Which one do you hold your Senior Managers accountable for?

Danni was General Manager Operations in a 1400-person organisation with about 600 people under her umbrella.   The new Board had made it clear they required a renewed focussed on ‘efficiency and effectiveness’.

“What does that mean” I asked.

“You know, do more with less, headcount, that sort of thing” she answered.

“So what sort of stuff will you be doing”?

“Well everyone is talking the usual suspects.  LEAN, Six Sigma, process maps….I can see a lot of boxes and arrows in my future”.

“That sounds like efficiency to me” I continued.  Where’s the effectiveness?”.

“Well I like the traditional definitions.  Efficiency is doing things right, and effectiveness is doing the right things”.

“So which one do you hold your Senior Managers accountable for?”