Managerial Economics

” Efficiency requires good administration, efficiency, leadership and creativity. Efficiency in working with paradigms and ways known. Effectiveness requires a thought of breaking with old paradigms, questioning what been doing, find new avenues. But this is not easy. You may find that Electrolux can contribute to your knowledge. Creativity specialists emphasize that all the education we receive from birth, is intended to “teach us to think, but in a rational way, ie, sequential, logical,” organized.

” For that is the use of paradigms, to filter what they receive, to assess what we perceive, to organize our ideas. Rubio Dominguez, comments on this topic, organizational efficiency problems can arise in any situation, mainly because of inadequate structures to grow too fast, changes in technology or one of the many other changes that are difficult to predict. Other problems arise from the nervous tension that can delay or slow internal communications which increases their complexity and bureaucracy. (Similarly see: Caterpillar). The organization runs the risk of not being able to adapt to changes that may occur in the market and other environmental factors.

A company should monitor evolving dimension its structure to cope with new demands that are required. Can be found at any given time where managers are forced to go beyond their means and may be some time before the responsibilities are reviewed and appropriately delegated assignments. Comment emphasizes that efficiency can be considered in three areas: – Managerial Economics-Organizational .-. The operational efficiency is the most widely used economic, known as “flexible control” of budgets. In this regard it cites, that the budgets for departments or sections are previously prepared and then approved by the responsible individual to whom it affects.