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PRESENTED BY:

ISMEET SIKKA
HERSOHENA
Organizational effectiveness can be described, using
the definition for the adjective "effective" by the
Merriam-Webster Dictionary, as an organization that
produces a desired effect. Likewise, organizational
efficiency can be described as an organization that is
productive without waste.
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TIME NEAR INTERMEDIATE DISTANT
FUTURE FUTURE FUTURE
DIMENSION
Approx. Approx.
1 year 5 years

The organization
must be
1. EFFECTIVE in
accomplishing its The organization
purpose(s) must be
EFFECTIVENESS 2. EFFICIENT in the 4. ADAPTIVE to The organization
CRITERIA acquisition and use new opportunities must be
of scarce resources and obstacles 6. CAPABLE OF
3. A SOURCE OF 5. CAPABLE OF SURVIVAL in
SATISFACTION DEVELOPING a world of
to its owners, the ability of its uncertainties.
employees, members and of
customers and itself
clients, and
society.
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excel at one or more output goals.

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ability to excel at internal efficiency, coordination,
motivation, and employee satisfaction.


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Effectiveness is the ability to
acquire scarce and valued
resources from the environment.

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Effectiveness is the ability to satisfy
multiple strategic constituencies both
within and outside the organization.

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ability to excel at internal efficiency, coordination,
motivation, and employee satisfaction.
 , /)""# $% Effectiveness is the ability to
excel in one or more among several domains as
selected by senior managers.
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Also organizational effectiveness
can be achieved by:
Efficiency
Effectiveness
Adaptability
Culture
((//*)+
A late 19th century German sociologist, Max Weber,
who studied and wrote about organizational analysis,
said that organizations could develop unparalleled
efficiency by having a system of explicit rules and a
unique division of labor. Weber studied and
conceived an ideal organizational model that was
necessarily bureaucratic, impersonal and goal
oriented.
((*/1*)*''
In contrast, Peter F. Drucker, a 20th century Austrian
social scientist and author of many books on
organizational management said that a business
should strive for effectiveness in contrast to mere
efficiency. A quote from Drucker's book, The
Effective Executive, says that "Efficiency is doing
things right, effectiveness is doing the right things."
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According to Paul Ferguson in Organizations:
A Strategic Perspective, the organization is an
open system and heavily influenced by its
environment. For an organization to achieve
and sustain success, it needs to adapt to its
dynamic environment. Evaluating and
improving organizational effectiveness and
efficiency is one strategy used to help insure
the continued growth and development of an
organization.
-!-#*
The Next Generation Business Handbook
reminds us that organizational effectiveness is
closely tied to organizational culture---
particularly organizations that work toward
building and maintaining an adaptive culture.
The organization that focuses on
organizational change strategies will benefit
in terms of both effectiveness and cost-
effectiveness---or organizational effectiveness
and efficiency
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Constituency Typical Criteria
Owners Return on Investment; growth in earnings
Employees Compensation; fringe benefits; job satisf.
Customers Satisf. w/price, quality, service
Suppliers Satisf. w/payments, future sales
Creditors Satisf. w/debt payments
Unions Satisf. w/competitive wages & benefits;
satif. working conditions, fairness in
bargaining
Local Communities Involvement in local affairs; environmental
damage
Government Agencies
Compliance w/laws, avoidance of penalties
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1. Organizations face complex environments that place multiple and
conflicting demands and constraints on them. It may not be possible
to succeed in meeting all the environmental conditions an organization
faces.
2. Organizations have multiple, conflicting goals. It is impossible to
maximize achievement of all goals.
3. Organizations face multiple internal and external stakeholders or
constituent groups that make competing or conflicting demands. It
may be impossible to satisfy all groups of people who express interest
in a company.
4. Organizations must manage multiple and conflicting time demands.
Satisfying short- or long-term demands at the expense of the other may
result in sub-optimal performance.
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KARACHI: The Pakistan Readymade Garment Technical Training Institute (PRGTTI) in collaboration
with USAID Pakistan has initiated various courses including employee assessment services at its Career
Development Centre (CDC). The basic idea of creating CDCs is to improve organisational effectiveness
of the manufacturing units particularly the export-oriented organisations in Pakistan.

The Chairman PRGTTI, Razzak Hashim Paracha said that employers of such organisations are well aware
of the importance of human capital and its effectiveness in the success of an organisation and the institute
with the assistance of USAID has emphasised the importance of identifying valuable differences between
an organisation's human resource that can lead to dissatisfaction for both employee and employer. "Career
Development Center, an initiative of USAID is offering a number of services to employers, assisting the
corporate clients to reach their goals in identifying right person to fit their slots. It offers information,
trainings, assessment, placement and HR consulting services to help prepare clients for the world of work.
Paracha said that PRGTTI CDC is one of the 15 centers in Pakistan facilitated by USAID Pakistan Jobs
Project. Based on the need of the industry and rapidly growing worldwide significance of personality
inventory in solving organisational problems in recent years, PRGTTI-CDC has opened an Assessment
Centre focused on understanding, facilitation and alignment of employee capabilities in order to work at
his/her best. staff report
THANK YOU