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The purpose of this article is to develop a set of working hypotheses about the conditions, thought processes, and behaviors that define managerial effectiveness. The Deacon and Firebaugh model of managerial behavior is extended to form the basis for the hypotheses developed. The overall hypothesis is that differences in managerial effectiveness are specifically linked to the timing, completion, frequency, and duration of particular thoughts and actions performed by the manager that are focused on the allocation of resources to meet value-based goals and events. If it is assumed that meeting demands is an appropriate measure of managerial effectiveness, then validation of the hypotheses, the next logical step, can occur by correlating the conditions, processes, and behaviors thought to represent managerial effectiveness with objective and subjective measures of demand responses.