| Summary: | 碩士 === 國立清華大學 === 高階經營管理碩士班 === 92 === Management by objectives (MBO) is now regarded as a mature management system through the long term research and verification by many well known experts and scholars over the past several years. This specific practice is now widely been executed by plenty of large-size enterprises. However, it is still not so popular to be adopted by the vast majority of medium and small-size companies due to the limitation of some uncertain variables. In this paper, we selected a medium-size Taiwanese company located in China for case study. All research findings, conclusions, and recommendations will be provided for experience and knowledge sharing.
Traditionally, the functions of MBO were unfortunately being limited and only focused on the employee''s performance appraised review. One of the focuses of this research is to extend the performance measurement of enterprise in compliance with the measurements of the balanced score card.
First of all, we reviewed related literature and proposed testing hypotheses. Second, we''ve conducted an empirical study including top management interview and questionnaire survey from the case company.
The results of the data analysis indicated that the success of MBO implementation will mainly depend upon the direct involvement and full support from the top management as well as the effective incentive plan. Besides, the training program together with the active assistance from the special program team is also a key success factor. The regression analysis also revealed that the MBO practice indeed resulted in a significant improvement on enterprise’s performance.
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