Concept · Classic Management Theory

Management by Objectives (MBO)

Origin: Peter Drucker (1954)

Biological Parallel

Migrating arctic terns have a measurable objective: reach Antarctic waters 12,000 miles away before winter ice forms. They don't optimize daily flight paths through central planning—each bird responds to wind, food availability, and daylight, but the objective aligns all individual decisions. Drucker's MBO works the same way: clear outcomes ("reach Antarctica by October") enable distributed decision-making without micromanagement. However, terns that fixate on the objective during a storm die; flexible adaptation within objective-directed behavior is critical. Goals guide, but rigid adherence kills.