Why Businesses Need an Organizational Effectiveness Job, Department, or Function

If a business wants to stay modern and relevant, it should consider creating an organizational effectiveness job or business function.

Organizational effectiveness can be defined by a number of factors, such as:

• How successfully a business meets its objectives
• How well it obtains and utilizes resources
• Efficiency of the business as a whole, as well as individual business units
• The effectiveness of separate business systems, such as leadership, communication, and productivity

Regardless of how an organization models effectiveness, one thing remains certain – a business must take action in order to make improvements.

One of the best steps to take is to create a job, function, or department specifically dedicated to organizational effectiveness.

The Benefits of Creating an Organizational Effectiveness Job or Business Function

In business, if a task isn’t specifically assigned, then it usually doesn’t get done.

And since most organization’s don’t have a specific job dedicated to organizational effectiveness, this function can easily get overlooked.

Here are a few examples of how an organizational effectiveness role can benefit a company:

• Define a concept of organizational effectiveness. A framework or model of effectiveness can act as guiding principles when developing operations, processes, and procedures.
• Create systems and strategies for improving organizational performance. With that framework, it is easier to develop step-by-step approaches to making changes and enhancements.
• Plan and execute organizational improvement projects. This job role could also assess problems, design solutions, and execute improvement initiatives.
• Clarify expectations for the workforce. When organizational effectiveness guides the development of policies, procedures, and processes, that information can help employees understand the “why” behind the organization’s rules.
• Maintain accountability. Systems of accountability can ensure that employees adhere to those expectations.
• Improve specific business departments and functions. Individual business units work together to determine how well an organization performs. Improving individual processes, therefore, will further strengthen the company’s overall performance.
• Manage and implement change projects. If an organization has a dedicated change management department, then that team can work closely with organizational effectiveness professionals to execute and manage change projects. Otherwise, this can be assigned to the organizational effectiveness role.

The bottom line is that a business function dedicated to organizational effectiveness would continually aim at enhancing a business’s performance, efficiency, and results.

The specific duties, such as those covered above, would vary based on the needs and structure of an organization.

How to Create an Organizational Effectiveness Job Role

The first step is to define the role in detail – its purpose, its role in the organization, the level of responsibilities, its duties, and so forth.

• Purpose – As mentioned, improving organizational effectiveness would be the overall aim. However, the specific goals, methods, requirements, and job duties should be articulated in detail.
• Position and Form – Will this task belong to a specific individual, such as a senior manager? Or will it belong to a cross-disciplinary team, a new department, or an existing department? Rank and authority should also be clearly defined.
• Responsibilities and Duties – Specific job duties should be articulated in detail: what they are responsible for, how they will be held accountable, performance expectations, and so forth.

Because organizational effectiveness is so critical to the performance of any business, this job function should be given a relatively high level of responsibility.

Alternatives to Creating an Organizational Effectiveness Business Function

Developing a role or department devoted to organizational effectiveness is one way to enhance business performance.

However, there are other alternatives, such as:

Implementing an Organizational Improvement Project

An alternative to developing a business function devoted to improving business performance is renovating existing business systems.

For instance, assume that your organization evaluates organizational effectiveness based on four components:

• Productivity
• Commitment
• Leadership
• Interpersonal Conflict

One option would be to dedicate personnel and resources to continually optimizing these areas.

Another would be to initiate an organizational change project.

Such a project could, for example:

• Evaluate each system independently
• Identify inefficiencies and weaknesses
• Design and propose improvements
• Execute and manage the change project

While this approach may require third-party consultants or specialists, it could deliver significant organizational improvements.

Making Organizational Effectiveness a Priority at Every Level of the Organization

Defining a concept and a model of organizational effectiveness, as mentioned, can act as a map or guide when developing policies and procedures.

If a business makes performance a strategic priority – and designs work systems around that imperative – then employees at every level can contribute.

In such a scenario, business leaders would:

• Make organizational effectiveness and performance a strategic priority
• Communicate this to departments, managers, and employees
• Enlist their support to design, refine, and redesign workflows that maximize organizational effectiveness

An approach such as this could offer a number of benefits, including greater alignment between employees, business units, and organizational strategy.

Finally, it is worth noting that none of these approaches are mutually exclusive.

A business can certainly take all three approaches simultaneously – implementing an organizational effectiveness job function, initiating organizational change projects, and enlisting the support of workers at every level.

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