What does the term 'MBO' stand for in management?

The term 'MBO' stands for Management by Objectives. This management philosophy focuses on setting clear, measurable goals that align the individual employee's objectives with the overall objectives of the organization. The key principle behind MBO is that when employees know the specific goals they need to work towards, they can better direct their efforts, leading to enhanced performance and organizational efficiency.

In an MBO framework, managers typically engage in a collaborative process with their team members to define objectives, which are then translated into actionable plans. Regular reviews are conducted to assess progress, making it a dynamic and iterative process that encourages feedback and adjustments as necessary. This approach not only fosters accountability but also enhances employee motivation by involving them in goal-setting.

The other options do not accurately represent the concept of MBO. Mastery in Business Operations, Metrics Based Operations, and Management of Business Outcomes are not recognized terms associated with this specific management style. Therefore, only Management by Objectives rightly describes the framework that promotes alignment of employee performance with organizational goals through clear objectives.