Question

as the purchasing manager of a regional hospital in your city, you have been tasked with reducing costs by 10%. you meet with your manager to develop a step-by-step strategy that will help you accomplish this goal. which stage of mbo does this reflect?

Answer 1

The scenario described reflects the planning stage of Management by Objectives (MBO), where clear, measurable goals are set and strategies to achieve a 10% cost reduction are planned.

Step-by-step explanation:

A purchasing manager of a regional hospital meeting with their manager to develop a step-by-step strategy to reduce costs by 10% reflects the planning stage of Management by Objectives (MBO). MBO is a strategic management model that aims to improve the performance of an organization by clearly defining objectives that are agreed to by both management and employees. The planning stage is critical as it involves setting clear, achievable goals and deciding on the strategies or actions needed to reach them. This systematic approach ensures that the objectives are measurable and time-bound, providing a clear path to the intended outcomes.