Article 3, Volume 2 Issue 2:

The OPTIMAL MBO: A model for effective management-by-objectives implementation

Author

Sharon Gotteiner – (Universitat Internacional de Catalunya)

Received March 18, 2015; accepted May 23, 2016.

Abstract

The Management-by-Objectives (MBO) approach is wide spread, but has been challenged to demonstrate its consistent, positive effect on organizations’ performance. The OPTIMAL MBO is a revised formula, proposed for vitalizing the original MBO approach. It includes some additional components related to business strategy, financial performance, and incentives, as well as some tune-ups to existing components, and aims at wining executive support. The OPTIMAL MBO stands for its integrated set of components, namely: (O) Objectives, Outside-in; (P) Profitability (budget) related goals; (T) Target Setting; (I) Incentives & Influence; (M) Measurement; (A) Agreement, Accountability, Appraisal, Appreciation; and (L) Leadership Support. Empirical testing of impact on operational and financial performance is called for.

El enfoque de gestión por objetivos (MBO) está muy extendido, pero se ha desafiado a demostrar su efecto constante y positivo en el rendimiento de las organizaciones. OPTIMAL MBO es una fórmula revisada, propuesta para vitalizar el enfoque original de MBO. Incluye algunos componentes adicionales relacionados con la estrategia comercial, el desempeño financiero y los incentivos, así como algunos ajustes a los componentes existentes, y tiene como objetivo obtener el apoyo ejecutivo. OPTIMAL MBO representa su conjunto integrado de componentes, a saber: (O) Objetivos, de afuera hacia adentro; (P) Objetivos relacionados con la rentabilidad (presupuesto); (T) Configuración de objetivos; (I) Incentivos e influencia; (M) Medición; (A) Acuerdo, rendición de cuentas, evaluación, apreciación; y (L) Apoyo de liderazgo. Se requieren pruebas empíricas de impacto en el desempeño operativo y financiero.

Citation

Gotteiner, S. (2016). The OPTIMAL MBO: A model for effective management-by-objectives implementation. In II Research Workshop Missions, leadership and sustainability (p. 25).

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