EFFECTIVENESS By Group 1

EFFECTIVENESS VS EFFICIENCY
Effectiveness Efficiency
Doing the right thing. Doing things right.

The extent to which an organization Organization takes into account the

achieves its goals. amount of resources used to produce
the desired output.
ORGANIZATIONAL EFFECTIVENESS
Organizational effectiveness is the concept of how effective an organization is in
achieving the outcomes that the organization intends to produce.
GOAL ATTAINMENT APPROACH
Organizational effectiveness is considered in terms of attaining its goals rather than
the means. It’s the final result that matters.

चतुर ‘ SILENCER ‘ रामल िंगम

“ Dubey Ji, don’t worry I’ll memorize it ” and then we all know
what happened later…
ASSUMPTIONS
I. Ultimate Goals.
II. Goals should be well defined and designed.
III. Few enough to be manageable.
IV. General agreement on these goals.
V. Progress must be timely measured.
PROBLEMS

I. Setting goals that are not measurable and realistic.

Unwillingness to raise and lower goals to maintain optimal
difficulty.
II. Setting too many goals.
III. Focusing too much on outcome goals.
THE SYSTEM APPROACH
This approach says that Attaining goal is only one side of a coin, the other side
consists of how to acquire means to attain these goals which is as important as
attaining goal.
ASSUMPTIONS
I. Organizations are made up of interrelated subparts. If any one of these subparts
performs poorly, it will negatively affect the performance of the whole system.
II. Effectiveness requires awareness & successful interactions with environmental constituencies.
III. Management has to maintain good relations.
IV. Raw materials must be secured, vacancies created by employee resignations and
retirements must be filled, declining product lines must be replaced.
V. Changes in the economy & the tastes of customers or clients need to be anticipated and
reacted.
PROBLEMS
I. If ends are achieved, means are not important but systems approach focus is on
means necessary to achieve effectiveness rather than on organizational
effectiveness itself.
II. The approach that is more meaningful and which is easy to quantify should be
used.
THE STRATEGIC CONSTITUENCIES APPROACH
This approach states that an organization is effective when it satisfy the demands of
the entities that are responsible for the existence if the organization.
ASSUMPTIONS
I. Organization should give importance to constituency then it can take this
approach.
II. Each constituency has a unique set of values, so it is unlikely that their preference
will be in agreement.
PROBLEMS
I. Distinguishing strategic constituencies from larger environment is not easy to
practice.
II. Identifying the expectations that the strategic constituencies hold for the
organization.
THE COMPETING VALUES APPROACH
It’s the criteria that values & use in assessing an organizational effectiveness.
ASSUMPTIONS
I. “No Best” criterion for evaluating an organization effectiveness.
II. There cannot be one single goal that everyone can agree upon.
III. The concept of organizational effectiveness is subjective.
PROBLEMS
I. This approach’s perception is on how well an organization is doing on the criteria
rather than clarifying in which criteria the constituencies are emphasizing
FOUR MODELS OF EFFECTIVENESS VALUES
Flexibility

People Organization

Control
FLOW CHART OF APPROACHES

The System Approach Input

Supporting
Competing Values Approach Organization External Strategic constituencies Approach
Factors

Output
Goal Attainment Approach
COMPARISON OF APPROACHES
THANK YOU