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Relevance of MBO Advisor
Human Resources » Employee Relations

Chrm Message From: senthil.m Total Posts: 43 Join Date: 27/05/2007
Rank: Executive Post Date: 27/06/2007 23:41:57 Points: 215 Location: United States

Dear chrm'ites

I was associated with a company in the early 90's,  wherein there was the idea of an MBO advisor. MBO of  course standing for Management by OBjectives. The  COmpany was an Engg. concern and the person selected  as an MBO advisor used to be a brilliant engineer  from one of the divisions. He used to be taken on  for 2 years stretch, during which period he would  only do MBO work, namely framing Business  Objectives, handling appraisals, and attending  meetings to discuss Corporate planning. After this  stint, he would go on to handle loftier objectives. 
In today's scenario, how relevant is this idea?  I want my fellow HR professionals to react on this  one.

Let's discuss on this ..


Chrm Message From: mohanty_bm Total Posts: 34 Join Date: 27/05/2007  
Rank: Executive Post Date: 27/06/2007 23:44:34 Points: 170 Location: United States

Dear Senthil,

MBO advisor or MBO champion is like captain of the ship. He generally guide & educate all HOD's for speed up the process for tracking targets as well as helps in taking corrective action to achieve the target.

He follow up with all HOD's to fill up the values, milestone, measurement criteria for particular period (Monthly, quarterly, half yearly or yearly) so that proper analysis can be seen & take the preventive action to achieve it faster.

The MBO advisor gets the exposure of effective co-ordination with all HOD's, training them to define the particular quantifiable & MBO, arranging meeting with internal customers of each dept, understanding top 3 critical measure groups (hot spots) that are a bottleneck to success & study the milestone as well as action plan. He has lot of work to do & has to play very much important role if company is going to implement the MBO system first time.

Last but not the least, he becomes very good strategic thinker at organizational level within a year.

Hope this will help you.

Chrm Message From: sakshi123 Total Posts: 18 Join Date: 27/05/2007  
Rank: Executive Post Date: 27/06/2007 23:46:32 Points: 90 Location: United States

if for 2 years he is just doing the MBO part, he has become specialised by then. so by changing his field straightway, you are taking him away from what he has been an expert into.

this thing can be made possible also, but with the willingness of the employee. if he is not willing at all, then you are bound to lose the employee in the coming months.depending upon one major factor, whether the job really attracts him or not)

i hope your comments to be viewed also. now-a-days it is not difficult to get a job as a strategic MBO advisor. ( so see the demand and supply also)

Warm Regards


Chrm Message From: professormamta Total Posts: 28 Join Date: 27/05/2007  
Rank: Executive Post Date: 27/06/2007 23:47:31 Points: 140 Location: United States

if see thru all the successful companies, you will find that most of them are MBO driven and some of the companies are dedicated toward this perticular practice. In one way it is very good that every function and every individual is focussed towards the goal and company achive its target year after year. But to derive MBOs down the line is difficult task unless senior management is not focussed and drive this down the line, the success
can not be achived.

Now with respect to MBO advisor, i wud say that to keep one specifically may not serve the purpose but as a team sr. management can work on this and define all parameter of the individual function quantitively with specific targets. The concept of keeping advisor can be looked at the companies where this process is initiated and new foundation is laid. But keeping a full time advisor is not justified as the same work can be done by any agency which can provide experties in this subject at very less cost and within specific time frame.

i hope i am able to reply to your query...