Most deadly of all, MBOs were commonly tied to salaries and bonuses. If risk taking might be penalized, why chance it? By the 1990s, the system was falling from vogue. Even Drucker soured on it. MBOs, he said, were “just another tool” and “not the great cure for management inefficiency.”
MBOs are different than iMBOs (Intel Management by Objectives), which are really OKRs.
