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Kyle from tech services discusses using notification rules in Google Sheets to increase productivity. By setting up notification rules, users can be alerted when specific information is added to a sheet. This feature is used by Kyle, Heidi, and Anna to streamline the process of entering ID badge information into their systems. To set up notification rules, go to tools, click on notification rules, and create a rule based on desired criteria. This simple tool can greatly aid in staying organized and efficient in task management.