Organizational Effectiveness – Workshop 1 (Introduction)
The Appleton Greene Corporate Training Program (CTP) for Organizational Effectiveness is provided by Mr. Matthews MBA BA Certified Learning Provider (CLP). Program Specifications: Monthly cost USD$2,500.00; Monthly Workshops 6 hours; Monthly Support 4 hours; Program Duration 24 months; Program orders subject to ongoing availability.
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Mission Statement
The executive leadership team and local management will be participants in the introduction of the organizational effectiveness training program. The objectives of this workshop are to gain an overall understanding of organizational effectiveness, for each participant to understand their role in improving their area or department, be introduced to the objectives of this training, how to perform an analysis using specific analytical tools and how the success of this training is determined. To generate an overall understanding of organizational effectiveness, the first section of the workshop will focus on when the world began developing organizational effectiveness all the way to the way it is used today. The participants will be given bespoke examples relating to both, their industry and their function within an organization. This section will end with where organizational effectiveness is trending today and what to expect from the future. The next section of the workshop focuses on the roles each executive manager will play within this training program and what is expected of each of them. This cements the foundation of ownership with each participant of the process and the results of the training. During this section, participants will receive a brief overview of the challenges of change management, work management and management operating systems. Determining the success of any engagement begins with understanding a baseline or starting point. The last section of this workshop focuses on determining the perceived and actual baseline of current performance. The remainder of this section and the workshop is to demonstrate and train participants on how to conduct analysis using some specific tools that will be made available to them. These analysis tools focus on opportunities in work execution, defining the gap to absolute capacity and barriers to reaching absolute capacity from both, the employee and manager’s points of view. The local management team that will be conducting the initial analyses will be trained in how to perform the analysis, what to look for when conducting the analysis and why what they are looking for is meaningful and impactful. The assignment between this workshop and the next will be to complete an initial series of analyses that focus on the work execution (employee and manager day in the life studies), defining the gap to absolute capacity and barriers to reaching absolute capacity. Additionally, they will be asked to complete some initial personal assessments that they will receive feedback on from consultants during the next workshop.
Objectives
01. Overview: departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
02. Examples; departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
03. Organizational Goals; departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
04. Executive Leadership; departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
05. Managerial Effectiveness; departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
06. Change Management; departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
07. Work Management: departmental SWOT analysis; strategy research & development. 1 Month
08. Job Design: departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
09. Systems Evaluation: departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
10. Performance Baseline: departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
11. Resource Assessment: departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
12. Improvements: departmental SWOT analysis; strategy research & development. Time Allocated: 1 Month
Strategies
01. Overview: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
02. Examples: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
03. Organizational Goals: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
04. Executive Leadership: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
05. Managerial Effectiveness: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
06. Change Management: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
07. Work Management: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
08. Job Design: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
09. Systems Evaluation: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
10. Performance Baseline: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
11. Resource Assessment: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
12. Improvements: Each individual department head to undertake departmental SWOT analysis; strategy research & development.
Tasks
01. Create a task on your calendar, to be completed within the next month, to analyze Overview.
02. Create a task on your calendar, to be completed within the next month, to analyze Examples.
03. Create a task on your calendar, to be completed within the next month, to analyze Organizational Goals.
04. Create a task on your calendar, to be completed within the next month, to analyze Executive Leadership.
05. Create a task on your calendar, to be completed within the next month, to analyze Managerial Effectiveness.
06. Create a task on your calendar, to be completed within the next month, to analyze Change Management.
07. Create a task on your calendar, to be completed within the next month, to analyze Work Management.
08. Create a task on your calendar, to be completed within the next month, to analyze Job Design.
09. Create a task on your calendar, to be completed within the next month, to analyze Systems Evaluation.
10. Create a task on your calendar, to be completed within the next month, to analyze Performance Baseline.
11. Create a task on your calendar, to be completed within the next month, to analyze Resource Assessment.
12. Create a task on your calendar, to be completed within the next month, to analyze Improvements.
Introduction
This corporate training program on Organizational Effectiveness is aimed at delivering an overall understanding of what organizational effectiveness is and how it can help organizations improve their business operations. It also aims to define the roles of the executive leadership and management teams within the organization in improving organizational effectiveness to improve their respective business areas. Participants will be taught the objectives of organizational effectiveness, the use of specific analytical tools to analyze various aspects of the business, and the measurement of the success of the organizational effectiveness program.
What is organizational effectiveness?
The term organizational effectiveness can be defined quite literally as the ability of an organization to run smoothly and achieve its goals successfully. An effective organization is not just one that is successful but has to cover other aspects of effectiveness as well. How effective an organization is, depends on the kind of goals and missions that it sets, the level of efficiency within the organization, the positioning of its products and services in the market, and much more.
An effective organization is required to achieve its goals and meet the market demands with minimum wastage. The processes need to be efficient and must be continuously improved to ensure that the efficiency of a business process is maintained over time. Since continuous improvement is an important concept under the Six Sigma methodology followed by organizations, both organizational effectiveness and Six Sigma are closely related.
Despite the general idea of organizational effectiveness discussed above, defining effectiveness in the organizational context in absolute terms is difficult. Each organization can be effective in its own unique way. While one organization may measure its effectiveness in terms of the revenue it has been able to generate, another may consider the number of users it has gained and yet another may measure effectiveness in terms of its impact on society. Depending on an organization’s purpose and mission, the definition of organizational effectiveness may vary.
Organizational effectiveness may be measured in terms of the degree to which an organization is able to achieve its goals, align its internal process, or secure resources to meet a certain goal. There can be different approaches to organizational effectiveness and this brings us to the different organizational effectiveness models.
Effectiveness in various business areas
Organizational effectiveness may refer to effectiveness in a number of different business areas for different organizations. These business areas may include –
Employee performance – Organizational effectiveness may be determined in terms of how well the employees of the organization perform. Whether employees are motivated and productive enough to work for the growth of the organization. Or whether they are just doing what they have to do without any drive to contribute to the organization’s progress. Employee performance can be a very clear indicator of organizational effectiveness. When there is effectiveness in employee training, employee empowerment, adoption of new tools and technology, work environment, management, and other aspects, employee performance can improve drastically.
Leadership – Another business area that can define organizational effectiveness is the effectiveness of the leadership of the organization. How efficiently the leadership of the organization functions, how well the leaders can motivate the employees, etc. have a huge impact on the organizational effectiveness. The quality of leadership in an organization can affect employee performance, the corporate culture, the productivity of the organization, communication flow, and many other aspects of the business.
Business processes – The quality and efficiency of the business processes also impact organizational effectiveness. Organizational effectiveness can be measured on the basis of how lean, fast, and cost-effective the business processes are. Business processes that use minimum resources, generate minimum wastage, and deliver value faster can make an organization more effective and efficient.
Organizational structure – Organizational effectiveness can also be determined in terms of how effective the organization’s structure is. The organizational structure defines how information flows within the organization, how the hierarchy within the organization is, and whether everyone has the liberty to put forward their views. Organizations with a top-down hierarchical structure where most of the authority lies with the top management are usually found to be less productive and effective. Whereas, organizations that have a flatter, more democratic structure gets inputs from everyone working in them and are found to be more productive.
Alignment between different business areas – Organizational effectiveness is also impacted by how coherent an organization’s different business areas are. The alignment between different areas of business such as leadership, management, organizational culture, employee performance, customer satisfaction, and others is essential for a business functioning efficiently. An effective organization has to ensure that all its business areas and operations work in harmony.
Organizational behavior – How the people within the organization behave and how they view their role in the organization’s growth also play a major role in improving organizational effectiveness. How employees behave determines how they perform on the job, how engaged they are, or how satisfied they are. These factors in turn determine how they can contribute to the organization’s progress. So, the kind of behavior that the organization promotes and encourages impacts its effectiveness.
Importance of organizational effectiveness
So far, we have discussed what organizational effectiveness is and how it is different from the efficiency of an organization. But before we delve deeper into the details of organizational effectiveness, we ought to know why it is important to an organization. Organizational effectiveness plays a crucial role in an organization’s overall growth in many ways.
Some of the crucial benefits that an organization gets from being effective include –
Better management – An effective organization will have better management capabilities. Better management means better training of leaders and managers, better communication between management and employees, better managerial policies, and a better work culture apart from other things.
Better employee engagement – Organizational effectiveness can also lead to more engaged and productive employees. If the business processes are effective, it helps with employee satisfaction and engagement as well. As employees see better outcomes in the business, they are more engaged and willing to contribute to its growth further. More engaged employees mean better performance for the organization as a whole.
Better customer engagement – Customer relationship is a primary concern of most businesses. Organizational effectiveness can help improve customer engagement and maximize customer value for the business. Improving the effectiveness of departments that directly deal with customers, such as customer service, an organization can improve its customer relations and add more value.
Reduced costs – Making a business unit more effective automatically reduces the costs involved in it. Since an effective organization requires its processes to be lean and consume minimum resources, the organization is bound to save more. Lesser wastage and lean processes mean there will be no outdated technology, no unproductive processes, and no inefficient workflows, which all add up to cost saving.
Improved use of technology – An effective organization will usually get rid of all obsolete or inefficient technology and replace them with newer technology. Effective adoption of new digital technology can improve data analytics and aid decision-making, improve workflows, employee training, and help with other aspects of the business.
Better outcomes – Organizational effectiveness comes from achieving the goals set for the organization. When an organization is successful at achieving the goals for itself, it has to have better outcomes. An effective organization knows its strategic priorities and is more capable of fulfilling its long-term vision.
When an organization is more effective, it is more likely to sustain and overcome its struggles to flourish in the long run. It cannot be, however, a one-time event of trying to improve the different business areas to make them more efficient. Organizational effectiveness has to be learned by each member of the organization, particularly the leaders and managers and made a part of the day-to-day working of the business. It has to be continuously monitored, evaluated, and improved. Organizational effectiveness can only be achieved with a thorough behavioral change and an ongoing commitment to sustain this change.
Organizational effectiveness models
There are several ways of looking at organizational effectiveness from one organization to another. Organizations working towards different goals can be equally effective in their operations. This gives rise to a number of different perspectives or approaches to organizational effectiveness. Some of the commonly followed organizational effectiveness models and the meanings of organizational effectiveness under these models are discussed below.
Goal based approach
The goal based approach measures effectiveness in terms of the degree to which an organization achieves the goals it has established for itself. This is usually the conventional way of measuring organizational effectiveness. The goals may, however, be different for different organizations. The goals may be product or service quality, production volumes, revenue generation goals, societal or environmental impact, shareholder value of the organization, or others. An organization may often have more than one of these goals as well. The goal based approach to attaining organizational effectiveness focuses primarily on the output of the organization but does not pay much attention to the inputs required to achieve these goals. It is, therefore, not a very proactive approach and is less actionable than some of the other models.
Internal process based approach
The internal process based approach to attaining organizational effectiveness focuses not on the output of the organization but rather on the internal functioning of the organization. Under this model, an organization gauges the effectiveness through an assessment of how smoothly the business processes are being carried out. An organization that focuses on internal processes achieves organizational effectiveness through proper information management and flow, complete documentation of all processes, and a continuous consolidation of all the available data to make processes more coherent.
The processes in an effective organization are ideally meant to be lean and aiming for continuous improvement. It is, however, important for organizations to understand the difference between efficiency and effectiveness. In this internal process based model, the focus often tends to shift more towards efficiency rather than effectiveness. Though the aim is to eventually make processes more efficient, the primary focus of this model should be on making processes effective. Process engineering guru, Lon Roberts, differentiated between the two terms – efficiency and effectiveness – quite clearly. He defines efficiency as how economically a process consumes resources, particularly time and money. Effectiveness, on the other hand, is defined as how well a process achieves its intended purpose. So, while efficiency is the effort the organization puts in to do things the right way, effectiveness is ensuring that the right thing is being done consistently.
The process based model aims to make the organization’s processes more effective through continuous value addition.
Resource based approach
The resource based model prioritizes exploiting resources that can help the organization gain a competitive advantage. It focuses on gathering resources that are valuable, hard to find, and hard for competitors to copy. These resources could be a proprietary product, a new cutting-edge technology, a robust brand image, or anything else that gives the business an upper hand in the market. Effective organizations focus on securing these resources to maintain a profound competitive advantage that is sustainable.
Strategic constituency based model
The strategic constituencies of an organization are groups that have an impact on the organization’s survival. These can be owners, shareholders, customers, employees, government bodies, or any other interest group that has a certain amount of power and stakes in the organization. The strategic constituency model of organizational effectiveness tries to ensure that the expectations of these groups are met. Under this model, relevant strategic constituencies are chosen and their expectations from the organization are identified. The organization then needs to devise ways to fulfill these expectations and keep these important strategic groups satisfied.
Stakeholder based model
The stakeholder based approach to organizational effectiveness is quite similar to the strategic constituency approach. Stakeholders are groups that have stakes in the organization but may not have any direct powers over it or may not be directly affected by it. These groups may include families of employees, certain communities in society, activists, or others. This model focuses on satisfying these stakeholders through the organization’s operations.
Competing values model
The competing values model of organizational effectiveness is based on the competing values framework designed by Cameron and Quinn. The framework suggests that if an organization is able to sustain several competing values, it can be much more effective. So, the competing values model measures organizational effectiveness in terms of the organization’s ability to promote and sustain certain competing values together.
For instance, an organization may be able to drive profits and customer satisfaction while also ensuring that employee’s interests are taken care of. Or an organization may be able to hold its internal structure while allowing innovation and new ideas. These are usually conflicting values, but if an organization is able to manage these simultaneously, it can be considered to be truly effective.
Abundance model
The abundance model works on the principle that organizational effectiveness is driven by utilizing the highest potential of the organization’s human resources. This potential can be unleashed by promoting positive values and virtues within the organization. Human systems require both positive and negative reinforcements to uncover their full potential. For example, an organization has to ensure that its human resource flourishes and performs at its best but that is not possible unless they are challenged and made to put in enormous efforts. The organization has to, therefore, balance the struggle that the human system has to go through with the rewards that they achieve. This balance between the positive and negative values is the key to effectiveness in an organization under the abundance model.
An all-encompassing approach
For an organization that wants to be truly effective, it is not a question of which approach it should pick out of all the different models suggested. An effective organization should look at all these different aspects simultaneously instead of simply picking one model. Eventually, all these different approaches to attain organizational effectiveness are interrelated. An organization that strives to achieve its goals (goal based), has to obtain the critical resources (resource based) to achieve the goals, improve its internal processes (internal process based), take care of stakeholder satisfaction (strategic constituency/ stakeholder based), and manage conflicting opportunities (competing values/ abundance based). Only when all of these aspects are taken care of, can an organization flourish and be considered effective in the true sense.
An organization needs to take into account six very crucial aspects in its journey to achieve organizational effectiveness. Any complex organization that has several demands and customer expectations to manage should build organizational effectiveness through these six systems that form the six pillars of the organization.
Leadership
The first and one of the most important aspects of an organization that impacts its effectiveness is the leadership. The leadership establishes the vision of an organization. Whether it is the vision for the organization as a whole or the goals for a new project, the executive leadership and management are responsible for determining what they aim to achieve. The leadership has to create a plan of action to achieve these goals.
The leadership of the organization has to understand what unique value their products or services are offering to the customer that sets them apart from other businesses. They need to know whether their existing processes are helping them deliver this value and satisfy customers’ needs, thus increasing organizational effectiveness. The leadership will also need to determine whether the organizational structure and culture are designed in a way that helps them achieve their goals and improve organizational effectiveness.
Once the leadership has the answers to these basic queries, it can establish better ways to improve organizational effectiveness. That is why an organization must first focus on empowering its leadership and enabling them to better understand the organization in its current state.
Communication
The second most important aspect that an organization has to focus on to improve effectiveness, is communication. The overall communication within the organization, between the leadership and teams, within the teams, or with other stakeholders, is the key to better management and organizational effectiveness. Good communication within the organization means that every person working in it should be aware of the goal, plans, and vision of the organization. It is not just the leadership that will work towards achieving those goals, but it has to be a joint effort of everyone involved. The leadership should, therefore, be able to clearly communicate what they have planned for the organization to the employees at all levels. Communication within teams is also very crucial. Project managers need to relay all the information necessary for team members to complete their tasks effectively. An effective organization has to understand that every interaction within the organization takes it one step closer to achieving its objectives.
Accountability
Accountability is a very important factor that decides the success or failure of an organization. Every employee working towards making an organization more effective must be fully aware of his or her responsibilities and should be accountable for the work they do. The leadership should be able to hold people accountable and reward or penalize them according to how well they perform their duties. Having a certain level of accountability in the organization determines how smoothly it functions and how seriously everyone takes their assigned duties.
Bringing accountability to the organization is also the job of the leadership. The leadership has to bring about a sense of discipline in the way people work in the organization. They should be able to clearly define the roles and responsibilities of everyone involved in a project. Thus, communication is crucial in building accountability too. An organization where people are accountable for their work automatically becomes more effective.
Delivery
An organization can only be said to be successful in achieving its goals if it can deliver on the promises it makes to its customers. Delivering value to the customer is a priority in every organization and an effective delivery system is a must to make an effective organization. The organization needs to have a simple and short delivery process that ensures their products, and thus value, is delivered to the customers in minimum time. A complex delivery process increases the chances of errors and reduces the efficiency of the process as well. Without an effective delivery process in place, an organization cannot be considered to be effective entirely.
Performance
The next important aspect that an organization must look into to ensure effectiveness is the performance of its employees. Not everyone can perform the same job with equal efficiency. Every organization needs people with different skill sets, qualifications, and experience for different roles. It is the job of the project managers and talent acquisition team to find the right people for the right job. The organization has to hire, train and deploy the right candidates for every job. Just bringing talent on board is not enough either. The organization also has to pay attention to employee retention. Finding and retaining the best talents for different roles makes a huge impact on the organization’s effectiveness.
Measurement
Lastly, for an organization to know how effective it is, measurement and analysis are extremely important. An organization should continuously monitor its progress in terms of projects, processes, and operations. The output of each project needs to be thoroughly analyzed and success needs to be measured against the right metrics that give the correct picture. The organization needs enough actionable data to tell how it is performing and how it can further improve its processes. If the organization fails to use the right metrics, the data that it gathers may end up being inaccurate and unusable. An effective organization is one that knows where it stands and what it needs to improve in order to achieve more.
Measuring organizational effectiveness
Depending on the type of organizational effectiveness model that an organization chooses, it can create its own Organizational Effectiveness scorecard. A systematic process of evaluating how effective the organization is and tracking the progress of the initiatives undertaken to improve organizational effectiveness can be used to identify where further improvement is required.
There are five basic factors that an organization can focus on when scoring itself for measuring organizational effectiveness. These five factors are –
Activity domain
This refers to the domain of activities that the organization has undertaken to improve organizational effectiveness. These domains are nothing but the model that the organization has chosen. It could be achieving the goals, financial gains, customer or stakeholder satisfaction, product leadership in the market, and so on. The domain is basically the aspect on which the organization focuses to assess its effectiveness.
Perspective
The second thing that the organization needs to determine when measuring organizational effectiveness, is from whose perspective the effectiveness is being assessed. There could different ways of looking at organizational effectiveness. There could be both internal and external perspectives. Internal perspectives could include employee perspective, owner perspective, leadership perspective, and so on. External perspectives, on the other hand, could include customer perspectives, shareholder perspectives, or societal perspectives. Depending on whose view is being considered the measure of effectiveness could be different.
Level of analysis
The analysis can be applied to an individual, a group, the entire organization, the industry, or on a global scale as well. The organization assessing effectiveness needs to determine at what level the analysis is being conducted.
Time frame
The organization also needs to determine whether the assessment is being carried out over a span of the past few years, the current state of the organization, or over the long term to study the changes in trends. The time frame that the organization chooses will also have a tremendous impact on the results obtained.
Frame of reference
The frame of reference determines what the organization is being compared with. It may be compared with another benchmark organization, with industry standards, with a competing organization, with its own past versions, or with the vision that it has created for itself. Having a frame of reference is very important to determine where the organization stands.
Determining all of these five factors gives an organization a sense of clarity as to what it is assessing and from which angle. Once the organization has decided on each of these factors, it can then measure the effectiveness in terms of the chosen factors.
Say the activity domain is financial gains, the perspective chosen is internal or leadership perspective, the level of analysis chosen is organizational, the time frame is annual and the frame of reference is the past version of the organization itself.
So to measure the effectiveness, the organization will have to compare its annual financial gains over the past few years. There may be different ways in which these financial gains can be measured and once a comparison is drawn, it becomes visible how the organization has fared year over year, giving a measure of its effectiveness.
There can be other similar KPIs that can be tracked to determine how effective an organization is. Organizations can use external benchmarking to see how effective they are in maintaining their competitive advantage or how their products are faring in comparison to competitors’, for example.
Achieving long-term organizational effectiveness
As mentioned earlier, organizational effectiveness is not achieved through a one-time initiative but requires an ongoing commitment from everyone in the organization. For long-term organizational effectiveness, there are certain key areas where most successful companies make adjustments and improvements to sustain their effectiveness.
These key areas are –
Strategy
For long-term change that can be sustained, a business to change at its core. The strategy of an organization is its root from where all its goals and purpose take shape. The strategy is what defines the business both internally and externally. That is why it is important to include organization effectiveness in the core business strategy itself. Once the strategy of the organization supports effectiveness and efficiency, both internal and external stakeholders will start working to uphold these values. Employees become more committed to achieving effectiveness through every new project or goal. Customers start to the business as one that shows promise.
An effective organization in the long term is one that has its objectives and goals clearly laid out at the strategic level itself. These objectives have to be simple, long-term, and easy to convey to all employees at all levels and across departments.
Metrics
Successful organizations understand the importance of continuous monitoring and measurement for a sustainable, long-term improvement in effectiveness. And for measuring organizational effectiveness, we have already seen how important it is to choose the right metrics. Measuring organizational effectiveness with the right metrics not only gives the organization an accurate picture but also helps it stay accountable. But apart from choosing the right kind of data for measuring its effectiveness, a successful organization also knows when to value human judgment and opinions over hard facts and figures. There may be instances where human opinions differ from what analytics show and an organization have to be able to strike a balance between the two if it wants to see long-term effectiveness.
The evaluation of the organizational effectiveness initiatives should be regular and well-planned. It should be honest and reveal insights that can help the organization to continuously improve.
Commitment
Another very important area where an organization needs to focus on for long-term organizational effectiveness is the amount of commitment it shows towards the cause. The senior leadership of the organization has to show enough commitment to the policies that are undertaken to improve organizational effectiveness. These may be policies pertaining to hiring, managing the annual budget, communication across departments, or any other major or minor company operation. It is only when the top management and leadership of the organization are committed to making it more effective, that the same commitment will seep through to the lower levels of the organization. This commitment has to reflect across the entire organization for sustainable change.
Behavior
Since long-term organizational effectiveness needs to be sustained over time, it has to become a part of organizational behavior. The most difficult part in bringing about and sustaining change is turning the efforts into recurring behavior. This is where most organizations fail in the long run. The organization needs to make organizational effectiveness a part of its day-to-day routine. Employees need to bring about a change in behavior to accommodate these changes and maintain them over the long term. To encourage employees to adopt these behavioral changes, the organization may also have to offer certain incentives initially. For example, early adopters may be rewarded in some way, or employees who are able to make these behavioral changes a part of their routine for a given period may be acknowledged in order to encourage others to do the same.
Culture
Lastly, but quite importantly, one factor that has a significant impact on an organization’s effectiveness in the long term is the organization’s culture. The organizational culture determines how satisfied employees will be working in the organization, how change is received by the organization, and so on. An organizational culture that values effectiveness is sure to keep its employees engaged and happy in their roles. Better employee engagement and satisfaction increase their productivity and makes the organization more effective. Employees who don’t feel engaged and motivated in the organizational culture they are working in, not only lead to a lack of productivity but are also costing a lot more for the organization.
That is why it is essential to have a company culture that includes employees in most decision-making activities, gives them enough autonomy to put forward their ideas and views, and allows them to maintain a work-life balance. Organizations that focus on employee engagement and satisfaction and have a culture conducive to change are the ones that have organizational effectiveness embedded in their roots.
Variables affecting organizational effectiveness
According to Likert, the factors that affect organizational effectiveness can be divided into three groups of variables – Casual variables, intervening variables, and end result variables.
Casual variables
Casual variables are usually those variables that are independent and determine the course of developments within the organization as well as the objectives that the organization has achieved. Casual variables include only those variables that can be changed by the organization or its management. These generally include variables like the organization’s managerial policies, business decisions, strategies, skills, technology, and organizational behavior. These factors can usually be changed according to the need of the hour and in line with changes in the organization’s environment. The management has the liberty to change these casual variables whenever the need arises.
Intervening variables
Intervening variables are those variables that are indicative of the internal state and the health of the organization. These variables help the organization determine whether it is capable of achieving its end goals. Intervening variables are further divided into three categories, that are –
Product-related – These include variables like product quality, performance, cost of production, price of products, and innovations in product.
Customer-related – Customer related variables include factors like customer service, customer satisfaction, and customer loyalty.
Personnel-related – Personnel related variables include factors like acquiring talent and retaining it, personnel skills and capabilities, motivation of employees, and their attitudes towards their work.
End result variables
Unlike the intervening variables that are internally focused and look into internal factors, end result variables are externally focused. The external stakeholders of the organization include all customers, vendors, suppliers, shareholders, investors, and communities at large. These are the people who are interested in the end result variables. The end result variables reflect how successful the organization has been in achieving its goals. End result variables can also be divided into four sub-categories which are the rate of growth, profitability, shareholder value, and social performance.
Achieving organizational effectiveness through Adaptive Coping Cycle
Change management is an important part of achieving organizational effectiveness. An organization has to have a mechanism in place to adapt and cope with the changes in the environment that are brought about when it is trying to make effectiveness a part of its day-to-day functioning. This is where the organization can make use of the Adaptive Coping Cycle suggested by Edgar H Schein. The Adaptive Coping Cycle has a set of activities that can help the organization deal with the changing dynamics of the environment better.
The Adaptive Coping Cycle has six stages and is a continuous cycle that organizations have to be able to sustain. The six stages of the Adaptive Coping Cycle include –
Sensing change
The first step in the Adaptive Coping cycle is the sensing of change in the organization’s environment. This change can be either in the internal or external environment. One of the major reasons why organizations fail to achieve organizational effectiveness is their inability to perceive change or perceiving the changes taking place incorrectly. To understand the changes in the environment and to cope with them effectively, most organizations have an adaptive sub-system that studies trends and changes in the environment. This sub-system could be marketing research, research, and development, or any other system that studies change.
Importing relevant information from the environment
Under the systems approach, an organization works as an input-output-based system. Under such a system, the organization takes input in the form of energy, material, and information from the environment. But there is a tremendous amount of information available in the environment. The decision about which information to import from the environment has to be taken very carefully by the organization. Only that information that is relevant to the organization will be of any use.
Conversion of imported information
The information that the organization imports from the environment will usually be in the form of raw data. That data needs to be processed in order to be usable for the organization. This is known as the conversion process, where the information obtained from the environment is further processed.
Stabilizing internal changes
The internal environment of the organization is affected by the changes in the external environment. The Adaptive Coping Cycle requires the organization to stabilize the internal sub-system. Changes in the environment may be positive or negative. So, the organization needs to ensure that the internal environment is not heavily affected by any negative changes in the external environment.
Delivering new outputs
Once the organization is able to stabilize its internal sub-systems, it is ready to deliver new outputs on the basis of the information it has gained from the environment. The organization can work on the information available and begin to change the way they function to deliver new outputs aligned with the environmental requirements.
Taking feedback
The last stage in the Adaptive Coping Cycle is taking feedback on how the changes have affected the organization and what outcomes they have brought along. This feedback is crucial to keep track of where the organization stands with respect to the external environment. This helps in sensing further changes in the external environment and accordingly changing the internal environment to cope with it. So, the coping cycle is repeated.
For implementing the Adaptive coping cycle effectively, it is important to have an effective communication system within the organization for passing on information reliably. There should be enough flexibility within the organization so that changes can be implemented and accepted without any friction. The role of the leadership in motivating people to cope with the change is also very crucial to the successful application of the Adaptive Coping Cycle.
Successful coping will also require a commitment to achieve the organizational goals and a willingness to change. The more an organization resists change, the harder it is to cope with external environment changes and become effective. The internal ecosystem of the organization should be supportive of change and encourage good communication.
The top management of the organization should also be actively involved and invested in the implementation of the Adaptive Coping Cycle. Bringing about organizational effectiveness will require additional efforts, particularly when major organizational changes are required.
Role of leadership in organizational effectiveness
We have already emphasized the importance of effective leadership in organizational effectiveness. However, as this corporate training program focuses on enabling the executive leadership and management of an organization, it is important to understand in-depth the role that leadership plays in achieving organizational effectiveness. The leadership style of an organization has a major influence on the growth and economic prosperity of the business. Research suggests that most failures in an organization arise from leadership making wrong decisions or taking an incorrect course of action to achieve the organization’s objectives.
The leadership of an organization is responsible for influencing people to put all their efforts into achieving the organization’s goals. Successful leadership has to be visionary, painting a clear picture of what the organization aims to be in the future. But having a vision alone is not enough to make an organization effective either. Good leaders should have the ability to turn their vision into achievements. Such leaders not only put forth a clear and complete understanding of the goals but can also determine the course of action needed to achieve those goals.
For an organization to be truly effective, individuals working in the organization have to function together. An individual alone may be able to achieve simple tasks with ease, but to complete the more complex tasks in an organization, the combined effort of everyone involved is necessary. When human efforts are coordinated and organized effectively, it results in increased productivity and profitability. This is what the leadership does for an organization. The leadership turns an unorganized group of individuals into synchronized teams that work together to achieve the common goals.
Apart from managing human resources, good leaders should also be able to manage other resources effectively, be it time or money. An effective organization requires optimum use of resources and minimum wastage. An efficient leader has the capability of getting work done for the amount of resources invested in a task. Even if excessive funds are invested in a project, an efficient leader knows how to utilize these funds to their best so that they get either work or profits in exchange for the investment. Organizational effectiveness is about choosing the right goals as well as the means to achieve them. This requires doing the right thing at the right time, which is exactly what is expected of good leadership.
Another very important quality of a good leader that plays a significant role in ensuring organizational effectiveness is good communication. It is seen that most organizations have a top-down communication model which is effective when sending out instructions, communicating company policies, and so on. This kind of communication is usually initiated by the highest levels of the company and passed on to the lower levels. However, this kind of communication being the only communication in an organization is not a healthy or productive culture. A good leader needs to encourage communication both ways, top-down as well as bottom-to-top. Bottom-to-top communication is initiated by employees working on the front line and can help the organization gain some very valuable insights on its performance and effectiveness. Such communication helps employees convey customer feedback, present innovative ideas for better solutions, and bring to light the problems that employees face every day at work.
However, the leadership has to face a few challenges to ensure better communication with the organization to make it more effective. Barriers to communication exist in nearly every organization. One of these barriers may be the difficulty in changing one’s perception. For instance, an employee only takes back the part of the message that interests them or the management is unwilling to change its perception of a matter despite the employees putting forward their views. Another common barrier arises from the difference in cultures and prejudice. For instance, two people working in an organization coming from different cultures may have difficulty accepting each other’s views due to a level of prejudice that is usually present. It is possible that they perceive a message differently than what is meant by the other person, due to this prejudice. The leadership has to find ways of overcoming these barriers to communication, as effective communication is essential for organizational effectiveness.
Leaders need to understand the needs of employees and help meet these needs as far as possible within the organization’s capabilities.
Role of Human Resources in organizational effectiveness
The human resource of an organization is one of the most important components of an organization. An organization can only be successful when it has a productive, engaged, and committed workforce. The human resource managers in an organization play a crucial role in strategically managing people as a resource for the business. Most organizations still look at HR as an administrative department rather than a strategic one. But the truth is that the human resource department takes a number of crucial strategic decisions in its daily functioning. From hiring the right talent to managing employee benefits to identifying opportunities for employee training and development, human resources have to do a great deal of tactical work.
In achieving organizational effectiveness too, human resource management works as a strategic business partner that drives high performance and brings real value to the organization. According to experts on organizational effectiveness studies, human resource departments are an integral part of discussions on organizational design, company culture, change management, people management, reward systems, and more. Organizational effectiveness initiatives that are driven by the company’s human resource department, can help improve the company’s overall environment by making work enjoyable for the employees. When employees are happier, results are obtained much faster and the productivity attained is much more sustainable.
Though many organizations are slowly realizing the importance of including human resource departments in their organizational effectiveness initiatives, there is still quite some time before HR is recognized by companies as a strategic partner and not just an administrative unit. In most organizations HR is still seen as the administrative, policing arm of executive management. The human resource professionals in these organizations are held back by these traditional views and legacy company policies and overburdened with their daily administrative tasks, keeping them from being the strategic players that they can be.
Organizations need to understand that organizational effectiveness is not just about the company’s performance. Though it is definitely one of the most important aspects of effectiveness, simply increasing sales or earning more profits or market share does not make an organization truly effective. These are just a part of the outcome that you would expect from an effective organization. An efficient organization is, however, one that can achieve these same outcomes but with minimum use of resources.
Organizational effectiveness needs effective people management
Organizational effectiveness has much more to do with people management within the organization as well. For an organization to be effective, responsibility has to be strategically distributed by handing over certain tasks to the lower levels of the organization. It also requires making processes smoother and more efficient so the people working on these processes can perform faster and better. Managers in the organization need to empower employees, giving them the liberty to take risks and make decisions that lead to innovative solutions. All of these factors have a tremendous impact on the efficiency, performance, and speed of the organization. And all of this can be achieved by effective human resource management.
