An evaluation of the use of Management-By-Objectives (MBO) as a strategic performance improvement measure in the Intsikayethu local municipality

This study examines how the concept of Management-By-Objectives (MBO) can be used by the management of Intsika Yethu Local Municipality to improve the extent to which such prescribed strategic objectives can be easily achieved. It was anticipated that through this exercise, the study would be able to emerge with the measures which could be suggested for enhancing the integration of MBO as one of the performance improvement measures used by the management of Intsika Yethu Local Municipality. In a bid to accomplish this, the entire research process was directed towards the achievement of secondary research objectives that involve; examining the kinds of features that imply that MBO is used as a performance improvement measure by the managers in the Intsika Yethu Local Municipality, assessing the kinds of steps that used in the application of MBO as a performance improvement measure by the managers in the Intsika Yethu Local Municipality, examining the effects of the application of MBO on the performance of the Intsika Yethu Local Municipality, analysing the factors limiting the successful application of MBO as a performance improvement measure by the managers in the Intsika Yethu Local Municipality, evaluating the kinds of strategies that are used for achieving successful application of MBO as a performance improvement measure by the managers in the Intsika Yethu Local Municipality, and determining the measures that can be recommended for improving the successful application of MBO as a performance improvement measure by the managers in the Intsika Yethu Local Municipality. The interviews with the sample participants that comprised of senior and middle managers as well as ordinary employees of Intsika Yethu Local Municipality revealed that although there is some attempt to use management- by- objectives as a strategic performance improvement measure, its current approach do not meet the kinds of features that the literature indicates to define the kinds of an effective MBO. The study highlighted that the essential features for management- by- objectives include; superior-subordinate participation, joint goal-setting, joint decision on methodology, make way to attain maximum result, and constant and genuine support from superiors. However, it was noted that most of the identified themes indicate that most of the essential features that imply that the managers at the Intsika Yethu Local municipality are effectively using MBO are lacking. In terms of the MBO steps that include; Step 1; Goal setting, Step 2; Manager-Subordinate involvement, Step 3; Matching goals and resources, Step 4; Implementation of plan, and Step 5; Review and appraisal of performance, the study reveals that the accomplishment of MBO in the Intsika Yethu Local Municipality is more random and defies the following of such logical steps. Although the study indicates that there are shortfalls in the features and steps that are used in the application of management- by- objectives in the Intsika Yethu Local Municipality, it was noted that the little applications of some aspects of MBO has usually impacted positively. On that basis, the study concluded that the strategies that can be adopted to improve the application of MBO as a strategic performance improvement measure in the Intsika Yethu Local Municipality include; the application of the appropriate motivational strategies, increasing goal congruence to ensure that the main strategic objectives and goals are aligned with the departmental and individual goals and objectives, increasing investments and training of the employees and managers in order to highlight the importance, processes and techniques that are required in management- by- objectives, and improve employee empowerment and communication. It is pointed out in this research document that the suggested area for further studies would be; “The effects of employee empowerment on management- by- objectives in the Intsika Yethu Local Municipality.