Any effective manager relies on the staff subordinate to him. The personal satisfaction of each employee depends on the results of his work. Employees who receive material incentives for successful work are more motivated. Evaluation of the achievement of established goals allows planning activities for the development of both the enterprise as a whole and individual specialists.
Example of management by objectives
Tatyana is the director of the advertising department at a small dairy company. At a meeting, the director announced that the company's goal is to increase sales in the first half of the year by 30% compared to the same period last year.
Tatyana holds a meeting with her subordinates and conveys this information to them.
Also discussed during the top benefits of using fusion database meeting are the intermediate goals that must be achieved to fulfill the set plan. Thus, a social media manager can ensure that additional traffic is attracted to the groups that the company manages. Salespeople in company stores can distribute advertising materials among customers, for which certain target values are set.
Employees have been informed that their bonuses will be based on the results of the implementation of planned activities, which motivates them to work more actively to implement plans.
As a result, the main goal and intermediate milestones that contribute to achieving the main goal are outlined. At the same time, subordinate employees have their own area of responsibility, the effectiveness of which determines their income. All personnel work with an eye on achieving a specific result and are interested in fulfilling the plan.
The main stages of the management by objectives methodology
The meaning contained in the technology of management by objectives is quite obvious. In business practice, an algorithm has been developed that includes five basic steps that allow this system to bear fruit for both the management and individual employees of the company.
Defining and assessing the goal
As already mentioned, a prerequisite for the success of any activity is a clear definition of the goal, the achievement of which will allow for growth in a particular area. It should be formulated in such a way that it is understandable not only to the management, but also to all employees on whom its implementation depends to one degree or another. The SMART system is often used. It allows for clarity, measurability, feasibility, relevance and the establishment of the necessary time interval for the implementation of the plan.
For example, management may set a goal to conclude at least 40 contracts with new clients during a calendar year.
Explaining the goal to subordinates
Often, company leaders make a grave mistake by formulating a goal only in general terms, counting on the fact that the staff is able to independently understand specific points and effectively outline intermediate tasks.
Dialogue is very important . Employees should have the opportunity to clarify all the details and get answers to questions regarding the content of the planned activities at the initial stage.
Next, it is necessary to determine what activities each employee needs to implement so that the overall goal can be achieved. This allows you to adhere to the general direction and determine the order of actions in situations where they are not directly specified in job regulations and other local acts of the company.
It is important that the tasks that are set for employees, and for the achievement of which they are responsible, correspond to the overall goal of the enterprise. This helps to fill their activities with meaning, helps to maintain interest. As is known, in order for a person to achieve something, he