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Since economic efficiency is typically a business oriented concept, let’s have an example of a business model. When it comes to variables that could create efficiency in the market, it is better to focus on sources that can help manage competitive advantage for the continual existence of an organization. These are: service, innovation, quality, speed, and cost. Identifying the type of service delivery mechanism that is preferred by the customer is very important. Then, whatever goods and services produced with a new innovative addition can stimulate the tests of customers. This can create additional value to create the desired quality. The speed of the delivery of goods and services can also matter, particularly upon the distribution of perishable items. Then comes cost competitiveness, which involves the prices of similar items set by different firms. If a firm/facility/agency/ business whatever name you may give to the organization, if it meets its objectives with less wastage of resources to produce/distribute the goods and services with adequate return, then economic efficiency can be maintained. What can a public manager learn from this scenario? What do you think?

Operation Management, Management Studies

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