Effectiveness- The ability to accomplish a specific task, or reach a specific goal.
Efficiency- Obtaining the highest return possible, by using the fewest possible resources.
Example:
That evening after work, Joe heads directly home to start on his assignment. He sits at his typewriter and hand-types 100 exact copies of the document he was given. The task takes him most of the night to complete.
Jennifer, on the other hand, stops at a print shop on her way home. She uses the photocopier to run off 100 copies of her document. This takes Jennifer about three minutes.
The following morning, both assistants leave their stack of documents on their boss' desk. Mission accomplished.
In the above example, BOTH Joe and Jennifer's methods were effective
(they both completed the task), but Jennifer's method was the most efficient.
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