Organizational Effectiveness: Approaches and Factors
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Focus Objectives
Effectiveness: The extent to which the organization achieves its objectives (organizational success).
Assumptions:
- The organization is a deliberate and rational entity.
- Organizations have clearly identified, recent, and well-defined objectives.
- The goals are few in number so they can be manageable.
- There is a general consensus on the objectives.
- The effectiveness evaluation should include measurable criteria.
Problems:
- Difficulty to measure the ultimate goals of the organization.
- Measuring the exact fulfillment of the objectives.
- Multiple and incompatible goals.
- It focuses exclusively on the results and may neglect the media.
Systems Approach
Efficiency: Optimal performance rating system that reflects the organization's ability to remain internally as a social system while interacting with the environment properly.
Assumptions:
- Survival depends on adaptation to the environment.
- To meet the demands of the environment, the input-processing-cycle results should be the focus of management attention.
Factors of effectiveness:
- Inputs: Continued receipt of factors.
- Transformation: Transformation efficiency input/output.
- Results: Obtaining satisfactory outputs.
- Adaptation: Responsiveness.
- Level of conflict between internal groups.
- Worker satisfaction.
Focus Group Participants in the Organization
Effectiveness: Satisfaction of the objectives and interests of groups necessary for the survival of the organization.
Assumptions:
- The organization is not rational; it is a political confrontation.
- Different groups have different objectives that may be incompatible.
- Each group has a certain degree of power.
Phases:
- Identify the groups necessary for the survival of the organization.
- Measure the organizational unit for each group.
- Identify the groups' expectations regarding the operation of the organization.
- Rank expectations.
Limitations:
- Determining whether the group is critical for organizational survival.
- Identification of the group's expectations.
The Approach of the Securities to Compete
Effectiveness: Satisfaction objectives chosen by management between different values.
Assumptions:
- There is no optimal criterion of effectiveness.
- There is no single ultimate objective or consensus about the importance of each objective.
- The values chosen depend on each evaluator.
- The assessments are grouped by common basic characteristics.