Chapter3ManagingbyObjectivesBrainstormingPleasereadthepassageonPage51andfillintheform.Whatdoyouthinktheobjectsaredesignedfor?Willthepresetobjectsaffectthefollowingperformanceofthecorporation,theemotionofemployees,ortheattitudeofcustomers?Andwhy?Pleasefillintheformbasedonyourownopinion.

corporation

employees

customers

TextAManagementbyWhoseObjectives?TextA

ManagementbyWhoseObjectives?TheNatureofMBOProcessTopredictandjudgeperformancemorecarefully,andpresumablytoprovideindividualswithanopportunitytobeself-motivatingbysettingtheirownobjectives.RealityMBOprocessisoneofthegreatestofmanagerialillusionsbecauseitfailstoconsiderthedeeperemotionalfactorsofmotivation.ManagementbyWhoseObjectives?

ThemeIndicatinghowMBOisself-defeatingandservessimplytoincreasepressureontheindividual.ExploringhowMBOorperformanceappraisalwork.Suggestinghowobjectivesmightbemadeintomoreconstructivedevicesforeffectivemanagement.Issuesmainlyfocusonpsychologicalconsiderations.(particularlywiththeassumptionsaboutmotivationthatunderliethesetechniques).ManagementbyWhoseObjectives?The“Ideal”ProcessIndividualdiscussionwiththesuperiorofthesubordinate’sownjobdescriptionEstablishmentoftheemployee’sshort-termperformancetargetsMeetingswiththesuperiortodiscusstheemployee’sprogresstowardtargetsManagementbyWhoseObjectives?The“Ideal”ProcessEstablishmentofcheckpointstomeasureprogressDiscussionbetweensuperiorandsubordinateattheendofadefinedperiodtoassesstheresultsofthesubordinate’seffortsManagementbyWhoseObjectives?ProblemsNomatterhowdetailedthejobdescription,itisessentiallystaticandinflexible.Withpreestablishedgoalsand,littleweightcanbegiventotheareasofdiscretionopentotheindividualbutnotincorporatedintoajobdescriptionorobjectives.

Mostjobdescriptionsarelimitedtowhatemployeesdointheirwork.ManagementbyWhoseObjectives?ProblemsIfperformancereviewaimstocounselthesubordinate,appraisalshouldconsiderthetotalsituationinwhichthesuperiorandsubordinateareoperating.

Theperiodofsettingobjectivesistoobrieftoprovideforadequateinteractionamongdifferentlevelsofanorganization.Coupledwiththeseproblemsisthedifficultythatsuperiorsexperiencewhentheyappraise.ManagementbyWhoseObjectives?DifficultiesofAppraisalActionofappraisalisrigidThesuperiorregardshimselfasadehumanizedinspectorofproducts.Managersexperiencetheirappraisalofothersasahostileandaggressiveact.Theappraisalsituationtriggerspowerful,paralyzingfeelingsofguiltthatmakeitdifficultformostexecutivestogivesubordinatescriticaladvice.ManagementbyWhoseObjectives?DifficultiesofAppraisalObjectivityPleaisVainInterpersonalrelationshipsamongemployees.Subordinatesinevitablyareappraisedonhowwelltheyworkwithsuperiors.Thesubtle,nonmeasurableelementsofthetaskwillbesacrificedinappraisalofquantification.Acaseexample

ConditionAnMBOprogramhasresultedincommendablegrowth,whileanultimatelydestructiveprocessisgettingunderway.AnAvalancheofProblemsTheMissedPoint—Itmissesthewholehumanpoint.

AcaseexampleTheTypicalMBOProcessTopmanagementsetsitscorporategoalforthecomingyear.Reportingmanagerssettheirowngoalswhichareexpectedtobehigherthanthosetheyhadthepreviousyear.Reportingmanagersisresponsiblefortheirgoals.AcaseexampleTheTypicalMBOProcessMBOprocessisbasedonashort-term,egocentricallyorientedperspectiveandanunderlyingreward-punishmentpsychology.MBOpermitsthemanagertodeterminehisorherownbaitfromalimitedrangeofchoices.WorkhardtogetrewardsBepushedinternallybyreasonofthiscommitmentBeresponsibletotheorganizationTheMissedPoints

