MBO Case Study

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Question 1 1.1 Douglas McGregor: McGregor argued that two different sets of assumption determine how manager’s view their subordinates and manage their departments. He argued that Theory X managers assume that employees are inherently lazy and therefore they need to be closely supervised and controlled. On the hand, Theory Y- managers adopt a positive of employees and believe that it is the manager’s task to create a climate in which employees can effectively perform their work (Cronje, et al 2004). This mean that your management style is strongly influenced by your beliefs and assumptions about what motivates members of your team: If you believe that team members dislike work, you will tend towards an authoritarian style of management; On…show more content…
Management by Objectives” was first used by Peter Drucker in 1954. MBO is a process or system designed for supervisory managers in which a manager and his or her subordinate sit down and jointly set specific objectives to be accomplished within a set time frame and for which the subordinate is then held directly responsible ( Drucker 1954) Process of MBO I. Setting objectives at the top: The first step in MBO process is to analyse the purpose or mission of the organisation II. Clarifying organisational goal: Sometimes organizational roles are not properly clarified and specific responsibility for attaining the objectives is not fixed. There should be clear cut assignment of tasks and fixation of responsibilities. (McGregor 1966) III. Setting subordinates objectives: The subordinates managers should be informed of general objectives, planning premises and strategies at the company. The superior should then discuss with the subordinate about the objectives which he can accomplish find frame for them and resources required. (Odiorne…show more content…
However ,despite size and growth one does not know where it is located due to the fact that it is decentralized, non-hierarchical and

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