Multiple choice

Management by objectives implies

  1. initial setting of objectives at the top

  2. simultaneously setting objectives at all levels

  3. setting objectives to maximise profits

  4. both (1) and (3)

  5. none of these

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Management by Objectives (MBO) traditionally begins with top management setting organizational objectives, which then cascade down through each level. While goals are eventually set at all levels, the process initiates from the top.