What is Organizational Effectiveness?

Organization effectiveness is the efficiency of an organization, group, or agency to focus on a clear purpose, highlights strengths, identify challenges and align resources to meet goals. How an organization produces its "goods" - links the needs of customers to the processes and practices of the organization and creates these in the most efficient manner possible defines their organizational effectiveness.

For any organization, the goal of improving effectiveness and efficiency requires a focus on methodology that involves a comprehensive and complete review of the overall efficiency of an organizational process, and the development of a plan to address both strengths, weaknesses and opportunities for change. Key in this review and planning is to follow a six step organizational effectiveness process:

The Six Steps of Organization Effectiveness

Leadership

The first step in organization effectiveness is ‘Leadership’. In this step, management and project leaders set forth the overall vision of the organization. What goals they hope to accomplish with this project, how to carry them out, and what results they must strive for are in Leadership.

Communication

Of course, Leadership is only as effective as the group’s overall communication. In the second step, Communication focuses on evenly spreading the goals, guidelines, and aspirations that derive in Leadership. Furthermore, project managers must focus on strategic communication, relation information in the forms that other project members need to complete their tasks.

Accountability

In the third step, Accountability, project managers and leaders must uphold other employees to their tasks and responsibilities. Typically, project team members receive awards or consequences, based on their performance. As a result, Accountability greatly determines how smoothly and effectively a project performs.

Delivery

Your products and services are only successful if customers can receive them. At the next step, Delivery focuses on ensuring an effective delivery system is in place. When your organization has long, complex delivery process, errors will occur and efficiency is at risk. With smaller, more concise processes, your end products can be delivered on time to the right people.

Performance

As a project manager, you must hire the right people for the correct jobs. Of course, not everyone fits in the same position. At the ‘Performance’ step, the goal is to hire, train, and retain the perfect applicants for the processes and tasks you have.

Measurement

A business process is only effective if you can measure it. At the final stage of organizational effectiveness, you must measure and analyze your project, process, or other systems. Likewise, you must measure your organization with the correct metrics. Failing to do so will result in accurate or non-usable data.

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