Human resources can identify the gaps in these aspects of an organization and help address these shortcomings to significantly change a company’s overall performance and results. For instance, if a company’s employees are unable to take on new responsibilities due to a lack of learning and development initiatives, HR can emphasize the need for employee training. Human resources can be an organization’s productivity managers, enabling people to get work done at a much faster pace and with dedication by encouraging them to keep an open mind. It can make strategic decisions for the organization in terms of redesigning its processes and reorganizing its teams to make them more productive and efficient.
Human resource as a strategic partner
Human resource is already well-equipped to help an organization assess, prepare, execute, and follow through on its effectiveness initiatives. It can assess employees’ and the organization’s readiness to change and accept change. It can help in preparing the organization for the change by doing the groundwork and preparing the workforce. It can oversee the implementation of the change and monitor the developments that it brings about. Lastly, it can gather feedback on whether the change has been effective and if sustaining it long-term would be beneficial for the organization.
In order to change how organizations see human resource professionals, HR leaders need to overcome these barriers that are holding them back from becoming strategic members of the organizational effectiveness initiatives. HR leaders need to be more assertive of their value as true strategic partners for the business. Their tactical role in the organization so far has to be acknowledged. Business leaders are bound to see HR as the man management and people-issue fixing unit of the business as that is what HR has been found to do historically. That is why HR leaders need to discuss their ability to help with strategic decisions with other business leaders.
HR needs to put out what they can contribute to the organization. Human resources are usually equipped with tremendous knowledge of the ongoing and upcoming trends in the industry that may impact the business, particularly on the people management front. This knowledge is extremely important for a business and can be used in crucial decisions for the future of the organization. But the lack of these discussions in an organization is what clouds the leadership’s perception of HR as a strategic partner. Apart from knowledge regarding man management, HR leaders also need to gather knowledge on other aspects of business outside their jurisdiction as well. They need to dig into issues that business leaders are dealing with and find out an angle in which HR can help address those issues.
The HR leaders need to be clear about what the future of human resources in the company should be like. Along with a clear vision for HR itself, they should also help business leaders see where the company can be in a few years with the HR acting as strategic partners in business. Organizational effectiveness requires this vision and this preparedness is what can transform HR into a proactive department rather than the reactive unit that they act as currently.
HR is already making strategic changes to the organization but without much credit. Talent acquisition, training, retention, everything is done with the aim of meeting business goals and not just as a necessity. Which skills are required in the organization, how many people are needed, where the people can be deployed, all of these strategies are being taken care of by human resources. When the people are ready, the activities are ready to take shape as well. That way, HR is already working as strategic partners in the company’s growth, increasing the organizational effectiveness.
Role of employee trust and engagement in organizational effectiveness
Leadership and management may be crucial parts of the organizational effectiveness initiatives in a company but the people doing the actual groundwork are the front-line employees. Employees that are satisfied, engaged, and dedicated to the organization can be the main driving force in making an organization more effective. Strong work relationships are known to make an organization more productive.
Employee trust is the key to this. Employees should be able to trust the management and leadership enough to share their insights, ask more questions and present new ideas without hesitation or fear. This requires mutual respect and transparency in the system so that employee trust can be built. The management and leadership of an organization have to be able to keep lines of communication open to all so that employees feel supported and valued. When the organization shows enough care, employee trust increases and so does engagement, well-being, and inclusion.
There are several reasons employee engagement and trust are important to organizational effectiveness. When there is a culture of trust in the organization the effectiveness within teams increases. But such trust requires positive communication among all. Good communication is required initially to build trust and once employee trust is gained, communication automatically flows in the organization. So, it is a cyclic process.
Employee trust is also found to bring about higher levels of commitment among employees. this makes employee retention easier for the organization and employees are invested in the growth and well-being of the organization. Higher levels of trust among employees also translate into employee loyalty towards the organization. The kind of open communication that employee trust promotes also helps in better knowledge sharing and better problem-solving capabilities in the organization, which is crucial to organizational effectiveness.
Employee trust is also the foundation of employee well-being in an organization. A positive, healthy relationship between employees and the leaders of an organization enhances the feeling of belongingness that employees have towards the organization. This inclusive, supportive, and fulfilling environment is essential for human beings to feel like a part of the ecosystem and can drive mental and emotional well-being. These are extremely important for people to find satisfaction at their workplace and contribute to making the organization much more effective.
However, for true well-being, trust must be present at both ends. Just as employees’ trust in the management is essential, the management should also be able to trust its people. A lack of trust at either end affects how comfortable people are when communicating and the ease with which they can work together. That is why trust that goes both ways is essential to organizational effectiveness as well.
Employee trust is known to impact employee performance too. As employee trust encourages better knowledge sharing and interaction within teams, it automatically makes teams a lot more effective. And effective teams make an effective organization. Team members are able to work together more efficiently, with efficient use of resources and energy. Trust issues in the workplace lead employees to lose focus of the common goals that they are supposed to be working towards. If there is no harmony within the teams, everyone puts their self-interest ahead of the common interest. Knowledge sharing is restricted and information and resources are withheld which ultimately hampers the performance and reduces organizational effectiveness too.
Building employee trust for better organizational effectiveness
As employee trust and engagement are seen to be such important factors in achieving organizational effectiveness, organizations have to focus on trust building at the workplace. Trust building in the organization has to be done both ways. That is building trust in leadership as well as building trust in employees. in other words, there has to be an organizational culture of trust in order to achieve organizational effectiveness.
Individual employees, managers, and leaders need to work on trust building equally and each requires a different approach.
Trust building as individual employees of an organization
As individual employees, there are two things that people in the organization need to focus on – communication and mutual respect.
Communication – The first thing that is essential for trust building with other team members or with the executive leadership is regular communication. Communication does not necessarily have to be formal; it may be informal communication as well. Individuals need to make it a point to check in with their teams regularly and make use of available modes of communication such as online chats. Impromptu conversations on work-related or other topics can help build interpersonal relationships and create a stronger bond between people.
Respect for others – The key to trust building is mutual respect. Mutual respect, care, and support are very essential to build better interpersonal ties and helps people feel more secure at the workplace. Mutual respect involves using inclusive language when communicating, acknowledging the contribution of others to a project or the organization as a whole, welcoming others’ opinions, and other such acts of inclusion. An organization may usually have people from different cultures and backgrounds and it is important that each individual acknowledges this and ensures that everyone feels valued. Individuals should not only be inclusive themselves but also call out to anyone who is being disrespectful or discriminatory towards them or others.
Trust building as a manager
Managers have a major role to play in promoting a culture of trust within the organization. Managers are usually the bridge between the rest of the employees and the leadership. How they work towards building trust among people can impact employee performance, and thus organizational effectiveness, significantly.
Managers need to focus on the following –
Serving the employees – The job of a manager is not just to get work done by all employees, but also to care for employees’ needs. The managers can earn the trust of employees by putting their teams first. It is their job to develop a sense of belongingness among team members, promoting teamwork, and delegate power to all team members. These acts of putting employees first prove that the people matter to the organization. Managers also need to strive for employees’ welfare, help resolve conflicts, and treat everyone in the team equally. The key is to build trust through action instead of just words.
Demonstrating the same ethical standards that they set for others – As already mentioned, trust can be built only through action and not words alone. A good manager would have to uphold the same ethical standards that they expect others to keep up to. They need to demonstrate to other employees that they stick to the very rules that they have set for everyone else. This not just helps build trust but also allows managers to hold employees accountable when these ethical standards are not met.
Foster an environment of trust – Managers have the authority to create an environment that is conducive to trust building and making the organization more effective in the process. They need to create spaces and situations that require people to communicate more and work in teams. When the tasks are interdependent and people need to rely on each other to get things done, it automatically requires them to build and have trust in one another.
Trust building as a leader
The most difficult job in trust building, however, is that of the leader. Leaders may be efficient in their own capabilities, but employees are often hesitant to communicate and come forward with their views. Their trust in the leadership is often limited to taking instructions and following orders. But for an organization to be truly effective, employees have to be able to communicate with leadership easily and rely on the leaders to support them.
Leaders need to contribute largely to the organizational culture of trust. The leadership of an organization is responsible for establishing the core values of the organization. It is important that the culture of trust is made an integral part of these organizational values. When creating the organization’s mission statements and value systems, leaders should make interpersonal relationships a key area of focus. They should be able to create opportunities for employees to develop strong interpersonal relationships and involve them in crucial decision making activities.
When communicating with employees, the leadership needs to demonstrate that they are listening and working on their suggestions. Merely encouraging people to communicate is not enough unless the leaders take action. If employees bring forward issues they are facing and do not see any action taken, although the leadership urges them to speak up, they will be demotivated the next time a similar situation arises. So, to keep the lines of communication open, it is very important that the leadership not only takes feedback but also takes them seriously and shows their support for the employees.
Organizational effectiveness depends on a number of things including the organization’s structure, culture, technology and tools used, goals established, and more. But none of these can be improved or achieved unless the people working in the organization are motivated and engaged. Employee trust and engagement are, therefore, one of the primary requirements for an organization to be effective. In fact, research also shows that customer loyalty is quite closely linked with employee engagement and trust. This is because satisfied and committed employees offer better service to customers which, in turn, translates into better customer loyalty. Employee engagement and trust are also seen to promote effective use of resources increasing productivity and profitability.
Organizational effectiveness today and in the future
The pace at which organizational management and the industry as a whole is changing has accelerated in the past decade more than ever before. With changes in technology, globalization of markets, ever-growing competition, and changing customer demands, organizations are evolving much faster today. And as organizations begin to change, so does the definition of organizational effectiveness. For instance, about 10 years back technologies like Artificial Intelligence or Machine Learning may not have been considered important when one thought of organizational effectiveness.
Today, however, every organization has to adopt these technologies to maintain its competitive advantage. Or say the flexibility to work from home was not even imagined to be a part of mainstream work culture a few years back for most organizations. Today, many organizations have realized that this flexibility helps make their employees more productive and their businesses more effective.
So, with time organizations and their requirements keep changing. Knowing how the trends or market demands may change in the next 10 or 15 years helps organizations sort out their priorities and develop new ways of measuring their success. Organizations have to scan their competitive landscape from time to time and decide what new strategies need to be implemented or which factors are limiting their growth.
Organizational effectiveness in the current world
The current business world already has a very wide definition of organizational effectiveness that has under its umbrella various business areas of an organization. Organizations are focusing on lean processes, digital transformations, minimizing disruptions, and improving the overall efficiency of the business in order to be effective in the long term.
As discussed above, in the current state some of the major factors that organizations focus on for organizational effectiveness include –
Organizational structure – The organizational structure is considered one of the most important factors affecting organizational effectiveness today. A more democratic and flat structure that provides some amount of autonomy to everyone is usually seen to be much more effective and efficient. This is because, in such a structure, all members can put forward their views and have the freedom to make decisions within their capacity. Employees in such organizations are more involved and all of this adds up to make the organization more efficient.
Leadership style – We have already discussed in detail how the leadership of an organization contributes to organizational effectiveness. This is another very important aspect that organizations today take into consideration. The leadership style in an organization determines how the company culture will be, how satisfied and committed the employees will be, how productive the organization can be, and so on. So the leadership style of an organization also impacts the effectiveness of an organization.
Employee performance – In the organizations of today, employees play a very important role in increasing effectiveness and productivity. We have seen how employee engagement and trust affect the level of effectiveness in an organization. Productive and motivated employees can contribute much more to the organization.
Organizational culture – Lastly, the organization’s culture is what decides how satisfied employees are working in the organization, how communication flows, what the reward systems are, and how issues are addressed. Toxic cultures are known to reduce productivity and efficiency while supportive cultures help improve effectiveness.
Organizations today are much more progressive in terms of their attitude towards employees and work culture. They are leaving behind legacy systems and policies to embrace new ways of working to ensure the satisfaction of both internal and external stakeholders. But with time, there are other factors too that will come into the picture. These factors may also play equally important roles in organizational effectiveness.
The future of organizational effectiveness
The future holds a lot of opportunity for organizations that are striving to be effective in the long run. But along with opportunities, they will also need to face some challenges. The business, technology, social and managerial trends are constantly changing. Businesses will have to keep up with these trends in order to maintain their relevance.
Some of the important trends in organizational effectiveness in the next 10 years that organizations should prepare themselves for include –
Putting reputation ahead of revenue – Organizations of the future need to shift their attention to building a reputation more than generating revenue. The world today needs more organizations that care about their internal and external impacts. Organizations in the coming years will have to be socially and environmentally responsible. This is what customers, shareholders, and employees want to see and will value. A reputation as a responsible and accountable organization will be very crucial for organizational effectiveness in the near future.
Distributed power – Effective organizations of the future will not have power restricted to the executive leadership of the company or the managers of individual business units. Power will be distributed and diversified, giving some authority to everyone within the organization. This is expected to make people more involved and productive, leading to better effectiveness.
Localization in a global market – While so far, most organizations have been focusing on taking their business to larger markets globally, the focus is slowly shifting to localization. This means that though the globalization of businesses will continue, organizations will have to focus on the local markets they are dealing in. A “one size fits all” approach to the business will no longer be sustainable. Instead, businesses will have to understand the needs of and create separate strategies for each individual market they expand to.
Technological shifts – Technology is undoubtedly one of the major factors affecting organizational effectiveness. As time goes by the kind of technology that businesses rely on will also have to change. There is already an increasing demand for automation. Technologies like AI and Machine Learning are finding new uses in business every day. From customer service to marketing to other critical areas of business, these technologies are making their importance felt. Businesses have to adopt new technologies early if they wish to be in the race for effectiveness along with the strongest players.
These are some of the major factors that will come into play in the future of organizational effectiveness, though there are many other similar areas to ponder over. This corporate training workshop aims to help the participants to gain an overall understanding of organizational effectiveness and their roles in improving their respective departments, business areas, or the organization as a whole. Participants will be trained on how to analyze the current state of their organization and how to fill the gaps in the system to reach maximum potential.
Executive Summary
Overview
As a concept, organizational effectiveness has captured the interest of researchers and practitioners. Research interest in organizational effectiveness dates back to industrialization and scientific management (1910-1920), which proposed optimizing and simplifying jobs to improve productivity, and recommended cooperation between workers and managers. In the past, organizational effectiveness was measured in terms of productivity or profits. It was also interchangeable with organizational success or ‘worth’ and mainly spoken of in the context of achieving goals.
Over the years, researchers and practitioners have provided a wealth of ideas on the organizational qualities that constitute effectiveness. There is no single definition, model or approach of organizational effectiveness, and as such, it as a multidimensional concept.
For organizational leaders, effectiveness criteria are a matter of critical importance. Criteria for measuring effectiveness vary from company to company and sector to sector. Richard et al. (2009) advances that organizational effectiveness is a measure of organizational performance, which includes the internal performance outcomes associated with efficient operations, and non-financial indicators of performance, such as corporate social responsibility. Campbell (1977) presents more than 30 different criteria, including profits, productivity, growth and cohesion.
Different organizational systems emphasize effectiveness criteria differently. Rational perspectives stress on goal accomplishment, focusing on productivity, efficiency and quality. The natural system, which accords more importance to the informal structures in an organization over formal structures, is more concerned with interpersonal skills, and employee satisfaction and morale. Open systems perspectives, which view organizations as entities shaped and transformed by their environment, pay attention to flexibility and adaptability.
What constitutes effectiveness is a matter for the individual organization. Yet, those that disregard entirely effectiveness criteria that could be gaining in importance in their external environment, in economic, political, legal, social, technological, demographic, global and competitive sectors, may very well be jeopardizing their long-term success.
For example, although responsible companies have existed for over a century, corporate social responsibility (CSR) didn’t gather pace till the 90s, when organizations’ issued reports detailing their commitment towards addressing the impact of their operations on society, economy and environment, and outcomes thereof. Diversity, equity and inclusion (DE&I), cornerstones of a socially responsible organization, also gained impetus in the wake of social movements and internet-driven global interconnectedness. At the turn of the 21st century, CSR has come to play a role in decreasing or increasing effectiveness. Studies show that organizations with diverse teams improve employee engagement and collaboration, having positive effects on performance and retention.
In the 90s, Nike earned the wrath of the public amid allegations of child labor and overseas sweatshops. The shoe manufacturer faced boycotts and sales suffered. The backlash forced Nike to revamp the way it did business and communicated with the public. By the early 2000s, the company had put together a CSR reporting system that listed its contract factories and detailed working conditions and pay scales. Nike also owned up to its faults and vowed to become more socially responsible. The company has since expanded its CSR commitment to make supply chain improvements aimed at improving its environmental impact.
It has been suggested that CSR enhances shareholder value and exerts a positive effect on financial performance. Socially responsible companies are able to attract top talent, and in a better position to win the talent war. As generational shifts occur in the workplace, competition for Gen Z and millennial workers will increase. These age cohorts are called ‘Generation Green’ for their socially- and environmentally-conscious behaviors.
Employees supply performance, a criterion of organizational effectiveness. The cost of hiring a new employee is hefty. Organizations want to hire the best possible talent. An understanding of how various effectiveness parameters are linked will help organizations plan and manage work and change wisely.
The world has come a long way technologically. We’re in an era of accelerated technological development marked by the emergence of ‘disrupters’ that turn entrenched business models on their head. How ably organizations sense change and adapt to it determines their long-term success. Businesses that are quick to evaluate the rapid progress in systems, software and telecommunications, and implement them quickly tend to race ahead of slower peers. In fact, organizational growth and success has depended on the intelligent and timely adoption of performance-driving technologies and work practices. It is seen in the transformations undergone by some of the leaders in their industry today.
Automotive giant Ford built the Model T with a vision to make cars affordable to everyone. They combined interchangeable parts and workers on the assembly line, to assemble cars faster than any other car maker. Sales took off and Henry Ford rewarded employees with a higher pay, enabling them to become a part of the American middle class. Ford’s growth spurred the glass, steel, rubber and other sectors. As a large number of cars began rolling off assembly lines, billions poured into developing and improving road infrastructure.
The company also emerged unscathed from the automotive crisis of 2008-2010 brought about by the rise in automotive fuel prices and subsequent fall in sales of SUVs and pick-up trucks. Over the years, Ford has restructured to adapt to changing consumer perceptions on fuel economy and vehicle emissions. By 2022, the company aims to have 22 fully electric vehicles in its global portfolio. Ford has also kept pace with emerging technologies and business models in the industry. It plans to launch a self-driving vehicle division, and has expanded research in camera sensors, advanced algorithms and radar technology.
Although organizational effectiveness doesn’t have a standard definition, it is generally agreed that a company is operating effectively if it meets its goals, satisfies its shareholders, and creates social and environmental impacts that support its financial performance and long-term growth. For goal accomplishment, organizations need a productive, engaged and thriving workforce. So, individual effectiveness is a part of and contributor to the effectiveness of the organization as a whole.
Examples
Industrial revolutions
Industry, as it exists today, has evolved substantially from beginning of the industrial revolution in the 18th century. In the late 18th century (Industry 1.0), steam-powered machines were used to mass produce goods. Industrial products grew by volume and variety at the end of the 19th century (Industry 2.0). Electrical energy emerged as the primary power source and assembly line production powered mass production. The invention of the telephone, automobile and plane were important developments during Industry 2.0. Techniques such as just-in-time manufacturing, lean principles and division of labor were introduced to increase output and quality.
American mechanical engineer Frederick Taylor proposed the scientific management theory based on four principles (1) using scientific methods to standardize the best ways of performing a task, (2) a clear division of tasks and responsibilities, (3) rewarding high-performing employees and (4) separation of authority and specialization of function.
Industry 3.0 was marked by the introduction of more automated machinery on the assembly line to perform human tasks. Advances in electronics, telecommunications and information technologies brought about production efficiencies and spurred innovation. Technological capabilities emerged as a major source of competitive advantage. Rising consumer expectations moved manufacturers to increase time-to-market and increase customization. Global supply chains and dispersed manufacturing helped lower costs and scale up production to cater to new markets in developing nations.
The fourth industrial revolution, Industry 4.0, builds on the automation and computerization of the previous generation. Smart machines collect tremendous amounts of data in a short span of time. Insights from the data can inform performance bottlenecks, and help improve operational efficiency and safety for high-consequence industries. A globally dispersed supply chain allows manufacturers to take advantage of low costs and production capabilities of multiple locations. However, full real-time visibility into the supply chain is a challenge, which is exacerbated in the event of major crises from pandemics to political turmoil. The connected supply chain is an example of an innovative Industry 4.0 solution that creates a single, integrated view of the supply chain to enable manufacturers and supply chain partners to collaborate seamlessly.
New and emerging technologies
Smart equipment and robots in factories and warehouses work alongside human employees to optimize efforts, create a safer working space for employees, and increase speed of operation. Robots have become more affordable and more autonomous by incorporating artificial intelligence. Low-cost robotics are allowing smaller manufacturers to automate tasks and assist factory workers enhance their productivity.
The Internet of Things (IoT), a network of physical objects embedded with sensors that exchange data with other devices and systems over the internet, have sprung forth exciting possibilities for an array of industries. For manufacturers, benefits of IoT include better quality control (fixing product flaws before they’re launched in the market), smart inventory management (real-time visibility of warehouses, factories and distribution facilities), and smart packaging (QR codes, specially configured RFID tags and Electronic Article Surveillance tags).
In the automotive industry, IoT is best known for developing self-driving cars although autonomous vehicles on roads are a long way off. They have the potential to reduce the number of crashes, which can be attributed to driver error or behavior in 94% of cases, reduce harmful emissions and ease parking woes. Advanced Driver-Assistant Systems (ADAS) use IoT to generate alerts on potential hazards while driving and allow drivers to take control of their vehicle in a timely manner.
IoT is transforming the energy industry. Smart grids detect changes in electricity demand and supply to deliver electricity efficiently to customers, and provide increased control over energy consumption. An energy supply chain that employs sensors is able to transmit real-time data for optimal decision-making.
Data for aerospace production resides in loosely coupled systems and creates information siloes. In the event of a problem, the appropriate part of the factory is secluded and information passes through the siloes for decision-making, slowing down production sequencing. New and emerging technologies facilitate the vertical integration of systems to enable decision-making at the heart of the factory floor and quick response to production issues. Additive manufacturing and 3D modelling allow parts to be created with lesser material, thereby reducing manufacturing costs. The large machines at workstations can be replaced by smaller digital machines equipped with sensors, and connected to the control room from where they can be controlled remotely.
The goal of Industry 4.0 is to make industries more efficient and consumer-centric. All the industries covered in the Organizational Effectiveness program can benefit from incorporating technologies that transform operations and deliver tangible business value. Benefits range from cost reduction, easier compliance and improved efficiency to enhanced collaborative work, better customer experience and innovation opportunities. More machines don’t necessarily mean fewer employees. Organizations can relieve employees from repetitive tasks and utilize their talents in other areas of operations. Inherent human characteristics such as emotional intelligence, capacity for empathy and effective communication are unlikely to be replicated by even the most sophisticated robots. Human-robot collaboration is the future of manufacturing. Organizations have the opportunity to upskill employees and motivate them to make valuable contributions in areas of creativity, novelty and innovation.
Organizational Goals
The traditional way of measuring effectiveness is by examining the degree to which the organization is able to achieve its goals. Goals are a starting point for achieving or increasing organizational effectiveness. ‘Where do we want to be and why?’ is the earliest question on the journey to effectiveness. Companies in highly competitive industries must keep evolving to continue existing (a low bar) and growing (a likely outcome of innovation as well as strong financial and non-financial performance). Existing effective processes support goals but they too will change from time to time in response to external forces.
Types of organizational goals
Broadly, there are three types of organizational goals: strategic, tactical and operational goals. Strategic goals are financial and non-financial results that companies aim to achieve over a long term. Increasing shareholder returns and improving diversity are examples of strategic goals. Top management develops strategic goals and has the responsibility for meeting them.
Tactical goals put strategic goals into action. Middle managers are responsible for actualizing tactical goals. Either middle managers or top managers may set out tactical goals. Operational goals are there to solve problems encountered in implementing tactical objectives. Lower-level managers are accountable for meeting operational goals as they plan work and manage workers on assembly lines, in the field, or in product development teams.
Executive leadership offers employees and managers incentives to meet operational tactical and strategic goals. An increase in compensation, company shares and promotions are common financial rewards. Financial and non-financial motivations are determined according to the roles and contributions of employees.
An example of goal-setting for a producer of renewable energy
Renewable energy sources have emerged as a strong competitor to fossil fuels. Companies in the renewable energy sector need a long-term strategy focused on sustainability and profits to remain competitive.
From a financial perspective, a renewable energy producer may prioritize total shareholder return and return on capital employed. As part of its strategic goals, the company may plan to create energy products that benefit customers, and offer solutions that help customers reduce their environmental footprint. At the tactical level, the company may aim to reduce environmental impact of day-to-day operations, increase gross average production, reduce development and installation costs, and implement energy-efficient technologies. Operationally, the company may focus on technological breakthroughs, worker productivity, and a safe working environment.
Together, these goals enable the company to be effective and ensures their long-term sustainability.
The success of an organization depends on many factors. Balancing financial performance with non-financial objectives has becoming increasingly important in an increasingly social- and environment-conscious world. Although an established company may not suffer great financial harm by ignoring its corporate social responsibility, competitors may take advantage of its weakened position following a media or public backlash, and benefit at the company’s cost. While an organization may post year-on-year profits and revenue growth, it must observe changing CSR trends to remain in favor with the public.
Goal setting
Goal setting for effectiveness must consider whether the organization is continually trying to reach its full potential and setting a higher bar for itself in areas of financial and non-financial performance. They must consider multiple perspectives of what it means to be effective, and develop goals accordingly. For example, organizations must be flexible and adaptable, and stable and controlled at the same time. The competing values framework addresses this paradox and serves as a strategic tool to identify organizational gaps, and manage organizational values, culture, functions and processes.
Organizations or functions that aim for continuous improvement or efficiency rather than effectiveness may focus less on outcomes and more on internal processes. Companies that use Lean or Agile approaches to product development assess the efficiency of internal processes, such as how quickly and frictionlessly collaboration occurs among teams, and whether information is documented and managed properly.
A resource-based framework considers the inputs into the organization’s production processes, such as employee capabilities, patents and capital equipment. The model also takes an inward look at measuring effectiveness and plans strategic actions based on an assessment of resources and capabilities. The purpose of the model is to develop strategies that allow the organization to maximize opportunities from its core competencies relative to the external environment.
Organizations can measure effectiveness based on the activity, perspective, levels, timeframes and reference.
– Assessment based on activity domains includes all focus areas that have been selected for improvements, and include goal realization, shareholder returns and customer loyalty.
– Assessment based on perspective takes into consideration the views and demands of shareholders, customers, employees and society.
– Assessment can occur on the level of a business function, department, team or the entire organization.
– Assessment can occur over a short-term or long-term, or based only on current needs.
– Effectiveness can be assessed in relation to the organization’s competitors, its ideal state, its past version, or strategic goals.
Every organizational member plays a part in achieving the desired level of effectiveness. Clear communication of goals and drivers of organizational effectiveness are critical to guide employees’ decisions and actions. Employees should understand how their work contributes to operational effectiveness and impacts tactical goals. They must be made aware of collective effort impacts strategic goals and receive appropriate financial- and non-financial motivation to do their best work and cooperate with higher-ups.
Top management needs to take multiple perspectives on what effectiveness means for the organization, and how best its potential can be exploited. Goals, KPIs, measurement systems and performance management approaches can then be developed to create or improve effectiveness.
Executive Leadership
Leaders set the vision for the organization and develop strategic goals. They invest considerable time and energy to determine the path the organization should take, in anticipation of future needs and opportunities. Leaders are responsible for managing the organization’s sustainability and steering it through economic headwinds, industry disruption and unforeseen, high-impact events. An organization’s degree of effectiveness is greatly influenced by the quality and commitment of its leadership.
Devote strategic focus towards the right measures of effectiveness
Organizational effectiveness is a multi-dimensional concept. In practice too, effectiveness, as a measure of organizational performance, keeps changing. An organization can have efficient operations, but lack innovation and effectiveness. Or it can be profitable and a huge job creator, yet low-level employees may deal with poor working conditions and the board may lack diversity. Organizations can be effective in some respects and underperformers in others.
Leaders determine where their strategic focus needs to lie and balance competing priorities in a way that ensures trade-offs they can live with. They should take risks that are worth pursuing and cooperate with managers, consultants, academic and local authorities, to drive the success of new ways of working. Taking proactive steps in transforming operations is in the best interest of organizations in an increasingly stringent regulatory environment. Companies in the energy, automotive and manufacturing industries that not only meet but exceed expectations benefit from goodwill and sustainability.
Solve business problems together
Organizational goals can be stymied by a lack of cooperation among leadership teams. A collective approach to problem-solving is one of the hallmarks of effective leadership. Leaders must view the organization as a whole system and investigate whether there’s sufficient cross-functional collaboration and access to information. The organization will likely fail to innovate or improve if its members have the tools but not the information to plan strategic and tactical actions. Leaders have the authority to break down siloes hindering collaboration and knowledge-sharing, and must be proactive in initiating the necessary changes.
Various executive leaders or leadership teams based in different countries/locations need to work together to achieve the organization’s overarching goals that lead to an increase in effectiveness. There are many advantages of shared decision-making. It brings fresh ideas, new perspectives and many more experience-backed insights to the table. The C-suite should welcome inputs from business and functional heads, and be open to consulting external stakeholders such as community leaders, research universities and government agencies.
Have structured and intentional interactions
Strategic discussions on the targeted measures of effectiveness must lead to appropriate outcome-driving actions. The likely of achieving the desired outcomes increased when leaders interact with intention. Intentional communication is when leaders listen to one another, weigh their response before speaking up, communicate clearly, and remain focused on what needs to be accomplished. They are committed to ensuring respectful interactions and modeling behaviors expected from those at lower management levels.
Structured meetings make best use of all participants’ time by staying within the agenda, allowing everyone to have their say, and setting the direction for future discussions. A high-level meeting must decide the order of topics, presentations and activities (if any), and take down minutes to be shared via email with all participants after the discussion is over. Unstructured discussions fail to create in participants a sense of commitment to the decisions made and objectives pursued. Admittedly, the risk of such a thing is far less when board members and executive leaders call the meeting and authorize decisions. In any case, executives should make it clear that the decisions taking in the meeting are binding on everyone.
Review measures of organizational effectiveness from time to time
Some measures of effectiveness remain constant and relevant during the entire life of the organization. Effective organizations show profit and/or growth, have a large and/or loyal customer base, make products/offer services that meet consumer needs/desires, and meet their legal obligations. A competent workforce, robust processes, customer loyalty and the mindset and acumen to adapt flexibly to the changing business environment are necessary for sustainable business growth, also factor into assessment of organizational effectiveness.
Leaders have the duty to review measures of effectiveness to not only track progress in these areas but to also identify gaps and exclusions. Is the organization innovating enough or leveraging its unique strengths to penetrate developing markets or wealthy nations faster than the competition? If the organization is struggling to retain the levels of competitiveness it enjoyed four years ago, leaders should evaluate whether the organization has been effective in building strategic alliances or investing in ecosystem building to strengthen their competitive positioning.
Public perceptions of an organization have consequences for its financial performance. Surveys of have found that a majority of American consumers were likely to switch to a brand associated with a good cause, price and quality remaining similar. Other studies show that making supply chains or operations more energy-efficient or less polluting leads to a more productive use of resources. Publicizing CSR actions is also a cost-effective way for an organization to improve its competitive position. Leaders should review impacts of the organization’s community relations and CSR image on financial performance, and their implications for long-term growth.
Leadership decisions are also critical from the point of view of attracting investors. Investors buy the idea and vision but they also want to see strong leadership. By taking a balanced and nuanced view of organizational effectiveness, leaders can more easily get the funding they need for business expansion.
Managerial Effectiveness
Most authors view leadership and management as two different concepts. They’re similar in that they involve decision-making, creating relationships and networks to meet a goal, and ensuring that the job is accomplished. They differ in terms of their primary functions. A leader’s primary function is to create change, while a manager is responsible for extracting results through order and efficacy. For this reason, a manager’s role tends to be viewed as mundane and administrative, while leaders are expected to be creative visionaries and change agents. Despite these differences in perception, leaders and managers are united in their efforts to drive results. Neither should be a more dominant force in the organization – a manager’s pragmatism and a leader’s idealism are both necessary for organizational success. A balance is ideal; organizations should guard against being over-managed and under-led.
Improving managerial effectiveness
Departments flourish under effective managers. Managerial effectiveness is an important driver of organizational growth.
As managers directly oversee people in their teams of departments, they are influential during change initiatives in the following key ways:
– Aligning team responsibilities with the organization’s agenda/goal
– Providing insights and assistance to help teams adapt to new ways of working
– Guiding employees to solve problems and smooth out conflicts
– Understanding employees needs and requirements to reduce turnover
Managers’ own performance is measured in terms of their team’s/department’s rate of productivity, revenue generated, customer satisfaction rates and working environment. Senior executives may assess managers based on how successfully they’ve incorporated feedback received, their team’s turnover rate, and whether any adverse incidents have occurred under their watch. Executives will also observe managers’ behaviors, communication and attitudes, to determine whether they can be groomed to be future leaders.
