Which of the following is true about management by objectives (MBO)?
A) It assumes that achieving self-formulated objectives will reduce job performance.
B) It is a philosophy that prioritizes personal objectives and ignores organizational objectives.
C) It works best when the objectives of each organizational unit are derived from the objectives of the next higher unit in the organization.
D) It requires the top management to be solely responsible for the objective-setting process.
E) It originated from the writings of Frederick Taylor.

Question

Quizplus · Accepted Answer

Management by objectives (MBO) works best when the objectives of each organizational unit are derived from the objectives of the next higher unit in the organization. This ensures alignment and cohesion throughout the organization. A is incorrect because MBO assumes that achieving self-formulated objectives will improve job performance. B is incorrect because MBO prioritizes both personal and organizational objectives. D is incorrect because the objective-setting process should involve both top management and employees. E is incorrect because MBO is not derived from the writings of Frederick Taylor.

Which of the Following Is True About Management by Objectives