The Effectiveness/Efficiency Relationship within the Theory of Regulatory Compliance

Both the effectiveness/efficiency relationship and the theory of regulatory compliance have been presented in several previous posts. In this post, let’s look at how the effectiveness/efficiency relationship varies within the theory of regulatory compliance.

Let’s review briefly, the theory of regulatory compliance (see graphic below for a depiction of this relationship between regulatory compliance and program quality) has three major areas or buckets of compliance: low/mid compliance, substantial compliance, and full compliance in how they relate to program quality. The effectiveness/efficiency relationship (see the second graphic below for a depiction of this relationship) also has three major pertinent areas as it relates to regulatory compliance: high effectiveness x low efficiency (1), low effectiveness x high efficiency (3), and mid effectiveness x mid efficiency (2)(in balance) which then could lead to high effectiveness x high efficiency or low effectiveness x high efficiency.

Low regulatory compliance equates with low effectiveness x low efficiency while full regulatory compliance equates with high effectiveness x low efficiency and substantial regulatory compliance equates with mid effectiveness x mid efficiency (in balance) which will lead hopefully to high effectiveness x high efficiency but it could lead to low effectiveness x high efficiency if there is too much emphasis on cutting back in what is reviewed. This is the essence of the theory of regulatory compliance to determine the balance of effectiveness and efficiency as it relates to the Fiene Coefficients. A previous post dealt with this relationship. This post extends that thinking to how it could play out with the dual relationship of effectiveness and efficiency.

The two related figures for the theory of regulatory compliance and the relationship between effectiveness and efficiency are provided below (place the effectiveness/efficiency relationship within the theory of regulatory compliance at the three data points of low/mid, substantial, and full regulatory compliance as suggested in the above paragraphs and you can get a sense of how the relationship of effectiveness and efficiency potentially can change):