Concept of Management By Objective (MBO)

A presentation on MBO.
MBO is an approach to management developed by Peter F Drucker.

1. Management By Objectives Management By Results Presentation by Neeraj Pant Never tell people how to do things. Tell them what to do and they will surprise you with their ingenuity. George S. Patton

2. Most of us what we call management consists of making it difficult for people to get their work. Peter Drucker

3. Concept of MBO Developed by Peter Drucker Most widely accepted Philosophy of Management Democratic style of Management Better than Classical Theory of Management By Control. (MBC)

4. Concept of MBO Superiors and Sub-ordinates managers jointly define common goals Together decide about their areas of responsibility and expected results. They use these measures as guides for operating the unit and assessing the contribution of each of its member.

5. Steps in MBO Process

6. Pros and Cons

7. Advantages of MBO Develops result-oriented Philosophy Raises Employee’s morale Acts as a motivational Source Facilitates Effective Planning Improves the Quality of Management

8. Limitations of MBO Time Consuming Reward Punishment Approach Creates Organizational Problems Develops Conflicting Objectives New opportunities might lose.

9. How to make MBO effective

10. How to make MBO effective Support from all Acceptance of MBO by managers and subordinates Training for managers Organizational Commitments Allocation of adequate time and resources Proper communication channel Realistic Goals

11. MBO in Corporate Xerox Hewlett Packard (HP) DuPont GL India Intel

12. Any Question? You are free to ask.

13. For more information, please go to: http://kalyan-city.blogspot.com/2010/06/management-by-objectives-mbo-peter.html http://www.brainyquote.com/quotes/authors/p/peter_drucker.html

14. Thank You What is not measured cannot be managed.