Background: Background: Management by objectives has a greater role for employees in setting goals, positively affecting their performance and commitment to the hospital. It provides each employee with a clear set of tasks to help achieve them. Objectives: To evaluate the extent to which the management method of objectives and feedback is being utilized in Dr. Ali Al-Ruwaie Hospital for Psychiatric and Mental Diseases. Additionally, the study aims to determine the level of trust and participation between the hospital's management and subordinates. Methodology: A cross-sectional study was conducted for a random sample in Dr. Ali Al-Ruwaie Hospital for Psychiatric and Mental Diseases, Benghazi-Libya, and the number of employees was 115. We used a two-part questionnaire to collect data: Part I: Asking the physician's demographic characteristics (gender, age, qualifications, years of experience, education level...etc.). The second part: using the method of management by objectives in the hospital, perceptions, trust and participation between the boss and subordinates, feedback between the boss and subordinates, and commitment of subordinates in achieving goals. Results: A total of 99 employees were recruited to assess the level of using the management by goals method in Dr. Ali Al-Ruwaie Hospital. The arithmetic averages ranged between 3.06 to 4.72, with a general arithmetic mean of 3.94, indicating a high level of practice in the hospital. The dimension of "commitment of subordinates to achieving the goal" ranked first with an arithmetic mean of 4.725 and a standard deviation of 0.752, showing a high level of use. The trust dimension between the subordinate chief came in second with an arithmetic mean of 4.308 and a standard deviation of 0.646, also indicating a high level of use. The sharing between the boss and the subordinate ranked third with an arithmetic mean of 3.716, a standard deviation of 0.610, and an average level of use. Lastly, the feedback dimension ranked fourth with an arithmetic mean of 3.066 and a standard deviation of 0.587, also showing an average level of use. Conclusion: To improve the quality of management in hospitals and increase production efficiency in various service units, it is recommended to implement the management by objectives method. This modern scientific method has proven to yield positive results for all parties involved and will help improve the standards of citizens.