Managerial Effectiveness And Efficiency Pdf

By Francesca S.
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21.05.2021 at 00:59
3 min read
managerial effectiveness and efficiency pdf

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Emphasizes a systems framework as a model for analysis of the concept of effectiveness. Identifies and discusses the importance of various managerial inputs for example, managerial behaviour and outputs such as objectives in business plans. Highlights the difficulty of establishing outcome measures in a service organization. Contrasts this approach with an alternative subjectivist approach which questions the validity of objective measures of effectiveness. The two approaches are not necessarily incompatible but require a convergence in the philosophical assumptions underpinning analysis.

Effective vs. efficient

Professional and personal tasks for managers often are similar. In both settings, managers organize, direct, coach, supervise, and at times, discipline. One of the other common tasks for managers is budgeting and metrics. This is where efficiency and effectiveness come in. By understanding the difference between these two concepts, managers can achieve success.

Efficiency is when you do the same things faster or with less waste. For example, you might find a better way to run a project status meeting so it takes 30 minutes on average rather than 45 minutes. Effectiveness is finding a way to improve outcomes, perhaps by doing something very differently. You might change your whole approach to the work. For example, project teams updating task status as they go may result in the elimination of project status meetings.

Difference Between Efficiency and Effectiveness

Efficiency and effectiveness were originally industrial engineering concepts that came of age in the early twentieth century. Management theorists like Frederick Taylor and Frank and Lillian Gilbreth designed time and motion studies primarily to improve efficiency. Work simplification efforts again focused primarily on questions like "How fast can we do this task? The concept of effectiveness, which takes into consideration creating value and pleasing the customer, became popular in the United States in the early s when Americans perceived Japanese products such as cars and electronics to offer greater value and quality. The words efficiency and effectiveness are often considered synonyms, along with terms like competency, productivity, and proficiency. However, in more formal management discussions, the words efficiency and effectiveness take on very different meanings.


Efficiency means whatever you produce or perform; it should be done in a perfect way. Although, Effectiveness has a broader approach, which means the extent to which the actual results have been achieved to fulfill the desired outcome i. These are the metric used to gauge the performance of an employee in an organization. Efficiency and Effectiveness are the two words which are most commonly juxtaposed by the people; they are used in place of each other, however they are different. While efficiency is the state of attaining the maximum productivity, with least effort spent, effectiveness is the extent to which something is successful in providing the desired result.

Organizational resources are used,combined and transformed into finished products during the production process. Human resources are people who work for an organization. Their skills and their knowledge are leveraged by the managers.

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