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The paradigmatic change that is emerging in modern western managerial thinking influences, among other things, the development of basic concepts in management, and radically changes their meaning. This change is not merely theoretical, and has many ramifications for existing management patterns and managers' ability to improve the value of the organization they are in charge of. This is illustrated by the changing meaning of two concepts in the management literature and practice of organizations - effectiveness and efficiency. This article will attempt to examine and demonstrate the importance of effective management of the organization, and ways to achieve it.


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