Federal Nursing Home Administrator Practice Exam

Management by objectives focuses on?

1. Random goal setting without benchmarks

2. A system that determines goals and objectives

3. Meeting predefined standards set by regulatory bodies

4. Following a singular managerial vision

The correct answer is: A system that determines goals and objectives

Management by objectives (MBO) is a strategic approach where managers and employees collaboratively determine specific goals and objectives that are aligned with the overall mission of an organization. This method emphasizes clear, measurable outcomes that guide the performance and productivity of teams or individuals. By establishing defined objectives, MBO facilitates better communication, enhances motivation, and allows for progress to be tracked through structured evaluation. Using this framework, organizations can create a shared commitment towards achieving common goals, leading to greater accountability and a focus on results. Regular reviews help ensure that objectives remain relevant and that progress is monitored, further emphasizing the importance of a systematic approach to goal setting in management contexts. The other options tend to lack the structured, collaborative nature of the MBO approach. Random goal setting, meeting third-party standards, or adhering solely to a singular vision does not encapsulate the essence of MBO, which is about collective agreement on objectives that drive operational success.