Organisational Effectiveness

Organizational effectiveness means to study the organizational structure in order to understand the basic working. It helps in evaluating and analyzing the performance of the organization. There are various components of organizational effectiveness they are:

1. Managerial Policies and Practices

2. Environmental Characteristics

3. Employee Characteristics

4. Organizational Characteristics

1. Managerial Policies and Practices: It helps to combine the organization as a whole in order to maintain a balance between the various interest groups in an organization and to accommodate them according to the environment of the organization. There are various policies and procedures which need to be formulated and implemented at various occasions of the organization they are:

a) Strategy: It refers to the plan in order to interact between the competitive companies to achieve the goals effectively. These strategies are selected on the basis of environmental needs, and then are redesigned by the top management to achieve the desired results.

b) Leadership: It enables to influence the employees towards the effective goal achievements. Leaders enable to identify the organizational goals and also try to initiate the steps towards them.

c) Decision Making: Managerial decisions play a very important role in the success of an organization which is taken out of the various alternatives available at a given point of time.

d) Rewards: Rewards are given to the employees to recognize their efforts towards effective achievement of the organizational goals. It is done to encourage the employees and boost their morale which enables them to improve the quality and quantity of work.

e) Communication: It contributes a lot in the event of organizational change as it helps in the proper communication and linkage between the members of the organization.

2. Environmental characteristics: The external environment plays a very important role in achieving organizational effectiveness. It has various characteristics of environment which helps in understanding the status of the organization they are:

a) Predictability: It refers to the state of certainty or uncertainty in an organization towards supply of human resources, human, raw material etc. Predictability is an element of external environment.

b) Complexity: It refers to the heterogeneity and the range of activities that proves relevant to the operations in the organizations.

c) Hostility: It is an environment in which the foundation of the organization is threatened. It refers to the view by which people view the organization.

3. Employee Characteristics: It is an important