SUPERVISORY MANAGEMENT FACTORS THAT CONTRIBUTE TO ORGANIZATIONAL EFFECTIVENESS Presented by: Orville J. Mighty May 29, 2017

LEARNING OBJECTIVES At the end of this session, participants should be able to: Explain what is organizational effectiveness. Differentiate between efficiency and effectiveness. Discuss the four (4) basic approaches to determining organizational effectiveness.

LEARNING OBJECTIVES At the end of this session, participants should be able to: Discuss at least four (4) factors that impact organizational effectiveness. Implement strategies to improve organizational effectiveness. Advocate for changes that will improve effectiveness within your departments/ units.

WHAT IS EFFECTIVENESS? Efficiency is minimizing the use of resources in achieving organizational objectives. Effectiveness is the extent to which an organization has met its stated goals and objectives and how well it performed in the process.

HOW IS EFFECTIVENESS MEASURED? Effectiveness is considered an abstract concept and is therefore virtually impossible to measure. Due to the abstract nature of effectiveness, proxy measures are used to represent effectiveness such as efficiency of management, productivity of employees, number of customers served etc.

APPROACHES TO ORGANIZATIONAL EFFECTIVENESS? Goal Approach System Resource Approach Multi-Constituency Approach Social Constructionism Approach

APPROACHES TO ORGANIZATIONAL EFFECTIVENESS? Goal Approach – Uses organizational goals as the criteria for effectiveness. System Resource Approach – Ability to take advantage of the environment – allowing organization to gain scarce and valued resources. Multi-Constituency Approach - recognizes the many stakeholders and that each may evaluate effectiveness using different criteria. Social Constructionism Approach – A general approach – effectiveness is whatever multiple constituents want it to be. People are not necessarily rational and so their criteria may change without notice.

FACTORS AFFECTING ORGANIZATIONAL EFFECTIVENESS STRATEGIC FACTORS ORGANIZATIONAL FACTORS PEOPLE FACTORS ENVIRONMENTAL FACTORS Strategic Factors Visioning Managerial Expertise and Leadership Organizational Factors Policies and Procedures Culture and Sub-Culture Size and resources People Factors Presence of Conflict Motivation Diversity Team work Environmental Factors Economy Labour Market Political Environment

SOME INDICATORS OF EFFECTIVENESS Productivity Absenteeism Turnover Deviant Workplace Behaviour Job Satisfaction Organizational Citizenship Behaviour

CREATING AN EFFECTIVE ORGANIZATION Creating and articulating a clear vision. Strong, decisive, trustworthy leadership. Understand the markets that you serve. Investment in staff.

BENEFITS OF AN EFFECTIVE ORGANIZATION Improved profitability Increased customer retention Reduced customer complaints and warranty claims Reduced costs through less waste, rework Greater market share Increased employee involvement and satisfaction, lower turnover

QUESTIONS