Management by Objective MBO

Management by Objective (MBO) 

MBO is a systematic and organized approach that allows management to focus on achievable goals and to attain the best possible results for available resources.

Management by objective aims to increase organizational performance by aligning goals and subordinate objectives throughout the organization. Ideally, employees get strong input to identify their objectives, timelines for completion, etc. MBO includes ongoing tracking and feedback in the process to reach objectives.

Management by objectives (MBO) is the process of agreeing upon objectives within an organization so that management and employees agree to the objectives and understand what they are in the organization.

The term management by objectives was first popularized by Peter Drucker in his 1954 book “The practice of Management”

Principles of planning

Principles of planning

1. Principle of contribution of objectives
2. Principle of efficiency of plants
3. Principle of primacy of planning
4. Principle of planning premises
5. Principle of policy framework
6. Principle of timing
7. Principle of alternative
8. Principle of limiting factor
9. Principle of commitment
10. Principle of flexibility
11. Principle of navigational change
12. Principle of competitive strategies

Planning Defination

Planning is defined as the course for action for the future. In other words "Planning is deciding in advance what is to be done. It involves the selection of objectives, policies and programs from among alternatives".

Steps involved in the process of planning:

1. Analyzing the environment 
2. Establishing objectives
3. Determining planning premises
4. Developing alternative courses of action
5. Dvaluation alternatives
6. Selecting the best course
7. Formulating derivative plans

Types of plans

1. Objectives
2. Policy
3. Procedure
4. Rules
5. Budget
6. Project
7. Strategy