Management By Objectives


This concept describes the popular management by objectives approach. It offers insights into the strengths and drawbacks of this technique using research evidence and case studies from across different industries, as well as advice on effective implementation.

Technique Overview

Management By Objectives

Management By Objectives Definition

Management by objective (MBO) is a process in which superior and subordinate managers in an organisation come together to: (i) identify common goals; (ii) define each person’s responsibilities for helping to achieve these goals; and (iii) use these measures as guides for appreciating and rewarding business units for their members’ contributions (Sekhar, 2006).

Management By Objectives Description *

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Business Evidence

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Business Application

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Measures of Management By Objectives *

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Professional Tools

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Further Reading

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Management By Objectives References (4 of up to 20) *

  • Antoni, C. (2005) Management By Objectives - An Effective Tool for Teamwork?, International Journal of Human Resource Management, Vol. 16 (2), pp. 174-84.
  • Daft, R. L. (2009) Organization Theory and Design, South Western Cengage, Mason, OH.
  • Dinesh, D. and Palmer, E. (1998) Management By Objectives and the Balanced Scorecard: Will Rome Fall Again?, Management Decision, Vol. 36 (6), pp. 363-69.
  • Drucker, P. F. (1955) Practice of Management, William Heinemann, London.

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