Advantages Of MBO

In modern business, most superiors have been searching for effective and efficient management methods since company harmony and workers’ initiative are essential to increase of productivity and enterprise culture building. MBO, namely, Management By Objectives is a popular management tool raised by Peter Drucker. It is defined as a way that evaluate people’s work according to objectives and is divided into 3 phrases, setting objectives, achieving them and evaluating performance. The most specific character is that MBO allows all levels of a company participate in goal-setting process, especially workers who are claimed have been motivated and clarify their own responsibilities (Kurzynski, 2012). Another attractive advantage is the rewarding

Communication theory (no date) points out that a great potential advantage of MBO lies in the teamwork benefits as a result of individual’s objectives are connected with each other and in this way people tightened their relationship by negotiating, discovering mistakes and solving problems together. However, the reality cannot usually be that positive. According to Levinson (2003), if two objectives are too closely associated with each other, it may reach the line of”mutual task”In this situation, it requires high personal qualities and cooperation of two staff. Otherwise, one may complain greatly about the other’s irresponsibility. For example, Levinson (2003)stated in his article that Problems happen not because the staff does not know how to do this bit of his job but because he think that X is in his way or that Y gives him the wrong information. This kind of situation is now frequently happening contributing to contradiction between MBO’s ideal conception and actual implementation. Drucker (1954)intended to develop MBO’s potential training advantage by connecting workers tightly and strengthen their communication, which indicates vague boundaries of responsibility mentally, while in practice of MBO, it clarifies everyone’s tasks, namely, providing explicit boundaries physically. As a consequence, people are likely to fall in escapism and shifting behavior and generate conflicts among colleagues. Hence, though MBO plays a role in strengthen team-work spirit and training workers to some extent, it ignores the philosophy flaws including selfish and great value on personal gain or loss, leading to disharmony and low