Goal Setting theory

2. Introduction:
 In 1960’s, Edwin Locke put forward
the Goal-setting theory of motivation.
 This theory states that goal setting is
linked to task performance & Specific
and difficult goals with feedback
lead to higher performance

3. Goal Difficulty and Performance
High
TaskPerformance
Low Moderate Challenging Impossible
Area of
Optimal
Goal
Difficulty
Goal Difficulty

4. Features of Goal-setting theory
 Goals Need to Be Specific
 Goals Must Be Difficult but Attainable
 Goals Must Be Accepted
 Feedback Must Be Provided on Goal Attainment
 Goals Are More Effective When They Are Used to
Evaluate Performance
 Deadlines Improve the Effectiveness of Goals

5. Characteristics of Effective Feedback
Effective
Feedback
Specific
Relevant
Timely
Credible
Sufficiently
frequent

6. Eventualities of Goal setting theory
1. Self-efficiency- Self-efficiency is the individual’s
self-confidence and faith that he has potential of
performing the task. Higher the level of self-
efficiency, greater will be the effort.
2. Goal commitment- Goal setting theory assumes
that the individual is committed to the goal and will
not leave the goal.
The goal commitment is dependent on the following factors:
 Goals are made open, known and broadcasted.
 Goals should be set-self by individual rather than designated.
 Individual’s set goals should be consistent with the organizational goals and vision.

7. Advantages of Goal Setting Theory
 Goal setting theory is a technique used to raise incentives for
employees to complete work quickly and effectively.
 Goal setting leads to better performance by increasing
motivation and efforts, but also through increasing and
improving the feedback quality.
Limitations of Goal Setting Theory
 Very difficult and complex goals stimulate riskier behavior.
 If the employee lacks skills and competencies to perform
actions essential for goal, then the goal-setting can fail and
lead to undermining of performance.
 There is no evidence to prove that goal-setting improves job
satisfaction.

8. Dr.Edwin Locke and Dr.Gary Latham (1990)
 Dr. Lock & Dr. Latham joint published ..”A Theory of Goal
setting & task performance” in 1990.
 This book says the importance of setting specific & difficult goals.
It included there are five (5) fundamental principles that lie
behind effective goal settings.

10. Conclusion
 Locke and Latham provide a well-developed goal-setting theory of motivation.
 The theory emphasizes the important relationship between goals and
performance.
 Research supports predictions that the most effective performance seems to
result when goals are specific and challenging, when they are used to evaluate
performance and linked to feedback on results, and create commitment and
acceptance.
 The motivational impact of goals may be affected by moderators such as ability and
self-efficacy.
 A learning goal orientation leads to higher performance than a performance
goal orientation,
 Group goal-setting is as important as individual goal-setting.