Assignment on effectiveness vs efficiency
- 1. Afreen Ahmed Hasnain Lecturer of SEU Department of BBA Southeast University Presentation on Efficiency vs Effectiveness Presented by ---- • MD.Yeasin Arafat (2016010000014) Section – 10 MGT_1113 School of Business studies
- 3. Introduction : There are two general ways to improve what you’re doing: become more effective or become more efficient. An organization survives based on the efficiency and effectiveness of a manager. There is a confusion between the terms efficiency and effectiveness. Efficiency is the ability to do something or produce something without wasting materials, time or energy. On the other hand effectiveness is making the right decisions and successfully implementing them.
- 4. Efficiency : Efficiency is the ability to avoid wasting materials, energy, efforts, money, and time in doing something or in producing a desired result. In a more general sense, it is the ability to do things well, successfully, and without waste. So, let's take a look at an example to help us explain efficiency. Suppose a clothing factory has three machines to help sew the clothing. The machines can produce 100, 75, and 50 clothes sequentially in one week. In this example, the most efficient option is the one that results in 100 clothes. Because it’s produces more products in less time.
- 5. Actually ------ - To getting more output.
- 6. Effectiveness : Effectiveness is doing the right things in the right way at the right time. In general, effectiveness is making the right decisions and successfully implementing them. It is the simpler concept of being able to achieve a desired result. For example an employee who works on the sales floor. If he’s effective, he’ll make sales consistently. If he’s ineffective, he’ll struggle to persuade customers to make a purchase. Companies measure effectiveness often by conducting performance reviews. The effectiveness of a workforce has an enormous impact on the quality of a company’s product or service, which often dictates a company’s reputation and customer satisfaction.
- 7. Actually ------- For achieving goals.
- 8. In my point of view, I think both efficiency and effectiveness are important for successful organization. Why I think so ?Efficiency and effectiveness are both commonly used management terms. In general, successful organization are both efficient and effective. Efficiency is doing things right; Effectiveness is doing the right things." An organization survives based on the efficiency and effectiveness of a manager.
- 9. Let’s Explore it by an Example. To illustrate this idea with a simple example, let’s take an organization that wants to create an advertisement for its service/product. Creating the advertisement within the budget and in time is efficient. But the main things to be considered are the current market trend and environment. It would take more than just time and money to create an advertisement that would call out to the customers. Creativeness and efficiency alone is not enough to create the perfect advertisement. A detailed analysis of what the customer wants and expressing it in a way that would appeal to the ethos of the customer is what is required to create the advertisement. Here only efficiency is not enough for create this advertisement. They also need effectiveness to create an effective advertisement.
- 10. Conclusion : On the whole we can say that, Effectiveness describes getting to an outcome – even if it takes longer. It is the art of getting things done. While Efficiency is the ability to do things well without wasting resources. Both terms are important for making an organization successful. Not only efficiency or effectiveness can’t bring success. If the manager has both efficiency and effectiveness quality he’ll be able to reach the organizational purpose.