A Model of Organizational Performance

Introduction

The model of organizational performance groups different factors into three categories: the external environment of the organization, the internal environment of the organization, and the organizational outcomes. One of the most important things is that all these three factors in the model are highly interdependent and interactive with each other. Read below:

The External Environment of the Organization

Mainly it would impact on the organizational life and on human resources policies and procedures in particular. That’s why it would deal with a variety of factors like human and cultural factors, technology, natural resources, economic, regulatory measures and market factor. Firstly the human and cultural factors that actually affect organizational performance and efficacy are technical and managerial skills and abilities. When it comes to the technology, it will not only include equipments but also include techniques for using the equipment and theoretical and applied knowledge behind it.

 Then natural resources would definitely play a big part in organizational performance and effectiveness. Besides, economic factor of importance would include market behavior, buying and selling trends, prices, the level of employment and unemployment and the competition that exists for market and resources. Regulatory measures would include a variety of factors such as laws, court decisions and administrative regulations. Lastly the market factor will reflect the organizational returns and long-term survival.

The Internal Environment of the Organization

When it comes to the internal environment of the organization, it would also play a critical role in the organizational performance and efficiency. Generally the internal environment would contain a variety of factors for instance financial resources, technological and physical resources, structure, management philosophy, leadership style, individual motivation and performance, team behavior and performance, finally organizational culture and climate.

Here one of the most important points is that all these factors in the internal environment of the organization are highly interdependent and interactive with each other. Therefore they would surely play a big part in the organizational performance and success.

The Organizational Outcomes

Clearly outcome has a key role in every organization or company’s success. Generally the outcome represents four measures of performance that are efficient and useful in evaluating the success of an organization. These factors are usually comprised of effectiveness, efficiency, development, and participant satisfaction. Therefore we cannot overlook these key factors of the organizational outcomes by any means.

Conclusion

In short, all these factors would play a critical role in any organization performance and success. All you need to do is conduct a good research on the model of organizational performance and implement its key factors in your organization on a perpetual basis. We assure that you will be able to accomplish your company’s goals and objectives very soon.