11/05/2013 20:30

The best approach to measure organizational effectiveness and to determine structural deficiency

The best approach to measure organizational effectiveness and to determine structural deficiency

Dalton, D. R. et al. (1980), research suggests that situational and structural variables may be more associated with organizational performance than either of these variables acting alone. Depending on many constituencies and contingencies, the evaluation of effectiveness will necessitate different tools and measurement. For example, Dalton et al. (1980) has cited other study showing that among 80 British corporations studied, formalization and performance was contingent. Small organizations are more effective with little formalization; larger organizations were more effective with formalized structures. That is, the effectiveness evaluation needs to take into account the size of the organization, the level of formalization, or centralization, or specialization linked to the external and environmental factor added to team motivation. The best method of effectiveness evaluation will depend on many contingent and constituent factors.

Many of the key elements that are coming to mind when assessing deficiency are, firstly, communication. With no effective communication the mission statement will not be well understand by the resources implied in the production process, which may seriously impair the outputs. In addition, with no effective communication, human resources may not be motivated to put themselves through the planned goals and objectives. Communication and human resources management is the area to question when organization is deficient even though it may have the necessary equipments for production. The second element to go through is the equipments. If the goals are well defined and understood by the team, and the team is well motivated, but the organization is deficient, management may revise the tools and equipments to see if they correspond to the needed level of productivity. Another key element is the teamwork and the organizational values. If the team members do not display a collaborative attitude toward each other, it may have a crucial problem to be solved by leadership in assessing the interaction between in-group and out-group. Is the in-group so powerful that it resists to leadership vision and changes? Is an important aspect to be assessed in a dysfunctional or deficient organization?

When the leadership does not display the expertise necessary or does not inspire trust, the team tends to be in the observation mode while performances are lessened. For example, Daft et Al, (1996) reported that when managers decide to give priority to programs designed to strengthen to the human resources values, efficiency and short term profitability may drop-off. The balance among internal process value, rational goals value, human relation value, and open system value are indispensable to the organization efficiency. According to Daft et Al. (1996) structural and contextual variables are systematically associated with those value sets (Daft et Al., 1996). The central tenet of Quinn and Rohrbaugh's model was used by Daft et al. (1996) for their study and they suggested that “an organization is effective when it satisfies multiple performance criteria based on the four value sets” stated the study.” The internal process needs to be smooth using effective communication to explain the organizational goals to employees and to be sure that the sets of value are understood and followed. If not the organization may become inefficient, therefore ineffective.  There is a two ways relation between effectiveness and efficiency as described by Quinn and Rohrbaugh (1983) cited by Daft et al. (1996) “effective systems also enhance the organization's efficient operation”. And finally I will suggest to check out the rapidity to which the organization response to change and to environmental complexity. The quicker the organization is capable to respond to external challenges, the more efficient it will be.

References:

 

Dalton, R. et al. (1980) Organization structure and performance: A critical review. Academy of Management Review, Vol. 5 (1), 49-64. Retrieved from   https://library.gcu.edu:2048/login?url=https://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=4288881&site=eds-live&scope=site

Daft, L. et al. (1996) Competing values in organization: Contextual influences and structural consequences. Organization Science, Vol. 7(5), 557-576. Retrieved from   https://library.gcu.edu:2048/login?url=https://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=4436123&site=eds-live&scope=site

 

Leontes Dorzilme

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