Question

Six months into Wade’s tenure as sales manager, he hosts his first regional sales meeting. During the course of the meeting, Wade meets individually with his employees and shows them a chart of their sales numbers for each month compared to their budgeted quota for the year to date. Additionally, Wade and each employee set mutually agreed-upon budget goals for the remaining six months of the fiscal year. Wade is utilizing the ________ method of performance appraisal.

Answer 1

Answer:

MBO

Explanation:

Management by objectives is a strategic management model that aims to improve the performance of an organization by clearly defining objectives that are agreed by both of the management and the employees. According to the theory,  goal settings and action plan encourages employee participation and commitment among employees and aligning objectives across the organization.  

There are some basics of management objectives:

• MBO established a management information system to compare the performances and achievements to defined objectives.  

• It increases employees motivation and commitment and allows better communication among employee and management.