The components of organisational effectiveness are managerial policies and practices, employee characteristics, organisational characteristics and the environmental characteristics.

Organisational effectiveness means to study the organisational structure in order to understand the basic working.

It helps in evaluating and analyzing the performance of the organisation. There are various components of organisational effectiveness they are:

(i) Managerial Policies and Practices

(ii) Environmental Characteristics

(iii) Employee Characteristics

(iv) Organisational Characteristics

(i) Managerial Policies and Practices: It helps to combine the organisation as a whole in order to maintain a balance between the various interest groups in an organisation and to accommodate them according to the environment of the organisation.

There are various policies and procedures which need to be formulated and implemented at various occasions of the organisation they are:

(a) Strategy: It refers to the plan in order to interact between the competitive companies to achieve the goals effectively.

These strategies are selected on the basis of environmental needs, and then are redesigned by the top management to achieve the desired results.

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