Characteristics Of Mbo Method

Management by Objectives (MBO)
The management by objectives (MBO) method consists of supervisors setting a list of objectives and making assessments on their performance on a regular basis, and making rewards based on the achieved results. The supervisor and subordinate members jointly identify the organization’s common goals and set the areas of responsibility of each individual in terms of results expected from that person. The overall objectives of the organization are translated into specific objectives for each succeeding level (i.e. divisional, departmental, and individual) in the organization. MBO works from the bottom up as well as from the top down approach and the emphasis is not given on the activities but on the goals achieved.

Assessment centers are mainly used to evaluate executive or supervisory potential. It is focused mostly on the observations of behaviors across a series of select exercises or work samples. The candidate is tested in different social situations using a number of assessor and procedures such as in-basket exercises, work groups, computer simulations, role-playing, and other similar activities which have some attributes that are essential for successful performance of the actual job. There are several characteristics that can be assessed in assessment centers, some include persuasive abilities, assertiveness, self confidence, communicating ability, planning and organizational ability, energy level, resistance to stress, decision making, administrative ability, sensitivity to feelings, and creativity and mental alertness. Having recorded the employee’s behavior the raters meet to discuss their pooled information and observations and, based on it, they give their assessment about the employee. At the end of the process, the employee is given feedback in terms of strengths and weaknesses. The advantages of the assessment center method are a well conducted assessment center can achieve better forecasts of future performance and progress than other appraisal methods, the evaluations are more accurate, there is minimum biasness, reliability, content validity, and predictive ability are high, the tests make sure the wrong people are not hired or promoted, and it clearly defines the criteria for selection and promotion. The disadvantages of the assessment center method are it is costly and time consuming, it discourages the poor performers, it causes suffocation to the solid performers, breeds unhealthy competition among employees, and bears adverse effects on those not