Organizational effectiveness is a concept organizations use to gauge how effective they are at reaching intended outcomes. Organizational effectiveness embodies the degree to which firms achieve the goals they have decided upon, a question that draws on several different factors. Among those are talent management, leadership development, organization design and structure, design of measurements and scorecards, implementation of change and transformation, deploying smart processes and smart technology to manage the firms' human capital and the formulation of the broader Human Resources agenda. Economic Models of Organizational Effectiveness In economics, organisational effectiveness is not just defined in terms of profitability, but also the minimisation of problems related to high employee turnover and absenteeism. As the market for competent employees is subject to supply and demand pressures, firms must offer incentives that are not too low to discourage applicants from applying, and not too unnecessarily high as to detract from the firm's profit maximization capability. As organizational effectiveness translates across a broad array of organizational functions, several different models have been developed to achieve flexibility among organizations with different functions and objectives. The Goal-Attainment Approach determines organizational effectiveness by determining the degree to which a firm achieves the goals it has established. This model has a broad scope and calls for a quantitative evaluation of a firm's profit and productivity maximization, its shareholder value and its social and environmental impact. This approach is subject to an assumption that organizations are rational, deliberate and goal-driven, and prioritize the result over the means of achieving organizational effectiveness. The Systems Resource Approach views the organization as an interrelation of subsystems that function together to affect an organization's desired outcomes. Consequentially, if anyone sub-system performs poorly perform its role, the performance of the entire system is negatively affected. Using this approach, organizational effectiveness is measured with reference to an organization's environmental inputs, the inter-relations among its constituent divisions, the degree of flexibility a firm has to respond to changes in the market, and the level of efficiency an organization has when delivering output. The Strategic Constituencies Approach establishes that organizational effectiveness is determined by reference to its ability to satisfy the demands imposed by its major shareholders - or "constituents", from which it requires continued support to remain in existence. This model assumes that an organization is composed of several political arenas with vested interests that compete for control over limited resources. As the firm must