BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -According to the famed management guru, Peter Drucker : “Efficiency is doing things right. Effectiveness is doing right things". Efficiency refers to doing things in a right manner. Scientifically, it is defined as the output to input ratio and focuses on getting the maximum output with minimum resources.

Detailed explanation-2: -Efficiency refers to getting the most output from the least amount of inputs or resources. Managers deal with scarce resources (including people, money, and equipment) and want to use those resources efficiency.

Detailed explanation-3: -Efficiency, on the other hand, refers to “doing things right, ” that is, once tasks are chosen they are done with a minimum of waste. Managers who are effective at meeting organizational goals always act efficiently.

Detailed explanation-4: -Efficiency is all about reducing costs and resources required to execute on tactics. Effectiveness is about achieving strategic goals that align with the vision of the organization and drive more revenue. Often, increasing effectiveness naturally leads to an increase in efficiency.

Detailed explanation-5: -Effectiveness means “doing the right things” by doing those work tasks that help the organization reach its goals.