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MBO in Russia

«The emphasis (of MBO) is on trying to predict and influence the future rather than on responding and reacting by the seat of the pants. It is also a 'results-oriented' philosophy of management, one of which emphasizes accomplishments and results. The focus is generally on change and on improving both individual and organizational effectiveness.»

A successful implementation of MBO in any country requires a narrow examination of such elements as customs and traditions of that country, which give support to the application of MBO.

These elemets are higly influenced by the history.

Starting from the early centuries, Russian people got accustomed to live under the central rule when the tsar was the only decision-making body in the country. The communication between the rulers and ruled was flowing only one-way. The landlords, owning the farmers, set quotes to farmers without thinking whether they would be able to achieve them.

Afterwards, when the bolshewiks came to rule instead of the monarchy, the same thing happened. Working for a state enterprise, the employees didn't have a chance to set objectives for their work they performed. The central planning department set quotes, by which all the organ


So, the Russian «soul» is also not ready to work and to implement a MBO program. The most crucial thing is that some elements of MBO already exist within Russian organizations. So, almost each employee is assigned a specialized set of objectives, and in many organizations performance reviews are conducted to how close individuals are to attainning their objectives.

Throughout the previous paragraph we can see that MBO works best under Theory Y. In order to know whether individual's way of thinking about workers enables MBO to exist in this country, I've taken twenty Russian people (all work for Russian organizations) and tried to get out their assumptions about workers. The result was as follows.

But in Russia, the most people are concerned about fulfilling their physiological needs, to have money to survive. So, why should a firm apply a MBO program, a tool to fulfil the fifth step of the hierarchy of needs if people are seeking for the first step. Why to offer too much, spend more money on this program? So, in my opinion, it will take time for Russia to reach conditions that would enable MBO to be requested. It will happen as soon as the most Russians have fulfilled their fourth need, the esteem need, and will seek to fulfil the last one, but it will take time.

In my opinion, the employer does not want to loose the «totalitarian» power over his employee, which comes from the country's history. Formerly, they didn't have power - now they have it, and as soon as you get power, you do not want to loose it.

Such an important function of management as planning, which is important for MBO in order to be successful, can't be realized fully because of ever changing situation. The manager can't predict the future and plan for the organization because of the uncertainty about the future. That is why in Russia, also called «the country of wonders», it is more likely to fail in business than in other countries.

To know what a Russian employer expects from a Russian employee I've asked 5 Russian people that are running companies to fill out a questionnaire. The result was the following.

4. Pearce II, John A. and Richard B. Robinson, Jr. Management. New York: Random House, 1989.



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Approximate Word count = 3010
Approximate Pages = 12 (250 words per page double spaced)


  

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