Efficacy and efficiency are two terms in common use, however, although when saying these words the sounds are similar and they both start with the same letters; the truth is that these terms have different meanings. Difference between Effectiveness and Efficiency
Efficiency refers to doing things well, it is obtaining the best or maximum performance using a minimum of resources. Efficiency, on the other hand, is doing things the right way and thus achieving the desired result.
Efficiency focuses on the process that is followed to achieve something, taking into account the “means”; while effectiveness focuses on the final achievement or achievement, that is, on the “ends.”
In the case of effectiveness, it is believed in the achievement of the final objectives, therefore, all the variables that may change in the future are taken into account. On the other hand, efficiency is thought about how the future could be depending on the addition or elimination of certain resources.
To be efficient requires rigorous discipline. This can lead to people becoming very methodical, calculating, or somewhat inflexible. While to be effective strategies are created that work in the long term, and for this reason effective people tend to be more adaptable to their environment and circumstances.
Since efficiency is about getting it right, it requires documentation and repetition of certain steps. But doing the same thing over and over again can discourage or work against innovation. Contrary to efficiency, in which innovation is encouraged, since the person is required to be critical and think for himself; in order to achieve your greatest goal.
Someone who is efficient tries to avoid making mistakes, while someone efficient always tries to achieve success, without focusing on possible failures.
At the company level, effectiveness was initially a performance indicator. However, later; As consumers increased or were faced with a wide variety of options, efficacy alone was called into question.
It has been concluded that to be a successful company, there needs to be a balance between effectiveness and efficiency; because being efficient but not meeting stakeholder requirements is useless and with efficiency alone you can achieve success, but at what cost?
Key differences between effectiveness and efficiency
- Efficiency focuses on the means, while effectiveness focuses on the ends.
- Efficiency is doing the right things, but efficiency is doing the right things.
- Efficiency envisions things in the long term, while efficiency is limited to the current situation.