Effectiveness PDF

o Effectiveness: Encompasses a broad range of variables at organizational and departmental level and evaluating the extent to which goals whether official or operating are attained. o Efficiency: Is a more related to the internal workings of the organization. o Organizational Ef...

o Effectiveness: Encompasses a broad range of variables at organizational and departmental level and evaluating the extent to which goals whether official or operating are attained. o Efficiency: Is a more related to the internal workings of the organization. o Organizational Effectiveness: Is a social construct defined by an individual or group rather than existing independently in the external world. Resource-Based Approach o Focuses on the input side of the transformation process, emphasizing that organizations must acquire and manage valuable resources to achieve effectiveness and gain a competitive edge. o It defines organizational effectiveness as the ability to obtain scarce resources and successfully integrate and manage them. Indicators Bargaining Position: The ability of the organization to obtain from its environment scarce and valued resources, including tangible resources and intangible assets such as a strong brand or superior knowledge Internal Process Approach o In this approach effectiveness is measured as internal organizational health and efficiency. An effective organization has a smooth, well-oiled internal process. o This approach does not consider the external environment. o The important element in effectiveness is what the organization does with the resources it has, as reflected in internal health and efficiency. Indicators Strong corporate culture & positive work climate Confidence & trust between employees & management Operational efficiency (using minimal resources to achieve outcomes) Undistorted horizontal & vertical communication Growth & development of employees Coordination among the organization’s parts Interest of the larger organization  The goal Approach o Identifying organization’s goals, focusing on its progress in achieving desired output, profit, or client satisfaction. o This method logically measures how well goals are attained. The Strategic Constituent Approach o Related to the stakeholder approach. Which measures effectiveness by focusing on the satisfaction of key stakeholders, those who are critical to the organization’s ability to survive and thrive. Measuring the effectiveness o Human Relations Emphasis Prioritizes internal values and a flexible structure Prioritize employee well-being over environmental concerns Promotes employee autonomy and development Primary Goal Human Resource Development Sub-Goals Cohesion, Morale, Training o Open Systems Emphasis Arises from external focus and flexible structure Management prioritizing growth and resource acquisition Its sub-goals are aiming to build strong environmental relationships for resource acquisition and growth Parallel to the resource-based strategy Primary Goal Growth & Resource Acquisition Sub-Goals Flexibility, Readiness, External Evaluation o Internal Process Emphasis Values internal focus and structural control Leading to a stable organizational setting Such organizations aim to maintain their established position in the environment Primary Goal Stability & Equilibrium Sub-Goals Information Management, Communication o The rational goal emphasis Prioritizes structural control and external focus  Aims for productivity, efficiency, and profit while achieving output goals in a controlled manner Primary Goal Productivity, Efficiency, Profit Sub-Goals Planning, Goal Setting