Management by Objectives is a professional approach to management that determines what must be done (including establishment of priorities); how it must be done (the program steps or plan of action); when it must be done; what resources are needed (personnel, equipment, money); what constitutes satisfactory performance; how much progress is being achieved; and when and how to take corrective action. Fresno Unified School District is using these steps involving planning and control functions, in the development of individual management contracts with each administrator and middle manager. The document includes sample contracts. (Author/WM)