Organizational Effectiveness

Introduction

Submitted To N. Venkatesan

Submitted By- Vikram Tomar and Rohit Kumar PGDM 1st Year Sec B

Organizational Effectiveness
Concept
The efficiency with which an association is able to meet its objectives. The main measure of organizational efectiveness for a business will generally be expressed in terms of how well its net profitability compares with its target profitability. Additional measures might include growth data and the results of customer satisfaction surveys. An effective organization, one that excels, is one that continually strives to identify and focus on factors critical to its customers and improves its processes in order to provide the highest quality product or service possible. Note:- Every company wants to do this, its not easy!

Organizational Effectiveness
Difference Between Efficiency and Effectiveness Efficiency is doing the things right. Effectiveness is doing the right things. Efficiency focuses on activities. Effectiveness focuses on results.

Organizational Effectiveness
What benefits can be gained from creating an effective organization? Improved profitability. Increased customer retention. Reduced customer complaints and warranty claims. Reduced costs through less waste, rework. Greater market share. Increased employee involvement and satisfaction, lower turnover. Increased ability to attract new customers. Improved customer satisfaction. Improved management-employee relations. Improved focus on key goals.

Organizational Effectiveness
The Journey to Organization Effectiveness

Organizational Effectiveness
Benefits of Creating and Maintaining an Effective Organization Improved:
profitability competitiveness customer satisfaction management-employee relations focus on key goals communications teamwork employee morale company image revenue service to customers (internal & external) effectiveness planning work environment decision making Reduced: customer complaints warranty claims cost waste rework

employee turn-over

Increased: employee involvement employee satisfaction ability to attract new customers

Greater:

market share adaptability

Organizational Effectiveness

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