There are no free lunches, Nobel Laureate Milton Friedman once said. He meant that every time we consume real resources, there is an economic cost. How can a company increase its sales and profits? To sell more, companies need to produce more.

Three ways to produce more include:
  Hire more labor: means 'do more work'
  Buy more capital equipment (computers, software, machines, etc.): means 'spend more capital'; or,
  Make labor and capital more productive: means 'improve your bottom line directly and significantly' = Free Lunch Productivity
 
Free Lunch Productivity (FLP), or total factor productivity (TFP), is used to identify and capture enormous free lunches.