101 mpob management by objective

8/2/2019 101 MPOB Management by Objective

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Management Process & Organizational Behaviour

Management By Objective

&

Problem Solving

09 - Puneet

17 - Prabhas

27 - Anshul

54 - Arun


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Presentation Contents

Unit 1

Introduction

Definition &Concept

Unit 2

Features

ImplementationSteps (Process)

Unit 3

Practical Utility

Difficulties

Effective

Unit 4

Problem Solving

Conclusion


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What is MBO ?

It is defining of objectives for each employee and then to compareand to direct their performance against the objectives which havebeen set.

In other words it is a process where by employees and the superiorscome together to identify their common goals.


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Features of MBO

Outlined by Peter Drucker in 1954.

Motivation.

Better communication.

Harmonious relations.

Clarity of Goals.

Sense of belongingness.


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Core Concepts

Managers should avoid the activitytrap.

Objective is to involve each and every employee in strategic

planning .

Make managers implement range of performance systems.

Objectives can be set in all domain of activities.

MBO managers focus on results not on activities.


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Principles of MBO

Cascading of organisnal goals and objectives.

Specific objectives for each employee.

Participative decision making.

Explicit time period.

Performance evaluation and provide feedback.


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SMART METHOD

S specific

M Measurable

A Achievable

R Realistic

T Time related


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Unit 1

Introduction

Definition &Concept

Unit 2

Features


Unit 3

Practical Utility

Difficulties

Effective

Unit 4

Problem Solving

Conclusion


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MBO Process

MBO

Setting theobjective

Planning

Implementation

ReviewingPerformance


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The process consists of a cycle of four steps:

Setting objectives

Planning action

Implementing plans

Reviewing performance


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Setting the objective:

What is an objective?

Aim: the goal intended to be attained (and which isbelieved to be attainable).


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Setting the Objective

MBO devices a process by which objectives flow down

through the organization. The organizations overallobjectives are translated into specific objectives for eachsucceeding level.


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Principle of setting the objective:

To ensure that people know what the organization istrying to achieve, what their part of the organization must

do to meet those aims, and how, as individuals, they areexpected to help.


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The objective must be:

Goal Specific

Mutually Agreeable

Attainable

Time bound

Reviewed


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Action plan


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Action plan:

The action plan states specifically what steps or tasks will beaccomplished to achieve the objective.

It includes a schedule with deadlines for significant actions,resources necessary to achieve the objective, and methods tomeasure the objective.


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How Action plan helps?

Helps the manager in staying organized, coordinate his or herteam's activities, and complete projects as scheduled.

Preparing action plans addresses potential problem areas,considers impacts of the actions, and ultimately leads tomaximization of the chances of success while implementing theplan.


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Plan Implementation


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Plan implementation:

To control their performance managers must be allowed toimplement their plans in their own way.

Including employees, who are directly involved or those who areindirectly affected by that decision, in the implementation of adecision, will help foster their commitment.


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Reviewing the performance:


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Reviewing the performance:

Managers review the performance of the people they supervise.

Helps in identifying the obstacles in achieving the objectives.

Evaluate the plans to achieve individual and group goals.

Discuss how can these obstacles be removed.


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Unit 1

Introduction

Definition &Concept

Unit 2

Features


Unit 3

Practical Utility

Difficulties

Effective

Unit 4

Problem Solving

Conclusion


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Practical Utility

Better PlanningSetting of Goals

Active ParticipationImproves Goal ClarityPlanning directed towards objectives

Better OrganizationChange in job descriptionsDefining objectives, responsibility & authority.

Higher ProductivityConcentration of Important Goals.

Better AppraisalIntensifies Accountability.

Fosters Innovation


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Difficulties in Implementation

Hesitation to changeDifferent from traditional thinking & practices.

Lack of PreparationPoor PlanningInvolving all levels

Imposing GoalsUnrealistic goals

Unnecessary Paperwork

Lengthy Process

Neglecting the goals of individuals


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Making MBO Effective

Top level Commitment

Training of Managers

Clarity of Purpose

Encouraging participation

Delegating Authority

Overall Integration.


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Unit 1

Introduction

Definition &Concept

Unit 2

Features


Unit 3

Practical Utility

Difficulties

Effective

Unit 4

Problem Solving

Conclusion


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Problem Solving

The manager must recognize problems, make a decision, initiate anaction, and evaluate the results.

A problem exists whenever there is a difference between whatactually happens and what the manager wants to have happen.

A problem can be referred to as an obstacle on the path towards thegoals.

Problem solving is the process of taking corrective action in order tomeet objectives.

It is the process of eliminating the obstacle on the path toward thegoal.


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Problem Solving, The Steps

Define the problem

Identify objectives

Develop & evaluate alternatives

Choice

Implement the decision

Evaluate the decision.


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Conclusion

Clear objectives must be set by each enterprise.

Participation at all levels.

MBO process must be applied systematically.

MBO : A system of management and not a set of rules.

Goals at each level which can be measured and verified.

Translates abstract philosophies into concrete plans.

A way to make management effective.

Goal clarity, Role clarity, Feedback, Participation & Appraisal.


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Thank You.

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101 mpob management by objective

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