CHAPTER III:

MANAGEMENT
AND
PROCESSES
PREPARED BY:
• DIAZ, REYNOLD B.
• DOMASIG, MARIO
MANAGEMENT BY OBJECTIVES :
ADAM HAYES, (2021)
• Management by objectives (MBO) is a
strategic management model that aims to
improve the performance of an organization
by clearly defining objectives that agreed to
by both management and employees.
• According to the theory, having a say in goal
setting and action plans encourages
participation and commitment among
employees, as well as aligning objectives
across the organization.
• Also known as management of planning
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 FIVE OBJECTIVES THAT ORGANIZATION
SHOULD USE TO PUT THE MANAGEMENT
TECHNIQUE INTO PRACTICE
THE FIRST STEP – is to either determine or revise organizational objectives for the
entire company. This broad overview should be derived from the firm’s mission and
vision.
THE SECOND STEP – is to translate the organizational objectives employees.
Drucker used the acronym SMART (specific, measurable, acceptable, realistic, time-
bound) to express the concept.
STEP THREE – is stimulating the participation of employees in setting individual
objectives. After the organization’s objectives are shared with employees, from the top to
the bottom, employees should be encouraged to help set their own objectives to achieve
these larger organizational objectives. This gives employees greater motivation since they
have greater empowerment.

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 STEP FOUR – INVOLVES MONITORING THE
PROGRESS OF EMPLOYEES. IN STEP
TWO, A KEY COMPONENT OF THE
OBJECTIVES WAS THAT THEY ARE
MEASURABLE IN ORDER FOR
EMPLOYEES AND MANAGERS TO
DETERMINE HOW WELL THEY ARE
MET.
THE FIFTH STEP – IS TO EVALUATE AND
REWARD EMPLOYEE PROGRESS. THIS
STEP INCLUDES HONEST FEEDBACK
ON WHAT WAS ACHIEVED AND NOT
ACHIEVED FOR EACH EMPLOYEE.
ADVANTAGES AND DISADVANTAGES
OF MANAGEMENT BY OBJECTIVES

5
 ADVANTAGES
The benefits include employees taking
pride in their work with goals that they
know they can achieve.
It also aligns employees with their
strength, skills, and educational
experiences.
Increase communication between
management and employees.
Create goals that lead to the success of
the company.

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 DISADVANTAGES
 Often ignores other parts of the
company , such as the culture of
conduct , a healthy work ethos, and
areas for involvement and
contribution
MBO puts increased strain on
employees to meet the goals in a
specified time frame. In addition, if
management solely relies on MBO
for all management responsibilities,
it can be problematic for areas that
don’t fit under MBO.

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 GOAL OF MANAGEMENT BY
OBJECTIVES
• MBO uses a set of quantifiable or
objective standards against which to
measure the performance of a company
and its employees. By comparing actual
productivity to a given set of standards,
managers can identify problem areas and
improve efficiency. Both management and
workers know and agree to these standards
and their objectives.
PETER F. DRUCKER
• The one who invented MBO
• A management consultant, educator, and
author. Drucker’s 39 books have been
translated into more than thirty-six
languages. 8
DRAWBACKS OF USING MBO
• As MBO is entirely focused on
goals and targets, it often ignores
other parts of a company, such as
the corporate culture, worker
conduct, a healthy work ethos,
environmental issues, and areas for
involvement and contribution to the
community and social good.

9
QUALIFICATIONS OF AN EFFECTIVE MANAGER

1 2 3 4
KNOWLEDGE GOOD ABILITY TO TIME
OF INDUSTRY COMMUNICATION DIRECT MANAGEMENT
SKILLS
PEOPLE SKILLS

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 5 6 7 8
PROBLEM- LEADERSHIP EDUCATION PRACTICAL
SOLVING QUALITIES AND WORK
ABILITY TRAINING EXPERIENCES

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 HOW TO BE AN IMPACTFUL MANAGER
EXAMPLES OF WEAKNESSES
FOR A MANAGER POSITION
Good managers understand that
teamwork is critical to the
successful implementation and
realization of organizational
goals, and fulfillment of a
corporation mission statement.
A
A manager can offer teams goals
and guidelines so a team is
confident about what is expected
of them, and so that each
member of a team.
B GOALS AND GUIDELINES
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IRECTION AND DELEGATION
Managers also offer direction
about where a team is going. If a
team is not headed in the right
direction when trying to
accomplish a certain task, or
when trying to meet certain
goals, a manager can steer the
team back in the right direction.
It is also important for managers to
communicate with teams on a
regular basis. These meetings
provide opportunities for employees
to voice their concerns, impressions,
any suggestions, or questions they
have about their roles,
responsibilities or duties.
COMMUNICATION
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 UNACCEPTABLE
WORKPLACE SUPERVISE THE
OFFER REWARDS BEHAVIORS TEAM
Managers also have the In most organizations, it’s
As the job title suggests,
ability to offer incentives the assistant manager,
an assistant manager helps
and rewards for meeting to keep a store, department rather than the manager,
their goals and project or team running smoothly who supervises and
guidelines. This can serve as by performing some manages employees.
motivation for team managerial tasks, such as Assistant managers are
members to work together in scheduling work times and also responsible for
a positive and productive evaluating employee
manner evaluating employee
performance. performance and
arranging staff training.

