Title
Adoption of Management by Objectives in Gov't
Law
Letter Of Instructions No. 469
Decision Date
Oct 1, 1976
Letter of Instructions No. 469 directs all departments and agencies in the Philippines to adopt Management By Objectives (MBO) as a means to strengthen the administrative system and improve management techniques, with the Budget Commission reorienting the budget towards MBO and the Civil Service Commission linking MBO with personnel programs.
A

Introduction of Management by Objectives (MBO)

  • The Career Executive Service Board has introduced key government officials to the Management by Objectives (MBO) system.
  • MBO involves setting clear organizational goals to enhance performance and resource utilization.
  • Government agencies like the Department of Health, Department of Social Services and Development, and others have experienced positive results with MBO adapted to their environments.

Seminar-Workshop and Institutional Support

  • The Civil Service Commission, Development Academy of the Philippines, and University of the Philippines College of Public Administration conducted a seminar-workshop on MBO.
  • The consensus from the workshop supports the gradual and adaptive implementation of MBO to improve government operational effectiveness.

Directives to Departments and Agencies

  • All department and agency heads are instructed to encourage MBO adoption tailored to their organizational needs.
  • Responsibilities include:
    • Providing employee training and development on MBO to ensure proper installation and commitment.
    • Enhancing reporting and monitoring systems to support MBO management.

Role of the Budget Commission

  • Reorienting budgets to support MBO adoption.
  • Allocating funds necessary for MBO implementation within departments and agencies.

Role of the Civil Service Commission

  • Linking MBO with personnel programs such as performance evaluation, promotion, and training.
  • Continuing studies on policies and practices to improve the civil service.

Establishment of the Executive Council

  • Creation of an Executive Council led by the Chairman of the Civil Service Commission, including the Budget Commissioner and Career Executive Service Board Chairman or Representatives.
  • The Council's mandate includes providing guidance, direction, and policy formulation for MBO implementation.
  • The Council will be supported by technical staff drawn from the represented offices.

Monitoring and Implementation

  • The Management Office of the Budget Commission is assigned to monitor the extent and effectiveness of MBO implementation in government departments and agencies.

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