A sales manager has implemented a program for his salespeople that involves a meeting with each salesperson, during which the sales manager gives the salesperson the yearly quota for the salesperson's territory. The sales manager has missed the key concept in management by objectives, which is
A) reducing the paperwork involved in the MBO process.
B) a mutual understanding of the punishment to be given if the salesperson does not meet the goal set by the sales manager.
C) mutual goal setting between the sales manager and the salesperson.
D) documentation of the sales quota in the salesperson's personnel file.
E) ensuring that the economy can support the sales quota assigned.

Question

Quizplus · Accepted Answer

The key concept in management by objectives (MBO) is mutual goal setting between the manager and the employee, which fosters a sense of ownership and commitment to achieving the goals.

A Sales Manager Has Implemented a Program for His Salespeople