to quantity and especially as to quality.

The main objective of the labor resource management is represented by the complete utilization of the labor time in the context of efficiency, reflected by increased indicators of labor productivity, by the earnings and the profit level reached by farmers, labor efficiency being usually identified with labor productivity.

          The efficiency of labor force utilization in the context of agricultural exploitations has a major importance when considering its share in the production costs.

          Capital and labor are two major production resources in agriculture.

          The rational utilization of agricultural labor resources may raise several issues concerning the degree of occupancy and the growth in the efficiency of agricultural labor.

 

          Problem definition

          Labor is one of the main criteria in the organization of the national economy divisions and the main indicator to measure the size of economic units. 

          There are some agricultural characteristics of the economic activity that might give specific features to labor productivity materialized in the system of indicators utilized for the evaluation and the analysis of labor productivity and also by the degree of labor productivity and its development for a given period of time.

          The economic, social and natural factors have the same major share when approaching the concept of labor productivity.

          Productivity could be defined as the relation of the outcomes of a certain economic activity and the efforts made to accomplish them.

          Labor productivity is viewed as an economic category that shows the materialized labor consumption, globally or partially, respectively the performance of the labor resources and the output of the used capital.

          The productivity of labor expressed in value can be determined as the relation of the production values (the rate of turnover) and the consumed time (days-worker, hours-worker etc). In the context of agricultural exploitations, partial and global indicators of labor productivity could also be expressed by means of sectors.

          Specialists have still not come to an understanding in what regards the methods of evaluating productivity in agriculture, due to the several difficulties connected to the required information, the faults of the utilized indicators and their regional and annual variation etc.

A much more extensively used indicator for evaluating labor productivity in agriculture, which enables the achievement of a country comparison, could be represented by “the number of people fed by a farmer”.

          For a better ascertaining of labor productivity one needs to evaluate labor consumption within a production control to comprise different categories of activities carried on by fulltime or part-time workers, considering distinct regional norms, production systems and even production-oriented companies. Another accurate method for determining labor productivity is by means of additional value costing.

          The labor productivity could be interpreted as the output of the combination and the utilization of the production factors (represented by the achieved production per production control) and also as their required elements (represented by the expenses made on the production factors in order to achieve a production control).

          The labor productivity essentially shows – together with some other important qualitative factors – the degree of economic efficiency of the agricultural exploitations activity. The level and also the progress of the labor productivity are influenced by: the technical level of production, the preparation and training of the labor force, the management factors, the quality of the working conditions, the natural conditions etc.

          Specialists state that the process of agricultural growth and development mainly depends on the owned capital of the division. This point of view is valid particularly for the developing countries, where the capital investments assigned for agriculture is very low. The growth of labor productivity can be achieved not by means of spending an increased labor amount but by means of its efficient utilization.

          In agriculture, the gap between the labor and the production time can surely generate the necessity of a more in-depth analysis with a variety of direct, basic and complete indicators of labor productivity, and other indirect, complementary or partial indicators. Therefore, when direct and complete indicators are being used, labor productivity can be measured in labor time, value and natural units, as well as in natural-conventional units. Still, when indirect, complementary and partial indicators are being used, the productivity of labor is measured in labor time units and sometimes in natural-conventional units. Labor productivity can also be greatly influenced by climate and weather conditions.

 

          Summary

          After several detailed studies and investigations in agriculture, one can identify the fields, the organizational structures and the produce characterized by an unfavorable evolution or a reduced growth in the economic efficiency of the real labor. Hence, drastic measures for removing deficiencies and ensuring a quick development of the labor productivity on the entire agricultural exploitation are absolutely needed.

Thus, in order to come up with a more thorough analysis on the matter, a factorial analysis of the labor productivity is considered necessary.

The factorial labor productivity analysis could be made for the estimated indicators by means of the value relation production, for the entire activity, as well as for the estimated indicators by means of the physical production per each produce. The purpose of this analysis is established by the evaluation of its variation level, by considering the elements which determined it, for as to identify the internal reserves that will accelerate the development of the real labor economic efficiency.

          Therefore, the transition towards a well developed, up-to-date agriculture has to be done by increasing the level of labor productivity and its efficiency.

         

 

          Sources

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* Corresponding author: E-Mail simona.costea@gmail.com