Organizational Effectiveness
Organizational Effectiveness “Researchers analyzing what CEOs and managers do have pointed to control, innovation, and efficiency as the three most important processes managers use to assess and measure how effective they, and their organizations, are at creating value (L. Galambos, 1988)”. Control is essential over the external and internal environment by knowing what the demand for a business is. A tool to help make these decisions with control is to conduct a trend analysis. An analysis will reveal patterns be it internal or external of an organization.
To identify current patterns along with the status of the organization managers are able to determine how to restructure the business in or to produce product or services in the most efficient way possible. This may include adding additional skills, technologies, or current assets to the current workforce anything that will produce the best output of an organization in the most efficient way. An organization must be innovative when introducing their product or services to the market.
This may require management to demand radical changes to the organization by improving or changing processes, advertising, and just acquire the capability to adjust to any environment the organization has to confront be it internal or external. An organization does not need to use the three methods to assess and measure organizations effectiveness it would depend on what needs attention, but it is always good for an organization to know the health of their organization pertaining to the three measures. Table 1 (Jones. , 2010) L-3 communications. Revenue: Over $5 bil. Employees: Over 10,000 Fortune 1000, Fortune 500, Russell 3000 Industry: Aerospace & Defense , Consumer Electronics , Consumer Goods , Manufacturing SIC Codes: 3663 NAICS Codes: 334220 L-3 is a prime contractor in Command, Control, Communications, Intelligence, Surveillance and Reconnaissance (C3ISR) systems, aircraft modernization and maintenance, and national security solutions. L-3 is also a leading provider of a broad range of electronic systems used on military and commercial platforms.
Our customers include the U. S. Department of Defense and its prime contractors, U. S. Government intelligence agencies, the U. S. Department of Homeland Security, U. S. Department of State, U. S. Department of Justice, allied foreign governments, domestic and foreign commercial customers and select other U. S. federal, state and local government agencies (Company Profile, 2013)”. Currently L-3’s concern is to operate in an efficient manner to maintain and increase their target market.
L-3’s similar companies are Raytheon Company, Lockheed Martin Corporation, Northrop Grumman Corporation, and The Boeing Company. They are giants in their field and are companies that are veterans to the profession. With a majority of veteran companies, the challenges are similar with L-3 the continually changing environment. Example: the changing technology, changing target markets causes the reluctance of change in the internal cultures of these large companies and L-3 is not immune to this challenge.
The best approach to use for L-3 is the metrics that would help improve organizational effectiveness. This is the internal system approach see [ Table 1 (Jones. , 2010) ]. This method includes improving the communication process between the levels of management. Elevate problems in a timely manner to upper management. The internal health of the company is beneficial information ( be it negative or positive) quickens decision-making process which in turn allows the organization to continue with planed processes.
One of the main issues to correct is the workforce to shift into using new tools, processes, and just looking at the organizations requirements differently for the organization is changing, nothing is consistent with change. This constant change without training causes decrease in motivation, create conflicts and certainly prevents L-3’s output to its’ market, and in the end a delay in output to the market does disrupts the external environments. Thus, processes need to be re-evaluated and restructured.
Replacing the aging tools with current tools results in a streamline and automates processes. “The Benefits of Process Automation: Improved Efficiency. Many business processes p systems, departments, or even external business partners. Manual effort, poor hand-offs between departments or partners, and the general inability to monitor overall progress results is a significant waste for most processes. Process automation eliminates or significantly reduces these problems with a resultant reduction in labor hours, time p, and increased throughput.
Increased Productivity. By automating processes that are currently being implemented manually, individuals can work more efficiently and can take on new or additional workloads. Process automation allows us to rise to the challenge of being asked to do more with less. Shorter Cycle Times. Time is money. By automating processes, they are kept moving, hand-offs are facilitated, consistency is assured, and cycle times to complete the process are shortened. Getting the product or service to the end user or to market quicker can result in significant financial benefits.
Consistent Process Implementation. Consistency comes from having a documented process that is understood and followed every time. Process automation makes the process easy to understand and enforces adherence to the process steps. This eliminates missed steps often found in manual processes, resulting in consistent, reliable measures that assist in making decisions and implementing process improvements. Corporate Governance and Compliance. Process compliance, regulatory compliance, and corporate governance are ever increasing in importance.
Organizations must demonstrate consistency and show that effective controls and business monitors are in place to ensure processes are sound and will provide financial accountability, visibility, and reduce risk and fraud. Process automation can help your company with compliance issues surrounding regulations like the Sarbanes-Oxley Act, Combined Code for Corporate Governance, Bilanz Reform, and more. Noncompliance or lack of adequate controls can cost your company big-time.
Process automation ensures your processes are followed as they are laid out. Ability to Quickly Implement Change. Another benefit of automated process is that the reliable, consistent information provided can enable you to recognize the need for change or improvement quickly and then be able to make that change and put it into effect in a faster and more controlled manner than you could with a manual process. The ability to change quickly provides an important business advantage. Improved Customer Service and
Satisfaction. Customers are much more satisfied when they receive timely, top quality products and services. Process automation enables you to build consistency into your products and services, facilitate continuous improvement, and get the product or service to your customer faster. Happy customers are repeat customers. Reduced Costs and Improved Profits. All of the above benefits result in direct bottom-line results of reduced costs, ability to take on more work, and improved profitability.
All things any company is seeking (A. Moudry, 2013)”. To establish organizational effectiveness, management L-3 needs to focus on structuring their workforce, internal employee management systems, and the organization and abilities (including the organizational culture) to the plan. This is a crucial point to any strategy and engagement from all involved dictates whether organizational effectiveness, management is a success. References: A. Moudry, J. (2013, March 16). Real Benefits of Automated Processes.
Retrieved from NEXTGENPINEW. COM: http://www. nextgenpinews. com/files/Real%20Benefits%20of%20Automated%20Processes. pdf Company Profile. (2013, March 14). Retrieved from L-3: http://www. l-3com. com/about-l-3/company-profile. html Jones. , G. R. (2010). The Organization and Its Environment. In G. R. Jones. , Organizational Theory, Design, and Change, Sixth Edition. Prentice Hall. Copyright © 2010 by Pearson Education, Inc. L. Galambos. (1988). “What Have CEO’s Been Doing? ”. Journal of Economic History, 18, 243–258.
