Goal Theory

Components of goal theory and its benefits in the workplace

The goal theory suggests that by allowing employees to set goals, they can be influenced to work harder to meet these goals by motivating them. This will lead to a significant boost in employee performance and translate to benefits for the organization as well. The basic principles of the goal setting theory are clarity, commitment, challenge, complexity, and feedback. The theory posits that goals that are set by employees need to be SMART. This means they should be specific, measurable, attainable, realistic, and time-bound. This is important for the goals to be clear to both the employees and the organization. The theory also states the second attribute of goals as commitment from the employee to meet the goals. Employees should be motivated to feel like the goals and goal-setting process is important for them to be committed to...
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