Organizational Effectiveness: Organizational effectiveness is a capability of an organization to perform its business activities and functions in best possible manner. It is a structural concept for the organization to attain its goals and objectives in an effective way.

 

The effectiveness of different operations and functions of the business can be measured through a comparison of its achieved targets with set standards that gives a proper view of organizational effectiveness. These targets can be expressed in terms of profitability, growth, training, productivity, cost efficiency, customer satisfaction, employee performance, revenues, brand image, etc.

Organizational effectiveness describes the available resources of the company and their use to attain standard objectives at a particular level. Organizational effectiveness can be applied in different departments of the corporation such as finance, marketing, human resource, IT, etc. that helps to develop sound organization environment by improving capabilities of these departments. Increase in morale and satisfaction of the employees helps to improve the productivity of the company. Through organizational effectiveness, companies are able to develop several plans in order to improve operational efficiency. It is also helpful for the organization to access new opportunities and face challenges and uncertainties in future. In addition, it establishes a link between internal efficiency with the outer environment to achieve set goals of the organization.

 

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