A clear vision on what the team/department needs to achieve and how best to steer them through change, is helpful in decision-making and action planning once the transformation is underway. They need to stick to their vision and remain committed to the cause. Any obstacles encountered during the journey must be addressed quickly and efficiently so they don’t prove roadblocks to change. Gaining their team’s/department’s trust is critical to engage them in the initiative and motivate them to do their best. Managers can assign tasks to individuals based on their strengths and weaknesses, and give more responsibilities to those who have expressed their interest in growing professionally.
When called upon to improve an aspect of organizational effectiveness, managers should avoid doing most of the job themselves. They should meetings to discuss details of the initiative, set performance expectations, prioritize and delegate tasks, give specific feedback and monitor whether the feedback has been implemented. Managers shouldn’t solve problems or resolve conflicts that team members can handle on their own. They can act as an impartial arbitrator, suggest options and provide insights from their own experience. But they need to stop short at providing the solution or doing a task that employees are expected to perform.
Leaders create innovative organizations
Innovating is a sure-fire way to create value at scale. Senior executives have the responsibility to drive the innovation and change that makes the organization more effective and enhances financial performance. They have the authority to call the shots on changing structures and processes to enable the envisioned change. Three key ways in which senior leaders are making their organization more innovative and effective are as follows:
– By integrating innovation into strategic agenda and growth.
– By managing, tracking and measuring innovation and effectiveness
– By creating conditions that encourage innovation and effectiveness
– By making it safe for employees to express their ideas and incentivizing out-of-the-box thinking
Top leaders promote and actively manage organizational innovation. They encourage behaviors such as risk-taking, openness to new ideas and learning from mistakes. Through managers, they give employees the support needed to innovate and enhance organizational effectiveness.
Organizations must establish roles and expectations from managers across hierarchies. Top managers, mid-level managers and line managers have distinct responsibilities in performance management. Top managers set trends and model behaviors for employees at lower rungs of the corporate ladders. As their influence is substantial, managers across hierarchies must inspire attitudes and actions that maintain consistently high levels of performance. Managers must also be on cordial terms on one another as it helps ensure smooth collaboration and knowledge-sharing on projects. Differing views on performance management, apathy towards organizational culture, or disinterest in functions or processes other than their own, prevents managers from delivering on expectations during transformation efforts. Where unity is present, employees feel more motivated to participate in the change process or otherwise fall in line.
The organizational structure sets roles, powers and responsibilities, and decides how information flows at different levels of management. Leadership use frameworks to determine what is expected of employees to achieve common goals. There are different types of organizational structures. Leadership considers various factors before identifying the structure that works best to meet the organizational mission. Command-and-control structures were dominant in the industrial age. Technological advancements, heightened collaboration, the start-up revolution and remote working arrangements led to less rigidity in the division of power and created flat organizational structures.
The Introduction workshop will provide a better understanding of the involvement and commitment of managers in driving organizational effectiveness.
Change Management
Change is often complex and intimidating. But it is necessary to developing and improving the effectiveness of processes, functions, products, programs and corporate culture. Leaders plan and oversee strategic change initiatives. Middle managers handle changes at the operational level and report to senior executives. Employees make change happen so long as they buy into the initiative. For this, they need to understand the reasons for implementing the change and how it will impact their work and careers. Leaders provide the rationale, motivations and assurances that create engagement and drive change.
Leaders’ decisions and behaviors are vital to the success of change initiatives. They are more likely to implement change successfully if they:
– Set well-defined metrics and milestones
– Commit to the change
– Create ownership and accountability
– Remain engaged throughout
People are at the heart of change
Unless leadership gains consensus and commitment from departments, teams and individuals, they can expect a rocky path to the better version/future the initiate aims for. Top-level leaders determine the change management approach, which will then be integrated into program design and decision-making. Dealing with people issues on a case-by-case basis creates negativity and harms employee morale. Senior management must engage key stakeholders and leaders from the time the initiative is formally implemented, and adapt often as changes makes its way through the organization.
Organizational culture plays an important role in the change process. Leaders should communicate to the workforce behaviors that will support new ways of doing business. They need to create metrics and incentives to track and reward the expected behaviors. It is not necessary for an organization to change their culture first and implement their change program afterwards. Driving cultural change can coincide with the change initiative. As influential change agents, leaders can effect systematic culture change through careful planning, metrics and rewards systems.
Resource planning and data availability are crucial
Without sufficient material, financial and human resources, pursuing major change can risky. Leaders should determine the resources the organization needs to build before it can embark on change. Inadequate change management resourcing is among the reasons why change initiatives fail. It can occur from not having enough resources or from budget constraints from competing interests that lead to allocated resources being cut.
Depending on the initiative, teams may need substantial data that can be gathered from internal operations and institutional knowledge, or from interconnections with academic and research bodies. When the data needs be acquired externally, leaders should exercise their authority and influence in ensuring its availability. Organizations will likely have customer data to utilize towards improving marketing, customer support or other aspects of effectiveness being targeted. In addition, they must introduce business intelligence tools that analyze customer behaviors, identify operational loopholes, spot market trends and perform quantitative analysis to transform data into useful insights.
Change is also a personal journey
Employees will want to know the different ways in which the change will affect them, and what the success or failure of the initiative will mean for them. This anxiety is natural and needs to addressed right from the beginning and by managers and team leaders who work closely with their teams.
Individuals in teams and departments trust their supervisors and have a close relationship with them. Therefore, they need to hear the good and bad news from those influencers. The organization’s internal communications’ department develops messages and guidelines around the change initiative. After senior leaders’ approval, the messages are distributed throughout the organizations. Managers and department heads may also be briefed by human resources and/or the communications’ department on handling their teams’ questions about the change program.
Change cannot be coerced
Successful change involves empowering employees. Leaders can review change management programs undertaken previously by the organization, by competitors, or by industry leaders. What factors contributed to employee engagement and empowerment? What actions impeded the change initiative? When putting people at the heart of the change process, what steps can the organization take to alleviate their anxiety and gaining their consensus? A comprehensive assessment will enable leaders to create the right expectations about the change and provide employees the right information at the right time.
Unexpected hurdles are a common feature of change initiatives. When leaders encounter problems they hadn’t anticipated, they shouldn’t begin doubting their change strategy. Rather, they should make the adjustments necessary to keep the momentum going. This requires a willingness and ability to adapt to events and transformation occurring during the change process. Leaders should also investigate the obstacle and record findings. They might uncover systemic shortcomings that have gone under the radar.
Change management models
Change management efforts require changing business processes, job roles, organizational structures and updating technologies used in the business. The change may affect some people more than others, and everyone may have a different view of the initiative. Organizations can evaluate the suitability of different change management models to their change goals. Some examples of change management frameworks are McKinsey 7-S, Kotter’s model, ADKAR model, Kübler-Ross framework, and the Lewin model. Organizations can combine various change management models to guide the change process. As far as possible, the change strategy and implementation should seek to minimize the negative effects of change events, and at the same time, capitalize on the transformation.
Establish metrics for measuring the effectiveness of the change management program
Examples of change management KPIs include effectiveness of change management messages and delivery, whether change management activities were implemented according to plan, speed of execution and KPI measurements of change projects implemented. KPIs based on where employees are in the change process and they are progressing include adoption metrics, compliance reports, awareness and understanding of the initiative, observations of behavioral change, and employee satisfaction surveys. From an organizational perspective, KPIs will relate to the effectiveness goals aimed for, and performance improvements, benefits and ROI captured.
Sometimes, change fails. When this happens, leaders must perform a post-mortem to identify the causes. Did the initiative lack bottom-up support? Did leaders underestimate the scale of the change? Was the program ill-timed, such as during the exit of a valued C-suite executive? Leaders must then determine whether the initiative can be revived, at a later date, with suitable strategic modifications. Change management failure is unlikely to ruin an organization, but not pursuing change most certainly will, at some time. The change must be purposeful and linked to meaningful effectiveness goals. The initiative can misfire in absence of a compelling case for change. Careful change strategy, implementation and management planning should precede a complex or large-scale transformation.
Work Management
The work involved in executing organizational effectiveness goals will be distributed among individuals, teams and departments, depending on the nature and scale of the change initiative. To align efforts with effectiveness goals and ensure a fair division of efforts among all participants in the change program, leaders must identify ways to manage the work involved efficiently. Work management involves creating workflows that distribute work in the form of individual and team or department-level tasks. It provides oversight over the efforts being undertaken, and offer the opportunity to solve problems commonly encountered when executing a project.
Project management is the main component of work management. Usually, a project manager is assigned to manager and supervise the work. They manage resources, time, process and client/stakeholder relationships. Depending on the change initiative, multiple managers may report into a team of senior executives.
The steps of work management are as follows:
– Identify when and how the work will be done. A clear, detailed explanation is necessary.
– Plan the resources and time needed for successful execution of the initiative.
– Implement the initiative and ensure the managers-in-charge prioritize the initiative.
– Document the process and the communication involved throughout.
– Analyze results from the initiative and make a note of improvements to introduce.
Managers can plan work keeping in mind certain practices that have been seen to improve project performance. Some of the best practices discussed in this workshop are stated below:
– Teams should have a clear understanding of project goals, benefits, deliverables, quality standards, success metrics, risks, timeline, resources and budget.
– Assign the right people to manage the project after conducting a review of mid-level managers. Some senior employees may have managed projects informally. Consider formalizing their role and/or providing them the training or certification to take on a leadership role on the project.
– Create a risk response team that will provide for contingencies. Choose members experienced in project implementation and risk management. When budgetary constraints arise or a key resource quits, the risk response team will find ways to keep the project moving.
– Make the project transparent, in terms of communication, budget, timelines, issues and changes. Keeping everyone in the loop makes them feel like their contribution is valued and encourages them to perform to or even exceed the desired quality standards.
– Keep an eye on scope creep, which can have a ripple effect on the timeline, budget and deliverables. Ensure that stakeholders understand the impact of making changes to the project.
– Get feedback from teams on their experience working on the change initiative. Identify issues that may escalate during the course of the project and potentially derail its success. Record issues that are not consequential to outcomes but can be explored at a later time.
Work management software
Work management software simplifies the distribution of work and provide real-time visibility into how the project is coming along. Common features of work management software include:
Task management: Managers can assign tasks to individuals and teams, indicate whether the tasks are high or low priority, and set deadlines.
Communication: Managers can request updates from teams, add comments to tasks, and communicate directly with a team member.
File sharing: Managers can share documents directly to the tasks to allow team members to download files to their devices.
Time management: Managers and teams can track work hours across tasks and projects.
It can be tempting to use all the features and templates of a work management software. But that may make the tool unnecessarily complex to use and lead to a reduction in adoption. Managers don’t need to fit the process into the tool. Keeping it small initially and allowing teams to engage with the tool is preferable. Once they become comfortable using the software, new features can be introduced to move more process tasks.
Work management tools provide templates for different job types. Using a template for each job type often leads to a bunch of slightly different looking templates, leading to confusions. Instead, identify consistencies of what needs to be tracked and create templates accordingly. Aim for a few core templates that can be used across departments, teams and global offices. They can be customized as and when required. Make changes to the template keeping the end goal in mind.
Use the same approach for reporting. Start with a standard report and tweak it as needed. After this initial familiarization, managers can determine the reporting tools that can provide a good view of project progress and results.
General managing and reporting tend to take up most of a manager’s time. They may have less time to devote to active performance management. There are performance management tools that automate employee performance reports and daily work reports. By staying on top of team performance, managers can keep productivity and engagement to consistently high levels.
Work management tools create transparency around tasks and results. Organizations that continue operating in siloes and are yet to implement software that enable multi-disciplinary collaboration across the enterprise must make the necessary investments quickly. If anything, the novel coronavirus pandemic has highlighted the importance of digital tools in helping teams to stay connected with one another as well as with customers. Work management has come online. Rather than shelving mission-critical projects and change programs during the COVID-19 crisis, organizations are accelerating investment in remote collaboration and work management tools.
To create efficient, productive and engaged remote teams, leaders must first establish a remote/hybrid work policy laying down the professional standards, rules, protocols and expectations to be followed by everyone. With this understanding in place, managing remote teams efficiently only requires small, easy shifts in leadership styles.
Job Design
Job design is the process of creating a job that meets the organization’s objectives while rewarding workers. It is one of the tenets of industrial and organizational psychology. The work that needs to be done is organized into tasks, activities, relationships and responsibilities.
Ineffective job design leads to a disorganized working environment. Employees should be clear about the exact nature of the tasks they must accomplish. Leaders must create an environment that allows employees to execute tasks efficiently. Specificity about tasks and activities enables leaders to design workspaces that promote communication, collaboration, privacy and flexibility.
How jobs are designed affect employee productivity and morale. Poorly designed jobs result in boredom and dissatisfaction, causing employees to ‘tune out’ and eventually quit. This hurts overall performance and increases labor costs. The organization may also struggle to attract talent, affecting their ability to innovate and grow.
Job design is primarily the responsibility of HR manager. Department heads or team leaders assist HR managers in creating job descriptions so as to ensure that job seekers with the required qualifications, skills and experience apply.
If qualitative and/or quantitative research findings reveal a need for job analysis to improve output, then the organization must review the following: the contents of the job, methods (systems, procedures, workflows) to execute the job, and the relationships that should exist between the individual in that role to his/her superiors and subordinates. The rationale for the present state also needs to be assessed. Why does the individual report to two managers? What hardware or software systems are available to the individual to perform his/her work? What are the primary responsibilities of the worker and how well do they align with organizational objectives? It is possible that the particular job needs to evolve to deliver more value to the customer or to speed up operations.
Based on this analysis, the job role can be modified to reflect new needs. Managers can determine how tasks should be prioritized, whether some tasks can be delegated to other team members, if more training or tools are required, and so on. The purpose is to enable and empower workers to meet the expectations of their job, which in turn, will help the organization meet its strategic goals.
The need for a job analysis must be clear and backed by data. When needs aren’t clearly identified, the exercise is futile and a waste of time. Managers must know why the job analysis is being done, the impact of changes, and the implications of not reviewing the job.
When designing job roles, organizations take into account certain key factors, as briefly explained below.
Variety: Some jobs require a greater variety of skills than others. Software project managers, for instance, have both technical and management skills. They also require good people skills to communicate effectively with customers and rally the team around performance goals. Individuals with different skill sets are usually seen in management roles. Their subject matter knowledge and experience handling different functions enables them to set goals, guide implementation and evaluate results in an informed and objective manner. More variety in a job makes it less mundane but too much variety can scatter focus and cause conflict.
Responsibilities: Employees should understand the responsibilities – as individuals or team members – of their job. What outcomes are they expected to work towards? What aspects of success or failure are they accountable for? Team leaders and managers should be aware of the significance of the work undertaken by individual employees and how they fit into the organizational goal. They must motivate employees to fulfil their responsibilities and take ownership of outcomes.
Autonomy: What is the extent to which employees can control their work and use their discretion to perform their tasks? The freedom that employees have to do their job affects their performance. Ideally, employees must have the flexibility to shape the environment in which they work in order to perform to the best of their abilities. At the same time, autonomy doesn’t mean allowing employees to work as they please or not providing any oversight or guidance. A right balance would be giving employees control over their work while also defining movable boundaries of control and decision-making.
Task identity: Task identity refers to the degree to which an employee performs a whole piece of work. Employees usually derive more satisfaction from doing a whole piece of work. However, this isn’t possible for most job roles. Managers can enhance task identity by involving employees in the planning, evaluation and reporting of the projects they work on. Planning the work increases employees’ sense of ownership and accountability. Evaluation and reporting allow them to see the end results of their work. Studies suggest a higher amount of psychological ownership when autonomy and task identity are high.
Task significance: Task significance is the degree to which employees believe that the work they do impacts people within or outside the organization. When employees perceive that their work positively impacts others, their job feels more meaningful and contributes to higher satisfaction. Managers can increase task significance by sharing outcomes of teamwork or individual contributions with employees. They can emphasize the importance of collaboration and teamwork in promoting fairness, job satisfaction and morale in the workplace.
Feedback: Employees must receive information about how they are performing in their role. There are different sources of feedback. It can come from the product itself, such as building a car, aircraft or generator, or from external sources like customer satisfaction surveys, car reviews and ‘orders and deliveries’ reports of aircraft transactions. Feedback recognizes employees’ work, helps them improve and provides a bigger understanding of their contribution to their organization’s financial performance.
Systems Evaluation
Technology is the lifeblood of an organization. IT systems are used at all levels of the organization. Operational-level systems underpin various functions of the organization. Sales and marketing, finance and accounting, manufacturing and production, and human resources use their own software applications. At the management level, decision-support systems (DSS) and management information systems (MIS) analyze, control and visualize information, and synthesize it into actionable intelligence. Strategic-level systems are used for high-level planning and sales forecasting. For examples, organizations may use an executive support systems (ESS) to transform enterprise data into quick executive reports to aid decision-making by senior-most managers and the C-suite.
An evaluation of organizational systems
Organizations depend on information to guide their decisions. Departments have access to vast amount of customer, market research and product data to spot trends, gather valuable insights and plan tactical or strategic actions. An evaluation of the key systems that drive decision-making should be a part of an organizational effective initiative. Depending on the type of system, different aspects of performance can be evaluated.
Evaluating a management information system
The following aspects of management information system can be reviewed:
– Technical quality, such as storage, CPU, data transmission
– Decision quality, the reliability and accuracy of decisions
– Timeliness of information, indicating the speed at which data is collected and processed
The performance of the MIS can be evaluated based on its effectiveness, efficiency and the completeness of information produced. Effectiveness is a measure of the quality of the output and the process of producing it. Efficiency relates to the resources used to produce the output. The MIS should generate the comprehensive information expected after synthesizing vast amounts of data. Incomplete outputs must be investigated for missing data and the implications of not including the data analyzed.
A cost-benefit analysis of the MIS confirms its overall value and cost-effectiveness. The analysis considers the costs of maintaining and operating the system versus the various benefits it generates for the organization.
Evaluating operational performance
Software purchases are made after careful consideration. It is unlikely for large organizations to purchase software and hardware without a cost-benefit analysis. However, some systems may require replacement or be missing security updates, which the IT department can duly address. The effectiveness and efficiency of systems factor into operational performance. A performance assessment can include a review of systems that drive operations, particularly if the frequency of glitches or minor incidents has increased.
Organizations may pursue the following approach to evaluate operational performance:
– Determine the most critical operational metrics and establish them as the baseline. Progress will be reckoned from this baseline.
– Use a template describing different levels of performance for different functions. The major issues can be described in greater detail.
– Engage the people that work within the process on a daily basis and have a good understanding of the status quo. They will describe the performance levels and rate each issue. Opportunities for improvement can be identified at this stage. Managers and senior executives can also interview key employees from various departments to understand strengths, weaknesses and opportunities, and their implications for top-level metrics.
– Leaders can then develop an implementation plan. A quicker evaluation will reveal a few but important details such as operational priorities and engagement issues. Next steps can be implemented to unravel and tackle other areas of concern as required.
Information security is an important area of concern for organizations, particularly those that have government clients or substantial proprietary data. Operational and organization effectiveness can come under the scanner in the event of a major data breach. Network security, mobile security, physical security, data governance, security education and disaster recovery are among the key topics to evaluate.
Performance Baseline
Often, organizations believe that they they’re aware of their current environment and defining the future is simply a matter of improving the baseline performance. In actuality, developing the right understanding around business functions, processes, systems and roles requires much more work. An analysis of the current environment to correctly establish a performance baseline is important for several reasons, as stated below:
– A greater awareness of the contribution of each organizational function/department/team
– Identifying of opportunities that the organization can tap to enhance effectiveness
– A better sense of value-added and non-value added processes, tasks and steps of tasks
– Capturing knowledge that may otherwise have hidden or lost
– To better align change strategies with the organization’s current environment
– To enhance awareness of challenges and threats facing the organization
What specific data on the organization’s current situation can be collected? A scan of the organization’s internal environment usually captures the following information:
– Organizational structure, describing how activities, roles, rules and responsibilities are directed to achieve goals, and the information flow within the organization
– Resources such as equipment, raw materials, cash, facilities and employees
– Capabilities, any product or service offered that creates value for the consumer
– Value chain, the activities undertaken to deliver products/services
– Primary activities that the organization performs directly to provide products/services
– Support activities that are required for the organization’s sustenance but not directly a part of product/service delivery
– Corporate culture, reflecting the shared beliefs and behaviors of organizational members, which influence how they interact with one another
Depending on the nature and scope of the change program they’re heading, senior executives and managers can, in addition to their own knowledge, request the required information from human resources, department heads and team leaders. Employees’ insights are also important to gauge perceptions and misconceptions about change initiatives, corporate culture, process efficiency, work effectiveness, customer satisfaction and the compensation and rewards system.
The views of other stakeholders – customers, suppliers, vendors, communities and investors – is also helpful in establishing a correct baseline. Who to include and what to gather will be depend on the area of change being pursued. If the organization is assessing all parameters that impact its competitive position and sustainability, then involvement from all stakeholders can be valuable. If the focus is on increasing the effectiveness of a process, system, product/service, or the organization’s existing social responsibility program, then fewer, specific inputs may be sufficient.
Both qualitative and quantitative data collection and analysis methods can be used. Quantitative data is ideal when opinions from a large sample size need to be collected. Quantitative research is fast, focused and acceptable.
Surveys are a common quantitative research tool. They can be distributed and completed conveniently online. However, separate surveys need to be conducted for different stakeholders. Surveys shouldn’t be broad in scope, rather, aim to get opinions about 3-5 things aspects related to the change initiative. For example, if one of the goals of the change program is to improve diversity in the workforce and on the board, survey questions should broach relevant topics like respect, equitable and fair treatment and education. A survey on operational efficiency for managers can contain questions on sustaining supplier/vendor relationships, production, product/service delivery, customer retention, employee productivity, communications, alliance relationships, innovation and environmental impact.
Well-designed surveys have high response rates. They elicit meaningful feedback that help establish a realistic, accurate baseline. A few of the best practices for creating surveys are:
– Tailoring the message to the stakeholder
– Asking questions in simple language
– Including the right type of survey questions
– Reviewing the questionnaire before distributing it
The type(s) of survey questions are determined based on the information needed. Examples include multiple-choice questions, Likert scale questions open-ended questions, dropdown questions and ranking questions.
Qualitative research uses opinions and field notes to understand an issue more broadly. Common qualitative research tools are interviews, focus groups and observations. Questions are open-ended and the research topic can be explored in-depth. As data is non-numerical, interpreting it is less straightforward compared to quantitative research. The research goal must be clear so that the right mechanism and questions can be determined. Answers are seldom the same or point to a single ‘truth’; an impartial analysis of various viewpoints and how they align is key to drawing meaningful insights from the collected data. Results from quantitative data can help back findings from qualitative research.
Employees and leaders may have different views on process efficiency and team or individual productivity. Leaders tend to based their views on results – if the numbers look good, the process must be working and teams are performing to the expected productivity. But needn’t necessary be the case on the ground/in the field. Employees may feel that the process can be better and help them become more productive. A 360-degree feedback offers a comprehensive look into processes, workflows and tasks. It unearths problems that need tackling and their impact on employees, such as low morale or disengagement from a task. In high-consequence industries, frequent 360-degree feedback and mood checks of teams can prevent undetected problems from escalating.
Resource Assessment
A resource is anything that the organization requires to perform an activity or meet a goal. Organizational resources can be broadly divided into:
Financial: Capital assets (working capital, equity capital, debt capital)
Human: Employees and management
Physical: Buildings, equipment, offices, warehouses, workshops, factories and so on
Intellectual: Employee skills, client relationships, unique organizational systems, proprietary information
Large organizations have a defined resource management process to ensure that resources are not over-allocated across various projects. Peter Drucker advised organizations to focus resources by casting aside less promising initiatives for every new project being undertaken.
Resource-based view vs Market-based view
According to the market-based view, an organization’s competitive advantage depends on the external environment in which it operates. The market-based view is based on the assumptions that resources are homogenous and perfectly mobile. The resource-based view attributes competitive advantage to the organization’s resources and capabilities. The former was championed by Michael Porter while the former was introduced by Jay Barney.
Under the market-based view, the primary success factors for an organization’s success are the barriers to entry in the market, the number of players in the market, and elasticity of demand or how the demand for a product changes in response to a change in its price. So, how well an organization positions itself within its industry structure will determine their competitive advantage.
Porter argued that, for organizations to succeed, they must follow ‘three generic strategies’:
1. Keep production costs as low as possible to be able to offer the lowest prices in the industry. Ryanair is an example of a cost leader. The low-cost airliner flies to small secondary airports, flies point-to-point routes to reduce customer transfer costs, and uses Irish labor contracts for a vast majority of its staff.
2. Differentiate product/service in terms of quality to justify a higher price vis-à-vis competitor products. A famous example is Apple, whose unique and attractive products deliver value for which customers are willing to pay a premium price, and also create an artificial barrier to new competition.
3. Serve a niche market of consumers or focus on a particular product segment. Rolls-Royce caters exclusively to high-net-worth individuals and generate a large proportion of their business from repeat customers. Lefty’s is a niche retailer offering products, supplies, kitchen items and gifts for left-handed people.
The underlying assumptions of the resource-based view are that resources are heterogenous and immobile. Heterogenous means that organizations have different structures, skills, resources and capabilities that differentiate them from each other. Organizations can develop different strategies that help them become more competitive in their market. Immobile means that the resources cannot be transferred from one organization to another. It is difficult for organizations to acquire the valuable resources of their competitors, or at least obtain them in a short span of time. These assumptions are more realistic than the market-based view of identical and mobile resources.
According to the resource-based view, sustained competitive advantage can be achieved by means of the organization’s tangible and intangible resources. The theory states that, in order to gain competitive advantage, the organization should acquire and control valuable, inimitable and non-substitutable resources, and be able to utilize them. The VRIO resource analysis discussed below is useful for organizations seeking to enhance effectiveness.
Resource analysis
An analysis of available resources answers important questions such as:
– Which resources are in scarce supply?
– Do our resources merely help us stay in business or can they create competitive advantage?
– Are we using our valuable resources thoughtfully?
A VRIO analysis is a method for organizations to evaluate their resources. The findings can be used to inform strategic change management aimed at improving organizational effectiveness in one or more areas.
Value: Is a resource a strength or liability? If it creates value for the customer and helps the company grow, then it can be kept. If not, it can be discarded. A resource offers benefits but is too expensive to maintain, the company can do without it.
Rarity: Do you own or can you access a resource that is scarce or hard to find? If so, it could create competitive advantage and long-term growth. If the resource is commonly available or not accessible to the company, then its strength must be evaluated.
Imitability: Can competitors mimic your company’s product/service? If so, your competitive advantage is temporary. If not, assess whether you’re utilizing the rare, inimitable resource to the fullest.
Organization: Does the company have the systems, structure and processes to capitalize on the resource? If not, it may be going to waste and possibly wasting funds and other resources.
The VRIO technique can be used along with a SWOT analysis for more insights on the value and utilization of organizational resources. The organization can also plan the required purchases or investments to shore up resources they’re lacking and which can create competitive advantage.
Within the resource-based view, the value of executive leaders and line managers can be understood as their ability to estimate the value of future resources more accurately than the competition.
Best practices of human resource management
1. Identify resources that are in short supply. Bridge the gap through active recruitment, investigate the possibility of upskilling/skill enhancement of existing staff, or plan around the availability of constrained resources.
2. Ensure that employees have the systems and tools to carry out work efficiently. Automate tasks where possible to reduce administration. Assess the value of introducing or standardizing methodologies and workflows that create efficiencies. Employ appropriate metrics to review impact.
3. Keep your most valuable resources happy. Offer career development paths and training. Use employee satisfaction surveys and 1-on-1 meetings to identify factors that may lead to turnover.
Resource management mistakes to avoid
Resource dependency: Over-reliance on a single resource can create project bottlenecks.
Resource over-allocation: Overworked employees can burnout and quit.
Not tracking progress or time: An assessment of the time being spent on maintaining a resource or how human resources are really spending their time.
Improvements
At this stage, leaders must reflect on the factors that support implementation and gain the cooperation of employees. Key factors to consider are communicating the change, removing barriers once the initiative commences, and managing impact in a timely manner.
Change communication
Employees affected by the change will have questions about how it will impact their work. Managers must communicate the case for the change, sharing data on defect rates, customer surveys, sales performance, cost versus benefits reports, or innovation scorecard. The areas of change identified must also be conveyed clearly so employees understand management’s approach to achieving the desired effectiveness. By knowing what needs to be shared to engender support prior to detailed planning and implementation, leaders can ensure that managers, department heads, supervisors and team leaders communicate a uniform vision for change. Employees will feel they will be treated in a way that is consistent with the vision.
Removing barriers
Obstacle and barriers to the organizational effectiveness initiative are two different things. It is common to encounter obstacles and some amount of resistance. They can be managed appropriately as and when they arise. Sometimes, managers may need to take a tough call to ensure the success of the initiative. Barriers to change are existing issues that impede progress. A rigid organizational structure may prove burdensome if cross-functional collaboration is required. Older systems may hamper the speed of work or unsolved conflicts between teams will need to be addressed before expecting cooperation. Managers must take cognizance of and manage implementation keeping barriers in mind.
Managing impact
If the initiative significantly changes ways of working and requires a fair amount of adjustment from employees’ side, it becomes imperative to monitor impact and help employees get comfortable with the change. Managers must accept that they might spend some of their time guiding employees and championing the benefits of the improvement initiative. As managers are involved in strategy planning and implementation from the beginning, they can anticipate barriers, potential obstacles and impact. Taking eventualities into account and getting into the right mindset for success can help managers think calmly through events and issues that arise after the initiative is in full swing.
Three key factors that affect organizational effectiveness initiatives
– Organizational culture (how people behave towards their job and each other)
– Teamwork (good teamwork promises that employees will support one another through the change)
– Personal competency (ensuring that the right people are responsible for planning, implementation, management, monitoring and reporting)
– Systems and processes (robust systems and processes help reduce defects and variability)
At the end of the introductory section of the corporate training program on Organizational Effectiveness, participants will have a better understanding of the improvements they can pursue in their respective industries and lay the foundation for initiatives that drive the desired outcomes.
Curriculum
Organizational Effectiveness – Workshop 1 – Introduction
- Overview
- Examples
- Organizational Goals
- Executive Leadership
- Managerial Effectiveness
- Change Management
- Work Management
- Job Design
- Systems Evaluation
- Performance Baseline
- Resource Assessment
- Improvements
Distance Learning
Introduction
Welcome to Appleton Greene and thank you for enrolling on the Organizational Effectiveness corporate training program. You will be learning through our unique facilitation via distance-learning method, which will enable you to practically implement everything that you learn academically. The methods and materials used in your program have been designed and developed to ensure that you derive the maximum benefits and enjoyment possible. We hope that you find the program challenging and fun to do. However, if you have never been a distance-learner before, you may be experiencing some trepidation at the task before you. So we will get you started by giving you some basic information and guidance on how you can make the best use of the modules, how you should manage the materials and what you should be doing as you work through them. This guide is designed to point you in the right direction and help you to become an effective distance-learner. Take a few hours or so to study this guide and your guide to tutorial support for students, while making notes, before you start to study in earnest.
Study environment
You will need to locate a quiet and private place to study, preferably a room where you can easily be isolated from external disturbances or distractions. Make sure the room is well-lit and incorporates a relaxed, pleasant feel. If you can spoil yourself within your study environment, you will have much more of a chance to ensure that you are always in the right frame of mind when you do devote time to study. For example, a nice fire, the ability to play soft soothing background music, soft but effective lighting, perhaps a nice view if possible and a good size desk with a comfortable chair. Make sure that your family know when you are studying and understand your study rules. Your study environment is very important. The ideal situation, if at all possible, is to have a separate study, which can be devoted to you. If this is not possible then you will need to pay a lot more attention to developing and managing your study schedule, because it will affect other people as well as yourself. The better your study environment, the more productive you will be.
Study tools & rules
Try and make sure that your study tools are sufficient and in good working order. You will need to have access to a computer, scanner and printer, with access to the internet. You will need a very comfortable chair, which supports your lower back, and you will need a good filing system. It can be very frustrating if you are spending valuable study time trying to fix study tools that are unreliable, or unsuitable for the task. Make sure that your study tools are up to date. You will also need to consider some study rules. Some of these rules will apply to you and will be intended to help you to be more disciplined about when and how you study. This distance-learning guide will help you and after you have read it you can put some thought into what your study rules should be. You will also need to negotiate some study rules for your family, friends or anyone who lives with you. They too will need to be disciplined in order to ensure that they can support you while you study. It is important to ensure that your family and friends are an integral part of your study team. Having their support and encouragement can prove to be a crucial contribution to your successful completion of the program. Involve them in as much as you can.
Successful distance-learning
Distance-learners are freed from the necessity of attending regular classes or workshops, since they can study in their own way, at their own pace and for their own purposes. But unlike traditional internal training courses, it is the student’s responsibility, with a distance-learning program, to ensure that they manage their own study contribution. This requires strong self-discipline and self-motivation skills and there must be a clear will to succeed. Those students who are used to managing themselves, are good at managing others and who enjoy working in isolation, are more likely to be good distance-learners. It is also important to be aware of the main reasons why you are studying and of the main objectives that you are hoping to achieve as a result. You will need to remind yourself of these objectives at times when you need to motivate yourself. Never lose sight of your long-term goals and your short-term objectives. There is nobody available here to pamper you, or to look after you, or to spoon-feed you with information, so you will need to find ways to encourage and appreciate yourself while you are studying. Make sure that you chart your study progress, so that you can be sure of your achievements and re-evaluate your goals and objectives regularly.
