Section Fourobjectives. The superior also generates objectives for the
subordinate and then meets with the subordinate to work out a
joint agreement. At the end of the next time period, the
subordinate is evaluated on the extent to which the objectives
were accomplished and the existence of factors beyond the
subordinate’s control that may have affected objective
accomplishment. Unfortunately, as with all performance
evaluation approaches, MBO has disadvantages as well.
Objectives for some jobs are more difficult to write, such as for
staff jobs, and problems occur when objectives are not well
thought out. Further, the process may be viewed with cynicism
if higher-level executives are not evaluated by MBO.^2
Despite its disadvantages, a recent survey of Fortune 100
firms found that MBO was used by 80 percent of the
respondents to evaluate executives and managers while 70
percent of the respondents used the approach for
professionals. Furthermore, as with all evaluation approaches,
organizations sometimes offset their disadvantages and take
advantage of the strengths of various evaluation approaches by
combining MBO, graphic rating scales, narratives, and other
approaches.^3