Measuring Business Performance Coursework Example | Topics and Well Written Essays - 1500 words - 2

criterion Business Performance - Coursework ExampleAccording to Chary (2009 19.7) faculty is defined as the ability of a business to produce a desired effect, service or a product with a negligible amount of effort. While effectiveness is defined as the degree or extent to which objectives are achieved, it is world successful in realizing or achieving what is required. Wharton (2012) defines effectiveness as the total output that is generated while efficiency refers to the economy in the utilization or use of resources to perform a task.Assume a lathe operator depute to make bushes, makes d bushes per shift using 25 kilogram of steel rod. The effectiveness is that the operator makes 500 bushes per shift while the efficiency is that the operator produces 25 bushes per kilogram of steel rod.i) higher(prenominal) levels of effectiveness and efficiency contribute to better results. They enable the company to increase their productivity by producing lower cost goods and service tha n competitors. This therefore makes the company to make higher profit for each unit sold or exsert lower price than competitors to the customers (Wharton (2012 24).ii) The company is able to develop a competitive advantage over its competitors. Higher levels of efficiency and effectiveness enable organizations to produce high quality goods and services. The organization is able to utilize their resources optimally to achieve desired output thus being ahead of their competitors (Chary, 2009 19.8).iii) Finally, achieving higher levels of effectiveness and efficiency enables businesses to mark off how to energize their workforce to focus on common goals. It helps the organization to manage and direct their human chapiter towards goal achievement and mission fulfillment. The organization is therefore able to create better communication, leadership, interaction, direction, adaptability as come up as positive environment (Chary,