The Design And Operation Of The Improvement Project Of The MBO System Of Jilin Delai Husbandry Company

JILIN DELAI Husbandry Company was the private enterprise which was just growing. It was prior to the production cultivation aspect of domestic goose fat liver. Though its production and management was expanding gradually and the enterprise was developing, the human resources management relatively lagged and lacked the staff's suitable means of incentive, because the past enterprise MBO system had many problems, and it lead to the huge influence for the enterprise's production and management. The enterprise must change his original management to adapt to the market competition, so it was vital to establish the true significance MBO system.First, the author researched the company's traditional management system and summarized the company's past MBO system. The shortcoming didn't adapt to new competition.1. Only attention financial date and internal operation indicator.The enterprise's performance management system didn't include the human resource management. The financial date was lagged behind. The enterprise lacked the strategic plan. The company didn't consider relationship of the market and the customer.2. The management system lacked the staff's direct participation.Past MBO system lacked the basic staff's direct participation and the staff would misunderstand the performance indicator and couldn't recognize the essentiality, reasonableness and scientism of the performance management system, therefore it was necessary to establish the partner relationship between the manager and the staff in the MBO system. 3. Past MBO system neglected tracking and control in the objective operation.In the past MBO system, the inspection cycle was too long, nobody paid attention to the concrete question, also few people paid attention to the plan processing. They could not discover the deviation and decide the correction at the right moment.The second, in view of above crux, the author launched to design the company's MBO system. According to the principle of MBO , the author applied the tool of BSC (The Balanced Scorecard) and KPI (Key Performance Indicator). Based on above the principle, in the construction of the enterprise performance management indicator, we applied the means of BSC. In the enterprise's performance management indicator, the author mainly thought about four indicators of the finance, the customer, internal service and the developing. Following the principle of SMART, we established KPI to every department, then, divided it into each person in his position.The third, carrying on the comprehensive MBO in the company is equal to a huge reformation. Before the reformation, we must follow the correct steps:1. Before the implementation, it is necessary to give publicity to everyone. At the company's routine meeting, we must interview with every department managers and staff.2. In designing project process, the communication with the staff can greatly reduce the resistance of accomplishing the process.3. We have carried on related training to the administrative personnel4. Before the official implementation, preparatory work included formulating plan, the compiling MBO handbook and the whole staff training. The fourth, when we carried the improvement MBO system, we we must follow the correct steps:1. The stage of designing the objective. The company's management members formulated company's future strategic goal and concrete KPI according to the company's inside and outside environment at the end November. They determined various departments and staff's objective by the way from top to bottom and the goal discussion and the communication coordination.The whole year management cards and the responsibility duty cards were signed between the company and the departments, the departments and the staff in mid-December.2. The stage of carrying out the objective. The inspection groups understand actual situation three times at each month. They wanted to known the completing objective situation, the cooperation situation, the prominent result and the fault and so on.3. The stage of appraising result of completing the objective.we adjust the inspection cycle according to its actual production management situation, the staff must give self-appraisal and the report before first working day of each quarter, the inspection group inspect carry out the appraisal according to the self-appraisal result and interview, then the result report human resources department.The fifth, when the company's MBO system was designed carried on, according to private enterprise's character we summarized some skills and experience.1. Private enterprise owner's vigorously support is important to carry on the MBO system.2. No pursuing the best effect at first.3. Building the partnership of the managers and the staff.4. The appraisal indicator and standard must be open and apparent.5. The managers must be directly inspected by the enterprise's owner.6. Firstly inspecting the ordinary staff may cause the family members to be able to accept the inspection under the pressure in the certain degree.The sixth, the new MBO system and its implementation has being operated for 15 months, the company's departments and the staff are satisfied to the MBO system. The new MBO system relates closely with the departments objective and the organization's strategic target. The purpose of system is stronger. We can carry on the explicit localization to the MBO. The objective system has the scientific nature. The enhancement of communication has the staff strengthen the sense of participation and responsibility. We strengthen the control in the objective implementation and the MBO system strengthens modernization business management consciousness.The seventh, carrying on the MBO system, as a result of the historical factor, the questions which are exposed must be solved urgently. If these questions exist, they will hinder the development of the MBO system operation. The performance appraisal result isn't been utilized. The company lacks the perfect management system. The company is short of modern enterprise culture. It lacks report in the intermediate stage on the performance management system.During the designing and carrying on this MBO system, the author experienced the progress that the theory of management play an important role in changing the middle and small private enterprises, meanwhile we hope that the theory may help domestic private enterprises establish their own MBO system.