Peter Drucker was an Austrian-born American management consultant, educator, and author who is considered a leader in modern management practices. He invented the concept of Management by Objectives (MBO), which is a process where management and employees jointly define objectives, understand their roles, and agree on how to achieve objectives. MBO features participative goal setting and decision making to help employees attain maximum results with support from superiors. While MBO can motivate employees and facilitate planning, it also has limitations such as being time-consuming and potentially developing organizational problems if not implemented effectively.

1. PETER DRUCKER ANALYSIS
ON MANAGEMENT BY
OBJECTIVES
PRESENTED BY:-
FAIZAH BINTI ABDUL AZIZ
2011194677
BA2A

2. Peter F. Drucker
Austrian-born American management consultant, educator, and
author

3. WHO IS PETER DRUCKER?
Peter Ferdinand Drucker
November 19, 1909 – November 11, 2005
Austrian-born American management
consultant, educator, and author - philosophical and
practical foundations of the modern business
corporation
A leader in the development of management education
and invented the concept known as management by
objectives (MBO

4. Management By Objectives
Process of defining objectives within
an organization so that management
and employees agree to the
objectives and understand what they
need to do in the organization in
order to achieve them.
The essence of MBO is participative
goal setting, choosing course of
actions and decision making

5. Features Of Management By
Objectives (MBO)
Superior and Subordinate Participation
Joint Goal-Setting
Joint Decision on Methodology
Makes Way To Attain Maximum result
Support From Superior

6. Steps in MBO Planning
Goal Setting
Review and Manager
Appraisal of Subordinate
Performance Involvement
Matching
Implementation
Goals and
of Plan
Resources

7. Advantages of MBO
Develops Facilitates
Formulation of
result-oriented objective
Dearer Goals
philosophy appraisal
Acts as Facilitates Raises
Motivational Effective Employee
Force Planning Morale
Facilitates Facilitates
Effective Personal
Control Leadership

8. Limitations of MBO
Time- Problems of Lacks
Consuming Coordination Durability
Reward Develops Problems
Punishment Conflicting Related to
Approach Objective Goal Setting
Creates
Increases Lack Of
Organizational
Paper Work Appreciation
Problems

9. Criticism Towards MBO
Dale Krueger – The system is
difficult to implement, and that
Flawed and has never been companies often wind up
proven to work effectively overemphasizing control, as
opposed to fostering
creativities, to meet their goals
(cont.) By setting production
W. Edwards Deming – A lack
target, will encourages the
of understanding of systems
resources to meet that certain
results in misapplications of
target which resulting in poor
objectives
quality

10. How To Make MBO Effective
Acceptance of
Training of
Support From All MBO program by
Managers
Managers
Provision of
Allocation of
Organizational uninterrupted
adequate time
Commitment information
and resources
feedback

11. -conclusion-

12. THANK YOU~