Senior Professional in Human Resources (SPHR) Certification 2025 – 400 Free Practice Questions to Pass the Exam

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What performance management technique is being used when establishing a goal to double web traffic within 90 days with a bonus for success?

SMART

MBO

The correct identification of the performance management technique revolves around the principles of Management by Objectives (MBO). In this context, MBO is characterized by setting specific performance goals collaboratively between a manager and an employee, which are intended to enhance organizational performance.

Establishing a goal to double web traffic within a defined timeframe of 90 days exemplifies this technique well. It presents a clear, measurable objective that both the employee and manager can focus on. The inclusion of a bonus for achieving this specific goal adds an incentive that reinforces commitment to the objective, which is a hallmark of MBO practices.

This technique encourages alignment between individual performance and organizational objectives, fostering a results-oriented approach. The specificity and time-bound nature of the goal further enhance its effectiveness, illustrating the essential aim of MBO to achieve agreed-upon outcomes that benefit both parties involved.

The options related to SMART would involve ensuring that the goals are Specific, Measurable, Achievable, Relevant, and Time-bound, but the mention of the bonus aligns more distinctly with MBO. The 360-degree feedback approach is focused on gathering performance data from multiple sources, while forced distribution relates to ranking employees against each other, which does not apply in this scenario.

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Forced distribution

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