MBO is a Philosophy

MBO – Management by A Proactive way of managing that is:

z Results oriented,
Objectives
z Emphasizes accomplishments rather
Adapting MBO to conservation th inputs,
than i t
management z Encourages participation at all levels of
CSS 385 an organization (collaborative; shared
Prof. Ed Krumpe
power & self-management).

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MBO is a Process Background

A process consisting of a series of Objective setting and participative
interdependent and interrelated steps:
management are integrally linked by:
z The formation of clear, concise statements of
objectives, z Allowing employees to participate in the
z The
Th d development
l t off realistic
li ti action
ti plans
l ffor setting of objectives
their attainment, z Encouraging everyone to work towards
z The systematic monitoring and measuring of
accomplishment of common objectives.
performance and achievement, and
z The taking of corrective actions necessary to
achieve the planned results.

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Four Basic Principles Three Constituent Processes

1. Unity of mgmt action is more likely to occur z Participative Decision Process

when there is pursuit of a common objective.
2. The greater the focus on results on a time
z Goal Setting
scale, the g
greater likelihood of achieving
g z Objective
j Feedback
them.
3. The greater the participation in setting Research shows all three serve to increase productivity.
meaningful work with accountable results, the Research shows MBO works well in the public AND private
sector.
greater the motivation for completing it.
Drucker (1954, 1976)
4. Progress can only be measured in terms of Rogers & Hunter (1992)
what one is trying to make progress toward.
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Goal-Achievement Management Goals & Objectives Hierarchy

GOALS: z Goal: To provide stimulating

z Idealistic long-term statements of intent, environmental interpretation to all
direction & purpose residents and visitors of Idaho
OBJECTIVES
OBJECTIVES: z Objective: To create a junior ranger
program in 2008 at all state parks with
z Statements that describe specific things to overnight camping
be accomplished to achieve the goals z Objective: Develop a logo & produce ball
Foundation of Management by Objectives caps, tee-shirts & coloring books for 5-9
year-olds by May 2008

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Hierarchy of Goals & Objectives Goal-Achievement Management

z Goals & Objectives are tiered under appropriate levels Management mechanisms:
of management with increasing specificity
z Policies: legally guide or constrain actions
Superintendent
z Programs: appropriate sets of related actions
Open Cedar Grove
Park ((Interp
ppprgm,
g , Recruiting
gpprgm.)
g )
Enforcement Interpretation z Actions: specific things which need to be done
Maintenance
to achieve objectives
Signs S&R Trails Parking Displays Events z Criteria: specific protocols for monitoring
MOU Pave Earth Day
progress
Training Barriers Open house

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The MBO process The test of SMART Objectives

Field Managers meet with
Supervisors todevelop scope Every objective must meet these criteria:
of work to be accomplished.
z Is it Specific?
Field managers meet with staff to
discuss required outcomes.
Field managers z Is it Measurable?
evaluate crew on
how well objectives z Is it Appropriate?
Field managers & staff jointly were accomplished.
develop action items and SMART z Is it Realistic?
objectives.
z Is it Time-bound?
Field managers garner approval
from their supervisors & empower
= primary flow
staff to start working

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The SMART test of Objectives Smart Objectives -- examples
z Is it specific? Does it clearly talk about one thing, and
both the staff member and the supervisor know exactly
Sound objectives should tell what is to be
what output they are talking about? accomplished, by whom, WHY, and
z Is it measurable? Can the output be quantified? when.
z Is it appropriate?
pp p Does the staff member have the
power to accomplish the task? Will it work? Objective 3a (taken from actual mgmt. plans)
z Is it realistic? Based upon experience & data, can the z Interpreters will spend 15% of their time
output be achieved in the allotted time with a given
amount of resources? cleaning up the area.
z Is it time-bound? Is a specific, reasonable amount of
time specified to accomplish each objective? Specific, Measurable, Appropriate, Realistic, Time-bound?

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Smart Objectives -- examples Smart Objectives -- examples

Objective 3a Objective 3b
z To maintain a comfortable & clean z To improve ½ mile of the overlook trail
setting for people to have a rewarding for the handicapped.
interpretive experience,
experience interpreters will
spend up to 10% of their time each week
cleaning the visitor center & up to 5% of Specific, Measurable, Appropriate, Realistic, Time-bound?
their time cleaning the trails.
SMART

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Smart Objectives -- examples Smart Objectives -- examples

Objective 3b Objective 3c
z To provide access to the elderly, the z Interpretive staff will work with law
maintenance crew will designate 3 enforcement to make a pamphlet about
handicapped parking places
places, install a protecting ancient rock art
art.
curb cut, three trailside benches, & 3
new interpretive signs on the first ½ mile Specific, Measurable, Appropriate, Realistic, Time-bound?
of the overlook trail by July 1st.
SMART

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Smart Objectives -- examples
Objective 3c
z To prevent people from damaging
ancient rock art the Interpretive staff will
work with the LEO to make a pamphlet
that explains the significance of the rock
art and the environmental & legal
consequences of damaging it, and send
mock-up to the printer by March 1st.
SMART
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Smart Objectives -- examples
Objective 3d
z The resource mgmt. staff will design &
conduct 3 field trips for diverse
stakeholders to be hosted by range &
wildlife specialists to see the conditions
& problems on the new grazing
allotment, once each month of June, July
& August.
SMART
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Main reason for failure of MBO
In both the public & private sector:
z Absence of a fully committed and
involved top management.
z Dictatorial
Di t t i l rather
th ththan participatory
ti i t
development of management objectives.
z Objectives which are not SMART
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Smart Objectives -- examples
Objective 3d
z To enhance public involvement in setting
the new grazing allotment.
Specific, Measurable, Appropriate, Realistic, Time-bound?
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MBO Includes Evaluation
z Preliminary evaluation may call for
adjusting objectives.
z Performance evaluations focus on how
well employees accomplish their specific
unit objectives (not artificial criteria such as
appearance, being on time, cooperativeness).
z Evaluation includes assessment of how
to improve. Evaluation catalogues yearly
accomplishments.
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MBO Framework
z MBO provides the basis for making
functional budget estimates.
z Evaluation of MBOs provides a way to
communicate purpose & accomplishments
to the public.
z MBO provides a way to involve & motivate
staff.
z MBO provides the only fair way to evaluate
workers & their accomplishments
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