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Refer to the Scenario Given to Answer the Following Questions

Question 98

Multiple Choice

Refer to the scenario given to answer the following questions.
MBO (Scenario)
Kay was excited. She had just returned from a manager's retreat where MBO was discussed. MBO had never been used in her organization before, and Kay was enthusiastic about implementing it in her department. She received permission from her manager, the division head, who vaguely remembered learning about MBO in university several years earlier. Kay looked over the information she had received but was still confused about who was to choose the goals for the employees. However, she knew that once the goals were chosen they needed to be specific and have explicit time periods attached. Even though it would take a lot of work to implement the program, Kay was confident that MBO would prove to be very beneficial to the organization.
-Based on Kay's observations about effective goal setting, which of the following is an appropriate goal for a MBO program?


A) increase productivity by 5 percent
B) decrease waste by the end of the year
C) decrease personnel costs
D) reduce product defects by 1 percent
E) increase sales by 5 percent over the next three months

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