PersonalGoals:Objectiveswillnothavesignificantincentivepoweriftheyareforcedchoicesunrelatedtoaperson’sunderlyingdreamsandpersonalaspirations.PsychologicalNeeds:Theassumptionthattheemployeeisinterestedinworkinginthecompany’sbusinessratherthanherownisimpossible.Everyoneisalwaysworkingtowardmeetinghisorherpsychologicalneeds.TheMissedPoints

TheMutualTask:Thehighestpointofself-motivationariseswhenthereisacomplementaryconjunctionoftheindividual’sneedsandtheorganization’srequirements.Long-RunCosts:Theissueisparticularlyrelevantformiddle-aged,senior-levelmanagers.Theissueisnotsomuchthattheydecidetoleave,butthecostofthewaytheydepart.SuggestedSteps

MotivationalAssessmentGroupActionAppraisalofAppraisersSuggestedSteps

MotivationalAssessment

StandardforAssessmenta)Expresstheconvictionthatpeoplearepatsiestobedriven,urged,andmanipulated。b)Fosteragenuinepartnershipbetweenemployeeandorganization.CluestoAssessOneclueishowtodecidecompensation(bonuses).Anotherclueisthefocusofcompanymeetings.SuggestedSteps

GroupAction

EveryobjectivesandappraisalprogramshouldincludeGroupgoalsetting,Groupdefinitionofindividualandgrouptasks,Groupappraisalofitsaccomplishments,Groupappraisalofeachindividualmember’scontributiontothegroup,Sharedcompensationbasedontherelativesuccesswithwhichgroupgoalsareachieved.SuggestedSteps

AppraisalofAppraisers

Keyenvironmentalfactorinmanagerialgrowthistherelationshipbetweenmanagerandsuperior.Everymanagementbyobjectivesandappraisalprogramshouldincluderegularappraisalsofthemanagerbysubordinates,andbereviewedbythemanager’ssuperior.Objectivesshouldincludethemanager’sindividualgoalsandtheirjointobjectives.SuggestedSteps

AppraisalofAppraisers

Amanagercanappraisesuperiors’actionandgivefeedback.Itofferssomeguidanceonthesuperior’sownmanagerialperformance..Itprovidesthesupervisorwithdirectfeedbackonhisorherownbehavior..TheBasicConsideration“Howdowemeetbothindividualandorganizationalpurposes?”Thequestionwhichfundamentalmanagerialconsiderationmustbefocusedon.TheCrucialDifficultyHowcananysuperiorknowwhatasubordinate’spersonalgoals?EgoIdealSubordinates’self-examination:Reviewingalloftheoccupationalchoicesandthereasonsformakingthem.Itishelpfultoboththeindividualandtheorganizationifthepersoncanexamineandreviewaloudonacontinuingbasispersonalthoughtsinrelationtohisorherwork.EgoIdealSubordinates’self-examination:Theinformationservesasacriterionforexaminingtherelationshipoftheemployee’spersonalgoalstoorganizationalgoals.Themostimportantpointisthenatureofasuperior-subordinaterelationshipthatmakesitsafetoexplorepersonalfeelingsandgivesfirstconsiderationtotheindividual.EgoIdealSuperior’sintrospection:Anemployee-organizationrelationshiprequiresthesuperiortoengageinsomeintrospection.Iftheindividualexecutivecannotbetrustedinrelationshipswithsubordinates,thenheorshecannothavetheirrespectorconfidenceinanycase,andtheordinaryMBOappraisalprocesssimplyservesasamanagementpressuredevice.ConclusionManagementbyobjectivesandperformanceappraisalprocessesareinherentlyself-defeatingoverthelongrun.Theyarebasedonareward-punishmentpsychologythatservestointensifythepressureontheindividualwhilereallyofferingaverylimitedchoiceofobjectives.ConclusionManagementbyobjectivesandperformanceappraisalprocessescanbeimproved.Byexaminingthepsychologicalassumptionsunderlyingthem,Byextendingthemtoincludegroupappraisalandappraisalofsuperiorsbysubordinates,Byconsideringthepersonalgoalsoftheindividualfirst.ConclusionSuchprocesseswoulddiminishthefeelingonthepartofthesuperiorthatappraisalisahostile,destructiveact.Judgmentwouldoccurinacontextofcontinuingconsiderationforpersonalneedsandreappraisaloforganizationalandenvironmentalrealities.Managerswouldbefreertoevaluatethemselvesagainstwhathastobedone.ConclusionAcontinuingprocessofinterchangewouldcounteracttheproblemofthestaticjobdescriptionandprov