management

1. Case study
on
“Developing verifiable goals”
Presented by
Group -07
SWOSTIK ROUT MBA/19-21/44
SOUMYA LENKA MBA/19-21/33
SUCHITRA MAJHI MBA/19-21/38
SWAGATIKA DAS MBA/19-21/4
PRIYADARSHINI SAMANTARAY MBA/19-21/53
ADARSH KUMAR GUPTA MBA/19-21/01

2. CASE ANALYSIS
• The case study is based on
MBO Principle: performance
management approach in
which a balance is sought
between the objectives of
employees and the objectives
of an organization.
• Management By Objectives is
to determine joint objectives
and to provide feedback on the
results.

3. MBO Principle
Peter Drucker sets a number of conditions
that must be met :
• Objectives are determined with the
employees;
• Objectives are formulated at both
quantitative and qualitative levels;
• Objectives must be challenging and
motivating;
• Daily feedback on the state of affairs at
the level of coaching and development
instead of static management reports;
• Rewards (recognition, appreciation
and/or performance-related pay) for
achieving the intended objectives is a
requirement;
• The basic principle is growth and
development not punishments.
• Management By Objectives (MBO) is also
known as Management By
Results (MBR).

4. Q. No. 1. Can a Divisional Manager develop
verifiable goals, or objectives, when they have not
been assigned to him or her by the president? How?
What kind of information or help do you believe is
important for the DM to have from headquarters ?
According to us, a Divisional Manager can’t assign the objectives to the
employees if they are not scrutinized by the head of the organisation.
But in this case, he had already waited for too long to get an expected
objective sheet. So he rightly took the responsibility of proclaiming the
objectives to the subordinates. This was done for the betterment of the
oraganisation.
As he used the MBO principle, I believe he will be getting satisfactory
results with improved efficiency.
He was looking for a positive response about finalizing the objectives for
the subordinates and many changes if required.

5. Q. No. 2. Did the Divisional Manager set the goals in
the best way by the MBO principle? What would
you have done?
Yes. We believe he did the right thing, taking into
considering the organizational situation and reluctance
of finalising the objectives from top management.
We would have done the same thing but tried to give
our own inputs from past experiences to help them
achieve the objectives efficiently in a limited period of
time.

6. CONCLUSION
• Flexibility to work on own terms improves job
satisfaction
• Involvement of all in decision making
• Objectives + Goal orientation = Results