Management by objectives, or MBO, is a goal-oriented approach to management that focuses on setting specific, measurable, attainable, relevant, and time-bound objectives for employees to achieve. This process involves setting clear and measurable goals for each employee, and providing them with the resources and support they need to meet those goals.
The process of MBO typically begins with the development of a corporate or organizational strategy, which outlines the overall goals and objectives of the company. From there, the management team works to develop specific goals and objectives for each department and employee, aligning them with the overall corporate strategy. These goals and objectives should be measurable and specific, so that progress can be tracked and evaluated.
Once the goals and objectives have been established, the management team works with employees to develop action plans to achieve those objectives. These plans typically include a set of specific tasks and activities that need to be completed in order to meet the goals. The management team also provides employees with the resources and support they need to complete these tasks, including training, tools, and other resources.
One of the key benefits of MBO is that it helps to align the goals and objectives of individual employees with those of the organization as a whole. By setting specific goals and objectives, and providing employees with the support and resources they need to achieve them, MBO helps to create a culture of accountability and responsibility within the organization.
MBO also provides a clear and measurable way to track progress and evaluate the effectiveness of the management process. By setting specific, measurable goals and objectives, the management team can track progress and identify areas where improvements can be made. This allows for ongoing adjustments to the MBO process, ensuring that the organization remains on track to meet its overall goals and objectives.
In conclusion, the process of MBO is a goal-oriented approach to management that focuses on setting specific, measurable, attainable, relevant, and time-bound objectives for employees to achieve. By aligning individual goals with those of the organization, providing employees with the support and resources they need to achieve those goals, and tracking progress and making adjustments as needed, MBO helps to create a culture of accountability and responsibility within the organization and ensures that it remains on track to meet its overall goals and objectives.
