Q.Which is the first step in the process of Management By Objectives ?

The first step in Management By Objectives is defining the organisational objectives; everything else follows from it, so the answer is (c).

Management By Objectives (MBO) is a process in which superiors and subordinates jointly set goals and appraise results against them. Its process runs in a sequence:

1. Defining organisational objectives — the top management first lays down the overall goals of the enterprise.
2. Fixing key result areas — the crucial areas for achievement are identified.
3. Setting subordinates' objectives / matching resources with objectives — departmental and individual goals are agreed and resources allocated. …