A PROJECT REPORT ON

MANAGEMENT BY OBJECTIVES
AT
FRONTLINE COMPLOGIC SOLUTIONS
SUBMITTED BY
A.NAVATHA
H.T.NO:030-08-0109
PROJECT SUBMITTED IN PARTIAL FULFILLMENT FOR THE
AWARD OF THE DEGREE OF
MASTER OF BUSINESS ADMINISTRASTION
TO

OSMANIA UNIVERSITY, HYDERABAD-500007.

ST.ANN’S COLLEGE FOR WOMEN (P.G.CENTRE)
(Affiliated to Osmania University)
MEHDIPATNAM, HYDERABAD-500028.
(2008-2010).
 DECLARATION

I, Ms.A.Navatha, student pursuing MBA hereby declare that the project work titled
“Management by Objectives” at Frontline Complogic Solutions, Hyderabad, is a
bonafied work done by me under the guidance of Mrs.M.Swapna Lecturer, MBA
Department, St.Ann’s college for women(P.G.Centre) Mehdipatnam,Hyderabad.

This project report is submitted in partial fulfillment for the award of degree of Master
of Business Administration from St.ANN’S COLLEGE FOR WOME
(P.G.CENTRE), Osmania University, Hyderabad.

This project work is a result of my own efforts and has not been submitted to any
other university or institution.

PLACE:

DATE:
A.Navatha
 CERTIFICATE

This is to certify that the project report titled “Management by Objectives”

has been prepared by A.Navatha under my guidance. She has completed this
study as per the prescribed rules in partial fulfillment for the award of degree
of Master of Business Administration for the academic year 2007-2009.

PLACE:

DATE:
Mrs. M.Swapna
(Lecturer, Dept.of Business Management)
St.Ann’s College for Women (P.G.Centre),
Mehdipatnam,
Hyderabad-500028.
 ACKNOWLEDGEMENT

The project report titled “Management by Objectives” is done by me at Frontline

Complogic Solutions, in partial fulfillment for the award of degree of Master of
Business Administration.

I would like to thank Mrs.Nisha Nair, Head of HR, of Frontline Complogic

Solutions for providing me an opportunity to pursue my project work in the esteemed
organization.

I convey my sincere thanks to Sr.Y.Inyasamma, Principal and Sr.P.Amrutha,

Correspondent, St.Ann’s College for women (P.G.Centre), Mehdipatnam.

I express my gratitude to Associate Professor, Mrs.Pragathi, Head, Department of

Business Management for her valuable support.

I also thank Mrs.M.Swapna, Lecturer, Department of Business Management, under

whose supervision the study has been successfully completed.

I also thank the employees of Frontline Complogic Solutions, for their co-operation
during my study.
 TABLE OF CONTENTS

S.NO. CONTENTS PAGE. NO.

LIST OF TABLES (i)
LIST OF GRAPHS (ii)
1. INTRODUCTION
1.1 Need and Importance of the study 1
1.2 Objectives of the study 2
1.3 Research Methodology 3-4
1.4 Scope of the study 5
1.5 Limitations of the study 6
1.6 Organization of the study 7
2. REVIEW OF LITERATURE 8-10
2.1 Literature review 11-17
3. COMPANY PROFILE 18-30
4. DATA 31-55
ANALYSIS&INTERPRETATION
5. CONCLUSION&SUGGESTIONS 56-57
5.1 Conclusion 56
5.2 Suggestions 57
ANNEXURES
BIBLIOGRAPHY

LIST OF TABLES

S.NO. TITLE PAGE.NO.

1. Participative goal setting 32
2. Systematic and Rational technique 33
3. Focus of MBO 34
4. Strategic plan 35
5. Discussion of goal /objective 36
6. Expected results 37
7. Specific responsibilities 38
8. Authority &Responsibility relationship 39
9. Result oriented appraisal system 40
10. Goal setting problem 41
11. Periodic performance review 42
12. Reward for out performer 43
13. Profitability of firm 44
14. Clear goals 45
15. Better planning 46
16. Facilitates control 47
17. Objective appraisal 48
18. Motivational force 49
19. Better morale 50
20. Better focus 51
21. Better commitment 52
22. Mutual interest 53
23. Allocation of resources 54
24. Major limitation 55

LIST OF CHARTS

S.NO. TITLE PAGE.NO.

1. Participative goal setting 32
2. Systematic and Rational technique 33
3. Focus of MBO 34
4. Strategic plan 35
5. Discussion of goal /Objective 36
6. Expected results 37
7. Specific responsibilities 38
8. Authority & Responsibility relationship 39
9. Result oriented appraisal system 40
10. Goal setting problem 41
11. Periodic performance review 42
12. Reward for out performer 43
13. Profitability of firm 44
14. Clear goals 45
15. Better planning 46
16. Facilitates control 47
17. Objective appraisal 48
18. Motivational force 49
19. Better morale 50
20. Better focus 51
21. Better commitment 52
22. Mutual interest 53
23. Allocation of resources 54
24. Major limitation 55

ABSTRACT

Management by Objectives gives us the brief idea regarding the

Performance appraisal system in the organization. MBO as a process whereby the
superior and subordinate managers of an organization jointly define its common
goals, define each individual’s major areas of responsibility in terms of the result
expected of him and use these measures as guides for operating the unit and assessing
the contribution of each of its members. The main objective of the study and analyze
the MBO in FCS, the effectiveness of MBO and also to identify whether the appraisal
system in the organization facilitates the employee’s in their career development. The
research conducted for the study is descriptive in nature and random sampling method
is used to select the sample for conducting the study. For the purpose of the study
primary data through questionnaire and secondary data through books, internets etc.
were collected. The questionnaire was administered to 50 employees. The
organization goals are set based on strategic plan this will lead to long-term
profitability of firm, and the management discuss each goal or objective established
for each employee so that there is no confusion in doing the job. The management
assigns specific responsibilities and delegate authority so the employees feel
responsible in achieving the goals and objectives of the organization. It is objective
appraisal system so there is no bias in evaluating the performance of employee. The
study reveals that there is an effective performance appraisal called Management by
Objectives exists in the organization. And the employees have a great sense of
belongingness and are very happy to be a part of organization because there are
proper rewards for the out performers.