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Organizational Effectiveness

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Organizational Effectiveness
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Organizational Effectiveness

The survival of an organization must have the ability to change with the environment. New generations and advanced technology continue to challenge organizations. To completely gain an understanding on the effectiveness of an organization, it is important to identify the three key metrics and provide an example for each. Next, a company will be selected for ineffectiveness and a description of practices that have contributed to the organizations ineffectiveness. The last metric is recognized for the beneficial purpose toward the effectiveness on the organization.
Key Metrics and Examples

"Because managers are responsible for utilizing organizational resources in a way that maximizes an organization’s ability to create value, it is important to understand how they evaluate organizational performance" (Jones, 2010, p. 15). The three key metrics for an effective organization are control, innovation, and efficiency. The first key metric is control which is defined as focusing on the customers, stakeholders, and internal and external resources of the organization. The second key metric is innovation which means the recreation or discovery of a new product. During the innovation of a new product, the organization must then look into developing new skills and processes for the employees. The third key metric is efficiency which means to stay on top of competitive products, gaining knowledge of new technology, all in a cost effective and timely manner. An example of control is when management takes the action to secure "scarce and valued skills and resources from outside the organization" (Jones, 2010, p. 15). To provide an example of innovation from an internal approach, a manager will evaluate an employee’s skills and ask them to invent a creative product based on their customer’s needs. An example of efficiency is "convert skills and resources efficiently into

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