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BENEFITS OF DOCUMENT
The Methods for Organizational Effectiveness
1. Comprehensive Model for Diagnosing Organizational Systems
2. Common Approach to Business Problems
3. Organization-Level Diagnosis : Strategy, Structure, Culture, People and Technology
4. Five Forces of Industry Structure
5. Elements of Corporate Culture Formation
6. Human Resources Systems
7. Group-Level Diagnosis
8. Organization Design
9. Group Components & Goal Clarity
10. Task Structure
11. Group Functioning, Composition & Norms
12. Individual-Level Diagnosis
13. Individual Jobs Dimensions
14. Job Characteristics Model – Hackman/Oldham
15. Designing Effective Intervention
16. Intervention Success Factors
17. Human Process Intervention
18. Structural Intervention
19. Human Resources Management Intervention
20. Strategic Intervention
21. Factors Affecting Institutionalization Process
Organizational effectiveness refers to the concept of how proficient an organization is in accomplishing its objectives. Each employee in a firm greatly contributes to the effectiveness of the organization. It is indispensable to consider the skills, rank and motivation and experience. Some employees undoubtedly play a more crucial role as compared to others. They are the people who considerably contribute to the organization's development primarily with their know-how.
The major measure of organizational effectiveness for an enterprise will commonly be expressed in terms of how exceptional its net profitability correlates with its target profitability. Further measures may compose of the results of customer satisfaction surveys and growth data.
Benefits of Organizational Effectiveness
1. Easier Communication
Organizational structures openly assert who reports to whom. It is worth mentioning to note that a subordinate can't directly report to the superior or manager prior to communicating with his/her present or immediate supervisor. In other words, this simplifies the job of executive employees in order for them not to be overpowered by the company's activities. In the same way, the flow of information is regulated so that workers do not extort of insider data which may reveal very confidential data that's crucial for the company's survival.
2. Administers specialization
Organizational structure administers division of work because every boss has particular know-how on his/her field of work. He/She has precise and more excellent knowledge to direct his/her subordinates. The task of the supervisor is to guarantee that his/her department executes its best, notwithstanding whether other units are properly executing as well. Indeed, the supervisors must also aid his/her subordinates execute to their best in that field of expertise or specialization.
3. More Excellent Employee Performance
Organizational structures certainly demonstrate different jobs to be executed by workers and which supervisor will administer them. The supervisor trains them according to the organization's rules or his own experience and assist them to become more exceptional performers. Needless to say, supervisors reward and punish where required and this aids the workers learn from their very own experiences as well as learn from their supervisors. More often, supervisors serve as role models to their subordinates.
4. Control Over Resources
Organizational structures streamline control over resources since these resources can be assigned and divided to different units. In line with this, these resources must be used efficiently by means of alleviating not required wastage. This can only be accomplished if an organizational structure is certainly determined and there is control of workers by way of proficient organizational structure.
5. Maximum Use of New Technology
Maximum use of technological advancements can be established by a sound structure reinforced by competent workers. Moreover, a sound organization enables maximum use of human resources. It enables unselfish utilization of human beings by means of preventing overlapping of efforts and work duplication. A sound organization guarantees that each individual is positioned on the job for which he is best fitted.
6. Fosters Creativity and Innovation
A well-established organization activates initiative and creative thinking on the part of workers. This provides for proficient management of change and favorably acts in response to environment changes. Through offering well-determined fields of work and definite responsibility, it offers recognition for the specialist and professional with regards to their attainments.
7. Guarantees the Continuity of Enterprise
A sound organization aids in the progression of management through offering scope for training and development for future management. An efficient organization offers pathways for promotion and development by means of decentralization of authority and far-reaching delegation.
8. Stimulates Diversification as well as Growth
In point of fact, it is actually sound organization which has allowed businesses to expand to huge sizes and develop. An organization structure is regarded as the framework in which a business expands. Standardized division of work and steady delegation of authority promote taking up new activities and satisfying new demands. Essentially, a sound structure offers the needed flexibility for development without losing control over different activities. Stabilized emphasis can be placed on various activities.
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Source: Best Practices in Organizational Design Word: The Methods for Organizational Effectiveness Word (DOCX) Document, UJ Consulting
ABOUT THE AUTHOR: UJ CONSULTING
Untung Juanto ST., MM. Founder of UJ Consulting. He is professionally experienced business and management consultant in several local and multinational companies. [read more] He has an experience in managing an effective and efficient company with various approach methods adapted to different industries because He had a career from the lower management level as Supervisor before finally being at the top management level. His Top Management experience started from the position of General Manager, VP Operation, HR Director and Business Development Director
He completed his undergraduate education majoring in Architecture at Diponegoro University, Semarang, Central Java, Indonesia. After that, He continued to Master of Management level majoring in Human Resource Management with cum laude predicate with a GPA of 3.94 at Mercubuana University, Jakarta, Indonesia.
His last work experience as Deputy President Director at Hutahaean Group in charge of 14 business units engaged in various industries including CPO Production, Oil Palm Plantation, Cassava Plantation, Tapioca flour production, 4 and 5 star hotels, waterparks, golf courses and housing with a total of employees more than 3,000 employees.
His biggest achievement was in 2021 when He served as Deputy President Director at Hutahaean Group Indonesia by increasing the company's revenue from IDR 700 billion to IDR 1.1 trillion (y/y) and increasing the profit margin by more than 20%. Doing a turn around on business units that have lost in the last 5 years become profits. In addition, He have also succeeded in creating an efficient and effective management system by redesigning the Business Process Management (BPM), reviewing Standard Operating Procedures (SOP) and Work Instructions and compiling the appropriate Key Performance Indicator Management (KPIM) to increase employee productivity.
He is currently active as a part-time business and management consultant (online) at Enquire Corp. and Flevy Corp. In addition, He also teach part-time at several universities for courses in strategic management, human resource management, project management, entrepreneurship and business.
UJ Consulting has published 167 additional documents on Flevy.
This business document is categorized under the function(s): Organization, Change, & HR Strategy, Marketing, & Sales
It applies to All Industries
File Size: 351.6 KB
Number of Pages: 35
Related Topic(s): Organizational Design
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Initial upload date (first version): Jan 8, 2023
Most recent version published: Jan 9, 2023
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