Management By Objectives and 360degree appraisal

PRESENTATION

ON

360 DEGREE APPRAISAL

Presented By-: Avanish tripathi

Prabhakar Kumar

D I T School of business

M B O

In order to make appraisal more objective, transparent and

Participative concepts such as self-appraisal , peer appraisal,

Subordinate appraisal and appraisal by customer were introduced.

360 degree system involves evaluation of a manager by every

One .Structured questionnaires are used to collect responses about

Managers from his bosses.

Several corporations like General electric , Reliance , Godrej soap Wipro, Infosys etc are making use of all this technique

360 DEGREE APPRAISAL

FOUR INTEGRAL COPONENTS OF360 DEGREE APPRAISAL

EMPLOYEE

SUPERIOR

SUBORDINATE

PEERSSELF

SELF APPRAISAL-

It gives employee absolute freedom to objectively looks at his/her strengths and areas of development along with an opportunity to assess the performance.

SUPERIOR APPRAISAL-

The focus is to provide constructive feed back on employee performance .

Superior must communicate to the employee in clear way what the organization plans for the employee.

SUBORDINATES APPRAISAL-The purpose of subordinate’s appraisal is to get first hand assessment of how the subordinates perceive their superior to be in terms of style of functioning.

PEERS APPRAISAL-They must include peers both form with in

the department as well as other department .

Select the right peers for getting the appraisal done.

Advantages-Greater self-awareness of the top management Empowerment is facilitated .Inflexible managers are forced to initiate self-change.

Disadvantages- Time and cost consuming Complex Disagreement Response from colleagues tends to be biased

MANAGEMENT BY OBJECTIVES

(MBO)

Management By Objectives (MBO)

A method whereby managers and employees define objectives for every department, project, and person and use them to monitor subsequent performance.

THE NATURE & PURPOSE OF THE NATURE & PURPOSE OF MBOMBO

MBO is concerned with goal setting and planning for individual managers and their units.

The essence of MBO is a process of joint goal setting between a supervisor and a subordinate.

Managers work with their subordinates to establish performance goals that are consistent with higher organizational objectives.

MBO helps clarify the hierarchy of objectives as a series of well-defined means-ends chains.

Essential Steps for MBOSet Goals

The most difficult step.

Develop Action PlanFor both workgroups and individuals.

Review Progress/ Take corrective action

Periodic during the year.

Appraise Overall Performance.Review Annual Goals.

Essential Steps for MBOSet Goals

–The most difficult step.–Specific target and timeframe–Assign responsibility

Develop Action Plan–Course of action–For both workgroups and individuals

Review Progress–Periodicity?–Course corrections

Appraise Overall Performance.–How are we doing?–Do we need to restate our goals?

STRENGTHSOrganizations create a powerful motivational system for their employees by adopting MBO.

Through the process of discussion and collaboration, communication is greatly enhanced.

With MBO performance appraisal may be done more objectively.

STRENGTHSMBO helps identify superior managerial talent for future promotion

MBO facilitates control through the periodic development and subsequent evaluation of individual goals and plans.

WEAKNESSESThe major reason for MBO failure is lack of top management support goals and plans cascading throughout the organization may not be those of top management.Some firms may overemphasize quantitative goalsSome managers will not or cannot sit down and work out goals with their subordinatesFailure to teach MBO philosophy

THANK YOU

QUESTION WELCOME