JoHo

Organizational effectiveness is the degree to which an organization attains its short-term (ends) and long-term (means) goals, the selection of which reflect strategic constituencies in the organization’s environment, the self-interest of the evaluator, and the life stage of the organization.

It is important to remember that a company might be efficient but not effective. However, it is difficult to find a company which is effective but not efficient. Efficiency in resource usage is not a substitute for the wider measure of effectiveness.

There are various approaches to the study of organizational effectiveness, namely:

• the goal-attainment approach
• the systems approach
• the strategic-constituencies approach
• the balanced scorecard approach