Application of MBO
Kay was excited. She had just returned from a manager's retreat where MBO had been discussed. This had never been used in her organization before, and she was enthusiastic about implementing the program in her department. She received the OK from her manager, the division head, who vaguely remembered having heard of the program several years earlier. Kay looked over the handout she had received. She was still somewhat confused on who was to choose the goals for the employees. However, she knew that the goals once chosen needed to be specific and have explicit time periods attached.
Even though there was a lot of work to do in order to implement the program, Kay was excited. She knew this would prove to be beneficial to the organization.
-Kay knew that the research showed that MBO allows which of the following?
A)increased sales
B)decreased employee performance
C)increased profits
D)increased employee performance

Question

Quizplus · Accepted Answer

Management by Objectives (MBO) is a strategic management model that aims to improve the performance of an organization by clearly defining objectives that are agreed to by both management and employees. The focus on clear, measurable goals and employee involvement in goal setting is known to lead to increased employee performance.

Application of MBO Kay Was Excited. She Had Just Returned from a Manager's