Self-assessment
Appleton Greene training programs are in all cases post-graduate programs. Consequently, you should already have obtained a business-related degree and be an experienced learner. You should therefore already be aware of your study strengths and weaknesses. For example, which time of the day are you at your most productive? Are you a lark or an owl? What study methods do you respond to the most? Are you a consistent learner? How do you discipline yourself? How do you ensure that you enjoy yourself while studying? It is important to understand yourself as a learner and so some self-assessment early on will be necessary if you are to apply yourself correctly. Perform a SWOT analysis on yourself as a student. List your internal strengths and weaknesses as a student and your external opportunities and threats. This will help you later on when you are creating a study plan. You can then incorporate features within your study plan that can ensure that you are playing to your strengths, while compensating for your weaknesses. You can also ensure that you make the most of your opportunities, while avoiding the potential threats to your success.
Accepting responsibility as a student
Training programs invariably require a significant investment, both in terms of what they cost and in the time that you need to contribute to study and the responsibility for successful completion of training programs rests entirely with the student. This is never more apparent than when a student is learning via distance-learning. Accepting responsibility as a student is an important step towards ensuring that you can successfully complete your training program. It is easy to instantly blame other people or factors when things go wrong. But the fact of the matter is that if a failure is your failure, then you have the power to do something about it, it is entirely in your own hands. If it is always someone else’s failure, then you are powerless to do anything about it. All students study in entirely different ways, this is because we are all individuals and what is right for one student, is not necessarily right for another. In order to succeed, you will have to accept personal responsibility for finding a way to plan, implement and manage a personal study plan that works for you. If you do not succeed, you only have yourself to blame.
Planning
By far the most critical contribution to stress, is the feeling of not being in control. In the absence of planning we tend to be reactive and can stumble from pillar to post in the hope that things will turn out fine in the end. Invariably they don’t! In order to be in control, we need to have firm ideas about how and when we want to do things. We also need to consider as many possible eventualities as we can, so that we are prepared for them when they happen. Prescriptive Change, is far easier to manage and control, than Emergent Change. The same is true with distance-learning. It is much easier and much more enjoyable, if you feel that you are in control and that things are going to plan. Even when things do go wrong, you are prepared for them and can act accordingly without any unnecessary stress. It is important therefore that you do take time to plan your studies properly.
Management
Once you have developed a clear study plan, it is of equal importance to ensure that you manage the implementation of it. Most of us usually enjoy planning, but it is usually during implementation when things go wrong. Targets are not met and we do not understand why. Sometimes we do not even know if targets are being met. It is not enough for us to conclude that the study plan just failed. If it is failing, you will need to understand what you can do about it. Similarly if your study plan is succeeding, it is still important to understand why, so that you can improve upon your success. You therefore need to have guidelines for self-assessment so that you can be consistent with performance improvement throughout the program. If you manage things correctly, then your performance should constantly improve throughout the program.
Study objectives & tasks
The first place to start is developing your program objectives. These should feature your reasons for undertaking the training program in order of priority. Keep them succinct and to the point in order to avoid confusion. Do not just write the first things that come into your head because they are likely to be too similar to each other. Make a list of possible departmental headings, such as: Customer Service; E-business; Finance; Globalization; Human Resources; Technology; Legal; Management; Marketing and Production. Then brainstorm for ideas by listing as many things that you want to achieve under each heading and later re-arrange these things in order of priority. Finally, select the top item from each department heading and choose these as your program objectives. Try and restrict yourself to five because it will enable you to focus clearly. It is likely that the other things that you listed will be achieved if each of the top objectives are achieved. If this does not prove to be the case, then simply work through the process again.
Study forecast
As a guide, the Appleton Greene Organizational Effectiveness corporate training program should take 12-18 months to complete, depending upon your availability and current commitments. The reason why there is such a variance in time estimates is because every student is an individual, with differing productivity levels and different commitments. These differentiations are then exaggerated by the fact that this is a distance-learning program, which incorporates the practical integration of academic theory as an as a part of the training program. Consequently all of the project studies are real, which means that important decisions and compromises need to be made. You will want to get things right and will need to be patient with your expectations in order to ensure that they are. We would always recommend that you are prudent with your own task and time forecasts, but you still need to develop them and have a clear indication of what are realistic expectations in your case. With reference to your time planning: consider the time that you can realistically dedicate towards study with the program every week; calculate how long it should take you to complete the program, using the guidelines featured here; then break the program down into logical modules and allocate a suitable proportion of time to each of them, these will be your milestones; you can create a time plan by using a spreadsheet on your computer, or a personal organizer such as MS Outlook, you could also use a financial forecasting software; break your time forecasts down into manageable chunks of time, the more specific you can be, the more productive and accurate your time management will be; finally, use formulas where possible to do your time calculations for you, because this will help later on when your forecasts need to change in line with actual performance. With reference to your task planning: refer to your list of tasks that need to be undertaken in order to achieve your program objectives; with reference to your time plan, calculate when each task should be implemented; remember that you are not estimating when your objectives will be achieved, but when you will need to focus upon implementing the corresponding tasks; you also need to ensure that each task is implemented in conjunction with the associated training modules which are relevant; then break each single task down into a list of specific to do’s, say approximately ten to do’s for each task and enter these into your study plan; once again you could use MS Outlook to incorporate both your time and task planning and this could constitute your study plan; you could also use a project management software like MS Project. You should now have a clear and realistic forecast detailing when you can expect to be able to do something about undertaking the tasks to achieve your program objectives.
Performance management
It is one thing to develop your study forecast, it is quite another to monitor your progress. Ultimately it is less important whether you achieve your original study forecast and more important that you update it so that it constantly remains realistic in line with your performance. As you begin to work through the program, you will begin to have more of an idea about your own personal performance and productivity levels as a distance-learner. Once you have completed your first study module, you should re-evaluate your study forecast for both time and tasks, so that they reflect your actual performance level achieved. In order to achieve this you must first time yourself while training by using an alarm clock. Set the alarm for hourly intervals and make a note of how far you have come within that time. You can then make a note of your actual performance on your study plan and then compare your performance against your forecast. Then consider the reasons that have contributed towards your performance level, whether they are positive or negative and make a considered adjustment to your future forecasts as a result. Given time, you should start achieving your forecasts regularly.
With reference to time management: time yourself while you are studying and make a note of the actual time taken in your study plan; consider your successes with time-efficiency and the reasons for the success in each case and take this into consideration when reviewing future time planning; consider your failures with time-efficiency and the reasons for the failures in each case and take this into consideration when reviewing future time planning; re-evaluate your study forecast in relation to time planning for the remainder of your training program to ensure that you continue to be realistic about your time expectations. You need to be consistent with your time management, otherwise you will never complete your studies. This will either be because you are not contributing enough time to your studies, or you will become less efficient with the time that you do allocate to your studies. Remember, if you are not in control of your studies, they can just become yet another cause of stress for you.
With reference to your task management: time yourself while you are studying and make a note of the actual tasks that you have undertaken in your study plan; consider your successes with task-efficiency and the reasons for the success in each case; take this into consideration when reviewing future task planning; consider your failures with task-efficiency and the reasons for the failures in each case and take this into consideration when reviewing future task planning; re-evaluate your study forecast in relation to task planning for the remainder of your training program to ensure that you continue to be realistic about your task expectations. You need to be consistent with your task management, otherwise you will never know whether you are achieving your program objectives or not.
Keeping in touch
You will have access to qualified and experienced professors and tutors who are responsible for providing tutorial support for your particular training program. So don’t be shy about letting them know how you are getting on. We keep electronic records of all tutorial support emails so that professors and tutors can review previous correspondence before considering an individual response. It also means that there is a record of all communications between you and your professors and tutors and this helps to avoid any unnecessary duplication, misunderstanding, or misinterpretation. If you have a problem relating to the program, share it with them via email. It is likely that they have come across the same problem before and are usually able to make helpful suggestions and steer you in the right direction. To learn more about when and how to use tutorial support, please refer to the Tutorial Support section of this student information guide. This will help you to ensure that you are making the most of tutorial support that is available to you and will ultimately contribute towards your success and enjoyment with your training program.
Work colleagues and family
You should certainly discuss your program study progress with your colleagues, friends and your family. Appleton Greene training programs are very practical. They require you to seek information from other people, to plan, develop and implement processes with other people and to achieve feedback from other people in relation to viability and productivity. You will therefore have plenty of opportunities to test your ideas and enlist the views of others. People tend to be sympathetic towards distance-learners, so don’t bottle it all up in yourself. Get out there and share it! It is also likely that your family and colleagues are going to benefit from your labors with the program, so they are likely to be much more interested in being involved than you might think. Be bold about delegating work to those who might benefit themselves. This is a great way to achieve understanding and commitment from people who you may later rely upon for process implementation. Share your experiences with your friends and family.
Making it relevant
The key to successful learning is to make it relevant to your own individual circumstances. At all times you should be trying to make bridges between the content of the program and your own situation. Whether you achieve this through quiet reflection or through interactive discussion with your colleagues, client partners or your family, remember that it is the most important and rewarding aspect of translating your studies into real self-improvement. You should be clear about how you want the program to benefit you. This involves setting clear study objectives in relation to the content of the course in terms of understanding, concepts, completing research or reviewing activities and relating the content of the modules to your own situation. Your objectives may understandably change as you work through the program, in which case you should enter the revised objectives on your study plan so that you have a permanent reminder of what you are trying to achieve, when and why.
Distance-learning check-list
Prepare your study environment, your study tools and rules.
Undertake detailed self-assessment in terms of your ability as a learner.
Create a format for your study plan.
Consider your study objectives and tasks.
Create a study forecast.
Assess your study performance.
Re-evaluate your study forecast.
Be consistent when managing your study plan.
Use your Appleton Greene Certified Learning Provider (CLP) for tutorial support.
Make sure you keep in touch with those around you.
Tutorial Support
Programs
Appleton Greene uses standard and bespoke corporate training programs as vessels to transfer business process improvement knowledge into the heart of our clients’ organizations. Each individual program focuses upon the implementation of a specific business process, which enables clients to easily quantify their return on investment. There are hundreds of established Appleton Greene corporate training products now available to clients within customer services, e-business, finance, globalization, human resources, information technology, legal, management, marketing and production. It does not matter whether a client’s employees are located within one office, or an unlimited number of international offices, we can still bring them together to learn and implement specific business processes collectively. Our approach to global localization enables us to provide clients with a truly international service with that all important personal touch. Appleton Greene corporate training programs can be provided virtually or locally and they are all unique in that they individually focus upon a specific business function. They are implemented over a sustainable period of time and professional support is consistently provided by qualified learning providers and specialist consultants.
Support available
You will have a designated Certified Learning Provider (CLP) and an Accredited Consultant and we encourage you to communicate with them as much as possible. In all cases tutorial support is provided online because we can then keep a record of all communications to ensure that tutorial support remains consistent. You would also be forwarding your work to the tutorial support unit for evaluation and assessment. You will receive individual feedback on all of the work that you undertake on a one-to-one basis, together with specific recommendations for anything that may need to be changed in order to achieve a pass with merit or a pass with distinction and you then have as many opportunities as you may need to re-submit project studies until they meet with the required standard. Consequently the only reason that you should really fail (CLP) is if you do not do the work. It makes no difference to us whether a student takes 12 months or 18 months to complete the program, what matters is that in all cases the same quality standard will have been achieved.
Support Process
Please forward all of your future emails to the designated (CLP) Tutorial Support Unit email address that has been provided and please do not duplicate or copy your emails to other AGC email accounts as this will just cause unnecessary administration. Please note that emails are always answered as quickly as possible but you will need to allow a period of up to 20 business days for responses to general tutorial support emails during busy periods, because emails are answered strictly within the order in which they are received. You will also need to allow a period of up to 30 business days for the evaluation and assessment of project studies. This does not include weekends or public holidays. Please therefore kindly allow for this within your time planning. All communications are managed online via email because it enables tutorial service support managers to review other communications which have been received before responding and it ensures that there is a copy of all communications retained on file for future reference. All communications will be stored within your personal (CLP) study file here at Appleton Greene throughout your designated study period. If you need any assistance or clarification at any time, please do not hesitate to contact us by forwarding an email and remember that we are here to help. If you have any questions, please list and number your questions succinctly and you can then be sure of receiving specific answers to each and every query.
Time Management
It takes approximately 1 Year to complete the Organizational Effectiveness corporate training program, incorporating 12 x 6-hour monthly workshops. Each student will also need to contribute approximately 4 hours per week over 1 Year of their personal time. Students can study from home or work at their own pace and are responsible for managing their own study plan. There are no formal examinations and students are evaluated and assessed based upon their project study submissions, together with the quality of their internal analysis and supporting documents. They can contribute more time towards study when they have the time to do so and can contribute less time when they are busy. All students tend to be in full time employment while studying and the Organizational Effectiveness program is purposely designed to accommodate this, so there is plenty of flexibility in terms of time management. It makes no difference to us at Appleton Greene, whether individuals take 12-18 months to complete this program. What matters is that in all cases the same standard of quality will have been achieved with the standard and bespoke programs that have been developed.
Distance Learning Guide
The distance learning guide should be your first port of call when starting your training program. It will help you when you are planning how and when to study, how to create the right environment and how to establish the right frame of mind. If you can lay the foundations properly during the planning stage, then it will contribute to your enjoyment and productivity while training later. The guide helps to change your lifestyle in order to accommodate time for study and to cultivate good study habits. It helps you to chart your progress so that you can measure your performance and achieve your goals. It explains the tools that you will need for study and how to make them work. It also explains how to translate academic theory into practical reality. Spend some time now working through your distance learning guide and make sure that you have firm foundations in place so that you can make the most of your distance learning program. There is no requirement for you to attend training workshops or classes at Appleton Greene offices. The entire program is undertaken online, program course manuals and project studies are administered via the Appleton Greene web site and via email, so you are able to study at your own pace and in the comfort of your own home or office as long as you have a computer and access to the internet.
How To Study
The how to study guide provides students with a clear understanding of the Appleton Greene facilitation via distance learning training methods and enables students to obtain a clear overview of the training program content. It enables students to understand the step-by-step training methods used by Appleton Greene and how course manuals are integrated with project studies. It explains the research and development that is required and the need to provide evidence and references to support your statements. It also enables students to understand precisely what will be required of them in order to achieve a pass with merit and a pass with distinction for individual project studies and provides useful guidance on how to be innovative and creative when developing your Unique Program Proposition (UPP).
Tutorial Support
Tutorial support for the Appleton Greene Organizational Effectiveness corporate training program is provided online either through the Appleton Greene Client Support Portal (CSP), or via email. All tutorial support requests are facilitated by a designated Program Administration Manager (PAM). They are responsible for deciding which professor or tutor is the most appropriate option relating to the support required and then the tutorial support request is forwarded onto them. Once the professor or tutor has completed the tutorial support request and answered any questions that have been asked, this communication is then returned to the student via email by the designated Program Administration Manager (PAM). This enables all tutorial support, between students, professors and tutors, to be facilitated by the designated Program Administration Manager (PAM) efficiently and securely through the email account. You will therefore need to allow a period of up to 20 business days for responses to general support queries and up to 30 business days for the evaluation and assessment of project studies, because all tutorial support requests are answered strictly within the order in which they are received. This does not include weekends or public holidays. Consequently you need to put some thought into the management of your tutorial support procedure in order to ensure that your study plan is feasible and to obtain the maximum possible benefit from tutorial support during your period of study. Please retain copies of your tutorial support emails for future reference. Please ensure that ALL of your tutorial support emails are set out using the format as suggested within your guide to tutorial support. Your tutorial support emails need to be referenced clearly to the specific part of the course manual or project study which you are working on at any given time. You also need to list and number any questions that you would like to ask, up to a maximum of five questions within each tutorial support email. Remember the more specific you can be with your questions the more specific your answers will be too and this will help you to avoid any unnecessary misunderstanding, misinterpretation, or duplication. The guide to tutorial support is intended to help you to understand how and when to use support in order to ensure that you get the most out of your training program. Appleton Greene training programs are designed to enable you to do things for yourself. They provide you with a structure or a framework and we use tutorial support to facilitate students while they practically implement what they learn. In other words, we are enabling students to do things for themselves. The benefits of distance learning via facilitation are considerable and are much more sustainable in the long-term than traditional short-term knowledge sharing programs. Consequently you should learn how and when to use tutorial support so that you can maximize the benefits from your learning experience with Appleton Greene. This guide describes the purpose of each training function and how to use them and how to use tutorial support in relation to each aspect of the training program. It also provides useful tips and guidance with regard to best practice.
Tutorial Support Tips
Students are often unsure about how and when to use tutorial support with Appleton Greene. This Tip List will help you to understand more about how to achieve the most from using tutorial support. Refer to it regularly to ensure that you are continuing to use the service properly. Tutorial support is critical to the success of your training experience, but it is important to understand when and how to use it in order to maximize the benefit that you receive. It is no coincidence that those students who succeed are those that learn how to be positive, proactive and productive when using tutorial support.
Be positive and friendly with your tutorial support emails
Remember that if you forward an email to the tutorial support unit, you are dealing with real people. “Do unto others as you would expect others to do unto you”. If you are positive, complimentary and generally friendly in your emails, you will generate a similar response in return. This will be more enjoyable, productive and rewarding for you in the long-term.
Think about the impression that you want to create
Every time that you communicate, you create an impression, which can be either positive or negative, so put some thought into the impression that you want to create. Remember that copies of all tutorial support emails are stored electronically and tutors will always refer to prior correspondence before responding to any current emails. Over a period of time, a general opinion will be arrived at in relation to your character, attitude and ability. Try to manage your own frustrations, mood swings and temperament professionally, without involving the tutorial support team. Demonstrating frustration or a lack of patience is a weakness and will be interpreted as such. The good thing about communicating in writing, is that you will have the time to consider your content carefully, you can review it and proof-read it before sending your email to Appleton Greene and this should help you to communicate more professionally, consistently and to avoid any unnecessary knee-jerk reactions to individual situations as and when they may arise. Please also remember that the CLP Tutorial Support Unit will not just be responsible for evaluating and assessing the quality of your work, they will also be responsible for providing recommendations to other learning providers and to client contacts within the Appleton Greene global client network, so do be in control of your own emotions and try to create a good impression.
Remember that quality is preferred to quantity
Please remember that when you send an email to the tutorial support team, you are not using Twitter or Text Messaging. Try not to forward an email every time that you have a thought. This will not prove to be productive either for you or for the tutorial support team. Take time to prepare your communications properly, as if you were writing a professional letter to a business colleague and make a list of queries that you are likely to have and then incorporate them within one email, say once every month, so that the tutorial support team can understand more about context, application and your methodology for study. Get yourself into a consistent routine with your tutorial support requests and use the tutorial support template provided with ALL of your emails. The (CLP) Tutorial Support Unit will not spoon-feed you with information. They need to be able to evaluate and assess your tutorial support requests carefully and professionally.
Be specific about your questions in order to receive specific answers
Try not to write essays by thinking as you are writing tutorial support emails. The tutorial support unit can be unclear about what in fact you are asking, or what you are looking to achieve. Be specific about asking questions that you want answers to. Number your questions. You will then receive specific answers to each and every question. This is the main purpose of tutorial support via email.
Keep a record of your tutorial support emails
It is important that you keep a record of all tutorial support emails that are forwarded to you. You can then refer to them when necessary and it avoids any unnecessary duplication, misunderstanding, or misinterpretation.
Individual training workshops or telephone support
Please be advised that Appleton Greene does not provide separate or individual tutorial support meetings, workshops, or provide telephone support for individual students. Appleton Greene is an equal opportunities learning and service provider and we are therefore understandably bound to treat all students equally. We cannot therefore broker special financial or study arrangements with individual students regardless of the circumstances. All tutorial support is provided online and this enables Appleton Greene to keep a record of all communications between students, professors and tutors on file for future reference, in accordance with our quality management procedure and your terms and conditions of enrolment. All tutorial support is provided online via email because it enables us to have time to consider support content carefully, it ensures that you receive a considered and detailed response to your queries. You can number questions that you would like to ask, which relate to things that you do not understand or where clarification may be required. You can then be sure of receiving specific answers to each individual query. You will also then have a record of these communications and of all tutorial support, which has been provided to you. This makes tutorial support administration more productive by avoiding any unnecessary duplication, misunderstanding, or misinterpretation.
Tutorial Support Email Format
You should use this tutorial support format if you need to request clarification or assistance while studying with your training program. Please note that ALL of your tutorial support request emails should use the same format. You should therefore set up a standard email template, which you can then use as and when you need to. Emails that are forwarded to Appleton Greene, which do not use the following format, may be rejected and returned to you by the (CLP) Program Administration Manager. A detailed response will then be forwarded to you via email usually within 20 business days of receipt for general support queries and 30 business days for the evaluation and assessment of project studies. This does not include weekends or public holidays. Your tutorial support request, together with the corresponding TSU reply, will then be saved and stored within your electronic TSU file at Appleton Greene for future reference.
Subject line of your email
Please insert: Appleton Greene (CLP) Tutorial Support Request: (Your Full Name) (Date), within the subject line of your email.
Main body of your email
Please insert:
1. Appleton Greene Certified Learning Provider (CLP) Tutorial Support Request
2. Your Full Name
3. Date of TS request
4. Preferred email address
5. Backup email address
6. Course manual page name or number (reference)
7. Project study page name or number (reference)
Subject of enquiry
Please insert a maximum of 50 words (please be succinct)
Briefly outline the subject matter of your inquiry, or what your questions relate to.
Question 1
Maximum of 50 words (please be succinct)
Maximum of 50 words (please be succinct)
Question 3
Maximum of 50 words (please be succinct)
Question 4
Maximum of 50 words (please be succinct)
Question 5
Maximum of 50 words (please be succinct)
Please note that a maximum of 5 questions is permitted with each individual tutorial support request email.
Procedure
* List the questions that you want to ask first, then re-arrange them in order of priority. Make sure that you reference them, where necessary, to the course manuals or project studies.
* Make sure that you are specific about your questions and number them. Try to plan the content within your emails to make sure that it is relevant.
* Make sure that your tutorial support emails are set out correctly, using the Tutorial Support Email Format provided here.
* Save a copy of your email and incorporate the date sent after the subject title. Keep your tutorial support emails within the same file and in date order for easy reference.
* Allow up to 20 business days for a response to general tutorial support emails and up to 30 business days for the evaluation and assessment of project studies, because detailed individual responses will be made in all cases and tutorial support emails are answered strictly within the order in which they are received.
* Emails can and do get lost. So if you have not received a reply within the appropriate time, forward another copy or a reminder to the tutorial support unit to be sure that it has been received but do not forward reminders unless the appropriate time has elapsed.
* When you receive a reply, save it immediately featuring the date of receipt after the subject heading for easy reference. In most cases the tutorial support unit replies to your questions individually, so you will have a record of the questions that you asked as well as the answers offered. With project studies however, separate emails are usually forwarded by the tutorial support unit, so do keep a record of your own original emails as well.
* Remember to be positive and friendly in your emails. You are dealing with real people who will respond to the same things that you respond to.
* Try not to repeat questions that have already been asked in previous emails. If this happens the tutorial support unit will probably just refer you to the appropriate answers that have already been provided within previous emails.
* If you lose your tutorial support email records you can write to Appleton Greene to receive a copy of your tutorial support file, but a separate administration charge may be levied for this service.
How To Study
Your Certified Learning Provider (CLP) and Accredited Consultant can help you to plan a task list for getting started so that you can be clear about your direction and your priorities in relation to your training program. It is also a good way to introduce yourself to the tutorial support team.
Planning your study environment
Your study conditions are of great importance and will have a direct effect on how much you enjoy your training program. Consider how much space you will have, whether it is comfortable and private and whether you are likely to be disturbed. The study tools and facilities at your disposal are also important to the success of your distance-learning experience. Your tutorial support unit can help with useful tips and guidance, regardless of your starting position. It is important to get this right before you start working on your training program.
Planning your program objectives
It is important that you have a clear list of study objectives, in order of priority, before you start working on your training program. Your tutorial support unit can offer assistance here to ensure that your study objectives have been afforded due consideration and priority.
Planning how and when to study
Distance-learners are freed from the necessity of attending regular classes, since they can study in their own way, at their own pace and for their own purposes. This approach is designed to let you study efficiently away from the traditional classroom environment. It is important however, that you plan how and when to study, so that you are making the most of your natural attributes, strengths and opportunities. Your tutorial support unit can offer assistance and useful tips to ensure that you are playing to your strengths.
Planning your study tasks
You should have a clear understanding of the study tasks that you should be undertaking and the priority associated with each task. These tasks should also be integrated with your program objectives. The distance learning guide and the guide to tutorial support for students should help you here, but if you need any clarification or assistance, please contact your tutorial support unit.
Planning your time
You will need to allocate specific times during your calendar when you intend to study if you are to have a realistic chance of completing your program on time. You are responsible for planning and managing your own study time, so it is important that you are successful with this. Your tutorial support unit can help you with this if your time plan is not working.
Keeping in touch
Consistency is the key here. If you communicate too frequently in short bursts, or too infrequently with no pattern, then your management ability with your studies will be questioned, both by you and by your tutorial support unit. It is obvious when a student is in control and when one is not and this will depend how able you are at sticking with your study plan. Inconsistency invariably leads to in-completion.
Charting your progress
Your tutorial support team can help you to chart your own study progress. Refer to your distance learning guide for further details.
Making it work
To succeed, all that you will need to do is apply yourself to undertaking your training program and interpreting it correctly. Success or failure lies in your hands and your hands alone, so be sure that you have a strategy for making it work. Your Certified Learning Provider (CLP) and Accredited Consultant can guide you through the process of program planning, development and implementation.
Reading methods
Interpretation is often unique to the individual but it can be improved and even quantified by implementing consistent interpretation methods. Interpretation can be affected by outside interference such as family members, TV, or the Internet, or simply by other thoughts which are demanding priority in our minds. One thing that can improve our productivity is using recognized reading methods. This helps us to focus and to be more structured when reading information for reasons of importance, rather than relaxation.
Speed reading
When reading through course manuals for the first time, subconsciously set your reading speed to be just fast enough that you cannot dwell on individual words or tables. With practice, you should be able to read an A4 sheet of paper in one minute. You will not achieve much in the way of a detailed understanding, but your brain will retain a useful overview. This overview will be important later on and will enable you to keep individual issues in perspective with a more generic picture because speed reading appeals to the memory part of the brain. Do not worry about what you do or do not remember at this stage.
Content reading
Once you have speed read everything, you can then start work in earnest. You now need to read a particular section of your course manual thoroughly, by making detailed notes while you read. This process is called Content Reading and it will help to consolidate your understanding and interpretation of the information that has been provided.
Making structured notes on the course manuals
When you are content reading, you should be making detailed notes, which are both structured and informative. Make these notes in a MS Word document on your computer, because you can then amend and update these as and when you deem it to be necessary. List your notes under three headings: 1. Interpretation – 2. Questions – 3. Tasks. The purpose of the 1st section is to clarify your interpretation by writing it down. The purpose of the 2nd section is to list any questions that the issue raises for you. The purpose of the 3rd section is to list any tasks that you should undertake as a result. Anyone who has graduated with a business-related degree should already be familiar with this process.
Organizing structured notes separately
You should then transfer your notes to a separate study notebook, preferably one that enables easy referencing, such as a MS Word Document, a MS Excel Spreadsheet, a MS Access Database, or a personal organizer on your cell phone. Transferring your notes allows you to have the opportunity of cross-checking and verifying them, which assists considerably with understanding and interpretation. You will also find that the better you are at doing this, the more chance you will have of ensuring that you achieve your study objectives.
Question your understanding
Do challenge your understanding. Explain things to yourself in your own words by writing things down.
Clarifying your understanding
If you are at all unsure, forward an email to your tutorial support unit and they will help to clarify your understanding.
Question your interpretation
Do challenge your interpretation. Qualify your interpretation by writing it down.
Clarifying your interpretation
If you are at all unsure, forward an email to your tutorial support unit and they will help to clarify your interpretation.
Qualification Requirements
The student will need to successfully complete the project study and all of the exercises relating to the Organizational Effectiveness corporate training program, achieving a pass with merit or distinction in each case, in order to qualify as an Accredited Organizational Effectiveness Specialist (AOES). All monthly workshops need to be tried and tested within your company. These project studies can be completed in your own time and at your own pace and in the comfort of your own home or office. There are no formal examinations, assessment is based upon the successful completion of the project studies. They are called project studies because, unlike case studies, these projects are not theoretical, they incorporate real program processes that need to be properly researched and developed. The project studies assist us in measuring your understanding and interpretation of the training program and enable us to assess qualification merits. All of the project studies are based entirely upon the content within the training program and they enable you to integrate what you have learnt into your corporate training practice.
Organizational Effectiveness – Grading Contribution
Project Study – Grading Contribution
Customer Service – 10%
E-business – 05%
Finance – 10%
Globalization – 10%
Human Resources – 10%
Information Technology – 10%
Legal – 05%
Management – 10%
Marketing – 10%
Production – 10%
Education – 05%
Logistics – 05%
TOTAL GRADING – 100%
Qualification grades
A mark of 90% = Pass with Distinction.
A mark of 75% = Pass with Merit.
A mark of less than 75% = Fail.
If you fail to achieve a mark of 75% with a project study, you will receive detailed feedback from the Certified Learning Provider (CLP) and/or Accredited Consultant, together with a list of tasks which you will need to complete, in order to ensure that your project study meets with the minimum quality standard that is required by Appleton Greene. You can then re-submit your project study for further evaluation and assessment. Indeed you can re-submit as many drafts of your project studies as you need to, until such a time as they eventually meet with the required standard by Appleton Greene, so you need not worry about this, it is all part of the learning process.
When marking project studies, Appleton Greene is looking for sufficient evidence of the following:
Pass with merit
A satisfactory level of program understanding
A satisfactory level of program interpretation
A satisfactory level of project study content presentation
A satisfactory level of Unique Program Proposition (UPP) quality
A satisfactory level of the practical integration of academic theory
Pass with distinction
An exceptional level of program understanding
An exceptional level of program interpretation
An exceptional level of project study content presentation
An exceptional level of Unique Program Proposition (UPP) quality
An exceptional level of the practical integration of academic theory
Preliminary Analysis
The participants of this corporate training program are advised to invest some time in a brief research on organizational effectiveness. The purpose of this research is to gain an initial understanding of the topic as well as the purpose of this program. Conducting an initial analysis of the topic will help them understand how organizational effectiveness can impact their organization. Organizational effectiveness defines how well an organization is able to achieve its desired outcomes. Organizations are required to have dedicated organizational effectiveness teams that oversee various key business areas impacting organizational effectiveness. These key business areas may include organizational culture, organizational structure, leadership style, employee performance, talent management, and many others. Organizational effectiveness is very closely related to change management and digital transformation initiatives today. Organizations that aim to be effective are required to adopt smart processes and up-to-date technology and tools. Apart from tools and technology, human capital also plays a very crucial role in organizational effectiveness.
Organizations striving to be effective have to understand the role of employees, leaders, HR managers, and everyone else in the organization in bringing about development.
Prior work on organizational effectiveness
One of the earliest definitions of organizational effectiveness was probably given by Georgopoulos and Tannenbaum (1957). They stated that “The question arises whether it is possible to develop a definition of effectiveness and to derive criteria that are applicable across organizations and can be meaningfully placed within a general conceptual framework”. With this question in mind, they went on to define organizational effectiveness as “the extent to which an organization as a social system, given certain resources and means, fulfills its objectives without incapacitating its means and resources and without placing undue strain upon its members.” Apart from defining organizational effectiveness so early on, the authors also studied the effect of productivity, flexibility, and intraorganizational issues through surveys. The results of their survey revealed a close relationship between all three criteria and organizational effectiveness.
Gaertner and Ramnarayan (1983) defined organizational effectiveness as the ability of an organization to account successfully for its outputs and operations to its various internal and external constituencies. The authors suggested a multidimensional framework for organizational effectiveness that gave four approaches to achieving effectiveness. These included – general outcomes, organization specific outcomes, general process or structure, and organization specific process or structure. The criteria for organizational effectiveness that these four approaches focused on are profit, productivity, returns on investment, decision making, organizational structure, and organizational culture which includes flexibility, open communication, and adaptability.
Cameron and Whetten (1983) made an observation that the term effectiveness is often used interchangeably with certain other terms such as performance, efficiency, productivity, success, capability, improvement, or accountability. They also realized that these other terms are also not very well defined and do not contribute much to understanding effectiveness. They suggested that there is a need to define organizational effectiveness as an exclusive term and some measure of effectiveness is required for organizations to evaluate themselves. The authors suggested that organizational effectiveness was more of a construct than a concept. The difference between concept and construct, according to the authors, is that a concept can be defined and specified exactly by observing some objective events but a construct can’t be defined in the same way. They also observed that productivity as an indicator of organizational effectiveness has been used by many other authors, though productivity is a concept and organizational effectiveness is not.
Judge (1994) had a different definition for organizational effectiveness on the other hand. According to the author, organizational effectiveness can be described as including the financial performance measures like sales growth, returns on investment, or profitability. It also includes operational performance measures like market share, productivity, or product quality. Judge’s study analyzed the relationships between certain correlated concepts with organizational effectiveness. These correlates include environmental, organizational, and other broader variables against financial and social performance in some non-profit hospitals of North and South Carolina. The study found that environmental scarcity was negatively related to financial and social performance, whereas organizational size was found to be positively related to financial performance but not so much with organizational performance. Other variables, such as outsider representation was found to be related positively with social performance but not with financial performance.
