Management by Objectives E-Book

50MINUTES

• Herausgeber: 50Minutes.com
• Kategorie: Fachliteratur
• Serie: Management & Marketing
• Sprache: Englisch

Seitenzahl: 20

Veröffentlichungsjahr: 2015

Beschreibung

Get the best out of your employees!

This book is a practical and accessible guide to understanding and implementing Management by Objectives, providing you with the essential information and saving time.

In 50 minutes you will be able to:

   • Work with employees to set clear objectives
   • Motivate your employees to reach their objectives
   • Boost performance and employee satisfaction in your company

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Leseprobe

Management by objectives

Name: Management by objectives (MBO), Project Management, management by resultsUses: The model is used in the business world by Human Resources directors, sales managers, operational managers, project managers, internal and external consultants, etc. For example, it allows:managers to set precise objectives for upcoming tasks within the business, analyze the results and give rewards according to performance;colleagues to set themselves performance goals.Why is it successful? This management style is effective because it provides a framework for managers to negotiate with employees, establish a course of action and set the objectives to be met. It brings clarity to the entire hierarchy of the company. Also, when an employee agrees to be trusted with more complicated objectives, this system leads to a superior level of performance compared to those given simpler objectives.Key words: Management, objectives, management techniques

Management by objectives arose in the context of economic growth. Poorly organized beforehand, many American companies have seen expansion and decentralization since the 1950s. This requires rethinking their structure.

The MBO process was established by Peter Drucker (Austrian-American management theorist, 1909-2005), while he observed the organization of companies such as General Motors. In 1954, he published the works The Practice of Management. One of the chapters, Management by Objectives and Self Control, provides the first definition of the model. Fifteen years later, John Humble (an English consultant) added his contribution to the model by offering a MBO method.

Finally, Octave Géliner (French economist, 1916-2004) offered his own version of MBO: Participatory Management by Objectives. It is based on three elements; knowing the objectives, structure and participation procedures. MBO has now taken a new form and become a system for management, not just for organization.

Definition

Management by objectives (MBO) is a process where management and employees define objectives and negotiate the action and deadlines required to reach them.

MBO is a tool available for managers to create a framework for negotiation with employees. It is designed to boost the performance of an organization, turning collective objectives into specific and precise goals, which benefits both the organizational unit and the individual employees. The results are regularly reviewed and individuals are rewarded accordingly. This is the only management process that empowers employees, as MBO lets them take charge in organizing their own work in a way that suits them. When employees take part in setting their objectives, they are more motivated and make sure they reach their goals.