In The Office, a TV show about an American workplace, the boss uses Management By Objectives, or MBO, as an incentive for his employees to double their profits. He sets an objective to reach by the end of the quarter, and when they reach it, they achieve their goal of doubling their profits. Management by objectives, also known as MBO, is a way to conduct business in a rather efficient and productive manner. It mainly focuses on getting objectives done faster, increasing teamwork and critical thinking. MBO was invented because it was thought that employees would work better when they have an understanding of what is expected of them.  
As a whole, management by objectives is a system where the manager and the employees work together to then develop areas or responsibilities for said employees. The standards that are set are also used as a metric system to evaluate performance among the employees. Since employees have a say in what those goals are, there is an increase in loyalty, participation and dedication amongst them.  
To achieve MBO, there are a series of steps to take. The first one is to establish goals, and this is only done by the manager as he or she decides what those are. Then comes step two, which is establishing objectives, this is done by the manager and the employee so the manager can also get feedback on what those objectives are. Step three, action plans, is a plan established by the manager and the employee and helps the employee reach the objective in a more efficient way while working together with all the coworkers. Step four, appraising results, is one of the most important ones because this is where the manager tells his or her subordinates what they did well and how they could improve reaching objectives. The managers are also expected to encourage employees throughout the process to increase and/or keep motivation. If the process does not go as planned, there is a solution to that. That solution is called corrective action. Corrective action is designed to change any action plans, goals, or objectives so that employees work better. When the process of MBO begins, the manager always must see whether his or her team are doing a good job and if not, they should use corrective action.  
The Corporate Finance Institute defines management by objectives as a strategic approach to enhance the performance of an organization. The C.F.I. explains that there are six steps toward success by MBO. Step one is Defining organization Goals. This is done by the managers and superiors. Step two, define employee objectives, once the main goal is set, the manager will work to set personal objectives for his or her subordinates. Step three, Continuous monitoring performance and progress requires the manager to monitor each employee and track their progress. Step four, Performance evaluation, is when the manager talks with his or her subordinates about their progress since the beginning of this process. Managers would ideally give feedback to the employees and vice versa. The last step, Performance appraisal, allows the manager to interview his or her employees and review the success of said employees.  
Overall, MBO is a very effective way to run a business or organization. It includes both managers and employees in the process and is a good way to learn more about a business. It also boosts interactions between manager and employee, it increases critical thinking and teamwork between employees. In my opinion, I think that management by objective is the most efficient way to manage an organization and/or a business.