Difference Between Efficiency and Effectiveness
The terms efficiency and effectiveness are often considered synonymous and are occasionally used interchangeably. Nevertheless, they are distinct.
Efficiency and effectiveness are frequently employed concepts in the field of management. Efficiency is the practice of carrying out tasks with little time wastage and optimal resource use, resulting in speedier and error-free completion of work.
Effectiveness encompasses a wider scope than efficiency and pertains to the degree to which work is carried out to attain the intended or planned results. Put simply, it refers to the degree of success achieved in attaining the intended result.
Both of these notions are commonly employed to evaluate employee performance inside an organization.
Now, let’s examine some of the distinguishing factors between the phrases efficiency and effectiveness.
Difference Between is as Follow:
Basis | Efficiency | Effectiveness |
Meaning | Efficiency means completing the task correctly with minimum cost and maximum profit. | Effectiveness means doing the right task, completing activities on time, and achieving desired goals. |
Aim | Its main aim is doing the task in the right way. | Its main aim is doing the right task. |
Crucial Element | Cost and revenue utilization element is crucial in efficiency. | Time element is crucial in effectiveness. |
Focus | It focuses on completing the task correctly with minimum cost and the least wastage of resources or effort. | It focuses on achieving the result on time. |
Based On | Efficiency is based on strategy. | Effectiveness is based on operation. |
Time Perspective | Efficiency generally has a short run perspective. | Effectiveness generally has a long-term perspective. |
Measured On | Efficiency is measured in operations of the organisation. | Effectiveness of strategies is measured, which are made by the organisation. |
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