Cases and Case Analyses
• First case is due Wednesday before or
in class.
• Look at the syllabus/website for
information and case questions.
• Please follow the case format
– Last FOUR digits of your PID number
– Double-spaced
– No more than 500 words and please
indicate this number at the end of your
brief.
• Contact me if something is unclear.
Organizational Effectiveness
BA 152
Organizational Effectiveness
• Effectiveness
– Goal achievement
– Doing the right thing!
• Efficiency
– Level of resources used to achieve goals
– Doing things right!
• What might be the trade-offs?
• Approaches to determining effectiveness
Organizational Effectiveness
• Resource-based Approaches
– How well can an organization get the
resources it needs?
– Useful when other approaches won’t work.
– Useful in non-profit/social welfare orgs.
– But may ignore how resources are used.
Organizational Effectiveness
• Internal Process Approach
– How efficient is the organization internally?
– Useful when measures are available
– However, assessments can be subjective,
– and the approach does not assess if goals
are actually met.
Organizational Effectiveness
• Goal Accomplishment
– To what extent does the organization
achieve its goal(s)?
– Used in most business organizations.
– But goals might be in conflict.
– Which goals and how to measure.
– Does not assess how efficiently resources
were used to achieve the goals.
Organizational Effectiveness
Inputs
System Resource
Throughputs
Internal Process
Outputs
Goal
Organizational Effectiveness
• How would you assess KFBS’
effectiveness from each of these
approaches?
– Resource-based
– Internal Process
– Goal Accomplishment
Stakeholder Approach
• What is a stakeholder?
• How might each evaluate effectiveness?
• What are the advantages of this
approach?
• What are the disadvantages of this
approach?
Stakeholder Approach
• Who are KFBS’ key stakeholders?
• How might each evaluate the School’s
effectiveness?
Competing Values Model
Human Relations
Flexibility
Open Systems
Goal: Human Resource
Development
Effectiveness: System
Resource & Internal
Process
Goal: Growth
Goal: Stability
Goal: Efficiency/Profit
Effectiveness: Internal
Process
Effectiveness: Goal
Accomplishment
Internal
Internal Process
Effectiveness: Goal
Accomplishment & Internal
Process
External
Control
Rational Goal
Competing Values Model
Flexibility
Organization A
Internal
External
Organization B
Control
Competing Values Model
Flexibility
Internal
External
Control
The Balanced Scorecard
Financial
Do actions contribute to improving
financial performance?
Examples of measures: profits,
return on investment
Customers
How well do we serve our customers?
Examples of measures: customer
satisfaction, customer loyalty
Internal Business Processes
Mission
Strategy
Goals
Learning and Growth
Are we learning and changing?
Examples of measures: continuous
process improvement, employee
retention, new product introductions
Does the chain of internal activities and
processes add value for customers and
shareholders?
Examples of measures: order-rate
fulfillment, cost-per-order
Summary
1. There is no one easy and complete way
to assess how well an organization’s
strategy is working (determining an
organization’s effectiveness).
2. Multiple approaches to assessing
effectiveness are preferred.
For Next Time
The University Art Museum