Measuring the Efficiency of Organization Structures Some Implications for the C
Measuring the Efficiency of Organization Structures Some Implications for the C
Zenon S Zannetos
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More important however, through co-ordination of plans and A. X operations the expected value of both X and X' combined is raised over the sum of their previous expected values given the same inputs, because the wasted slack is extensively reduced. Thus the negative covariance is exploited for operating efficiency and reduction of the overall variations of plans from operations within the organization. To stress again, the important thing is not so much the elimination of the variance, but the ...exploitation of its causes for operating efficiency. The variance, as far as the information system is concerned, is the signal and not the goal. Although, once an administrative change occurs it rarely leaves the previous lines of demarkation between subentities intact, yet we should for purposes of evaluation continue for a short period of time to collect dual data which will 3 enable us to assess the desirability of the change. If we do that, we will then find that the correlation coefficient between X and X' will definitely be affected by the reorganization.
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