Tuesday, February 5, 2013

Are You Efficient or Effective?


There is a big difference between these two similar words. 

Efficiency and effectiveness are both important. However, given the choice, go for effectiveness since it always trumps efficiency.  We can then move towards greatness leaving a much bigger legacy.

Here are 7 ways to contrast efficiency and effectiveness:

1) Being efficient is doing the things in the right manner while being effective is doing the right things in a masterful way.

2) Efficiency indicators measure how well our resources were used to produce output. Effectiveness indicators measure how well our targets were met.

3) Efficient is performing in the best possible manner with the least waste of time, effort, and money. Effective is being adequate to accomplish a purpose; producing the expected result.

4) Efficiency will look at avoiding mistakes whereas effectiveness is about achieving success despite making mistakes.

5) Efficiency focuses on the rigor of present state processes while effectiveness focuses on the long term, being adaptable and flexible to the changing environment to achieve the desired goals.

6) Efficiency focuses heavily on costs. Effectiveness focuses on opportunities to increase revenue, to create markets, and to introduce innovative products to existing or new markets.

7) Efficiency is a minimum condition for survival after success has been achieved. Effectiveness is the foundation of for continued success all the way to greatness and significance.

Ask yourself this important question:

 "Am I being efficient with my effectiveness?" 

Be blessed and be a blessing to others!
Carlos Fontana, President of Phalanx
Co-author of the book Follow to Lead (The 7 Principles to Being a Great Follower)
Author of the book PRICELESS (Sixty-Six Simple Stories of Reflection, Love, and Legacy)

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