Providing a theoretical background behind the institutional effectiveness efforts at Jefferson State Community College (JSCC), in Birmingham, Alabama, this document describes an institutional effectiveness model devised by James O. Nichols and its application at JSCC. The Nichols Institutional Effectiveness (NIE) paradigm is a practical guide to implementing effectiveness efforts which fits most accreditation requirements, focuses on assessment results instead of processes, makes the institutional mission the basis for assessment, and raises the level of analysis to the institutional level. In addition, the NIE model includes four critical elements: (1) the establishment of an expanded statement of institutional purpose, including goals and mission; (2) an identification of intended results for all functions of the institution; (3) an assessment of the extent to which these results are achieved; and (4) adjustments made on the basis of assessment findings. After the initial implementation process, an annual cycle must be established so that the activities are integrated into the normal efforts of the institution. At JSCC, the application of the NIE model focuses on the interaction between the college's purposes, plans, and results, and the processes of planning, implementation, and assessment. When all the components and processes are fully integrated, the effective institution emerges. Includes graphs and flow charts. (MAB)