Psychologists say that the self-efficacy is a person’s decision being able to do a particular activity. It is only a psychological belief that I can or I can’t. In this hypertensive environment, working life is not so smooth. But employees face lot of stress and strain. There is a significant relationship between self-efficacy and efficiency which impacts his performance in the organization. As adage goes “nothing succeeds – like success”, is certainly true for developing self-efficacy. Once a strong self-efficacy is developed from one’s own personal success an occasional failure may not have negative effects. But the consequence is lack of self-esteem, as self-esteem necessarily follows from being efficacious and efficient, in handling both organizational and personal matters in an objective manner. One can always opt out of progress and growth, if one doesn’t want it. Occupational stress translates to psychosomatic interaction to every day pressure in the private organisations. Moderate stress may be essential for growth while increased stress levels lead to illness of the employee. Usually undue stress will result frustration, alienation and burnout.