Koys (2001) took reference to the studies by Delaney and Huselid (1996) regarding the relationship between human resource activities and an organization’s performance and tried to find similar relations with organizational effectiveness. Koys assumed firm performance to be interchangeable with organizational effectiveness. The author also used other terms interchangeably with organizational effectiveness including organizational outcomes and business outcomes. Koys studied how employee behavior and attitudes affected business outcomes and the reverse relationship as well. The study found that the human resource outcomes considered influenced the business outcomes but the business outcomes had no effect on human resource outcomes.
Zairi and Jarrar (2001) carried out a study on the National Health Services, UK to determine if organizational effectiveness was an outcome of managerial process, people, or a balance of both. The authors conducted a survey of 464 NHS trusts to identify the best practices used. The results obtained from the survey were used together with the European Quality Award criteria and the McKinsey 7S Model to create certain criteria to be used in a proposed organizational effectiveness model. These criteria that they shortlisted included organizational structure, management style, systems, business strategy, allocation of resources, organizational values, skills, and staffing.
McCann (2004) analyzed the role of general systems theory in the history of organizational effectiveness. The author found that there was a significant gap between the current practice at the time and the emerging needs in the field of organizational effectiveness, particularly with respect to change management. McCann suggested focusing on adaptive capacity, which includes organizational agility and resilience, to deal with the ever-changing environment of an organization.
Organizational effectiveness is largely influenced by the people in the organization
It has been seen that organizational effectiveness, apart from depending on factors like organizational performance and productivity, depends a great deal on the people working in the organization as well. Employee engagement, employee trust, the human resource management system, all have a significant impact on organizational effectiveness.
Kataria, Rastogi, and Garg (2013) reviewed the organizational paradigms of employee engagement in the context of organizational outcomes and tried to establish a relationship between engagement and organizational effectiveness. The authors found that employee engagement has a positive impact on perceived organizational effectiveness. The results of their study are expected to encourage organizations to consider the immense potential that employee engagement shows towards organizational effectiveness. The study also emphasizes the role of HR managers in improving the psychological fabric of the organization and creating conditions for better employee engagement.
Sparrow and Cooper (2014) reviewed the development in the field of organizational effectiveness from historic literature. Their findings show how current concerns over changes in strategic and business models, talent management, employee engagement, agile and resilient organization, organization design, balanced scorecard, advocacy, and reputation can be informed, and better contextualized, by learning from frameworks that have previously arisen.
Schuler and Jackson (2014) studied the relationship between human resource management and organizational effectiveness and how it has evolved in the past three decades. They also tried to provide examples of how organizations are using human resource management to improve their organizational effectiveness. The findings of the study show that the relationship between human resource management and organizational effectiveness in the current world is very different from what it was in the past. The primary reason behind this, according to the authors, is that the current work on organizational effectiveness uses multiple stakeholder models, unlike in the past. The authors suggest that HR professionals today have numerous ways to demonstrate how human resource management can influence organizational effectiveness, apart from just relating effectiveness with profitability.
Ali, Bahseer, and Mehreen (2019) conducted a study on how talent management and career development in an organization can directly or indirectly affect organizational effectiveness. For their study, they collected data from permanent employees of commercial banks through a survey. The results of the study showed that talent management has a significant effect on employee engagement and, thus, on organizational effectiveness. Employee engagement is also seen to mediate the relationship that individual development practices, like talent management and career development, have with organizational effectiveness. The authors urge organizations to offer development opportunities to their employees in order to create a competitive advantage and improve organizational performance.
Several barriers to achieving one common definition of organizational effectiveness
the diverse nature of organizations, that have multiple and varied goals, diverse constituencies, and turbulent but interdependent internal and external environments, has always posed a problem when it comes to creating a universal concept for organizational effectiveness.
Martz (2008) discussed the obstacles in conceptualizing organizational effectiveness. According to Martz, there are a number of unresolved issues and non-cumulative theories have come in the way of conceptualizing organizational effectiveness. The author states three obstacles that constrain the development of a universal definition of organizational effectiveness. These three obstacles are – equating efficiency with effectiveness, a focus on organizational differences, and the complexity of organizations. Martz says that efforts to define organizational effectiveness as efficiency are quite common in past research but are incorrect. From an economic point of view. An efficient organization is supposed to be healthy and effective. But according to the author, efficiency does not ensure effectiveness. Although efficiency is crucial for the effective functioning of an organization, improvements in efficiency internally do not always translate into better organizational effectiveness. For instance, an organization may be very efficient in the production of a certain commodity. But there is no demand for the said commodity in the market, because of which the organization is unsuccessful in making any sales. So, despite being efficient in their work internally, the organization failed to take one of the most important aspects into consideration, that is market demand. That makes the organization ineffective despite being efficient.
The second obstacle, according to Martz, is organizational differences. Depending on the organization type and the different constituency groups in an organization, there are different perspectives and hence, different definitions of organizational effectiveness. Definitions of organization and organizational effectiveness, according to the author, have always focused on the dissimilarities of organizations. This has led to further fragmentation of the concept of organizational effectiveness and thus, reduced its utility. Efforts to address this growing divergence and identify some salient criteria for defining effectiveness have not been very successful either, because there is no standard organization to refer to. The author suggests probing to find some underlying organizational functions that are shared by almost all organizations, it may be possible to build a universal conceptualization of an organization that can in turn be used to evaluate organizational effectiveness irrespective of the differences.
The third and final obstacle that Martz talks about, is the complexity of organizations. In most organizations, the boundaries are not always defined, the goals often contradict one another and there are conflicts of interests between various internal and external constituencies. Complex organizations that have an ambiguous nature are referred to as loosely coupled systems that do not function with tight linkages. In such organizations, according to the author, several different strategies can lead to the same outcomes. Moreover, the influence of external environments is distributed across the different sub-units and their influence weakens faster, and resource acquisition in one sub-unit has no direct relationship to the outputs of another. These characteristics make an organization complex and alternative perspectives are required to understand and evaluate organizational effectiveness with reference to these organizations.
Importance of organizational effectiveness in the aerospace industry
The aerospace industry is a highly competitive industry. There are a wide range of economic and global challenges that the industry faces. These challenges make the situation all the more pressurizing and require organizations to be more efficient and effective. This means that organizations in the aerospace industry need to use the skills and competencies of their human resources more effectively.
The aerospace industry has several manufacturing, research and development, and administrative organizations among others, that are constantly striving to deliver quality products and services effectively. In such a scenario, organizations need to focus on lean principles and an effective organizational culture. The primary reasons why an organization in the aerospace industry needs to be effective are –
1. Improving product affordability
The immense competition in the aerospace industry requires organizations to offer more affordable products. Offering high-quality but affordable products is the only way they can compete and sustain in this demanding market. And to make products more affordable without compromising on the quality, organizations have to adopt lean practices which are at the heart of organizational effectiveness. Lean principles are known to eliminate waste and reduce production costs, making an organization more effective. In the global competition that organizations face today, surviving without a lean approach to make organizations effective is not possible. Companies that have implemented lean practices successfully have been seen to achieve significant results. Organizations need to learn how to prioritize lean practices, how the implementation of lean practices can influence their economic environment, and how lean practices can be implemented specifically in their industry. Lean practices may need to be modified from time to time depending on the changing demands of the industry and organizations in the aerospace industry need to keep improving their processes continuously to achieve effectiveness.
2. Improving organizational culture
Another key aspect of organizational effectiveness that companies in the aerospace industry can benefit from is the improvement in organizational culture that it brings about. Treating organizational culture as a valuable asset helps to improve communication within the organization, facilitates better decision making, offers more control, and enhances employee engagement as well as commitment. Better organizational culture not only results in an effective organization but also translates into better outcomes in terms of market share, sales, profitability, technology and innovation, employee cooperation, and customer satisfaction. Organizations in the aerospace industry are in dire need of achieving these outcomes in order to maintain a competitive advantage and this can be attained through efforts to improve organizational effectiveness.
3. Managing and retaining a skilled, diverse workforce
Organizational effectiveness has a two-way relationship with people management. When the human resource in an organization is managed better it improves employee engagement and productivity, thus contributing to organizational effectiveness. When an organization is effective, it achieves better outcomes faster. This, in turn, motivates people further and encourages them to contribute more. This is a cyclic process where the organization and its people work together like a well-oiled machine. For organizations in the aerospace industry, the workforce is their strongest and most valuable asset. The workforce, therefore, needs to be trained and equipped with skills to meet the competition. Organizations need to acquire the best of talents in science, technology, engineering, and management and retain them in the long run too. An effective organization will aim for better employee retention and create effective succession plans to ensure that there are no skill gaps as older employees retire.
Challenges in the automotive industry that organizational effectiveness can curb
The automotive industry today is a booming sector with so many new technologies and trends seen making their way into the industry every year. But along with these innovations, come a number of new challenges as well. Consumers are harder to please than ever before. The competition is always growing and making a mark in this competitive global market is not easy. The use of technologies like AI, voice recognition, and automation is no longer a luxury but is gradually becoming a necessity in automobiles. Consumers are also moving from brick-and-mortar showrooms to online purchases. With so many changes occurring in the industry, automotive organizations need to be all the more effective in order to remain in the competition. Some of the major challenges facing the automotive industry that can be addressed by organizational effectiveness include –
1. Achieving sustainability
One of the biggest challenges that the automotive sector faces today is reducing its impact on the environment. Reducing emissions, using less energy, using renewable sources of energy, reducing their carbon footprint, and other similar issues have been a major concern for the global automotive industry. There are very stringent regulations that dictate how automotive companies control their environmental impact which, no matter how challenging, is essential. In this case, organizational effectiveness can play a major role. An effective organization is one that does not just achieve its desired outcomes once but makes the changes it has incorporated a part of the organizational behavior. Organizational effectiveness requires people within the organization to be equally productive and committed at all times, and achieve the desired outcomes consistently. This approach to ongoing improvement is very crucial to achieving sustainability in any industry. Organizational effectiveness is achieved by practicing lean principles of manufacturing that are known to reduce waste and make efficient use of resources. These are key to having a sustainable business model in the automotive industry.
2. Attaining employee and customer satisfaction
Another most crucial area that organizational effectiveness prompts organizations to focus on is the people, both within and outside the organization. Internal and external stakeholders play a very important role in making an organization successful. A simple employee and customer survey can reveal a great deal of information about an organization’s effectiveness. In the automotive industry too, employee engagement and retention play a major role in ensuring productivity and success. Organizations in the automotive sector require specialized skills and acquiring such talent as well as retaining it is not easy. Organizational effectiveness efforts require organizations to put employees first. Importance is given to employee training and career growth. Communication is a key aspect of effectiveness and good communication also helps build employee trust. Thus, efforts to improve organizational effectiveness can help automotive organizations increase employee satisfaction and engagement.
Similarly, customer satisfaction is one of the primary outcomes that most manufacturing and service-providing organizations aim for. An organization can only be considered truly effective when the customers have high regard for its products and services. Effective organizations are concerned about customer experiences and pay attention to what customers think about their business. In the automotive industry, staying ahead of the competition largely depends on customer satisfaction and organizational effectiveness can take the business one step closer to achieving it.
3. Driving sales and profits
Lastly, the biggest challenge for any business in the manufacturing sector, including automotive, is to drive sales and grow their profits. Manufacturing businesses incur huge costs on production, all the more so in automobile manufacturing. Since organizational effectiveness is measured on the basis of the degree to which an organization achieves its goals, the amounts of sales that a company makes is certainly an indicator of effectiveness. Organizational effectiveness is usually achieved through the adoption of lean practices and agile processes in an organization. Streamlining the process, promoting the efficient use of resources, boosting employees’ morale and productivity, all of these contribute to better product quality and higher sales. As organizational effectiveness helps with all of these factors, it can be said that effectiveness can help automotive companies drive sales and profitability.
Importance of organizational effectiveness in defense
The defense industry is by far one of the most important assets for any nation. When we talk about the defense industry here, we are considering all companies that provide products or services to the military forces and the government of nations across the world. Military forces require these products and services to build their capabilities across various domains including land, naval, aerospace, electronics, telecommunication, and more. But there are various factors that determine how the defense industry makes profits. In the past, there have been instances where major consumers of defense OEMs, like the United States of America, decided to reduce their defense spending and limited the procurement of arms and ammunition. More recently, the Covid-19 pandemic has caused some disruption in the defense industry as well. The pandemic has impacted the global supply chains and most countries shifted their focus towards healthcare and fighting the disease, reducing their spending on defense, which had an impact on defense OEMs. But times keep changing and as normalcy is regained the industry is likely to get back on track.
However, there are some common challenges that most organizations in the defense industry face globally. Organizations can address these challenges and benefit from organizational effectiveness in curbing them.
1. Building a sustainable supply chain
Defense OEMs, much like other manufacturing sectors, require raw materials and parts from suppliers across the globe and such requests are often met with delays and disruptions. Delays in the supply of materials also mean delays in production schedules which can throw the entire process off track. Organizational effectiveness efforts require organizations to adopt lean and agile practices, that are aimed at minimizing disruptions and efficiently using resources so that the organization can achieve its target on time and consistently. Such practices can be a boon for defense OEMs. Companies in the defense industry need to have alternative suppliers as a backup and plan effective supply routes to meet their customers’ demands on time.
Effective organizations can efficiently manage the time it takes for materials to reach their warehouse and then their manufacturing shop floors with minimum delay. The faster the materials move from the warehouse to the shop floor and within the shop floor as well determines how efficiently production can be carried out and how resources are utilized. An effective organization will always seek to minimize the downtime and maintain an effective supply chain management strategy.
2. Implementing digital transformation
In the competitive defense industry, the value of digital transformation initiatives cannot be overlooked. Digital transformation of an organization can lead to optimized processes, better management of resources, more data to work on, better insights on the supply chain, and much more. So, it has become more or less imperative for companies in the defense industry to adopt and deploy new tools and technology for better outcomes. Here too, organizational effectiveness has a strong correlation. Organizational effectiveness requires efficient change management. For an organization to be effective, it has to get rid of obsolete systems and technologies and adopt newer options. Organizational effectiveness can result in defense OEMs undergoing a much needed digital transformation and adapt to the changes much better. Effective organizations need to be better connected, have easier access to relevant and important data, and be able to process and analyze that data faster. So, organizational effectiveness and digital transformation in an organization in the defense industry can be interdependent.
3. Compliance with continuously changing regulations
Another major challenge that companies in the defense industry face is to meet the compliance requirements, be it from the government or regulatory bodies worldwide. There are always certain standards to meet when it comes to defense supplies, starting from materials to manufacturing processes to the quality of the final product. And these standards are ever-evolving, making it all the more difficult for companies to keep up. Organizational effectiveness initiatives make sure that organizations meet global standards and are continuously improving their processes to meet all compliance requirements. Effective organizations make sure that they stick to standards, right from choosing suppliers to hiring their workforce. This makes it easier for such organizations to work in agreement with the regulations in place and also results in reduced wastage due to non-compliance. This helps particularly when an organization is looking to deliver innovative products and new technologies to the market. Organizations need to maintain their competitive advantage as well as ensure that they are meeting international standards with their new products.
Importance of organizational effectiveness in the manufacturing industry
The manufacturing industry dates back to the industrial revolution and has seen a tremendous amount of change ever since. The manufacturing industry worldwide is affected by various factors, both internal and external. There are rising and falling market demands, changes in technologies, changing regulations, economic turbulence, global crises and so much more. For instance, in the recent Covid-19 pandemic too the manufacturing industry has been hit significantly. While certain sectors like medical equipment manufacturing may have seen an increase in demand, many other consumer goods manufacturing companies may have had to cease operations for a long time. But in any case, manufacturing companies need to maintain their efficiency if they want to remain in the competition.
Organizational effectiveness plays a major role in the efficiency of manufacturing processes. Growing a manufacturing business in itself is a big challenge and to be successful in this endeavor it is important to continuously improve the processes and systems. Organizational effectiveness can help manufacturing businesses achieve both their measurable and obscure goals. Some of the benefits that an organization in manufacturing can reap from organizational effectiveness include –
1. Better employee retention
The most important aspect in a manufacturing business, or any other kind of business for that matter, is its people. Finding the right talent with the right skills for a job is very difficult. Manufacturing companies need special skills and have to invest a lot in training and preparing their employees for the job. If employee retention is not effective enough, it may be considered a waste of the organization’s resources. Organizational effectiveness efforts put a lot of emphasis on employee retention. In an effective organization, employees are made to feel valued and communication is encouraged. The leadership listens to the people and welcomes their opinions and feedback. When an employee feels valued in the organization, he or she is more likely to be satisfied with the job and less likely to leave. So, improved effectiveness strategies can mean improved employee retention as well. Organizational effectiveness requires good people management, enough support from the leadership, acknowledgment and appreciation for good work, and much more to increase the productivity of employees. And these initiatives result in a better relationship between the employees and the organization’s management.
2. Better career growth for employees
Effective organizations have always focused on improving the skills and knowledge base of their employees. They understand that for an organization to be effective in the long term, it is important for the employees to constantly learn and grow. Building capacities is a primary goal in such organizations because more capable employees mean better performance for the organization as well. That is why organizations that strive for effectiveness and excellence focus on leadership training, employee training, team building, and other activities that allow employees to learn, grow and improve. This kind of approach not only helps build a strong organizational culture but also saves the organization time and money.
3. Improved product and service quality
One of the major outcomes that any manufacturing organization aims to achieve is quality in their finished products or services. The image and the reputation of the company depend on it. So do customer satisfaction and trust. When it comes to product or service quality, a lot is at stake. That is why an effective organization not only tries to achieve quality but tries to maintain it consistently as well. Organizational effectiveness initiatives take into consideration the technological changes that may be needed to consistently maintain quality and support continuous improvement. Effective organizations focus on all aspects of the organization that contribute to product quality, from the people, to processes, to tools and any other factor that may play an important role. That is why the effectiveness of an organization translates into better product and service quality.
4. Better sales and profitability
Organizational effectiveness comes from achieving certain desired outcomes for the organization. And for any manufacturing organization, the primary goal is to drive sales and thus, earn profits. Effectiveness initiatives are known to streamline the processes within an organization, making them more agile and efficient. They are also known to make employees more productive and committed. All of these factors are likely to improve sales and drive profits as they contribute to better product quality and better customer service.
Importance of organizational effectiveness in the energy industry
The demand for energy is continuously growing worldwide. But even as demand grows, the industry does have some important challenges to face such as scarcity of resources and environmental concerns. Although most part of the world is trying to shift to greener sources of energy, there are still many others who still rely on conventional sources. The use of these non-renewable sources of energy is not only posing a problem for the environment but is also likely to cause a major energy crisis in the near future. Despite the knowledge of these facts, it is not possible to completely discard any of the existing energy sources. To switch to green energy, there is a need for considerable modifications in most industries and machinery. This means that organizations in the energy industry too have to undergo tremendous transformation along with others if they are to supply cleaner energy and use renewable resources. This is where organizational effectiveness can play a very important role. Organizational effectiveness initiatives can help curb some of the major challenges that organizations in the energy sector face, such as –
1. Increasing demand for energy
The demand for energy is growing globally. One of the key reasons behind this is the economic growth of nations leading to more energy consumption, be it for industrial use, domestic use, or commercial use. The organizations in the energy industry are often struggling to meet these increasing demands. Though organizations have no control over the availability of resources, organizational effectiveness initiatives can help them build better strategies to meet the market demands. Organizational effectiveness comes from setting achievable goals and working towards attaining them. So an effective organization can curb this challenge of meeting the growing demands through careful planning and effective use of resources.
2. Climate concerns
Environmental concerns are one of the primary issues that organizations in the energy sector face today. There are several regulations to meet. Apart from that, climate activists are constantly in action against any organization that does not act responsibly. An effective organization always ensures that it complies with all regulations and understands its social and environmental responsibilities. Thus, organizational effectiveness initiatives can help energy companies with better compliance and fulfilling their corporate social responsibilities as well.
The importance of organizational effectiveness is certainly not limited to these industries exclusively. Every organization in every industry needs to work on increasing its effectiveness and sustain it. These industries, though, are all highly competitive arenas and the need for effectiveness is felt far more when there is immense competition to tackle.
Course Manuals 1-12
Course Manual 1: Overview
The concept of organizational effectiveness has been a subject of research and study for a very long time now. Effectiveness, like efficiency, was a concept more commonly seen in industrial engineering. Research on organizational effectiveness is found to date back to the early 20th century itself. In the early days, however, organizational effectiveness was frequently used interchangeably with other parameters that determined an organization’s performance. Effectiveness was measured in terms of production volumes, cost reduction, technological excellence and so on. Some other pioneers in the field of management defined organizational effectiveness as a function of clear authority and discipline within an organization. While others attributed organizational effectiveness to productivity that results from employee satisfaction.
Most of the definitions of organizational effectiveness in the past revolved around productivity and profitability. Organizational effectiveness was considered as an organization’s ability to successfully achieve its goals and outcomes. That is why organizational effectiveness was often used interchangeably with organizational performance. However, with time organizational effectiveness began to be looked at as a much broader concept. Many different criteria that add up to organizational effectiveness have been suggested by researchers. Organizational effectiveness was found to have no single, universal definition or model of approach. It began to be considered as multidimensional and there were several approaches to achieving organizational effectiveness.
Just as organizations vary in terms of their operations, their goals and their functioning, the definition of organizational effectiveness also varies from one organization to another. These individual differences between organizations are the key reason why organizational effectiveness cannot be defined universally with a single statement. This is because the criteria for effectiveness vary for different organizations. Martz (2008) identified this as one of the three challenges or obstacles in conceptualizing organizational effectiveness. According to Martz, the three biggest obstacles in defining organizational effectiveness as a concept are – equating effectiveness with efficiency, focusing on organizational differences and the complexity of organizations.
This was indeed very relevant, as it is often seen that most researchers in the past define organizational effectiveness in terms of the organization’s efficiency. This is probably one of the biggest mistakes in the conceptualization of organizational effectiveness. Efficiency and effectiveness have very different definitions of their own. Efficiency refers to doing a job economically using minimum resources, creating minimum waste and consuming the least amount of time possible. Although efficiency is important for an organization to be effective, it is not the only criteria and hence, the two terms cannot replace each other. Efficiency, though important, does not ensure organizational effectiveness. There are a lot of other factors at play when it comes to determining the effectiveness of an organization. Effectiveness does not just require an organization to be efficient and successful in achieving its goals, but also requires it to be consistent. Organizational effectiveness does not come from a one-time initiative but is a continuous, consistent process that involves all aspects of an organization.
Criteria for determining organizational effectiveness
The criteria used for defining organizational effectiveness are very critical to an organization. These criteria vary across companies and industries. Organizations that have a more rational perspective towards effectiveness consider the primary criteria to be related to the accomplishment of their goals. Such organizations choose criteria like productivity, efficiency and quality to define organizational effectiveness. While other organizations that focus more on people consider employee satisfaction, interpersonal relationships and employee morale to be better indicators of effectiveness. There is another perspective which considers organizations as open systems, influenced by their internal and external environment. For such organizations, the degree of flexibility within the organization and its ability to adapt to changes in the environment are important criteria.
Organizational effectiveness can mean effectiveness in any of the following business areas –
• Leadership
The effectiveness of leadership in an organization can be a huge contributor to organizational effectiveness. The leadership of an organization usually decides the goals and objectives for the organization and also creates strategies for achieving them. As long as the leadership is effective, the goals set are likely to be more relevant and achievable. Effective leadership can also influence and motivate people which results in better employee morale and engagement. This in turn means better productivity for the organization. The organizational culture also largely depends on the kind of leadership it has. Whether the organization welcomes and adapts to change, encourages innovative ideas, promotes communication in all directions, all depends on what the leadership values. All of these factors can be very crucial to organizational effectiveness.
• Employee performance
The most important asset of an organization are the people working in it. An organization that is truly effective understands this and puts employee performance above everything else. The performance of the organization depends on how committed and engaged the employees are. For employee performance to be up to the mark, they have to be satisfied in the job above all. Employees will only be motivated to contribute to the organization when they have a sense on belongingness and responsibility towards the company. Effective organizations will make every effort to help employees grow and flourish. Employee training, employee empowerment, adoption of new tools and technology, a healthy work environment and good interpersonal relationships are a priority in such organizations because these help improve employee performance eventually. The better the employees, the more effective the organization becomes. It is, therefore, a cyclic relationship.
• Business processes
Business processes are another important aspect of an organization that can determine its effectiveness. Efficient and optimized business processes that undergo continuous improvement are a mark of an effective organization. Business processes in an effective organization are meant to lean with minimum use of resources and reduced wastage. The processes should enable the organization to deliver value and achieve their desired outcomes faster. They must also be cost-effective. Processes need to be monitored closely and constantly to identify opportunities for improvement. Only then can an organization achieve effectiveness in the long run.
• Organizational structure
The structure of an organization also plays an important role in determining how effective it can be. Traditionally, most organizations had a hierarchical, bureaucratic structure where most of the authority and power was concentrated at the top. Most communication flowed from the top down and decision-making capacities were limited to the executive leadership alone. This is the most common structure seen in many organizations even today. Though this kind of an organizational structure has its own benefits, there are a lot of limitations as well. In a hierarchical structure there is usually flow of information in only one direction from the top management to the lower levels. There are barriers to open communication where employees are not free to put forward their views. In such organizations, employee trust is difficult to gain. It breaks the organization into a number of strata. Though it does define the levels of authority and responsibility quite clearly, it also slows down innovation and progress at times.
Modern organizations find a flat structure to be more effective for a business. A flat structure means that there are fewer or no strata and everyone in the organization has some amount of autonomy. All employees are encouraged to communicate with the leaders, share their ideas and discuss the issues they face. Power to make decisions is not limited to the leadership but is distributed among all to whatever extent possible. Such democratic organizational structure are usually found to be more productive as well as more effective.
• Organizational behavior
For organizational effectiveness, organizational behavior is found to be a very critical area of focus. Organizational behavior refers to how people within the organization interact among themselves and in teams. Organizational behavior plays a key role in improving performance, productivity, job satisfaction and a lot more. Organizational behavior is basically how individuals behave in the organizational roles. This behavior is influenced by several other factors, including organizational culture, background, personality of an individual, organizational values, etc. for instance, the values that an organization promotes can have a huge impact on how people within it behave. If an organization believes in inclusivity and tolerance towards all races, religions, genders and cultures, individuals within the company are bound to live by these values in the workplace. So there are better interpersonal relationships, everyone is respected and all individual opinions are welcomed.
Healthy organizational behavior is a key to organizational effectiveness. Employees in an organization that promotes healthy behavior are likely to be more satisfied and motivated, more receptive of others’ ideas and respectful towards each other, which makes everyone more productive. Conflicts are rare and conflict resolution also becomes easier in such organizations.
• Alignment between the different business areas
An effective organization requires the different business areas to be aligned with one another and an overall coherent system where everything works in conjunction. An organization works like a machine and the different business areas can be considered as the various moving parts of this machine. Unless all the parts work in close coordination, the efficiency of the machine cannot be maximized. So, an organization has to ensure that all its different areas such as leadership, employee performance, processes, management, organizational culture, customer satisfaction, etc. work in complete harmony to make it an effective organization.
Different models of organizational effectiveness
There are different approaches to organizational effectiveness followed by different organizations. Several models have been suggested over the years out of which a few organizational effectiveness models have found popularity universally. Each of these models has a specific approach that focuses on certain criteria for attaining and measuring organizational effectiveness.
• Goal based approach
One of the most commonly used models of organizational effectiveness is the goal based model. Most organizations consider organizational effectiveness as the degree to which they are capable of achieving their goals. Goals may vary from one organization to another. Some commonly seen goals set by organizations are improved sales volumes, better product or service quality, greater market share, more revenue generation, higher production volumes and so on. Most of these goals are related to the organization’s performance. But there may also be goals related to the societal and environmental impact of an organization, or goals related to employee satisfaction. Depending on what the organization prioritizes and the kind of work that it does, the goals of an organization are established.
In any case, the goal based approach to organizational effectiveness focuses mostly on the output that an organization delivers and very little on the input it requires to achieve these goals. This approach, therefore, more reactive then proactive.
• Internal process based approach
A more proactive approach to organizational effectiveness is the internal process based model. This model focuses more on the inputs rather than the outputs. According to this model, organizational effectiveness is determined by how smoothly and efficiently the processes in the organization are carried out. Starting with the flow of knowledge within the organization to documentation of all processes to continuous monitoring of all the data obtained from these processes to make them more efficient over time.
For an organization to be effective, the process in the organization must be lean, with minimum wastage and efficient use of time and resources. It is also important to strive for continuous improvement of all processes as long-term organizational effectiveness requires consistency and betterment. However, most organizations that follow the process based approach, tend to be more focused on making processes efficient rather than effective. We have already seen that efficiency and effectiveness are two very different concepts. While efficiency means doing the right thing to achieve the outcomes, effectiveness comes from doing the right things not once but consistently. Effective processes have to continuously add value to the organization.
• Resource based approach
Another common organizational effectiveness model that organizations use is the resource based model. This model focuses on making best use of the resources that give the organization a competitive advantage. These resources may be innovative technology and tools, a state of the art proprietary product, a unique brand image, or anything that makes the business stand apart. These resources should be something that competitors cannot replicate easily and consumers should be able to relate the business with them. An effective organization that follows a resource based approach works towards securing such resources to maintain its place in the market sustainably.
• Stakeholder/Strategic constituency based approach
The stakeholder based model of organizational effectiveness focuses on the different groups of people that are directly or indirectly associated with the organization. Another similar approach is the strategic constituencies based model. While stakeholders do not have any direct power in an organization but may still be affected by it in some way, strategic constituencies are groups of people that directly impact the organization’s survival and success. Strategic constituencies may include owners, employees, shareholders, customers, vendors, regulatory bodies, etc. Stakeholders on the other hand, include groups like employees’ families, social and environmental activists, certain communities and so on.
In either case, the approach is to understand the needs and demands of these groups and find ways to fulfil their expectations. Organizations that follow this approach put people first and work towards increasing the satisfaction of the stakeholders or strategic constituencies in an effort to make the organization more effective.
• Competing values approach
The competing values model of organizational effectiveness is based on the competing values framework, which suggests that if an organization is able to sustain and function with certain competing or conflicting values, it can be a lot more effective. For instance, an organization that is able to hold on to its legacy while also allowing and adapting to change and innovation, is likely to enjoy the best of both worlds. By honoring and keeping its legacy, it maintains its identity that people have always associated with but at the same time they are able to come up with contemporary products and services that can meet the evolving market demands. So the organization strikes a balance between stability and control on ones side and flexibility and discretion on the other on the competing values map, which makes it much more effective.
Definition of organizational effectiveness based on the approach chosen
Depending on the approach that an organization takes, its definition of effectiveness may change. However, to arrive at a general definition of organizational effectiveness, it is agreed that a company is effective if it is able to meet its goals, satisfy its stakeholders, and create positive social and environmental impacts. In other words, an organization that focuses on and improves those aspects that support its financial performance and long-term growth is considered to be effective. It is also important to note that to achieve its desired goals, an organization has to have an engaged and motivated workforce. So organizational effectiveness is also dependent on individual effectiveness.
Course Manual 2: Examples
In this section of the program, participants will understand how their respective industry has transformed since the turn of the 20th century and what the future looks like. The transformation has been led by technology, but agile organizations have the edge over slower competitors in terms of improving the performance model and organizational effectiveness.
Aerospace
Technological advancements have presented opportunities for companies in the aerospace industry seeking to strengthen their effectiveness and growth prospects. Take the aerospace material markets, which is poised to grow on the back of demand for commercial air travel, increases in defense spending and an expanded global manufacturing base. It was back in 1915 that the first full metal aircraft was built, and for more than a century, aluminum was the default metal to fabricate aircraft parts. Today, jets use less than 20% aluminum. Structures and interiors of aircrafts are made using high strength-to-weight carbon fiver reinforced polymers (CFRPs) and honeycomb materials that offer fatigue, impact and environmental resistance. Materials with high temperature resistance and low weight, which can improve fuel efficiency, are being favored for engines and critical components. The new machine metals added to the material mix for aircraft engineering promise to create lighter and more aerodynamic planes capable of withstanding extreme weather conditions.
If the material and design are available, the question of whether they can be fabricated to a product remains. Advanced manufacturing technologies such as additive manufacturing and foam metal manufacturing can replace conventional manufacturing methods. However, new manufacturing processes can be cost-prohibitive. Aerospace companies can consider the costs of materials, tooling costs and tooling lead times to inform their decisions.
The size and scale of aircrafts make the aerospace industry reliant on manual labor. As many sectors begin to adopt automation, aircraft manufacturers should also actively push for automation in areas where its benefits are deemed certain and meaningful to the bottom line. Examples of automation include robotics, manufacturing intelligence and machine vision. Scenes of robots working alongside human operators on the factory floor were once seen only in science fiction novels. Human-machine cooperation is a current reality. Robots can work in tight spaces and hard-to-reach locations; they can lift heavy objects and perform tasks that are potentially dangerous for humans. The use of robot assistants in manufacturing increases production reproducibility and enables the development of products that are uniform in quality and performance. Robotics drill holes and cut aircraft parts with precision and speed. They are useful in applying sealants and coating on large aircraft parts such as the fuselage.
Manufacturing intelligence is a software that pulls together data from various sources in manufacturing operations and creates reports, analysis and dashboards to improve manufacturing performance. Machine vision is a combination of hardware and software to provide operational guidance to devices in capturing images. Machine vision are used in conjunction with other equipment to provide structural and positional information, inspect the dimensions of high value parts and provide automated feedback. The Internet of Things (IoT) is another useful technology that aerospace companies can leverage for data collection and optimization, monitoring equipment and adjusting operations aimed at supporting overall organizational effectiveness.
