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Olimba Final Exam
Olimba Final Exam
Advantages of MBO
1. It forces the manager to simplify the plan and activities for the best results.
It allows the manager to think about both product and performance.
2. It enables the manager to concentrate on important and profit influencing
tasks instead of tasks which could have little impact on ultimate results.
3. Employees commit themselves to give their best to move its’
achievements.
4. It allows employees to work their own without taking directions and
guidance from their superiors.
5. It helps to establish own standards, evaluating performance and taking
necessary and immediate action if there are any deviations.
6. It helps the management team to formulate better management training
programs based on performance reviews.
7. Management by Objectives helps in more effective planning.
8. Management by Objectives aids in developing effective controls over
employee’s performance and productions.
9. Management by Objectives provides more confidence in the management
in managing a task.
Disadvantages of MBO
1. If the undertaking person or manager don’t have proper knowledge about
the philosophy of MBO then the MBO will definitely fail.
2. Goals should be attainable and realistic. If the goals are too hard to
complete, it decreases employees’ confidence.
3. Setting up a goal requires a lot of time, patients, study and experience.
2
4. MBO mainly focuses on the short terms goals and neglected the long-term
goals. But the success of a company depends on their long-term goals
and visualizations.
2. https://www.youtube.com/watch?v=YMw_9naWXNI
3. https://docs.google.com/spreadsheets/d/
12UauyvuhQ5V7cfdvV6KQyCtOsiM_uhSDDK0x6agJt00/edit?
fbclid=IwAR1r3uMMOtto7g6UUvRWKH6VlAd8EJina90-
I6bYpyqM1hkUkceVFdDYbaY#gid=0
4. https://www.youtube.com/watch?v=5n4josMijng
Management Skills Every Manager Should Have
Test II. True or False: Write true if the statement is true and false if the statement
is false.: (10 points).
8. True Political unrest is important because it ensures the inflow of Foreign Direct
Investment.