Efficiency and Effectiveness in Organizational Performance - Essay Example

Is efficiency or effectiveness more important to organizational performance? Can manage improve both simultaneously? Organizational performance is usually dictated by a predetermined set of goals or objectives that management or shareholders have put in place for an organization. While efficiency can speed up the work processes of an organization, effectiveness is what will ultimately determine if organizational performance is acceptable or not. This does not mean that managers should totally disregard efficiency because a lack of efficiency can often bring down or negatively affect effectiveness, so these two concepts really need to go hand in hand. Effectiveness will determine the success of organizational performance, but efficiency only contributes to that success and does not play a direct role in performance outcomes. An organization may be extremely efficient and what they do, but if they are not effective then the short term and long-term goals and objectives will not likely be met. It is possible to simultaneously manage effectiveness and efficiency because these two concepts are linked to each other. However, effectiveness should be focused on first because if an organization is not effective then it will not matter how efficient it is. It is up to managers to put ideas into place that can assist in the efficiency of organizational performance. Efficiency can always be improved on later but effectiveness must be put into practice first because it will set the right tone throughout a work organization. Effectiveness concerns the board members and investors because they do not get to see the day to day operations of a business, while efficiency is something that managers must be focused on because that will affect the effectiveness of organizational performance. 2- How do societal forces influence the practice and theory of management? Do you think new management techniques are a response to these forces? Societal forces have a huge effect on management techniques and theories because these are designed by and for people. Societal forces are constantly changing, so management practices also need to change if an organization wants to continue to be successful. Management practices that were considered to be successful 50 years ago would likely not be used now because people and society as a whole think differently in terms of social and cultural attitudes. Management theories must always take societal forces into account and also predict future changes in society that will have an effect on the workplace. For example, 100 years ago women were not common in the workplace, especially after they had a child. Because many women choose to pursue a career first instead of starting a family, management practices need to allow for the fact that most women do want to have a baby at some point. By taking this into account, managers can plan for the absence of a female employee, assist them in some way while they take time off, and help to reintegrate them back into the workplace after they have given birth. Another area that has changed over the last few decades is in terms of working hours. Previously most people would work a 9 to 5 job with very little room for flexibility, but nowadays it is commonplace for employees to allow their workers to adjust their working hours based on their own individual needs. New management techniques are a response to these forces because managers are always going to want their workers to be efficient, and changing management techniques are inevitable to make this possible. 3- Based in your experience at work or school, describe some ways in which the principles of scientific management and bureaucracy are still used in organizations. Do you believe these characteristics will ever cease to be a part of organizational life? Discuss I do not really have any personal experiences with principles of scientific management, but I do think that Frederick Taylor's principles are still used through many workplaces and schools today. Although scientific management was first thought of more than a century ago, the basic premise still applies. Before scientific management was used by organizations, the guess and check method was most commonly used to determine efficiency in the workplace. However, Taylor thought that science could be applied and would prove a better method to manage in the workplace. Today these principles are still used and mostly take the form of a computer program or software. Although modern day managers have not adopted all of the principles of Taylor's scientific management, many of the key ideals are still in use today. In organizations such as manufacturing facilities, data are taken from individual workers and machines to determine how efficient each employee and machine is in the work process. The purpose of this is to try to locate weak areas where efficiency can be improved, thus improving the total work flow of an organization. I do not think that these principles will cease to be a part of organizational life because they have served managers and organizations well for so long. Although I do believe that the original principles will have to be adapted slightly to keep up with changes in technology and also worker productivity. Technology will be a key driving force in determining whether scientific management maintains its importance in the workplace, and I believe that it will. 4- What do you think are the most important forces in the external environment creating uncertainty for organization today? Do the forces you identified typically arise in the task environment or the general environment? One of the most important forces in the external environment that creates uncertainty for organizations today is the emergence of technology. While increased technological use in the workplace may be considered in a negative light because of the redundancies of many menial job tasks, technology also helps to create jobs. New jobs created as a result of technology will force organizations to adapt and change organizational objectives. In addition to technology, an increasingly open market will allow greater competition among suppliers and buyers alike. No longer will one organization be able to control a significant chunk of the market alone, and even if an organization manages to do this it won't be for long due to increased awareness amongst market competitors. Free trade deals will mean that there will also be competition among individual employees because a free market will allow movement of labor. Organizations that plan for these growing market forces will be able to do quite well in the global market. Forces such as greater competition among organizations and movement of workers fall into the task environment. These changes will affect how an organization captures inputs and then gets rid of its outputs. On the other hand, technological forces arise in the general environment and will affect changes in the task environment. Organizational that are able to utilize new technology and incorporate it into the workplace in addition to protecting workers' rights will be able to achieve optimal performance. 5- Why are symbols important to a corporate culture? Do stories, heroes, slogans, and ceremonies have symbolic value? Discuss. A strong corporate culture is necessary to ensure that employees work together towards one common goal and also to build up brand reputation in the marketplace. Corporate culture can make or break an organization because the consequences of a negative corporate culture can impact on the quality and popularity of a brand. Symbols are commonly used to associate an organization with an identity or idea that fits with the values and goals of an organization. Consumers can then identify with a brand that also stands for what they believe in. Companies realize the power that symbols have on corporate culture and so they must go to extreme lengths to ensure that a symbol effectively represent what the brand needs to communicate with the marketplace. Other factors like slogans and heroes can also have symbolic value for the corporate culture of an organization. Quite often heroes and slogans are the most valuable symbols that a brand can have. The reason is that heroes are easy to identify with because most people know who they are and what they stand for. Linking a corporate culture to that individual can enhance the claims of a corporate culture. Likewise, slogans can be effective because they are easy to remember and are short and sharp while effectively communicating the corporate culture of a brand. Stories and ceremonies are not as effective because they either require a great deal of time or active participation from a workforce. Read More