According to a survey by multinational IT consulting company Accenture, just 54% of aerospace and defense companies’ IT model includes the cloud. Aerospace companies are known for siloed operations, which can be a barrier to cross-project reporting and innovation. Cloud adoption can de-silo operations, enable efficient remote collaboration and provide access to a wide range of technologies that can be utilized to spur innovation and reduce complexity. Organizations that already have a cloud strategy are resilient to major unforeseen events such as pandemics, which threaten normal course of operations. Other applications of cloud solutions include improving compliance across manufacturing, reducing tooling costs and improving supplier audit consistency.
Aerospace companies are privy to a lot of proprietary information whose breach can have repercussions for national security. To bolster confidence in cloud security, cloud computing firms are investing in security research and development to keep pace with the requirements and standards of the aerospace and defense industry.
Automobile
Did you know that cars today have more computer chips and lines of code than the earliest vehicles launched into space? The automobile industry is becoming increasingly technology-focused, with electronics and software integrated into all aspects of driving.
The first motor car was built in Europe but only 1,200 vehicles were manufactured. Henry Ford is credited with pioneering mass production and assembly line technologies to build thousands of vehicles annually. His blueprint was adopted by the other major automakers Ford and Chrysler, and the Big 3 came to dominate the car industry. The development of the automobile industry signaled prosperity for America, coinciding with the oil boom and strengthening the economy. Cars became an inextricable part of daily lives.
Post World War II, different designs and styles of cars emerged. Consumers were attracted to muscle cars and large vehicles for their look and powerful engines. However, the shift towards bigger cars led to increased emissions. By the 70s and 80s, government regulations on gas-guzzling and polluting vehicles, along with rising fuel prices titled the scales in favor of foreign cars that offered better fuel economy compared to their American peers. It marked the decline of the U.S. automobile industry, which was heavily focused on SUVs and pick-ups.
The crisis deepened and by 2008, the industry found itself in a Great Recession. After a period of restructuring and changing product lines, the Big 3 managed to recover and reach pre-recession sales levels by 2012. Over the past decade, automakers’ reliance on technology has increase substantially. This is observable from the assembly lines that have integrated robotic automation to the increasing representation of software engineers, cyber security experts, computer scientists and technicians with radio frequency expertise, in the workforce of automotive companies.
Car technology has evolved to make vehicles smarter, safer and less polluting. ‘Innovating to zero’ appears to be on automakers’ radar as they aim for zero accidents, zero contamination, zero error and zero security breach. Electric vehicles are setting benchmarks for zero direct emissions and fewer lifecycle emissions to gasoline and diesel cars. As far as accidents and driver security are concerned, automation is a ripe solution. Vehicles equipped with sensors can communicate with one another, warning drivers of obstacles that are invisible to them. Sensor-based communication can also be put to use in improving lane discipline and finding parking slots quickly.
The modern automobile company is knowledge-based and technology-focused. Automakers are leveraging Big Data to make informed decisions at all levels, from manufacturing better cars to boosting sales and marketing efficiency. Advancements in machine learning and the Internet-of-Things (IoT) can enable new models of car ownership and analytics-driven maintenance. That said, automakers will base their strategies on consumer preferences, which can vary from country to country. A recent McKinsey survey on consumers’ mobility preferences found that while most Chinese consumers would switch to a car that offers better connectivity, fewer Americans, Germans and French would take a similar step. In the area of shared mobility, a majority of Americans and Germans would rather keep private cars than using driverless, on-demand cars. Automakers can be expected to plan their technology investments and product lines after a careful consideration of market and external factors.
Defense
When the Soviet Union fell, countries began looking at the new world order warily. Pressure to safeguard national security mounted. It existed with the challenge to cut public spending. Governments began to develop domestic defense manufacturing capability, pursuing strategies to preserve national security while ensuring that expenses don’t go out of hand. Three key strategies were implemented: promoting a domestic industry via privatization, trading internationally in defense equipment, and establishing alliances with like-minded countries.
The defense budget has ballooned or shrunk under different U.S. Presidents. President Ronald Reagan was under pressure to control defense spending in response to rising deficits. Defense expenditures under Presidents Richard Nixon and Bill Clinton were reasonable as the nation had transitioned to peacetime budgets. The Bush administration was market by a huge spike in defense budget, converting the budget surplus to a deficit and forcing the government to borrow 43 cents for every dollar spent.
What are the likely future scenarios as the government endeavors to preserve national security? One possibility would be continual heavy spending in military capability, a tight grip on technology and preventing its transfer overseas, and American defense companies developing military production capacity overseas and sending back jobs to USA. An America-first policy may also overwhelmingly favor prime contractors and encourage private equity institutions to acquire overseas defense companies.
In a different scenario, the country may pursue interdependence where major global defense equipment industry players cooperate and build capabilities together. It would be characterized by transfer of technology between allies, the creation of a global defense supply chain, and formation of an international strategic alliance to approve and oversee military procurement programs.
As far as technology is concerned, the defense industry is known for path-breaking advances such as the internet, computers, drones and GPS. However, R&D in defense depends on the military budget, and technology companies outside of the sector are pioneering new technologies, outpacing defense R&D. To achieve better levels of readiness, defense organizations can (a) leverage data to generate useful knowledge and insights, (b) share information seamlessly via the right collaborative platforms, (c) improve interoperability between systems and processes, (d) strengthen their cyber defense, and (e) identify new ways to attract talent in areas of data modeling, artificial intelligence and data analysis.
Manufacturing
Manufacturing comprises distinct groups of industries. Some manufacturing industries are heavily reliant on transportation, some are more labor-intensive, while the sustenance of others are based on their proximity to customers. The biggest segment by output consists of major industries, such as auto, chemicals and steel have substantial R&D investments. Regional processing is the second-largest segment, and includes the printing and food and beverages industry. The smallest segment is labor-intensive and engages in tradeable commodities.
Each segment has specific success drivers. For industries that depend heavily on labor, low wages will always be a priority. But other segments can assess factors such as access to insights, skills and low-cost transportation. They should actively implement technologies that enable business intelligence and insights to respond quickly to market changes and identify long-term opportunities for growth.
Manufacturing companies with complex needs need to build a business case around technologies that offer benefits of efficiency, productivity, innovation and environment sustainability. They include the following:
– Digital technologies that enable them to become more agile and resilient to major unforeseen events, including pandemics, wars and labor strikes.
– Process simulation and feasibility analysis tools prior to embarking on effectiveness/change and innovation programs.
– AI at scale to optimize operations and achieve production levels that enhance consistency, safety and economy.
– Industry 4.0 solutions to replace legacy systems that create siloes, hinder collaboration and drive up maintenance costs.
– Technology platforms that enable the analysis of enterprise data and external data at scale.
Companies should also strive to become more customer-centric and leverage ecosystems more actively to make business operations more resilient, efficient and cost-effective.
Energy
Although renewables account for almost 70% of the global energy mix, fossil fuels are likely to be around for at least the next 20 years. In fact, most of the energy in use today comes from coal and oil, with natural gas catching up quickly. Between now and 2040, global energy demand is expected to rise by over 20% even as the planet becomes cleaner. By 2050, the world’s population is forecast to swell to 9 billion, with many from emerging economies joining the ranks of the global middle class. Nearly three-quarters of the world’s population is also expected to live in the cities, increasing demand for food, water and energy resources. Will renewables, on their own, be able to meet the world’s energy needs or will hydrocarbons continue playing a role in the future?
Arriving at a renewables-focused future will be challenging. It will require investments in new technologies to the tune of billions of dollars and incentives from the government to make innovations such as carbon capture and sequestration, economically feasible. Academics and governments must actively explore ways to reduce CO2 from the atmosphere or make fossil fuel production more environmentally efficient. New and emerging clean energy technology must also receive the continuous investments they need. For example, the Paris Climate Agreement has committed $23 trillion towards climate-related investments in emerging markets.
Oil and gas incumbents are reckoning with climate change in different ways. Some have shifted most of their production to natural gas, which is the cleanest-burning hydrocarbon. A few, while still focusing on oil and gas, are diversifying business in other sources of energy. Others are using innovation and technology to reduce their operational emissions and indirect emissions generated in their value chain. The industry is under pressure to respond to climate change from activist investors as well. In 2020, investor demands forced oil giant Exxon Mobil to formulate a new five-year plan to reduce carbon emissions. Increasingly, oil and gas companies can be expected to launch a broad rethink of their business model and organizational effectiveness to survive in a low-carbon future.
Course Manual 3: Organizational Goals
Effectiveness is typically associated with the degree to which an organization is able to achieve the goals that it sets. Setting organizational goals is the first step towards achieving organizational effectiveness. The organizational goals define where the company wants to be in the near future and also require planning on how to achieve that. Organizational goals are the strategic objectives that an organization’s top leadership set to give the people a vision to work towards. The goals define the expected outcomes of the organization and are a way of guiding employees’ efforts to achieve those outcomes.
The organizational goals, however, are not static. Depending on the changes in the internal and external environment of an organization, it may need to revisit its goals and change them from time to time. These changes are necessary for an organization to thrive in a competitive environment and grow with it. Change is also crucial to organizational effectiveness, as effectiveness is not about achieving the established goals once but achieving the desired outcomes repeatedly and consistently.
The importance of organizational goals
Organizational goals define the purpose of the organization in the first place. They explain why the organization is doing what it is doing. Goals help a business grow, improve and fulfill its financial objectives. An organization’s progress or success can also, in many cases, be determined by its ability to achieve the organizational goals.
The importance of organizational goals is particularly seen in the following areas.
• Focusing the attention of all people involved to certain efforts
Organizational goals tell people what they are working for. If the organization’s goals are communicated well to all employees, it helps them shift their focus from other activities that are not contributing to the organizational goals and pay more attention to those activities that take them closer to the goal. So, the organizational goals give a sense of direction to employees and set a course of action for them to follow.
• Making actions justifiable
As the organization sets forward on the decided course of action, there may be opposition and questions from various groups. Having clear organizational goals, that are conveyed to all stakeholders of the organization, helps them justify their actions and validate their decision.
• Providing a standard of performance
Organizational goals can serve as a measure of the performance of individuals and teams within the organization. How individuals are contributing towards achieving the goals and how much progress they have made can be an indicator of their performance at work.
• Providing an idea of the organization’s priorities and values
The kind of goals that an organization sets can tell a lot about the organizational values and priorities. For some organizations positive financial outcomes are the only priority, so they would set goals that take them closer to this outcome, such as higher sales, reduced costs, bigger market share, etc. Some other organizations may prioritize their social responsibilities over other things. So, for such organizations, the goals would be to promote diversity at the workplace, service to the community, etc. Thus, every organization’s goals decide what kind of image they form in the eyes of their stakeholders.
Different types of organizational goals
Organizational goals can be broadly classified into three types. These are strategic, tactical, and operational goals. Each of these types of organizational goals has its own significance and purpose.
• Strategic goals
Strategic goals are related to the strategic planning of the company. Every company has to create a strategic plan before it can decide what action it needs to take. The strategic goals may lead to financial or non-financial outcomes for the organization. Financial strategic goals could include increasing the returns on investment or increasing market share. Non-financial goals could be something like increasing employee engagement or improving customer satisfaction.
Strategic goals are decided based on a thorough prior analysis of the organization’s internal and external environment. Internal factors like the company’s business model, available technology, the value proposition of the company, skills, manpower, etc. may be considered when setting the strategic goals. External factors that affect the strategic goals, on the other hand, may include competitor analysis, market demand, the economic situation of the local or global market, government policies and regulations, and so on.
A company usually carries out a SWOT (strengths, weaknesses, opportunities, and threats) analysis to identify its current state and establish strategic goals accordingly.
• Tactical goals
Tactical goals or tactical planning decide the course of action that needs to be taken to achieve the strategic goals. Once the strategic goals are established, the organization needs to determine how each of the business areas can contribute to achieving those goals. Strategic goals are usually long-term goals that are likely to be fulfilled in the next 5 to 10 years. But to take the organization closer to those goals gradually, there have to be some short-term goals for each year or every 2 years. These short-term goals are tactical goals and they have to be totally aligned with the strategic goals of the company. For instance, say an automotive company sets a strategic goal of expanding its business to South East Asia within the next five years.
So, what would the next steps be for the company? They would need to research the market, find out who their competitors are, what prices they can compete with, and so on. They will probably need to reduce their prices to be able to compete in the South East Asian market and that means reducing the cost of production as well if they seek profits. So, one of their tactical goals in the near future would be to minimize their production cost. Other tactical goals would be to set up offices in the countries that they want to venture into, hire local workforces, and so on.
While strategic goals are usually set by the company leadership, tactical goals are set by the middle or top management. Every time a tactical goal is fulfilled, it takes the company closer to achieving its strategic goal. These tactical goals, therefore, allow the company to monitor its progress.
• Operational goals
Lastly, there are operational goals that are further short-term goals that are established in order to solve problems faced in the implementation of tactical goals. Operational goals, as the name suggests, are linked to the operations of the company. These goals are assigned to each individual employee in the organization who contributes to finally achieving the strategic goals. Operational goals can be something like the minimum number of orders to be shipped per day or the minimum number of customer issues to be resolved per day. These operational goals can be a very useful indicator of productivity and any lapses in achieving these goals can be quickly addressed so that the tactical and strategic goals can still be met.
The operational goals are established and monitored by lower-level managers who plan work and manage individuals or teams. The operational goals also have to be aligned with the tactical, and thus, the strategic goals of the organization.
For instance, in the example of the automotive company that we saw earlier, the tactical goals were to reduce the cost of production, set up offices in their target markets, hire a local workforce, and so on. Now to meet these tactical goals the company needs to establish some operational goals for employees to work upon. For example, in order to reduce the cost of production in the coming years, they would need cheaper materials that do not compromise on quality. So one of the operational goals for the R&D team would be to find cheap and durable materials that suit their design. For the HR team, one operational goal would be to train the new employees recruited at the new offices and so on.
All of these goals, that is strategic, tactical, and operational, taken together help make an organization effective and sustain this effectiveness in the long run.
Goal setting for organizational effectiveness
No matter who decides the goals in an organization, there are some key things to consider when setting goals for organizational effectiveness. The organizational goals can only contribute to organizational effectiveness if the goals are relevant and meaningful. The organizational goals need to be aligned with the overall mission and vision of the organization.
Effective goal setting is equally important for attaining organizational effectiveness. Organizational goals must be SMART (specific, measurable, achievable, relevant, and time-bound).
• Specific
Generalized goals are usually vague and do not contribute in any way towards making an organization effective. A company may have a general goal of improving its performance, but that does not specify which areas it plans to improve or how it plans to achieve this goal. So goals need to be more specific. For instance, goals of making the internal processes more agile, increasing employee training activities, making logistics more streamlined, etc. can automatically help make the organization more effective. Specific goals give the direction that people within the organization need to help attain effectiveness.
• Measurable
Organizational goals are supposed to be an indicator of the organization’s progress and this is only possible when these goals are measurable. If goals are not measurable the organization cannot determine how far or close to the goals it is. Measurable goals help the organization track its progress and decide whether it needs to pace up or put in additional effort to meet the goals in time. For instance, production volume, return on investment, revenue generated, etc. are all measurable goals and organizations can easily tell whether they have been able to achieve these goals. But something like increasing employee engagement, though specific, is not really measurable. So certain metrics have to be chosen for such goals to make them measurable and all the more specific.
• Achievable
A major reason why many organizations fail to be effective in the long run is that the goals they set for themselves are too impractical. It is important to stay grounded when setting goals for an organization. An organization can only perform as much as is in its capacity. The infrastructure, skills, resources, manpower, etc. play an important role in determining what an organization can hope to achieve. The goals should be established taking all of these factors into consideration. Setting unachievable goals will only demotivate employees and result in wasted time and resources.
• Relevant
We have already stressed on how organizational goals should be aligned with the organization’s vision and mission. Goals should be relevant to what the organization hopes to achieve in the long run. Every goal set should take the organization closer to the vision it has built for its future. For example, if the company is looking to increase its client base, setting goals like hiring more employees is not going to contribute to it in any way. It is only going to be a waste of its resources and time with no outcome. A more relevant goal would probably be to increase publicity and advertising.
• Time-bound
An organization cannot assign indefinite time to a particular goal. Goals have to be time-bound so that the people working towards them have a timeline to stick to and try to make every effort to fulfill the goals within the stipulated time. Without a deadline, employees may tend to become less productive and the organization less effective.
Goal setting is supposed to make an organization strive to reach its full potential every time and set higher standards for itself, both financially and in non-financial areas as well. An organization must understand that organizational effectiveness does not hold the same meaning for every enterprise and that the goals they set should be aligned with their definition of effectiveness and help them achieve it. Many a time, organizations may have to set conflicting goals in order to get closer to their vision. In such a case, tools like the competing values framework can come in handy and help them identify the gaps and decide what is to be kept and what is to be discarded in their existing system.
Though organizational goals are an integral part of organizational effectiveness, companies that wish to be effective in the long term need to focus more on improving their internal process and systems rather than the outcomes. Because to achieve the organizational goals it is equally important to have a motivated workforce, agile and lean processes, and strong organizational culture. Only when the internal factors are in place and functioning well, will the organization be able to meet its goals on time, making it more effective. Focusing on the inputs instead of the output ensures that organizational effectiveness becomes a part of the day-to-day functioning of the company and brings about a change for the better throughout the organization.
Course Manual 4: Executive Leadership
People at the highest echelons of power in an organization set strategic goals aligned to the long-term vision. They operationalize strategy along with executives at successive rungs of leadership. Managers execute top-down strategy and employees supply effort and creativity.
Organizational effectiveness as a strategy
As you’re already aware, effectiveness can be expressed in different ways. An organization can measure its effectiveness along various dimensions, and define new ones with a change in business landscape, government regulations and major market changes. Leaders establish measures of effectiveness and plan appropriate strategies or adjust strategic focus to include the desired effectiveness parameters.
Leadership views of organizational effectiveness are commonly based on the following:
– How effectively the organization meets its objectives
– The efficiency of organizational functions and processes
– How capably the organization acquires and uses resources
– How effectively the organization meets the needs of its stakeholders
Indicators of organizational effectiveness
There are many indicators of organizational effectiveness. They’re reflected in the ability of management to make key decisions related to the workforce, tools, processes, customers and community.
Management
Management sets the direction for how employees should work and behave in accordance with the organization’s goals and values. They also ensure the efficient use and growth of organizational resources.
Although workforce productivity, engagement and teamwork are a manager’s concerns, top-level leaders develop the blueprint for organizational behavior and performance expectations. They define the organization’s culture, values and mission. Management also determines the technology and tools to enable and support employee performance and productivity.
Executive leadership also establishes the performance objectives of various business units. They also plan the formation of strategic business units and set goals for these specialized entities.
Accountability
Accountability is about taking initiative of tasks and ownership over outcomes. The ultimate accountability for organizational effectiveness lies with leaders. They’re responsible for meeting strategic goals, ensuring compliance with rules and procedures as they relate to business policy and government regulations, and taking appropriate decisions with regard to disciplining managers.
Leaders who demonstrate accountability generally encourage others to accept responsibility for their work, successes and failures. They have the opportunity to nurture a mindset of thinking deeply about the consequences of each choice, reflecting on mistakes and tackling challenges no matter how intimidating or difficult they may be.
Employee satisfaction
Employees are a vital organizational asset. Hiring the right talent, creating positive employee experiences and preparing high-potential managers for future leadership roles are people-issues that require management oversight, guidance or active involvement.
Employee satisfaction covers several aspects. One may argue that an employee’s perceptions about an organization starts from the moment they interview there and extends all the way until they leave the company. There are several websites where employees can anonymously leave their reviews about their company. Their experiences are meant to inform others in the talent pool who’re actively seeking jobs. Low confidence in the company’s management can affect it chances of attracting the best people who can contribute to organizational effectiveness.
Employee experience can be measured using quantitative and qualitative methods. Surveys, meetings and appraisals are common ways for managers and employees to discuss various measures of employee satisfaction such as morale, commitment, engagement, motivation and performance. An organization that lacks direction or is unable to grow or restructure for higher growth is unlikely to have motivated and satisfied employees. The role of executive leadership will then come into sharp focus and retrospection will be required, especially when the turnover rate increases drastically or layoffs become inevitable.
Strategy
The strategic focus that management takes also contributes to the organization’s effectiveness. Strong strategies are the foundation for organizational success. In particular, they allow the organizations to be:
Competitive: Leaders are responsible for future-proofing the business and maintaining competitive edge. In the fast-paced manufacturing and automobile sectors, constant vigilance is necessary to avoid being overtaken by foreign companies or new domestic competitors with the money, resources and technological capabilities to challenge incumbents.
Customer-oriented: Peter Drucker said that the purpose of a company is to create customers. An organization must feel the pulse of its customers and engage them at multiple touchpoints to keep up with their changing needs. An effective strategy helps businesses keep up with customer demands, grow their customer base and value, and retain a positive brand image.
Adapt: Adapt or fail isn’t a gross exaggeration. Organizations that wait and watch from the sidelines as their market changes are bound to lose out sooner or later. Large, established companies that employ millions worldwide may receive governmental support to remain in business. However, the much-needed if painful restructuring is inevitable for survival. To cite an example, General Motors discontinued its Hummer brand in 2010 after coming under fire from environmental groups and realizing that gas guzzlers were on their way out. The company recently announced plans to resurrect Hummer as all-electric pick-ups and SUVs.
Performance
Organizational performance is a measure of whether and to what extent the results/outputs matched the targeted goals and objectives. Financial performance, product sales and shareholder returns are the most important areas of an organization’s performance. Leaders are responsible for performance management, ensuring that resources are used properly in the pursuit of strategic goals.
Performance is tied to the efficiency of business functions and processes. The returns from each strategic business unit, function or innovation center against the investment poured into them are also a way to measure performance.
Over the years, organizations have been impelled to focus on their environmental and social performance, apart from economic aspects of success. Leaders are focusing on new dimensions of organizational performance. For example, a manufacturer may evaluate its environmental performance based on the energy consumed by its operations, and the greenhouse gases and waste generated by its factories.
Technology and tools
Digital transformation is on the agenda of organizations regardless of industry or size. Management vouches for the role of the right tools and technology in driving organizational effectiveness. They build or endorse business cases around technology adoption, striving to maximize value from IT investments.
Leaders need to evaluate what the adoption of new and emerging technologies mean for overall business productivity, workforce experience and organizational results. For example, automation tools can free managers from routine tasks to focus more on strategic transformation. Investing in a latest platform can have a ripple effect on the organization and improve the efficiency of several key functions. Implementation of digital tools can also improve employee experience by boosting productivity, collaboration and efficiency. Digital maturity is a key concern for leaders aiming for continuous business growth.
Collaborative leadership
Cross-functional collaboration is breaking siloes between departments, teams and skillsets. Organizations have access to vast amounts of data and business intelligence tools that generate valuable insights from data.
Management should consider frequent, purposeful engagement with peers and the heads of distributed teams for the following reasons:
– Gather vital intelligence to formulate strong organizational effectiveness strategies
– Accumulate diverse ideas and perspectives for informed decision-making
– Discover performance issues that previous management either ignored or missed
– Bridge gaps between departments and couple them tightly to one another
– Make people feel more valued, enhancing motivation and building trust
In a rigid organization, collaboration and knowledge-sharing cannot be forced. Leaders need to rally everyone around common goals and explain how working as a single unit can drive organizational effectiveness. If you’re in a senior leadership position at your company, these tips can help you gain more trust and fulfil your part as an influencer and a change agent.
– Ensure that your interactions reflect values and motivations consistently.
– Stay true to your character so as to lend authenticity to your words and actions.
– Take initiative to explain the larger context or the big picture at strategy discussions, meetings or presentations.
– Shift managers’ focus towards critical priorities and clarify key areas of focus at a meeting at the beginning of the year.
– Revisit the priorities periodically and give your team the freedom to express their reservations.
– Invite others’ ideas and opinions and ideas, which is especially important during collaborative work and conflict resolution.
– Use story-telling as an engagement tool and to make it a point to build rapport and connect personally with senior managers.
Shareholders returns and community relations are intrinsically linked. The local community can be a valuable resource to partner vendors and suppliers, find talent and attract loyal customers. In an exchange of value, businesses can aid the growth of the local economy and create employment opportunities. By partnering with local institutions of higher education, organizations can foster talent and gain an edge in the recruitment stakes. Getting involved in the community also allows companies to gain a deeper understanding of the needs of their local customers in areas of quality, price, diversity and corporate social responsibility.
Effective tactics for nurturing community relationships include:
1. Actively involving community leaders in planning community engagement. Leaders should listen to stakeholders’ perspectives, request feedback and implement a mechanism to hear and address grievances.
2. Communicate on an ongoing basis to receive the community’s ideas and share the rationale behind the organization’s decisions.
3. Make strategic investments and donations with the aim of sustaining the community over the long term.
4. Invest in building relationships with social and environmental organizations, health and education providers, and influential youth leaders. These community stakeholders can provide organizations insights on community dynamics, culture and expectations for informed decision-making on CSR initiatives.
Emphasize structured communications
Strategies for enhancing effectiveness come from the top and trickle down to all other organizational levels through line managers, department heads, unit heads supervisors and team leaders. Managers understand and echo executives’ views of effectiveness although they may frame it in more persuasive ways to gain the consensus and support of those they lead.
Strategic, intentioned communications are important during a change initiative. Leaders must understand the current company environment, ponder the impact of major change strategy announcements, and have convincing answers to questions on organizational improvements from board members, managers or employees who may voice their opinion during town halls or provide feedback via surveys or via official business channels.
While planning change communications, leaders can keep the following points in mind:
1. What are the current engagement levels? Leaders can also refer to past records of employee engagement, buy-in and participation levels.
2. How can you promote shared goals and help employees find common ground? Can a mechanism be defined to allow employees to share their viewpoints?
3. What is the extent of collaboration and understanding among and across teams, functions and departments? Do leaders and managers have to make special efforts to encourage everyone to develop authentic connections?
4. How best can you create a shared vision and use storytelling and/or other visualizations to get everyone excited about pursuing the effectiveness initiative?
5. Do people have the platform to air their views and concerns? Do they feel psychologically safe to collaborate at a higher level?
6. How can leaders maintain focus on the shared vision and promote the necessity for continuous improvement?
Leadership agility
Agile leaders make continuous learning a priority. As markets, industries and government regulations change, organizations find themselves adding additional measures of organizational effectiveness. This way, they’re able to plan appropriate strategies in advance and after careful considerations rather than making knee-jerk reactions in response to negative events or wake-up calls.
According to leadership experts, agile leaders certain key capabilities, as stated below:
– Humility: Agile leaders accept what they know and do not know. They are willing to learn, seek inputs within and beyond their organization, and trust people who are more knowledgeable than themselves.
– Adaptability: Agile leaders actively change their direction after considering new data. Their flexible mindset allows them to manage complexity and align to new situations effectively.
– Visionary: Agile leaders take decisions keeping long-term objectives in view. They have clarity about where the organization needs to be even if they are not very sure about the actions they should be taking.
– Engaged: Agile leaders actively interact with all stakeholders. They keep up with trends and have an openness to discovering new things.
– Hyperaware: Agile leaders watch out for new developments, opportunities and threats in their external environment. They adapt proactively and rally everyone by communicating a strong vision.
– Informed decision makers: Agile leaders consult the best data sources and analytics to make decisions aligned to the organizational vision. They draw from their experience and intuition when the data is contradictory or insufficient.
– Fast executors: Agile leaders waste no time in converting decision to action. In a disruptive environment, their hyperawareness and swift moves create opportunities for the organization to zoom ahead of the competition.
Course Manual 5: Managerial Effectiveness
Managers play a very critical role in ensuring organizational effectiveness. Managers are the bridge between the leadership of an organization and its frontline employees working at the ground level. People at the managerial levels are responsible for planning and organizing work as well as leading and controlling the workforce. Capable managers should be able to improve employee productivity as well as the effectiveness of processes, operations, and the organization as a whole.
Managerial effectiveness is, therefore, crucial to a company’s success. Managerial effectiveness could translate into achieving the organizational goals, increased productivity, increased profits, better employee satisfaction, improved organizational culture, and more. Managerial effectiveness means that there will optimum allocation of resources, optimum use of time, reduced costs, faster resolution of issues, and more. Effective management tries to obtain maximum output from minimum input.
Effective management does not only think of the organization’s present but also plans for its future. As the organization’s internal and external environments change over time, the organization has to improve its performance to ensure growth and adapt to the change as fast as it can. Managerial effectiveness ensures that the organization is flexible and adaptive enough to cope with these changes.
Managerial effectiveness is all the more crucial in the modern organization where every employee a certain degree of autonomy. In organizations with a flat structure, the authority and power to make decisions do not lie with the top leadership alone. Everyone working in the company has the liberty to express their views and make decisions within their capacity. While this is very important for employee engagement and trust, and make them more productive, it may also make the job of managers a little more difficult. Controlling the activities and decisions of employees while giving them enough liberty, requires excellent managerial skills.
Key elements of managerial effectiveness
Organizational effectiveness largely depends on managerial effectiveness. But when we talk about managerial effectiveness, it should not be assumed that the management of the work and the workforce is the responsibility of company managers alone. A lot of it also depends on the organization’s structure and culture, the business environment, the approach to innovation and change, and more.
Some of the important elements of managerial effectiveness include –
• Managers
The people at the managerial level are undoubtedly the most important assets to ensure managerial effectiveness. Effective managers, just like effective leadership, are the key to a successful organization. Managers are responsible for setting well-defined objectives for employees to work towards and also build strategies to help them achieve these objectives. An efficient manager is not only a good speaker or negotiator who can motivate the people working under him or her but is also a good listener. Efficient managers always encourage two-way communication and pay attention to what their employees have to say. It helps them understand the issues that are prevailing at the ground level as well as their employees’ needs. The better the communication between the manager and employees, the easier it is to resolve issues and conflicts.
Good managers are also known to lead by example. Instead of just passing on orders to the employees, they demonstrate the same level of commitment and dedication that they expect from others. They make sure that individuals and teams have all the resources they need to complete a task efficiently and communicate issues to the higher-level executives to make sure that they are heard and addressed.
Managers may also be required to become mentors when the need arises. Good managers share their knowledge and experience with their employees to ensure that they can deliver their full potential. They acknowledge good work and make sure that anyone’s hard work does not go unnoticed.
An effective manager always puts his or her team or employees ahead of everything else. Efficient managers know that employee satisfaction leads to better engagement and better performance.
• Organization
The organization itself also plays a major role in determining managerial effectiveness. The manager is responsible for planning, organizing, leading, and controlling but they can only perform these tasks staying within the boundaries of the organizational structure and culture. An organization that has a hierarchical structure, for example, does not allow the managers to make important decisions according to their discretion. No matter how effective or skillful manager is, they will not be able to deliver their best if the organization does not permit them to do so.
Or if the organization does not nurture a culture of learning and growth, the manager cannot help employees with training and career growth as there will be several roadblocks to such initiatives. In an organization that promotes a culture of inclusivity and diversity, for instance, the manager will also have the liberty and the confidence to point out intolerant behavior and take action against it.
So organizational factors, like the structure, culture, value systems, organization’s size, environment, etc. all play a huge role in determining how effectively a manager can manage. Managers cannot perform effectively in an organization that has a highly bureaucratic structure. For managerial effectiveness, a certain amount of autonomy and freedom is essential.
• Entrepreneurship
Managerial effectiveness also depends on whether the manager has the quality of entrepreneurship and whether the organization promotes such qualities in their managers. Effective management requires the organization and its managers to realize that the company of the future will not be the same as the company is today. This means that they need to plan ahead and ensure that the organization can be equally effective in the future as well. There has to be a culture of innovation, hard work, creativity, and smart thinking to ensure that the organization remains relevant in the competition over the years.
Managerial effectiveness can only be considered to be truly present in an organization when this sense of entrepreneurship finds a place in it.
• Business environment
Apart from the internal factors like organizational structure and culture, a business is also affected by the environment. There are a lot of variables in the dynamic and turbulent environment that a business functions in. There are political factors, economic factors, social factors, environmental factors, and much more. All of these factors impact an organization in some way or the other. Effective managers have to work in accordance with the changes in the business environment. They respond to the changes taking place around them and ensure that the organization continues to be effective irrespective of the turbulence.
Maximizing managerial effectiveness in an organization
It is evident that managerial effectiveness is quite closely related to organizational effectiveness. This is why maximizing managerial effectiveness may also lead to maximizing organizational effectiveness.
Some ways of increasing managerial effectiveness in an organization include –
• Fostering qualities of effective management
An effective manager has to have certain qualities and skills that enable him or her to carry out the managerial responsibilities efficiently. There are many leadership qualities that a manager needs to possess to be able to motivate and mentor the employees effectively. Some of these important qualities of an effective manager include:
• Good communication skills
• Acceptance and preparedness for change
• Ability to work with teams
• Inclusivity
• Valuing employees and their contribution
• Avoiding micromanagement and trusting employees with their work
• Capacity to resolve conflict with minimum disruption
• Leading by example and showing the same work ethics they expect of others
• An affinity to learning and growth
• Seeing employees as individuals and giving them individual attention to improve their performance
There may be other important qualities too that an organization needs in an effective manager. The best way to find out the qualities that employees want to see in a manager is by conducting a survey asking them to point out the leadership qualities they think are essential in a manager. The results can reveal which qualities already exist at the organization’s managerial level and where gaps exist. If there are any high-value attributes that can be added to positively impact the organization, managers can be trained to imbibe those qualities for more effective management.
