Goal setting Theory:  In 1960‘s, Edwin Locke put forward the Goal-setting theory of motivation. This theory states that goal setting is essentially linked to task performance. It states that specific and challenging goals along with appropriate feedback contribute to higher and better task performance. In simple words, goals indicate and give direction to an employee about what needs to be done and how much efforts are required to be put in.

The important features of goal-setting theory are as follows: 

  • The willingness to work towards attainment of goal is main source of job motivation. Clear, and difficult goals are greater motivating factors than easy, general and vague goals.
  • Specific and clear goals lead to greater output and better performance. Unambiguous, measurable and clear goals accompanied by a deadline for completion avoids misunderstanding.
  • Goals should be realistic and challenging. This gives an individual a feeling of pride and triumph when he attains them, and sets him up for attainment of next goal. The more challenging the goal, the greater is the reward generally and the more is the passion for achieving it.
  • Better and appropriate feedback of results directs the employee behaviour and contributes to higher performance than absence of feedback. Feedback is a means of gaining reputation, making clarifications and regulating goal difficulties. It helps employees to work with more involvement and leads to greater job satisfaction.
  • Employees participation in goal is not always desirable.
  • Participation of setting goal, however, makes goal more acceptable and leads to more involvement.

Five Principles of Goal Setting:

To motivate goals must take into consideration the degree to which each of the following exists:  

  • Clarity
  • Challenge
  • Commitment
  • Feedback
  • Task complexity

1. Clarity

Clear goals are measurable, unambiguous, and behavioural. When a goal is clear and specific, with a definite time set for completion, there is less misunderstanding about what behaviours will be rewarded. We know what is expected, and we can use the specific result as a source of motivation. When a goal is vague – or when its expressed as a general instruction, like ―Take initiative‖- it has limited motivational value.

To improve our or our team’s performance, set clear goals that use specific and measurable standards. ―Reduce job turnover by 15% or ―Respond to employee suggestions within 48 hours‖ are examples of clear goals. When we use the SMART acronym to help us to set the goals, we ensure the clarity of the goal by making it Specific, Measurable and Time-bound.

2. Challenge

One of the most important characteristics of goal setting theory is the level of challenge. People are often motivated by achievement, and they’ll judge a goal based on the significance of the anticipated accomplishment. When we know that what we will do would be well received, there’s a natural motivation to do a good job.

Rewards typically increase for more difficult goals. If we believe we will be well compensated or otherwise rewarded for achieving a challenging goal that will boost our enthusiasm and our drive to get it done.

3. Commitment

Goals must be understood and agreed upon if they are to be effective. Employees are more likely to ―buy into‖ a goal if they feel they were part of creating that goal. The notion of participative management rests on this idea of involving employees in setting goals and making decisions.    

One version of SMART – for use when you are working with someone else to set their goals – has A and R stand for Agreed and Realistic instead of Attainable and relevant. Agreed goals lead to commitment. This doesn’t mean that every goal should be negotiated with and approved by employees. It does mean that goals should be consistent and in line with previous expectations and organizational concerns. 

As we use goal setting in your workplace, make an appropriate effort to include people in their own goal setting. Encourage employees to develop their own goals, and keep them informed about what’s happening elsewhere in the organization. This way, they can be sure that their goals are consistent with the overall vision and purpose that the company seeks.

4. Feedback

In addition to selecting the right type of goal, an effective goal program must also include feedback. Feedback provides opportunities to clarify expectations, adjust goal difficulty, and gain recognition. It’s important to provide benchmark opportunities or targets, so individuals can determine for themselves how they’re doing.

These regular progress reports, which measure specific success along the way, are particularly important where it’s going to take a long time to reach a goal. In these cases, break down the goals into smaller chunks, and link feedback to these intermediate milestones. SMART goals are Measurable, and this ensures that clear feedback is possible.

5. Task Complexity

The last factor in goal setting theory introduces two more requirements for success. For goals or assignments that are highly complex, we should take special care to ensure that the work doesn’t become too overwhelming.

People who work in complicated and demanding roles probably have a high level of motivation already. However, they can often push themselves too hard if measures aren’t built into the goal expectations to account for the complexity of the task.

It’s therefore important to do the following:      

  • Give the person sufficient time to meet the goal or improve performance.     
  • Provide enough time for the person to practice or learn what is expected and required for success.

The whole point of goal setting is to facilitate success. Therefore, you want to make sure that the conditions surrounding the goals don’t frustrate or inhibit people from accomplishing their objectives. This reinforces the ―Attainable part of SMART.

organizational behaviour

February 11, 2018