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 HELP HANDLE SUCCESSFULLY
UNHAPPY STAND IN FOR COMPLETE
EMPLOYEE
CUSTOMERS MANAGEMENT PROJECTS
COMPLAINTS

In the retail and Assistant managers To succeed in this Assistant managers

hospitality industries, work side-by-side role, you should be will often lead teams
an assistant manager with a general comfortable on various
will be the first senior manager and must be listening to department-specific
person to help an capable of ‘acting up’ grievances and initiatives, acting as
unhappy customer to in the general understand the the project manager
their overall manager’s job and be proper channels for to ensure the
satisfaction, such as ready to perform getting them successful
organizing refunds those duties when resolved quickly and completion of the
and returns. needed without professionally. project.
burdening upper
management.
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10 REQUIREMENTS OF THE
PERFECT MANAGER
1. BE A PEOPLE PERSON
You should know how people work
and know how to motivate your
team.
2. BE VISIONARY
You should be goal oriented and
effectively use your resources to create
the unusual.
3. BE A GOOD COMMUNICATOR
You should be able to
communicate effectively using all
methods, including visual presentations,
public speaking, email,
teleconferencing and face-to- face. 16
 4. BE TECHNICALLY PROFICIENT
The products we create are
technically complicated.
5. PUT YOUR EMPLOYEES’ NEEDS
FIRST
Click icon to add picture We need managers with a selfless
attitude who are willing to fall on their
sword to meet the needs of their staff.
6. ENCOURAGE TEAMWORK
Teamwork is important. Not only are
you required to encourage the best
practices for building teamwork,
you are considered a part of a team.
7. LEAD BY EXAMPLE
All managers are required to dress and act professionally at all times and
to be available to give guidance and help when needed.
8. TREAT YOUR STAFF LIKE PROFESSIONALS
We treat every employee as a professional who doesn’t need immediate
supervision.
9. ENCOURAGE PROFESSIONAL GROWTH
All managers are expected to grow their skills and those of their team
members.
10. DO SOMETHING SPECIAL
Satisfying all the above criteria is not enough. You are also required to do
something special for your employees that needs guidance. We believed
that life is too short not to have a little bit of fun along the way.

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THE 10 GOLDEN
RULES OF
EFFECTIVE
MANAGEMENT
1. BE CONSISTENT.
2. FOCUS ON CLARITY, ACCURACY AND THOROUGHNESS
IN COMMUNICATION.
3. SET THE GOAL OF WORKING AS A TEAM.
4. PUBLICLY REWARD AND RECOGNIZE HARD WORK.
5. BE THE EXAMPLE.
6. NEVER GO WITH ‘ONE-SIZE-FITS-ALL.’
7. REMAIN AS TRANSPARENT AS POSSIBLE
8. ENCOURAGE ALL OPINIONS AND IDEAS
9. HELP PEOPLE ENJOY WORK.
10. LISTEN AND ASK QUESTION.

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LEADERSHIP STYLES
THE LEADERSHIP OF A
COMPANY CAN GREATLY IMPACT
ON A RANGE OF ASPECTS WITHIN
THE BUSINESS. POOR LEADERSHIP
WILL SEE POOR PERFORMANCE
AND POTENTIALLY EVEN A HIT TO
PROFITS
SIX LEADERSHIP STYLES
1. COERCIVE – They have a strong drive to succeed but are often
negative.
2. PACE SETTER – The pace setter generally sets high standards by
leading example.
3. VISIONARY – Visionary leaders lead with their confidence, enthusiasm,
and good communication skills to create, communicate, and work
towards a vision.
4. DEMOCRATIC – Democratic leaders took to build strong teams
through consensus and collective knowledge.
5. COACH – The coach leadership style aims to provide one-on-one,
personalized feedback to help employees improve and reach their
personal goals.
6. AFFILIATE – Affiliate leaders aim to please people. This involves
frequent praise and feedback a can result in a confident, strong team.
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THANK YOU
FOR
LISTENING