• Nurturing mutual trust
As in the case of leadership, in management too mutual trust plays a very important role. Trust should be present at both ends. Employees should be able to trust managers in order to feel safe and communicate freely. On the other hand, managers should be able to trust employees so that they can be sure that they are performing their duties dedicatedly. Trust goes a long way in building healthy and fruitful interpersonal relationships at work.
Managerial effectiveness requires employees to be confident about conveying their ideas, feedback, and concerns to managers. Employees need to know that they will be heard and their feedback will be taken seriously. Similarly, the manager needs to feel confident that employees listen to his or her instructions and act accordingly in the best interests of the organization.
Unless this feeling of mutual trust exists in an organization, there will be utter chaos. To foster such a bond of trust, managers have to put in every effort to show that they are reliable and they deliver on their promises. All employees should be given the same respect and equal opportunities. An efficient manager cannot afford to show any kind of bias towards anyone. He or she has to be fair in their decisions and their handling of employees, which plays a crucial role in trust-building.
• Practicing collaboration
Managerial effectiveness also reflects in how the teams within an organization function. Teams need to be working together to enhance productivity. Everyone in the team needs to work towards the common goals of the organization, putting their individual interests aside. But when working in a team, there are bound to be conflict, inconsistencies in performance, and other similar issues. It is the responsibility of the manager to create an environment conducive to collaboration.
To promote efficient collaboration, the manager has to involve everyone in the team in the important decisions that affect everyone. It is also essential to promote team-building activities and gather feedback on how these activities are helping. The manager has to interact with every team member and engage in casual conversations from time to time. It is the responsibility of the manager to ensure that every member of the team feels equally valued and, therefore, contributes equally to the organization.
• Providing recognition
Managerial effectiveness also means that employees’ efforts are acknowledged and wherever necessary, rewarded. It is well known that employees seek recognition and are motivated by it. Giving due recognition to employees for their work not only improves employee satisfaction and trust in the management but also creates a positive environment in the organization.
Managers and the leaders of the organization to create a robust recognition system that rewards employees for exceptional work and for their dedication to the company. Such timely recognition will motivate others to perform better as well.
• Delegating tasks effectively
Managerial effectiveness may be the responsibility of managers but they also need the cooperation of their staff to be able to manage effectively. This is why it is important to distribute the burden of work efficiently. Managerial effectiveness is seen to be a lot better when the workload is distributed well and everyone takes their assigned tasks seriously. Delegating tasks to everyone in a team also speeds up the process and helps achieve the organizational goals much faster.
Apart from the benefits of the organization, equal and fair distribution of work also ensures that all employees learn and grow equally. Only when people are given responsibility, will they be able to take back valuable lessons from their work. It helps boost employees’ confidence and prepare them for higher roles in the future.
• Setting clear expectations
The management in an organization needs to make sure that the expectations of employees are in check. Employees should know what they can and cannot expect from their managers. The organization should make it clear as to what the role of the managers are and what the employees’ roles are. Managers do not always have the authority to make major decisions or bring about drastic reforms in an organization. The capabilities or jurisdiction of a manager should be clearly communicated to all the people working under him or her so that they do not foster any unrealistic expectations.
Even in terms of employee performance, it is essential to set clear metrics to measure their progress. This helps them understand what is expected of them. Project management tools must be used to ensure that everyone can keep track of their tasks and responsibilities. This helps keep everyone on the same page. Managers also need to have regular one-on-one interaction with their staff to ensure that all directives are clear to everyone.
Managerial effectiveness comes from the understanding that employees are individuals with a life outside their workplace too. To keep them motivated it is important to give them enough flexibility and opportunities to manage their professional and personal lives. Managerial effectiveness can only be achieved when employees feel appreciated as individuals and not just as workers of the organization.
Course Manual 6: Change Management
Leaders are architects of the change strategy aimed at achieving organizational effectiveness. They are accountable for the success or failure of the change effort. They have to believe in the change, plan effectiveness tactics with an analytical mindset, and win over people who may fear or resist change. This manual expands briefly on the main components of change management that leaders and managers must know to gauge organizational readiness for a transformation (big or small) and make smart decisions that effect the desired change as painlessly as possible.
Determine the right metrics and milestones
An accurate determination of the areas where effectiveness is lacking in relation to competitors or the external environment is critical. This is the basis on which baseline performance will be gauged and improvements planned.
There are many ways to understand what needs to improve. Profit and loss reports, performance of strategic business units, customer acquisition versus turnover, government actions, employee satisfaction surveys, and customer satisfaction surveys provide information, evidence or impetus to become more effectiveness in one or more areas. For example, customer interviews, surveys and ratings on social media, may uncover issues with a product, service, maintenance, support or some aspect of the overall customer experience.
Businesses may also determine the need for change based on whether they’re a new company or a mature organization. A new player can make customer growth as the most critical KPI as it is focused on customer acquisition in the early stage of business. With growth, other KPIs such as customer retention and margins may assume more importance. An established organization can may once again make customer growth paramount as it will be interested in understanding how big it can become.
Commit
First of all, change shouldn’t be pursued for the sake of it. As the saying goes, if it ain’t broken, don’t fix it. After the need for improving organizational effectiveness has been ascertained through collected data and observational data, leadership must follow through and commit to taking the change plan to its conclusion.
New leaders and managers who have little or no change management experience can benefit from adopting a mindset that has the following elements:
– Resilience and persistence
– A willingness to step outside their comfort zone
– Focus on the big picture
– Adapt to challenges
– Avoid impatience or negativity if they don’t see quick results
– Devote more of their time to the change effort
Based on the area of effectiveness and the extent of change being pursued, leaders at various levels of organizational hierarchy should leverage the right tools and methods to visualize, plan, inform and implement the change. The tools of change include:
– Sponsorship roadmaps, the actions that leaders need to execute to fulfil their role in the change initiative.
– Communication plans describing how the change will be conveyed and over which channels, as well as the mechanism for feedback from employees.
– Data collection and feedback analysis tools.
– Employee training and manager coaching plans for organization-wide change.
Inspire ownership and accountability
Employees will lose interest or hope in a change plan that is neither well-defined nor wisely planned. The proven ways to elicit their support and encourage their best efforts are stated below:
– Identify the physical and human resources required for the initiative
– Try to limit higher-than-expected resource utilization
– Use best practices of workload management
– Define what people are accountable for
– Cascade goals downwards to departments, teams and individuals
– Provide updates on progress
– Provide training, coaching and learning as required
– Recognize and celebrate milestones
Remaining engaged throughout
If the initiative has a longer timeline, retaining the engagement and interest of employees should be managers’ radar. The following tips are helpful in keeping people focused on and aligned to the change vision:
– Promote the initiative in-house
– Remind people about the benefits of change
– Offer training and learning opportunities
– Resolve conflict quickly and amicably
– Solicit employee feedback
Dealing with Resistance
People can resist organizational change in two ways. They can oppose it actively, such as by undermining the effort or setting up obstacles in the path to change. Or they may respond passively, such as by agreeing to something but procrastinating or not following through.
Understand why people are hesitant to support change
Humans are wired to be cautious about change. We feel comfortable with familiar things and are less open to primates when it comes to trying anything new. At the same time, we are rational thinkers with the capability to understand the need and benefits of change. The level of acceptance towards change varies from person to person.
With this in mind, leaders need to consider the following points:
– Does the change affect everyone in the same way? Will some people or functions benefit more from the initiative? Will the effectiveness program burden particular teams or individuals?
– What are the feelings and emotions that can be expected as people embark on improving organizational effectiveness?
– How well have the organization expressed the change vision, strategy, impact and desired behaviors?
– How can resistance to change be observed and confirmed?
Overcoming resistance to change
When the change is meaningful, rational and motivated employees won’t resist it or come around after they’re clear about the benefits of the initiative to the organization and to themselves. That said, senior executives and managers can be mindful about how they communicate about the change initiative.
– Talk about the change from not just the organization’s perspective but also how it will affect teams, departments and people.
– Be transparent about the benefits and challenges of the initiative. Also explain how challenges can be overcome with people’s efforts and contributions.
– Avoid using the same script to explain the change initiative. Frame the message to the audience while providing the same big picture to everyone.
– Consider gaining the confidence and support of influential employees who can then create the right perceptions about the initiative among peers.
– Avoid letting preconceptions about an executive, manager, department or employee affect how you interpret their feedback and concerns.
Leaders and managers can make a list of objections to the change that they anticipate. Based on this information, appropriate change communication messages can be framed.
Impact of organizational culture on the change initiative
Organizational culture can be described as a system of shared values, assumptions, beliefs, and norms that guide and inform the actions of all the members of an organization. You can think of it as a collection of traits that makes a company what it is. If a company has great organizational culture, it will have positive traits that lead to improved performance. On the other hand, if the organizational culture is dysfunctional, it can hinder the growth of even the most successful organizations. Organizational culture affects how employees feel and act and the kind of employees that are hired and retained by the organization.
Why should organizations be open to change?
Organizational culture has a major impact on whether or not a company accomplishes its significant goals. To survive and succeed, organizations and their cultures must continuously evolve and change. Sometimes you may need just a few tweaks, and sometimes a complete overhaul. Businesses that do not embrace change are unable to adapt to changing market conditions and eventually lose out to their competitors. Businesses that are not open to change lose their competitive edge and fail to meet the ever-evolving needs of their customers.
Change also means growth opportunities. A change in the business environment allows employees to develop new skills, explore new opportunities, and exercise their creativity. New ideas and increased commitment from the employees ultimately benefit the organization.
Factors that cause organizational change
There could be a host of factors, both internal and external, that could prompt organizational change.
The external environment of an organization could be affected by political, social, economic, and technological stimuli that may bring about change. The internal environment could be affected by the management’s policies and procedures, systems, and employee attitudes.
Managing organizational change
Change management is a systematic approach that uses knowledge, tools, and resources to manage change in an organization. Developing a structured approach to change is essential for maximizing the benefits during the transition and mitigating the risks.
Here are a few steps organizations should follow for effective organizational change management.
– Clearly define the change and align it to the business goals of the organization. The organization must be prepared both logistically and culturally for the change to be successfully implemented.
– Once the organization is ready to embrace the chance, a thorough and realistic plan should be developed to bring about the change.
– Follow the steps outlined in the plan diligently to implement the change.
– Once a change initiative has been completed, measures must be taken to not revert to the status quo. It is imperative that change is embedded in the organization’s culture and practices.
– Simply implementing a change does not make it successful. Organizations must review progress and analyze results to ensure that a change initiative was successful.
Change management guides organizational change to fruition, from the conception stage to implementation, and ultimately, to resolution.
Course Manual 7: Work Management
Work management, as is evident from the term, refers to managing the work involved in the efforts to achieve the organizational effectiveness goals. This work is usually distributed among all levels of the organization, starting from individuals to teams to entire departments, with each having its own set of responsibilities. Work management needs to effective and on point to ensure that work is fairly distributed and all efforts put in by individuals or teams are aligned with effectiveness goals.
Work management involves structuring workflows so that individuals and teams can work more efficiently. With effective work management, an organization can create integrated processes and procedures that can help schedule work more efficiently. Effective work management is also related to improved consumer satisfaction, better utilization of assets, and efficient performance evaluation. Work management is meant to standardize the way work is done in an organization. It makes tasks trackable from beginning to end.
Work management includes the management of projects, ongoing processes, and everyday routine tasks in the organization. Project management takes up a major chunk of the work management efforts in an organization. Project management refers to all the work that must be undertaken before and during the execution of a new project. It starts with researching the feasibility of the project for the organization, planning the tasks to be undertaken for successfully executing the project, scheduling these tasks, arranging the necessary resources, and creating a budget for the entire project, among other things.
A project manager is usually assigned to each project who is responsible for the planning and overseeing that the execution is done efficiently by the teams under his or her supervision. Depending on the scale of the project or change initiative, there may a number of project managers handling different teams and reporting to senior executives. During the execution stage of the project, the project manager’s focus is on monitoring and reporting the progress of the project as well as the performance of the team under him or her.
Importance of work management
An organization usually has multiple projects and processes running simultaneously. In such a case, keeping track of each activity and managing the resources going into each project or process becomes near impossible unless there is an established system. Work management helps streamline the processes and make work more manageable. It minimizes the scope of errors occurring and helps deliver results faster with optimum input of resources.
Work management also helps to improve the performance of teams and individuals as there is a clear direction to the work they are doing. They understand what is the expected outcome, by when they should aim to achieve that outcome, and where they are supposed to start. Better performance by teams translates into better quality in the deliverables.
Work management also helps eliminate redundancies from processes and projects. Efficient work management can help identify those tasks or processes that are unnecessarily using up time and resources without adding much value to the final outcome. Reducing such redundancies also means there will be minimum wastage and make the process lean.
But apart from the benefits to the organization as a whole, at the team level too work management plays a significant role. Efficient work management fosters an environment of effective collaboration and teamwork, helping people work better together. In any project, the biggest challenge faced is effective communication among team members. With good work management, communication can be improved which is essential to ensure that instructions are understood and followed and no task has to be done more than once.
Steps involved in work management
Work management follows more or less the same structure as that of project management described above. It involves resource management, task management, time management, budgeting, reporting, and other similar steps. Though the intricate details of work management will vary from one organization to another, the common steps are almost always the same. The steps involved in work management in most organization’s include –
1. Identify
The first step in work management is to identify when and how the work is to be done. It needs a thorough and detailed analysis of the work at hand to understand what would be the best way to proceed with it.
2.Plan
Once the work has been dissected and analyzed thoroughly, it is time to plan the tasks that lie ahead. Planning will include what tasks are to be undertaken, how long each task is expected to take, what resources may be needed to successfully complete the tasks, and so on.
3. Schedule
The next step before the work plan can be implemented is to create a schedule for the work. This schedule will determine how often will progress be monitored (daily, weekly or monthly) as well as define the workflow and responsibilities of each individual in the team.
4. Implementation
With the schedule ready, the work can now be implemented. At this stage, managers need to be supervising and incorporating any new collaborations that can improve productivity. They also need to prioritize the work on the basis of urgency and importance and see to it that each team members follow the schedule that is set.
5. Document
Documentation is a very important part of work management and is usually the basic difference between an effective and an ineffective organization. In an effective organization, there will always be a paper trail to help revisit the processes and tasks undertaken. All the data gathered, inputs, communications, etc. during the project or process will be documented and provide valuable insights into the work.
6. Analyze
Lastly, the experience gained from the project or process and the insights obtained from the documentation have to be used to thoroughly analyze and refine the process further. Work management is not a one-time event in an organization. It needs to contribute to the continuous improvement of processes and people within the organization.
Managers can learn from previous experiences and plan work adopting certain practices that have been proven to be useful in the past with other projects.
Best practices in work management
Work management in an organization cannot be a rigid, static system. Organizational effectiveness itself requires an organization to be constantly improving and changing. So, for successful work management, it has to be a dynamic process that is constantly reviewed, updated, and improved.
A work management initiative can be considered successful when it follows some of these best practices –
Transparency and clarity
For work management to be effective, it is essential that everyone involved can trust the process. Transparency is the primary requisite of effective work management. The entire team has to have a clear idea of the project goals, deliverables of the project, its benefits to the organization, the quality standards that need to be maintained, available resources, planned timeline, budget, and any other critical information that they may need.
If employees are expected to work on the project as a part of the organization, they need to be on board with all the information that is available. Such clarity and transparency help build morale as everyone feels included and builds trust within the team as well as in the management.
Effective communication
We have seen how important clarity is and clarity comes from effective communication. Like in all other business operations, clear communication is very important in work management too. Without proper communication, misinformation and falsehoods may spread corrupting the environment and making the team less productive. Good communication ensures that information and knowledge are being shared effectively across the team which helps nurture a collaborative and healthy work environment.
Useful collaboration
Teams need to work together and making it easier to work together is the responsibility of both the team members and the managers. Better collaboration in a team also means better productivity. For effective collaboration, it is important to assign the right people most suited to manage the project. The project managers have a very important role to play in keeping the team together. There has to be a thorough review of the mid-level managers who have the skills and qualities to take on a leadership role in the project. There may be some managers already involved in the project informally whose roles can be formalized. Training and certification of managers can also add more quality to the team.
Risk management
No project should run without a risk response team. There may be several unforeseen incidents during the course of a project. Effective work management needs to take this fact into account and have backup plans ready. There may be issues arising due to budgetary constraints, scarcity of resources, economic turbulence, key assets quitting the project, and much more. The risk response team will find a way to keep the project moving despite these roadblocks and see to it that the schedule is not disturbed.
Control
A major challenge in ongoing projects and processes, particularly long-term ones, is the probability of scope creep. One minor change in the project schedule or plan can have a ripple effect and put everything off track, from the timeline to budget to deliverables. This is why the managers should have enough control over the project. Effective work management demands that all stakeholders are aware of the impact that any small change to the project can have before suggesting changes.
Preventing burnout
Work management does require everyone to stick to a schedule and deliver on time. But it is also important to remember that employees are human and they too have their limits. There is often a tendency to overlook the human side of things and team members are pushed too hard to achieve the targets. If this continues for long, employees may soon be drained out and productivity might plummet. Good work management means that no one in the team should be overworked and everyone should be able to maintain a healthy work-life balance under the leadership of an efficient manager.
Feedback
Lastly, gathering feedback from everyone involved in the project is extremely crucial to effective work management. Managers need to listen to every individual team member on their experience working on the project. Such interaction can bring to light persisting issues that may be slowing down the progress of a project or may put it off track if not addressed. Gathering feedback from the teams can help prevent disasters well in time to make a project successful.
The need for work management software
Work management can be made much simpler with the use of certain tools such as work management software. Work management software can bring a lot more visibility to the entire process allowing managers to track the progress of each task and the project as a whole. It can also improve collaboration within the team, simplify work distribution, and offer a common platform for managing the project.
Some of the common features of any good work management software include –
• Task management
The task management tools in the software help assign tasks to individuals or teams, set priorities and timelines, visible to all team members on the platform.
• Communication
Work management software also has communication tools like chat boxes and message boards, that make collaboration easy. Team members can interact, ask questions, receive updates, view newly assigned tasks, and more through these message boards and comments.
• File sharing
Another major advantage of using work management software is that it reduces the amount of back and forth through email that is otherwise required among team members. Most of these platforms have file sharing features that let users share documents, images, videos, etc. easily without having to leave the platform.
• Tracking and time management
Work management software will also usually have tools for tracking the time spent on tasks. Time reports may also be available. This feature helps monitor the progress of the project and the working hours spent on it.
Organizations may often be tempted to make use of all the features in work management software. But it is important to understand that not every organization needs every feature. Depending on the scale and the level of maturity of the organization, they need to decide which features could be of most help. Too many unnecessary features can make the tool more complex and may pose a hindrance to successful adoption.
It is best to keep these tools small in the beginning, allowing teams to take their time understanding the tool and learning the nuances. As they gradually get more comfortable with the existing features, more features may be added depending on the need. There may be several different templates of different job types, reports, and so on. It is important to be consistent when using these templates to avoid confusion and maintain uniformity across the organization. Sticking to a standard template and making changes or customizations whenever required is the best approach here.
Work management software gives organizations a lot of transparency and flexibility by providing a common platform for managing, tracking, and reporting on various projects. As more and more organizations today are promoting a remote or hybrid work policy, having tools like these for easier collaboration is essential to ensure that work can be carried out without disruption.
Course Manual 8: Job Design
The function of job design is considered extremely significant within an organization. It is crucial to create a theoretical framework of job design, keeping in mind the methods and strategies necessary to perform the job duties up to the expected standards.
The concept of job design came about in the early 1900s. Frederick Taylor, also known as the Father of scientific management, believed that organizational efficiency can be greatly improved by carefully designing work to increase productivity. He supported structuring jobs for standardization and simplification. Simplification means to break down a job into smaller tasks so that each worker could perform a small part in the total operation. When employees are delegated to perform small, simple tasks by concentrating on them, it leads to job specialization. Jobs that were designed in this fashion had several benefits, including reduced learning time and efficiency. However, over-specialized and simplified jobs led to dissatisfaction and a lack of motivation.
That is when the first efforts were made to make jobs more meaningful. The job design trend expanded into a pursuit of identifying and validating the characteristics of jobs to make them more motivating and satisfying.
What is job design?
Job design refers to the division of work tasks assigned to an individual within an organization. In simple terms, it specifies what a worker does, how, and why. Job design also gives information about the skills or qualifications required for a particular job. It also provides information about the financial and non-financial rewards that the employee gets for doing that job. Job design requires a fine balance between the needs of the individual and the needs of the organization.
HR managers have realized that job design has a significant influence on the job satisfaction and productivity of an employee. Poorly designed jobs lead to job dissatisfaction, employee burnout, and boredom. All of these factors result in low productivity and increased employee turnover, which ultimately results in increased overall costs for the organization.
Job design requires careful planning to organize the tasks, duties, and responsibilities in a way that helps achieve business objectives. Jobs need to be designed in a way that motivates employees to perform them in the best possible manner. Well-designed jobs that offer greater employee access, comfort, and flexibility have a positive impact on both motivation and productivity.
Productivity and job satisfaction are interrelated. Happy employees are found to be more productive than the ones unhappy with their jobs. Job design not just specifies the work content of an employee but also their responsibilities, the authority they enjoy over their work, and the scope of decision making. All this can have a direct impact on productivity and the level of satisfaction of an employee. Job design can also affect the relationships in a group and the overall productivity of a group.
Effective job design can be complex and there are several things to be considered during the process. Organizational objectives, employee aspirations, performance standards, work environment, and many other factors need to be considered during the job design process.
Goals of Job Design
The primary objective of job design is to meet the requirements of the organization, such as high productivity, quality of work, and technical efficiency. It also needs to facilitate the interest of employees towards the job and increase job satisfaction. Doing so ensures that employees remain motivated which results in high productivity.
Another goal of job design is to identify training needs so that employee skills may be enhanced. When employees have the necessary skills, tools, and resources to perform a job, it boosts employee morale and motivation.
The goal of job design is also to ensure a safe work environment for all employees. It also helps make the communication process clear and effective within an organization. Job design improves the working life quality of employees by eliminating unnecessary levels of supervision and control.
Effective job design is also beneficial for the customers of an organization. Since it keeps employees motivated and ensures job satisfaction, it also results in higher levels of customer service and client engagement. Job design, when done right, also minimizes cost by reducing waste.
Factors affecting job design
Various factors may affect job design. However, they may broadly be classified under three heads- Organizational, Environmental, and Behavioral.
Organization factors
Organizational factors that could affect job design could be the nature of the work, workflow, ergonomics, and organizational practices.
– Nature of the work
A job has many elements and job design needs to classify various tasks into a clear and understandable set of jobs. The tasks may include planning, execution, monitoring, and controlling, and all of these need to be considered during job design.
– Workflow
The sequence of a workflow is often determined by product and service type. Various product or service processes need to have a balance between them and job design ensures that.
– Ergonomics
Ergonomics takes the physical capabilities and individual traits of employees into consideration during job design to ensure efficiency and productivity.
– Organizational practices
The culture of an organization often determines the way tasks are carried out within the organization. Organizations lay down practices or standards regarding how a certain task needs to be carried out. If the practices are not aligned with the interests of the employees, it may impact job design.
Environmental factors
Environmental factors could include both internal as well as external factors. These factors could include employee skills, their availability, and their cultural and socioeconomic prospects.
– Employee skills and availability
Employee skills, abilities, and time of availability play a major role in job design. Designing a job that is beyond the skill set of an employee leads to decreased productivity, demotivation, and employee dissatisfaction.
– Cultural and socioeconomic expectations
Jobs these days are more employee-centric rather than being process-centric. More jobs are being designed keeping employees in mind. The literacy and skill level of employees are high these days, and they demand jobs that are in line with their skills and competency levels.
Behavioral factors
Behavioral factors pertain to human needs that must be satisfied to ensure productivity at the workplace. Some of these factors are:
– Autonomy
Employees should be allowed to work in an open environment that promotes innovation, creativity, and interdependence. When employees can work freely without any fear, it leads to higher productivity and job satisfaction.
– Feedback
Feedback, both good and bad, is necessary for improvement at work. Each employee must receive proper feedback about their work performance.
– Diversity
Jobs that are mundane and repetitive make work tedious and monotonous, leading to boredom. A job should have enough diversity to keep it interesting with every passing day.
– Use of skills and abilities
Jobs need to be designed in a way that empowers employees to make full use of their skills and abilities to perform the job effectively.
Job design methods
Job design can be carried out by various methods. Some of the main job design methods include:
Job rotation
Job rotation provides employees of an organization exposure to many different roles and profiles across the company. During job rotation, an employee may be shifted from one job to another allowing the employee to learn and understand what each job involves. The employee’s performance is tracked at every job to decide whether he is suitable for the job. Based on suitability, the employee may be given a particular posting. Ideally, the employee is placed in the department where his performance was the best.
Merits of job rotation
– Job rotation eliminates monotony by enabling employees to learn new things and enjoy their jobs.
– It gives employees the opportunity to learn different things on the job broadening their knowledge.
– Job rotation is also effective against preventing fraudulent practices among employees. When someone handles a job for a long time, they may be able to find loopholes in the system and exploit them. Job rotation helps avoid this.
Demerits of job rotation
– Job rotation could cause interruptions in work. It takes time to get comfortable in a job, and just when that happens, the employee is shifted to another job.
– The quality of work may suffer because the quality delivered by a trained employee is not the same as a new hire.
– Job rotation may initially affect productivity as it takes time to learn a new job to deliver the performance expected.
Job enlargement
This job design method adds more tasks and value to an existing job profile. It involves combining various activities at the same level in the organization and adding them to the existing job, which increases the scope of the job.
Merits of job enlargement
– Job enlargement helps employees improve their skills by helping them learn new things through new tasks.
– It gives employees more autonomy, accountability, and responsibility to employees increasing their motivation.
– Added responsibilities often result in better compensation, allowing employees to earn more at the same job. The added skills that the employee learns are also useful for career growth.
Demerits of job enlargement
– Job enlargement could lead to low efficiency due to lesser specialization. When you do a job over and over day after day, you get good at it. However, when more tasks are added it leads to less specialization, therefore lesser efficiency.
– If the employee is not compensated for the extra work, job enlargement only creates more burdens for the employees.
– Since job enlargement involves adding extra tasks and responsibilities that the employee did not have before, the organization could incur additional costs in training.
Job enrichment
Job enrichment aims to enrich the job of an employee by adding more responsibility, value, and decision-making powers. These motivators make the job more challenging but also rewarding and interesting.
Merits of job enrichment
– Job enrichment empowers employees by giving them some amount of power, which makes the job more challenging and exciting.
– It can improve the decision-making capabilities of employees helping them in their career path.
– By giving employees the power of decision-making, organizations can determine which employees are of managerial caliber. They can thereby mark employees suitable for further promotion.
Demerits of job enrichment
– Job enrichment is based on the assumption that employees have the right attitude and the complete knowledge to make important decisions, which may not always be correct.
– Job enrichment could lead to conflicts among employees, where one of them may not be happy about the other being given decision-making powers.
– Job enrichment does no good for employees who are internally dissatisfied with the organization.
Importance of job design for organizational effectiveness
Organization effectiveness is the measure of how effective an organization is in achieving the goals that it had set for itself. How an organization manufactures its products, how much waste it generates, and how efficient its processes are, all come under the purview of organizational effectiveness.
There are six steps to organizational effectiveness:
1. Leadership
The Management and leaders set forth the vision for the organization- what goals they hope to accomplish, how they intend to carry them out, and what results are expected to be achieved. It is crucial for leaders to define and refine key processes and execute them with daily discipline.
2. Communication
Strategic communication is another important aspect as it ensures that the message from the leadership is fully understood by everyone in the organization.
3. Accountability
Leaders convert their larger vision and strategic direction into numerous goals and objectives, and actions, and accountabilities. Performance accountability systems make it clear to employees what is expected of them and align rewards and consequences to their performances.
4. Delivery
Your products and services can only be considered successful if your customers receive them in the first place. Hence, an efficient delivery system is a must. Organizations that have long, complex delivery processes are at greater risk of errors and inefficiency.
5. Performance
Hiring the right person for a job is essential for organizational effectiveness because not everyone is suitable for every job. Hence, organizations need to focus on hiring, training and retaining the perfect applicants for the jobs and processes that they have.
6. Measurement
You can only determine if a business process is effective or not if you can measure it. At the final step of organizational effectiveness, you need to analyze and measure your processes, projects, and other systems. It is also important to use the correct metrics to measure organizational effectiveness.
Job design is a crucial part of human resource practices and organizations just cannot do without it. It often has a direct and significant impact on organizational effectiveness. If an organization wants to succeed and achieve their goals and objectives, they need to rely on the skills and knowledge of their employees and operations to deliver products and services to the marketplace. Restructuring the job design offers opportunities to minimize performance uncertainty, and boost motivation and work satisfaction.
Job design is a dynamic concept. Variables that affect job performance keep on changing, and that makes job design an ongoing process. Factors such as technological developments, organizational practices, ergonomics, and numerous other factors affect job performance.
Course Manual 9: Systems Evaluation
Organizations use monitoring and reporting tools for real-time insights into hardware and software performance. These are tactical insights that don’t provide the big picture of IT performance. A periodic assessment of the organization’s IT systems is necessary to gauge their effectiveness and improvement opportunities. The review considers parameters such as performance, configuration, capacity and any limitations that may be affecting organizational effectiveness. The findings of the assessment can inform planning, budgeting and technology investments.
Benefits of systems evaluation
The reasons and benefits of evaluating organizational systems are diverse and vary from company to company. Some conduct an assessment every few years as part of their technology refresh. Others do it in response to a critical business event or technological advancements in their industry. Commonly, the focus is on adopting new technology and replacing existing systems with better, more cost-effective technologies. An annual review of the organization’s IT systems and performance is reasonable.
Examples of organizational systems
At the management level, decision-support systems (DSS) and management information systems (MIS) analyze, control and visualize information, and synthesize it into actionable intelligence. Strategic-level systems are used for high-level planning and sales forecasting. For examples, organizations may use an executive support systems (ESS) to transform enterprise data into quick executive reports to aid decision-making by senior-most managers and the C-suite.
Decision support systems
– Examples include manual systems, hybrid systems and software that perform sophisticated analysis
– A DSS analyzes large data sets and speeds up decision-making
– Decision support systems may perform descriptive analysis, diagnostic analysis or run queries to provide business intelligence
– ERP dashboards that enable managers to monitor different performance indicators
– Predictive analysis tools use data mining, statistical analysis and machine learning to predict future events
Management information systems
– Operational management systems include knowledge management systems and transaction processing systems that employees use as part of daily operations.
– Tactical management systems that line and unit managers used to inform tactical decisions. These systems use both structured and semi-structured data.
– Strategic management systems that senior executives use to extract insights from unstructured data.
Executive support systems
– Enterprise Resource Planning to optimize resource allocation for important business activities for efficiency gains
– Accounting information systems that manage the organization’s accounting and payroll data to streamline human resource activities.
– Sales management systems that manage sales and marketing data, track deals, handle administrative work and provide insights into functional KPIs.
Metrics to track
Organizations can track metrics in three areas: financial, delivery and opportunity. Financial issues are related to the costs of operating and maintaining applications and systems. For example, the organization may find out that the costs of maintaining a particular software or service is higher than expected, and replace it with a software-as-a-service (SaaS) solution. Delivery aspects are linked to productivity and must be reviewed periodically. If certain systems report issues several times in a month or take long to repair, then operations will inevitably suffer. Opportunity issues have to do with growth or innovation. For example, how can adding new systems or upgrading existing ones improve business agility, efficiency or innovation ability?
Evaluating operational performance
1. Set goals: Do you want to optimize IT costs, update to a new technology or improve performance?
2. Define the scope: Limit or extend performance measurements based on goals.
3. Gather data: Collate data that guides the assessment of IT systems. Establish KPIs and tests to support the review.
4. Analyze: Map the KPIs and metrics to goals. Make objective assessments about the current state of the IT infrastructure within the scope of the review. Compare against previous reviews to identify changes in performance, if any.
5. Suggest recommendations: The analysis will reveal issues and opportunities based on which appropriate actions can be determined.
Cybersecurity assessment
A cybersecurity assessment analyzes the organization’s cybersecurity controls. It provides insights into the overall cybersecurity posture, which includes the ability to thwart attacks and vulnerabilities that are open to exploitation.
Benefits
– To safeguard sensitive data
– To prepare for sophisticated cybersecurity attacks
– To avoid lawsuits and government actions arising from a data breach
– To prevent reputational damage from a data breach
Cybersecurity frameworks
A cybersecurity framework is a set of cybersecurity policies and processes mandated by the government to protect the information stored in business systems. The common cybersecurity frameworks are:
– NIST Cybersecurity Framework that integrates industry standards and best practices to mitigate cybersecurity risks. NIST categories are Identity Management, Authentication and Access Control, Awareness & Training, Data Security, Information Protection & Procedures, Maintenance and Protective Technology.
– ISO 27000, a series of best practices to assist organisations in improving their information security.
– The General Data Protection Regulation (GDPR), an EU regulation on the collection and processing of data from customers.
– The Health Insurance Portability and Accountability Act (HIPAA), federal law requiring healthcare organizations to protect sensitive health information and make healthcare plans accessible and portable to patients.
