Management by objectives for the academic medical center

Abstract

Management by Objectives (MBO) is results-oriented, participatory management, which is appropriate for the current era of keen competition for resources. MBO was installed in the author's institution in clinical laboratory divisions meeting prerequisites and fit the system to the local management environment. The results were decidedly positive. Benefits included improved communication, organizational clarity, planning for deadlines, motivation of participants, work load distribution, and productivity. Projects were easier to visualize, track, and coordinate. A natural review cycle of three to four months evolved, with general review twice a year. MBO worked best with one- to two-year-long projects involving problem solving and innovation. The author expects maturity of his MBO application within three years. He recommends MBO for other academic medical center laboratories, provided executive management commits the necessary time and resources to install MBO carefully as a relatively loose, locally administered form of management philosophy, rather than management technology.