Management by objectives is not just an organizational strategy but rather the art of transforming ambitions into tangible reality. In a world characterized by rapid change and constant challenges, this secret tool has become the basis for the success of institutions and individuals alike. Imagine that you are walking in a dark corridor without a compass! This is what organizations that lack this management are like, as it is like a bridge that connects the future vision and daily work, ensuring that every step taken leads towards sustainable success. So we brought you this article in which we will explore how management by objectives can be the main driver of innovation, growth, and achieving excellence in any organization, so follow along with us.
It is an administrative model that focuses primarily on setting goals as a means of achieving optimal performance and effective organization. It is worth noting that this model includes several main steps that lead to achieving the strategic goals of the organization through the participation of all levels of employees in setting and defining their individual goals and contributing to the comprehensive work plan.
The management model by objectives is characterized by several basic characteristics that contribute to its success and its impact on the performance of organizations in general, which can be summarized as follows:
The management-by-objectives model has many features that contribute to improving the work environment and the organization’s performance. The most important of these features are:
The management-by-objectives model is a leadership tool that focuses on setting and achieving goals as a means of improving organizational and individual performance. However, it comes with several drawbacks that deserve attention, namely:
The management by objectives process can be implemented by following the following six main steps:
The first step in applying management by objectives is to review the organization's basic goals derived from its vision and mission. The higher administrative level must define and formulate clear final goals that all members of the organization can work toward achieving. These goals must be:
After defining the main objectives, they should be translated into smaller objectives for each department of the organization. The goal here is to ensure that all departmental objectives are integrated and work harmoniously to achieve the overall goals of the organization, and thus this requires close cooperation between various departments to ensure that each department understands its role in the bigger picture.
At this stage, it is important to involve employees in setting sub-goals and action plans to achieve them. It is worth noting that employee participation enhances a sense of responsibility and belonging and motivates them to achieve these goals.
Individual goals must be achievable and motivating at the same time, and an appropriate work environment must be provided that encourages achievement and creativity. We must not forget that demonstrating management’s willingness to make the necessary adjustments in the organizational structure or work methods is a crucial element to ensuring the success of this stage.
When the objectives are agreed upon among the various levels of the organization, the phase of implementing the agreed-upon plans begins, as all concerned parties, from senior management to field staff, are committed to implementing the action plans to achieve the specified objectives.
During this phase, plans are constantly evaluated, and necessary adjustments are made based on real-world performance feedback and employee opinions. This ensures that the plans are flexible and workable.
Follow-up is an essential element to ensure that everyone is moving in the right direction to achieve the goals. Therefore, during this stage, performance is periodically evaluated and continuous feedback is provided, with the necessary adjustments being made based on how realistic the plans are and the extent to which they achieve the desired goals.
The final stage includes evaluating the performance of all employees transparently and rewarding those who were able to achieve their goals. It is worth noting that transparent evaluation and fair rewards enhance employee motivation and support a culture of high performance within the organization. The evaluation process must be comprehensive, taking into account all aspects related to performance with a focus on achieving pre-set goals.
Here is an applied example of management by objectives in the sales department:
The first step in applying the management by objectives model is to define the ultimate goals that the organization seeks to achieve. In the case of the sales department, these goals could be as follows:
After setting the final goals, they are distributed to all employees in the sales department. This means that every employee in the department must strive to achieve part of the overall goal related to increasing profits and reducing returns.
For example, each employee may be asked to increase sales by a certain percentage that contributes to the overall goal.
The next stage includes cooperation between the employee and his manager to determine how to achieve the goal assigned to him, and this includes developing a clear action plan that includes:
After agreeing on the action plan, the employee's performance is continually monitored to ensure progress towards achieving the goals.
To ensure the achievement of goals, rewards are provided to employees who achieve or exceed their goals. It is worth noting that these rewards can be financial or non-financial.
Management by objectives and management by results are administrative strategies that aim to improve performance and increase productivity within organizations. Although they are similar in focus on achieving goals, each of them has a different approach to application. The following is an explanation of the most important points that distinguish each of them:
Management by objectives sets specific and clear objectives that the team or organization must achieve. These objectives are set in cooperation between management and employees, which enhances the sense of responsibility and commitment towards achieving them.
Results management involves analyzing and measuring the actual results achieved. This approach focuses on final results rather than routine or detailed activities.
Management by Objectives is a management methodology that focuses on setting and achieving specific and measurable goals across all levels of the organization, and the “Qoyod” program is an effective tool for applying this methodology in an accurate and organized manner. It helps companies set, track, and achieve goals in various aspects of their work, including luxuries, human resources, etc., in addition to the following:
The "Qoyod" program begins by enabling companies to set clear and specific goals for each business department. This includes setting financial goals, human resources goals, production goals, etc., and sharing these goals with all departments, which enhances cooperation and teamwork toward achieving common goals.
The "Qoyod" program is distinguished by its ability to issue automated reports that help evaluate goals and achievements, as officials can control the way reports are displayed and specify the metrics they wish to measure.
These reports provide a comprehensive overview of the goals achieved and identify deficiencies, enabling management to make decisions based on accurate data.
The "Qoyod" program enhances employee participation in achieving set goals. By providing tools to monitor progress and motivate employees, every individual in the organization becomes aware of his goals and his role in achieving the company's overall goals. It is worth noting that this motivation pushes employees to work harder and to cooperate effectively with their colleagues. .
At the end of the goal achievement cycle, management can use the data extracted from the “Qoyod” program to evaluate employee performance and disburse rewards based on the quality of performance.
This fair system for distributing rewards enhances employee motivation to achieve higher performance and ensures that rewards are based on real achievements.
Management by objectives is not just a tool for achieving administrative efficiency, but rather a management philosophy that drives towards achieving organizational and personal excellence. By applying them effectively, ambitious goals can be transformed into tangible achievements while enhancing the spirit of cooperation and innovation among all team members. It is worth noting that adopting this methodology means investing in a clearer future, as strategic visions are achieved thanks to a continuous focus on results and performance evaluation. So let's start today by keeping our goals in mind and working hard to achieve them because success begins with a small step towards a specific goal.
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