– The Payment Card Industry Data Security Standard (PCI-DSS) that requires businesses to protect cardholder data by ensuring a secure network environment.
– The Cybersecurity Maturity Model Certification (CMMC), mandated by the U.S. Department of Defense, requires defense contractors to undergo a cybersecurity assessment to gauge their capabilities, readiness and maturity in the area of cybersecurity.
Steps to perform a cybersecurity assessment
1. Determine the scope of assessment: Identify all the assets and information they hold that will be included in the assessment.
2. Identify the value of IT assets: Compute the costs of assets and their contribution to operations and employee productivity.
3. Identify cybersecurity risks: Consider situations where the systems are likely to be exploited and the corresponding impact on the organization.
4. Compare asset value against the cost of prevention: Determine whether the costs of preventing cyberattacks against the systems are more than what the assets are worth.
5. Establish security controls: Implement security measures and monitor critical assets continuously.
Course Manual 10: Performance baseline
An assessment of the organizational processes and systems is a systematic approach to finding relevant and valid information about the performance of an organization. Several factors may affect the performance of an organization and thus, its effectiveness as well. Organizational performance evaluation needs to consider the entire organization as the primary unit of analysis and take into account all of these factors that may influence its performance.
Organizations are not static. They are constantly trying to adapt to the changes in the environment, both external and internal, and survive in the ever-increasing competition. They are always thriving to perform better. But every organization faces failure once in a while. Their efforts to successfully achieve their goals or maintain their effectiveness may not always bring the desired results. This indicates that something within the system needs to be reconsidered or changed to improve their performance. That is where evaluation plays an important role. Performance evaluation helps an organization identify the factors that are impeding or helping their efforts to achieve desired outcomes, obtain useful data on their performance, and picture where they stand in comparison to their competitors.
Why performance evaluation is important to an organization
Performance evaluation tries to study whether the results obtained are aligned with the organization’s objectives. An analysis of the organization’s current state to establish a performance baseline is necessary for several reasons. Some of the most important ones being –
i) It generates a greater awareness of the contribution made by every individual, team, or department
ii) It gives a better understanding of which processes, tasks, and systems are adding value and which are not
iii) It helps predict the challenges and threats facing the organization in the future and allows the organization to be prepared for it in time.
Performance evaluation also helps an organization –
• Determine whether the goals and objectives originally set for the organization are being achieved along with their expected impacts.
• Check whether the organization is effectively adapting to changes in the environment, technology, or any other external factor to ensure efficient utilization of the resources at hand.
• Identify weak areas in the organization that require more attention and need to be modified or improved for better performance.
• Gather valuable information which can prove to be very useful in future planning for the organization and determining the priorities as well as resource allocation effectively.
• Obtain valid financial data that can help determine and justify the requirement for more resources.
• Keep the critical activities within the organization on track
Types of evaluation in an organization
Organizational performance and effectiveness depend on a number of factors. These may include financial factors, operational factors, personnel, and so on. Evaluation of an organization’s performance, therefore, cannot be restricted to simply assessing whether the goals and objectives have been achieved. A thorough performance evaluation has to focus on all these different areas that impact a company’s performance and this brings us to the different types of evaluation that may be carried out in an organization.
Depending on what is being assessed, the different types of evaluation in a company may include-
• Evaluation of economic impact
The evaluation of economic impact involves the measurement of how effective the research results have been in delivering, particularly in terms of economic impact. This kind of evaluation can be done using techniques like cost-benefit analysis or a measurement of the returns on investment.
• Basic evaluation
Basic evaluation of an organization covers all the key areas of business and tries to find out ways of improving them. It analyzes the technical, socio-economic, physical, and institutional aspects of a company and determines how further research can contribute to making these areas more effective.
• Impact evaluation
An organization is always trying to alter certain variables through its activities. Impact evaluation studies the long-term effects that it has had on these variables which is a measure of the impact their activities have had. For instance, in the case of training of manufacturing company workers, the impact of evaluation would focus on how well the trainees have been able to transfer the new skills learned onto their work. Or in an automotive company, impact evaluation may measure how their market research has helped in increasing their market shares and so on.
• Analytical evaluation
Analytical evaluation mainly involves evaluation in terms of productivity, risk assessment, use of human resources, marketing costs, and other similar aspects of a business.
• Operative evaluation
Operative analysis, as is evident from the name, focuses on operational factors in an organization. It refers to the measurement of efficiency in terms of materials and resources used, activities undertaken and the results attained. This is usually done through comparative analysis.
• Traditional evaluation
Traditional evaluation refers to all the tried and tested methods of performance analysis that are still quite relevant in most organizations. These include the use of reports, evaluation committees, ad hoc groups, courses, seminars, and technical meetings for the assessment of progress and performance.
• Evaluation of results
Evaluation of results refers to the quantitative and qualitative analysis of the results obtained from research, activities carried out or corrective measures adopted.
• Evaluation of personnel
The performance of individuals and teams working in the organization is probably the biggest contributor to organizational performance. Evaluation of personnel focuses on the evaluation of individual performances of the administrative, technical and professional human resources of the organization.
Evaluation results are not only of use to the organization for improving its systems and processes but to other stakeholders in the organization as well. performance evaluation results can be used by –
– People in decision-making and policy building roles
– Investors and funding bodies supporting the business
– Direct and indirect participants in the organizational activities such as employees, suppliers, technology partners, etc.
– Evaluators who design and execute the assessment exercises
– Other organizations looking for resources and benchmarks
Apart from internal assessments by senior executives and leaders, inputs from other stakeholders can also prove to be very valuable in evaluating the performance of an organization. The views of customers, investors, vendors/suppliers, community members, and others are crucial in establishing a performance baseline as they give an external perspective into the whole matter. Particularly when an organization is evaluating all the parameters that can impact or influence its competitive position in the market, the inputs from every stakeholder can be extremely useful.
Setting the right framework for measurement
One of the most important practices in the evaluation of organizational performance is choosing the metrics for measurement. To arrive at a meaningful and useful result of evaluation it is important that the criteria being measure and the metrics used are aligned with the goals or objectives set earlier.
Whether the organization is trying to measure its improvement in comparison to the past year or measure its performance in comparison to its competitors or carrying out some other analysis also needs to be clear. Having a well-defined frame of reference is just as important as choosing the metrics of measurement to ensure that the results of the evaluation are comprehensible.
Evaluation also needs to have a defined time frame. For instance, whatever is being assessed in the organization, whether the assessment would be over the past year or the past 5 years or 10 years. The time frame can have a significant impact on the results of the evaluation. Short-term assessments over the past 6 months or one year may not show any readily visible changes or improvements. But when the same assessment is done over a longer span of, say, 5 years or 10 years, the results may be quite striking.
In other words, before starting with performance evaluation an organization needs to have a complete framework ready, that takes into account all the factors that may impact the results and the actions to be taken post evaluation.
Tools used in performance evaluation
There are numerous ways of collecting and analyzing data when carrying out a performance evaluation. The data collection may be qualitative or quantitative based on what is being assessed. When the assessment is being carried out involving a large sample size, quantitative data can be more useful or manageable. It can give fast and more comprehensible results.
Some of the most commonly used and effective tools for organizational performance evaluation are the ones listed below.
• Surveys
Surveys are a very common tool used in the quantitative evaluation of a process or system. The reason behind the popularity of surveys is primarily the ease with which they can be carried out online these days. Evaluation of different parameters and gathering inputs from different stakeholders may require an organization to create separate surveys for each case. Surveys, however, need to be highly focused in order to yield relevant results. A very broad approach may result in the collection of a lot of irrelevant and unusable data which would only be a waste of time for both the organization and the respondents.
A well-designed survey should be specific. And for this, the first that we need to know is what is being measured. The framing of survey questions should be neutral and should not influence the respondent’s opinion. Neutral questions can derive the most accurate answers. Moreover, since a large number of people are usually taking a survey simultaneously, it is important that everyone understands the language used. So avoiding jargon and using simple language in the questionnaire is essential. A single question should be exclusive and multiple questions in question should be avoided to ensure the accuracy of the responses. A survey questionnaire should leave no scope for assumptions as far as possible and should focus on gathering factual data only. Since surveys are a tool for quantitative analysis, response options should be quantified. So instead of using terms like bad/good/fair/ excellent using numeric values like a scale of 0 to 10 can be much more useful for the analysis later.
Well-made surveys can yield very useful results and also have better response rates.
• Pareto Diagrams
Pareto diagrams are a very useful tool that points towards the areas that need the most attention at the moment. The diagram is based on the Pareto principle or the 80/20 rule. This rule says that 80% of the outputs in an organization are the result of 20% of the inputs and vice versa. Similarly, it can be said that 20% of the defects or errors in the system are causing 80% of the issues in the organization.
The Pareto diagram is made in the form of a bar chart, where each bar represents a defect or a cost being incurred, the height of the bars represents the frequency with which the defect is occurring or the cost is being incurred. The tallest bars are towards the left of the diagram and they are arranged in decreasing order of height.
From the Pareto diagram, managers can find out the top 20% of defects or faults that are affecting the organization’s performance. According to the principle, addressing these issues can improve a major part of the organization’s output.
• Control Charts
Control charts, as the name suggests, track the way a process performs over a given period of time and helps keep the process within control. A control chart usually has a straight line running through the middle of the graph, which is the control line. The control line defines the ideal average value or performance that is expected. The deviations in performance from this control line show how far the process is from the expected ideal value. There are also upper and lower control limits that define the boundaries.
A process that runs as close to the control line as possible and does not cross the upper and lower limits is considered to be under control.
• Cause and Effect Diagram
Cause and effect diagrams or Fishbone diagrams (named so because of the shape that it takes) study the various possible causes of a given effect. For instance, if a manufacturing company is trying to find out the cause of a particular recurring defect in one of their products, they will have to map out all the possible causes. The problem statement or the defect is at one end of the fishbone and all the possible causes branch out from it. By analyzing all the possible causes, the probability of finding the main cause of the defect increases.
• Process Mapping
In process mapping, a process is considered as a set of steps and decisions that need to be taken. Mapping out all of the steps involved and the decision points can give valuable information about the structure of the process in a visual format. This makes it easier to identify shortcomings and address them to improve the process. A process map can also help managers standardize processes and make them easier for employees to understand and follow.
• Gap Analysis
A gap analysis, as the name suggests again, is an analysis of the difference between the current state of a business and the ideal state that it is trying to achieve. A gap analysis tells the organization how far it is from achieving its goals and highlights what is keeping it from reaching those goals. The managers can then create a plan to bridge that gap between the current and desired state.
Apart from these commonly used methods, there are also certain other methods of qualitative analysis, such as:
– Observation
– Interviews
– Focus groups
These tools allow the organization to observe, discuss and analyze various aspects of an organization’s performance and arrive at some valuable insights. However, as the results of these analyses are not numerical values or capable of being plotted on a chart, interpreting the results is not as simple and straightforward as quantitative analysis. The results or observations made from qualitative analyses almost always need to be backed by quantitative research.
Using the qualitative and quantitative tools in conjunction can help an organization establish a concrete performance baseline to adhere to.
Course Manual 11: Resource Assessment
To achieve the organizational goals or carry out activities, an organization needs access to resources. An organization needs different resources to accomplish its goals and the major resources that any organization uses include –
• Financial resources
• Human resources
• Physical resources, and
• Intellectual resources
Financial resources refer to all the capital assets in a company which may include the working capital, equity capital, debt capital, etc. Human resources are one of the most critical resources in an organization, which refers to the employees and management of the organization. Human resources have a major contribution in making an organization more effective. Physical resources are all the tangible resources in a company such as the buildings, equipment, machinery, offices, warehouses, factories, and so on. Lastly, intellectual resources refer to the information and knowledge base of the organization which includes employee skills, proprietary information, client relationships, unique organizational systems, and similar resources.
Financial resources
Financial resources usually include the cash, credit, and lines of credit involved. The first thing that any organization needs to start a business is capital. Financial resources are used for a number of company activities including procuring materials, machinery, paying rent, paying salaries, insurance, and much more. There are more things that a business needs to focus on today than it needed to a few decades ago, such a building a website, digital marketing, acquiring collaboration software, and other software tools. All of these activities require funds and so the need for financial resources is ever-increasing.
Financial resource management is probably one of the most challenging and crucial areas in a business and failure in this area can cause the entire business to collapse. There are several ways an organization can obtain financial resources, the easiest of which is to have a company account from where funds can be withdrawn when needed. However, if funds are not available through the company account, there are other options such as loans and lines of credit from investors, financial institutions, equity shares, trade credit, and others.
Human resources
After financial resources, the next more important resource in a company is the people working in it. Human resources are the employees of an organization, whose performance directly translates to organizational performance. Hiring the right talent and targeting people with excellent professional track records is essential to ensure that the company will be better able to achieve its goals. Capable and skilled human resources can be hired directly by the in-house talent acquisition team of a company. Or organizations may avail the services of a staffing agency or talent acquisition firm to find and hire the right talent for them. Another very effective way of finding good talent is through referrals from a trusted source. In some cases, an organization may also bring in external consultants to assist them with a project or task, particularly when hiring a full-time employee is a less economic option.
Acquiring human resources is only the first step. Managing and retaining employees is the more challenging area of human resource management. Once the organization has found the right talent, it has to make every effort to retain that talent. The human resource in a company needs to be managed most carefully as there are human capacities and emotions involved. Overburdening your employees or a lack of recognition, little things that are often overlooked, may result in a huge dip in performance and even losing talent in some cases. An effective organization has to focus on equal distribution of work, pay parity, work-life balance, training and development, and any other factor that may affect the performance of its human resource.
Physical resources
Physical resources, as we have already mentioned above, are all the tangible resources that a company needs to meet its targets and attain its objectives. Every business needs a workspace, warehousing, equipment, stationery, furniture, raw materials, parts, and much more. All of these assets are a company’s physical resources. It is easy to go overboard with the physical resources and end up spending more than an organization should on these assets. But it is also important to have sufficient resources and a shortage may lead to a drop in the performance of employees and the organization as a whole.
So, it is essential that managers and business leaders carefully assess the requirements of physical assets before procuring them and the approach to this must be realistic and practical to avoid wastage and losses.
Intellectual resources
The intellectual resources of an organization are intangible assets but are equally valuable as all the other resources in a business. These resources include employee skills, intellectual property, patents, branding, partnerships, copyrights, and more. These resources are a company’s unique strengths and can be a major deciding factor in their competitive position in the market. Having sufficient intellectual resources that are not easily accessible to others or easy to imitate can put a company well ahead of its competitors.
Organizations that are effective pay a lot of attention to resource management. Resource management is the practice of allocating resources efficiently within an organization to ensure that a task is completed with the best possible outcome. It is usually the responsibility of the people at the managerial level to see to it that there is no over-allocation or under-allocation of resources in any area of the business. It requires good decision-making skills and critical thinking to be able to carry out resource management effectively. Managers need to make the call in choosing which initiatives to favor when allocating resources and which of the less promising initiatives to set aside. So, training in project management and a background in a decision-making role are essential for this job.
Resource-based vs Market-based view
The market-based view is an outward view that says that the organization’s performance or competitive advantage is dependent on its external environment. It does not focus on internal processes and resources. It is assumed in this perspective, that the resources used in an organization are perfectly mobile and homogenous. The strategy for business in market-based firms is built on the basis of market conditions.
The resource-based view is more focused inward. It attributes the company’s success and competitive advantage to the resources and capabilities of the organization. In other words, the resource-based view focuses on the internal environment of an organization and it is these internal factors, the strengths, and weaknesses of the organization, that determine its ability to compete in the industry.
The market-based view was introduced by Michael Porter, who also introduced the concept of competitive advantage. The resource-based view was first discussed by Jay Barney.
According to the market-based view, the success of an organization depends on certain key factors such as entry barriers, the number of competitors in the market, and the elasticity of demand. Porter’s framework of market-based view identifies 5 forces that determine the level of competition within an industry. These 5 forces are –
1. Bargaining power of suppliers
2. Bargaining power of buyers
3. Threat of new entrants
4. Threat of substitutes
5. Competitive rivalry between the existing players
These forces, according to Porter, influence the costs, prices, required investments, and the returns on investments of a company. Porter also suggests that three generic strategies that can help organizations achieve success. The three strategies are:
Cost leadership – The first strategy, according to Porter, is to keep the production costs at the lowest. As production costs go lower, the company can afford to offer the lowest prices in the market as well. This cost leadership is achieved by making use of economies of scale. So, if the production volumes are higher, resources are being utilized to their full capacity, more markets are being explored or in other words, when the scale of the output is higher, costs can automatically come down.
Differentiation – Organizations can also gain a competitive advantage by differentiating their products and services from the rest of the players in the market. As the quality of the product improves and there is more value added to it, the company can think of charging premium prices for the additional value that they are delivering. The tech giant Apple is a great example of this strategy. Their products have very little competition in the market because the value that they are delivering to consumers is hard to replicate and they are also able to sell their product at premium prices because consumers are willing to pay for the exclusivity.
Focus – The last strategy suggested by Porter is to focus on a particular segment of customers or stick to a niche. For instance, automobile companies like Bugatti deal exclusively in sports cars and appeal to a small section of buyers. Their business does not depend on mass sales but on the few, high-net-worth, repeat customers who are willing to pay the price for their niche products.
The resource-based view has a very different approach altogether. According to this school of thought, resources are assumed to be heterogeneous and immobile. It acknowledges that organizations differ in terms of the skills, resources, capabilities, and structure they have. So when the resources in each organization are different, it plays a crucial role in determining the strategies to make the organization more competitive. Immobility of resources means that resources cannot be easily replicated or transferred from competitors, at least not in a short span of time. So according to the resource-based view, organizations can only gain a competitive advantage by utilizing their existing resources effectively and acquiring new valuable, inimitable, and sustainable resources.
Resource analysis
Resource analysis is essential to understand an organization’s capabilities and the value of its resources. An analysis of the resources in an organization can answer several important questions and can bridge the gap between simply having valuable resources and using them wisely.
VRIO analysis is a widely accepted and adopted method of resource analysis that looks at four qualities of a resource that make it valuable. The results of this analysis can help the organization rethink its strategies and adopt change management initiatives that allow for the optimum use of these resources and increase organizational effectiveness.
VRIO analysis
VRIO analysis is an in-depth resource analysis method that focuses on value, rarity, imitability, and organization.
Value – Value tells us whether a resource is acting as a strength or a weakness for the organization. If a resource or an internal capability is adding value for customers and gives opportunities to neutralize competition in the market, it can be considered for the next step of the analysis. But if a resource does not add any value or if the cost of the resource outweighs its benefits, it is only a liability and can be discarded.
Rarity – Rarity tells us if a resource is hard to acquire but is available to an organization. Having a resource that is rare but accessible to the company is a huge competitive advantage. If a resource is valuable but not uncommon or scarce, it makes the competition a lot tougher. Such resources need to be reconsidered and their value for the company must be reassessed. But if you have a rare resource, it can move on to the next stage of analysis which is imitability.
Imitability – Imitability of a resource means how easily it can be recreated or mimicked by competitors. If a resource is easily imitable, it does not hold much value in terms of competitive advantage. Competitors will soon have access to the same resource and nullify the company’s efforts to make a place for itself in the market. Even if a resource is valuable and rare, being easily imitable only gives the organization a temporary competitive advantage. Such resources need to be reassessed. But if a resource is valuable, rare, and inimitable as well, then there is just one more stage of analysis left for it.
Organization – This is the last stage of analysis, which determines whether the organization is prepared to make the best use of the resource. The organization has to have the right management systems, culture, structure, and processes to capitalize on the resource in question. If the organization is not prepared to make the best use of a valuable, rare, and inimitable resource, it will not be able to unleash its full potential and is losing out on competitive advantage as well. In such a case, the company needs to brainstorm and find out ways to make the organization more capable of managing these resources. An organization that is well-equipped to put valuable, rare, accessible, and costly-to-imitable resources to full use, has a sustainable competitive advantage on its hands.
The role of managers in resource assessment and analysis
Resource management and allocation are usually done by the company’s managers. Managers have the authority to procure and deploy resources when and where they are needed most in an organization. Allocation of resources is mostly done at the discretion of managers. That is why it is important that managers are capable and well-trained to handle resource management effectively.
The managers in an organization need to correctly identify the resources needed, plan, analyze costs, and acquire the resources for every stage of a project’s lifecycle. Managers need to be aware of the available resources in the organization. The organization may already have certain resources that are not being used to their full capacity and there may be certain resources that the organization is lacking.
Managers must analyze the organization’s capacities to determine in which areas there is a lack of resources and where resources are being under-utilized. Understanding the priorities of the organization, resources may be reallocated to the more important activities and projects or there may be a need to acquire more resources. Managers also need to be far-sighted in this regard and plan the resource allocation not just for the present but also for the future of the company. Planning ahead and analyzing the cost of resources for the future helps assess the feasibility of the resource.
Resource managers need to make use of all the available tools like the VRIO analysis mentioned above, competitor analysis, gap analysis, etc. to determine which resources could give the organization a more sustainable competitive advantage.
Course Manual 12: Improvements
It has been emphasized frequently that organizational effectiveness is not a one-time initiative but requires a process of continuous improvement. It requires the organization to be successful not just once but consistently every time. Leaders and managers in an organization need to repeatedly reflect on the factors that influence the organizational effectiveness efforts of the company and ensure that they undergo regular improvements. There are certain key areas that need to be monitored and improved on a regular basis to make sure that the organizational effectiveness initiative stays on track and the desired outcomes are achieved successfully and consistently.
These key areas of focus are – communicating the change, removing barriers and roadblocks as the initiative sets in motion, and managing the impact of the initiative in a timely manner.
Communicating the change
Change management is one of the most critical areas of continuous improvement. Whenever an organization takes one step towards a better, more effective future, there has to be change. The organization will undergo a transformation in numerous ways and in various business areas. For the people involved, that is primarily the employees, this change may be overwhelming at times. They are often unable to understand why it is necessary and how it will impact them individually. Employees can have a lot of questions regarding their future in the organization as well as the impact of the change and their efforts on the organization’s future.
It is very important that everyone involved in the change initiative is aware of the vision for change that the organization nurtures. The vision should be communicated to all before starting with the detailed planning and implementation of the initiative. The leaders of the organization must ensure that all managers, department heads, team leads, and supervisors communicate a realistic, achievable, and uniform vision to their respective teams or departments. Consistency in the vision communicated is essential to demonstrate that the organization is sure of what it is trying to achieve. It also helps manage employee expectations and minimizes the sense of confusion and doubt surrounding the change.
Managers must be able to answer all the questions that may arise from time to time. First of all, the case for the change needs to be communicated to all employees clearly at the beginning of the initiative. This gives the employees a clear idea of what they are working towards and why. This is the first necessary step in change management.
The areas of change that are being considered must also be communicated to the employees. knowing only the outcome of the initiative is not enough. Employees must have a complete picture of how the organization aims to achieve those outcomes. When the areas of change are known to them, they will be better able to direct their efforts. Employees will know which areas to look at and will also be able to gauge the impact of the change in these areas.
As the initiative progresses, employees should be included in discussions and reviews that share data on the impacts of the change. These could include data on defect rates, sales performance, customer reviews, cost vs benefits reports, innovation scorecards, and so on. All of these areas may be affected by the change initiatives undertaken by the organization. If there are positive outcomes in these areas, it could motivate employees to perform even better for the future of the initiative. When employees are able to see results for the hard work they have put in, it boosts their morale and drives them to contribute more to the organization.
Removing barriers
There may be several roadblocks in the path of change when an organization is making an effort to transform. Obstacles and barriers to organizational effectiveness initiatives may sound like the same concept, but there is a fundamental difference between the two terms.
Obstacles vs barriers
Obstacles usually arise once the initiative has commenced and they may be few and far between. It is easier for the manager to tackle these obstacles as and when they arise. That makes obstacles less challenging and quite short-lived.
Barriers to change, on the other hand, are a much deeper issue. Barriers usually do not spring up mid-way like obstacles but are already existing, persisting issues that slow down the progress of the change initiative. There are several factors that may act as a barrier to organizational effectiveness initiatives.
Factors acting as barriers
One of the most important factors is the organizational structure and culture.
The organizational structure determines how communication and authority flow in the organization. In organizations with a very rigid, hierarchical structure, managing change is all the more challenging. Such a structure is usually not conducive to change. The authority to make important decisions is usually limited to the people in the top management. This means that every little decision taken for change has to be approved at the top, making the process much slower and less efficient. In a more democratic organization, though, everyone has some amount of autonomy. This enables everyone to make their own decisions, within their capacity, and be accountable for them. Such a structure makes the change initiative more efficient and also makes the people feel more involved in the process.
Rigid organizational structures often do not support cross-functional collaborations as well, which may be (and quite commonly, is) necessary for the organizational effectiveness initiative. Similarly, organizational culture plays a very crucial role in organizational effectiveness and may prove to be a barrier to change in some cases. Organizations that do not encourage change and innovation or find it hard to cope with change, may add to the challenges already faced by the managers. Organizational cultures where open communication is not supported can also slow down the change and demotivate employees causing the initiative to lose steam.
Another example of a barrier to the organizational effectiveness effort may be a lack of accountability. Organizations where employees do not feel accountable for the outcomes of the work they are assigned, cannot achieve organizational effectiveness easily. Unless senior management conducts frequent information sessions, takes feedback regularly, and maintains communication with the employees, they may not feel involved in the process and that could lead to this lack of accountability which impedes the progress of the change initiative.
Managers and leaders need to identify these barriers, or existing issues, within the organization before the organizational effectiveness initiative commences. This will help them build their strategies for change and manage implementation around these barriers, removing them wherever possible.
Managing impact
The changes brought about by the organizational effectiveness initiatives are bound to impact various areas of business and these impacts may be intended or unintended. Most of these impacts will positively influence the business but there are always risks involved as well. For instance, as the organization transforms the way people in the organization work will also change. Not everyone may be able to cope with this change and there will be the risk of losing productivity in the course. It is important for managers to understand and monitor the impacts of change. Managers need to be able to manage these impacts to ensure that the organization continues to be effective in the long run.
Impact management refers to measuring, assessing, and improving the impacts for the sustainable development of the organization. All organizations have some effect on people and their environment as well. These impacts may be positive or negative. The organizational effectiveness initiative may have a range of motivations and values and intends to create various impacts on the different business areas. If these impacts are not monitored on a regular basis, there is no way for the organization to know if the impacts caused by their efforts are aligned with what they are trying to achieve. Managing impact ensures that the processes are under control and the desired outputs are maximized. It also helps identify risks that may appear during a project’s lifetime and find probable mitigation measures.
Managing impact also means that managers take the time to guide employees as well as demonstrate and advocate the benefits of these impacts and the improvement initiative as a whole. Managers are in a better position to gauge and manage impact as they are already involved in the initiative right from the stage of strategy, planning all the way up to the implementation. This helps predict the outcomes, anticipate the risks, barriers, and obstacles, and determine the impacts more or less accurately.
Assessment of impact
Impact management does not go through each and every effect of the change initiative. Managers need to determine if an effect matters and needs to be monitored. This is usually done by assessing the impact of the effect across five dimensions – what, who, how much, contribution and risk.
• The ‘what’ refers to what outcomes occur as a result of the effect and how important those outcomes are to the people or the environment of the organization.
• The ‘who’ question talks about who experiences the outcomes and how underserved are those stakeholders in relation to that outcome.
• ‘How much’ gives us the scale, depth, and duration of the outcome.
• Contribution describes if this change would have occurred anyway, or it was intended
• Risk talks about what could happen if the impact does not occur as expected.
Based on the answers obtained from these 5 critical questions, managers can decide which effects of change have the highest impact and need to be managed.
Common improvements necessary to sustain organizational effectiveness
Organizational effectiveness comes from ongoing improvements in various business areas. Each organization may have different goals and, therefore, different requirements for improvement. Yet, there are some commonalities when it comes to improving the organizational effectiveness initiative. Some common areas of improvement that most organizations need to focus on during the course of their transformation are the following.
• Strategy
The strategy of an organization or of the change initiative is surely created at the very beginning itself. But as things unfold and the change initiative progresses, there may be a need to revisit the strategies established earlier. The primary aim of organizational initiatives is to achieve the organization’s goals and fulfill its mission. It is, therefore, important to continuously monitor the progress of the initiative to see whether the changes are aligned with the mission. If not, there may be a need to rethink and improve the strategy mid-way.
• People
The one area that needs the highest amount of attention throughout the initiative is the people working on it. Improvements in performance and output are essential in order to keep the initiative running at a steady pace. Managers need to assess employee performances and find scopes for improvement. Employees may need training and development from time to time to keep up with the organization’s requirements. There may also arise a need to hire new talent once in a while when new skill sets are required. Improving the human resources in the organization is not a choice but a necessity of the organization wants to be effective and sustain this effectiveness long-term.
• Knowledge/skills
Another area of improvement that is certainly not static is the knowledge base of the organization. Intellectual resources, as we have discussed earlier, are critical to organizational effectiveness efforts. The more knowledge the organization has about various areas, be it market, industry, competition, technology, customer preferences, or anything else that helps the initiative, the better will be the decisions and actions taken. That is why the organization has to focus on continuously improving and expanding its knowledge base which can be done either through research, workshops, learning & development activities, or any other fruitful initiatives.
• Organizational structure
Changing, or rather improving, the organizational structure is not as easy as any of the other improvements discussed so far. Yet, it can have a significant impact on the outcomes of the organizational effectiveness initiative. Organizational structure cannot be changed as often as most of the other aspects of the business, but it is important for the business owners and leaders to evaluate from time to time if the existing structure is aiding their efforts to improve effectiveness. There may be a need to restructure in some cases. This might mean a reshuffle in the roles and responsibilities at the departmental level, team level, and individual level as well. The change in organizational structure, when it is done internally, will usually be minor and can bring about small improvements in the organization. However, in some cases, extreme measures may be necessary to achieve the desired outcomes, and mergers and acquisitions may be the only way to improve the organizational structure for such needs.
Organizations that demonstrate a willingness to continuously improve their processes, people, and operations are the ones that will remain effective for the longest time. Constant monitoring, efficient feedback channels, communication, etc. are all key to the continuous improvement of an organization and its efforts. Without improvement, an organization tends to stagnate as people develop inertia and become passive, which can be very damaging to the organizational effectiveness efforts. Continuous improvement is the only way to avoid and overcome this inertia and deliver exemplary performance.
Workshop Exercises
Workshop Subject Exercises
01. Overview: Explain in your own words how this process will directly impact upon your department?
02. Examples: Explain in your own words how this process will directly impact upon your department?
03. Organizational Goals: Explain in your own words how this process will directly impact upon your department?
04. Executive Leadership: Explain in your own words how this process will directly impact upon your department?
05. Managerial Effectiveness: Explain in your own words how this process will directly impact upon your department?
06. Change Management: Explain in your own words how this process will directly impact upon your department?
07. Work Management: Explain in your own words how this process will directly impact upon your department?
08. Job Design: Explain in your own words how this process will directly impact upon your department?
09. Systems Evaluation: Explain in your own words how this process will directly impact upon your department?
10. Performance Baseline: Explain in your own words how this process will directly impact upon your department?
11. Resource Assessment: Explain in your own words how this process will directly impact upon your department?
12. Improvements: Explain in your own words how this process will directly impact upon your department?
SWOT & MOST Analysis Exercises
01. Undertake a detailed SWOT Analysis in order to identify your department’s internal strengths and weaknesses and external opportunities and threats in relation to each of the 12 Introduction processes featured above. Undertake this task together with your department’s stakeholders in order to encourage collaborative evaluation.
02. Develop a detailed MOST Analysis in order to establish your department’s: Mission; Objectives; Strategies and Tasks in relation to Introduction. Undertake this task together with all of your department’s stakeholders in order to encourage collaborative evaluation.
Project Studies
Project Study (Part 1) – Customer Service
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 2) – E-Business
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 3) – Finance
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 4) – Globalization
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 5) – Human Resources
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 6) – Information Technology
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 7) – Legal
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 8) – Management
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 9) – Marketing
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 10) – Production
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 11) – Logistics
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Project Study (Part 12) – Education
The Head of this Department is to provide a detailed report relating to the Organizational Effectiveness process that has been implemented within their department, together with all key stakeholders, as a result of conducting this workshop, incorporating process: planning; development; implementation; management; and review. Your process should feature the following 12 parts:
01. Overview
02. Examples
03. Organizational Goals
04. Executive Leadership
05. Managerial Effectiveness
06. Change Management
07. Work Management
08. Job Design
09. Systems Evaluation
10. Performance Baseline
11. Resource Assessment
12. Improvements
Please include the results of the initial evaluation and assessment.
Program Benefits
Information Technology
- Agile IT processes
- Improved value delivery
- Decreased defects
- Continuous improvement
- Modernized infrastructure
- Re-tooled staff
- Increased morale
- IT Business partnership
- Meaningful metrics
- Effective sourcing
Management
- Decreased costs
- Aligned strategies
- Servant leadership
- Clarified priorities
- Improved effectiveness
- Improved transparency
- Reduced risk
- Measurable results
- Satisfied customers
- Vendor partnerships
Human Resources
- Empowered teams
- Servant leaders
- Re-tooled staff
- Improved teamwork
- Enhanced collaboration
- Improved performance
- Reduced turnover
- Improved loyalty
- Leadership development
- Employee development
Client Telephone Conference (CTC)
If you have any questions or if you would like to arrange a Client Telephone Conference (CTC) to discuss this particular Unique Consulting Service Proposition (UCSP) in more detail, please CLICK HERE.