Locke’s Goal Setting Theory Application to IT Industry

The foundation of modern-goal setting which is having a momentous impact to management of a workforce today was set by Locke’s goal setting theory (Lunenburg, 2011). The theory can be considered as the blueprint of motivation for the modern workplace as goal setting theory makes the employee engagement, goals and productivity to relate to each other with actionable and clear goals (Seijts et al., 2004). The effect on the subsequent performance is greater, after setting goals which are difficult but specific, and such goals makes the individuals or teams to perform better than the easy general goals as described by Mann, Ridder and Fujita (2013).

Figure 1: Setting and reaching a goal


Source: Foster (2016)

Information technology industry which involves building state of the art technology solutions to every aspect of modern life, required the employees to perform productively to stay in business (Tohidi, 2011). There should be enough challenge to the knowledge workers in order to keep them motivated to strive for achieving the tasks (Hamid, Sengupta and Swett, 1999). Hence, it is essential to understand the applicability of Locke’s goal setting theory effectiveness in the aspect of information technology sector employees and management perspectives. The goal setting theory is defined with five main principals, which are described by Lunenburg (2011) as, goals should have a clarity, should be challenging goal, needs commitment to achieve, requires feedback and should consider the complexity of the goal.

Clarity
Clarity of a goal defines it is clear, specific and measurable, to ensure the goal can have a timeline set for completion (Hamid, Sengupta and Swett, 1999). The agile processes followed in tech companies demand to setup clear achievable targets, by defining user stories or requirements, as specific and achievable in a given time scale defined as an agile sprint (Tohidi, 2011). A user story or requirement should have a clear requirement definition, clear acceptance criteria and an estimation for it defined, which satisfies the clarity, measurable and set for a achieve in a specified timeline, catering the clarity aspect of the goal setting theory.

Challenging
To motivate oneself to strive to achieve a goal, the goal should have reasonable level of difficulty as a challenging goal (Seijts et al., 2004). The work in information technology industry is always challenging and the employees have to learn new skills each and every day of their professional life. It is harder to find none challenging repetitive routine tasks in an industry where innovation and technology is utilized to the maximum level of possibility (Tohidi, 2011). Therefore, the challenging aspect of a goal in a tech company is inevitable. However, empowered team in modern agile practices in IT industry may set the timelines to achieve a goal with ease (Tohidi, 2011). Hence, the industry is practicing velocity measurement based on the past agile sprint achievements, which is even visible to management, so that the teams are motivated to strive to increase the velocity, as the team progresses with a given project.

Commitment
Commitment refers to the deliberate effort put forward to achieve the goal and one should have shared his/her goal to someone in order to have an accountability to reach the goal (Mann, Ridder and Fujita, 2013). In the tech companies, the release timelines are committed and to meet those deadlines the team is set with multiple cycles with clearly specified sets of goals. In each small cycle generally known as an agile sprint, set of stories or requirements are committed and declared before the start of the sprint (Hamid, Sengupta and Swett, 1999). Therefore, the accountability is assigned to the team to take necessary steps to complete the set goals in a given sprint (Tohidi, 2011).

Feedback
Another vital factor to achieve a goal is to have a mechanism to receive information on the progress, to ensure the necessary adjustments can be made if required based on feedback and progress, without giving up the goal entirely (Seijts et al., 2004). The information technology companies mostly use tools to monitor the goals set for a given sprint, or release cycle. These tools are providing insights on the team progress and achievement of the set goals (Tohidi, 2011). There is a practice of daily meetups within the teams where the members review the progress and discuss any road blocks. Depending on the current progress and any road blocks necessary adjustments can be made by the team, and the management as the facilitator for the team. However, some tech companies who are still following traditional approaches to review progress, of the projects only once in couple of weeks, would suffer due to the inability to take corrective actions on time (Tohidi, 2011).

Complexity
If the goal is too complex and depending on the learning curve required, breaking down the goal into achievable sub-goals is essential with realistic timescales (Mann, Ridder and Fujita, 2013). Further, a goal should be smart as described by Seijts et al., 2004, and they further mention that the smart defines, Specific, Measurable, Achievable, Realistic and Timely goal. The complex implementation requirements in information technology solutions are broken down to couple of levels (Tohidi, 2011). The categorization of such solution implementation starts from initiatives, epics and features. The required feature implementations then broken down as goals, or user stories which can achieved in a given timeline. Generally, as a practice to achieve a given story or requirement, multiple sub tasks are defined. Such breakdown of work caters, the Locke’s goal setting theory principal of consideration for complexity (Tohidi, 2011). When there are unknowns, the spike or research items are defined by software development teams to clear the unknowns in technology or in requirements and to identify feasible implementation possibilities. The long project deadlines are broken down to multiple cycles of releases, called iterations or sprints, with regular feedback from clients, is another important implementation that can be identified in tech companies which maps to the consideration for complexity in the goals (Tohidi, 2011).

As an example, the Microsoft founder Bill Gates has used goal setting to in building the giant tech company.  Using objective and key results (OKR) was the strategy of goal setting followed in the Microsoft company which made them the most widely used technology provider in the world home personal computers and laptops (Liu, 2019). As per Bill Gates having only concrete objective is not sufficient in getting the objective achieved, but one needs have reachable goals defined for the objective and must have clear steps to achieve (Mejia, 2018). The success of Microsoft as a tech company is evident for how effectively goal setting can be applied in human resources in a tech company.

Figure 2: Microsoft Revenue in Billion Dollars

Source: Liu (2019)

Once employees have the knowledge and skills to perform tasks it is vital to set goals which are realistic to keep the employees motivated to achieve which maximize the productivity (Seijts et al., 2004). As per above application of goal setting theory, to keep the tech employees motivated and achieve the set project goals, information technology industry can be considered as an industry where the goal setting is utilized with modern tooling and practices unique to the tech companies, which helps the IT industry to succeed in providing the demanding innovative solution needs, by all other industries (Tohidi, 2011).

List of References

Foster, M. (2016) 7 Steps to Achieving Any Goal in Life [online Available at: < http://michelecfoster.com/7-steps-to-achieving-any-goal-in-life/>.].[Accessed on 13th May 2020].

Hamid, T.K. A., Sengupta, K and Swett, C. (1999) The Impact of Goals on Software Project Management: An Experimental Investigation. Management Information Systems Quarterly, 23(4), pp.531-555.

Liu, S. (2019) Microsoft's annual revenue worldwide, from FY 2002 to FY 2019 [online Available at: < https://www.statista.com/statistics/267805/microsofts-global-revenue-since-2002/>.].[Accessed on 24th May 2020].

Lunenburg, F. C. (2011) Goal-Setting Theory of Motivation. International Journal of Management, Business, and Administration, 15(1), pp.1-6.

Mann, T., Ridder, D and Fujita, K. (2013) Self-Regulation of Health Behavior: Social Psychological Approaches to Goal Setting and Goal Striving. Health Psychology, 32(5), pp.487-498.

Mejia, Z. (2018) This simple method is used by Bill Gates, Larry Page and even Bono to tackle their biggest goals [online Available at: < https://www.cnbc.com/2018/08/14/this-goal-setting-method-is-used-by-bill-gates-larry-page-and-bono.html>.].[Accessed on 24th May 2020].

Seijts, G. H., Latham, G. P., Tasa, K and Latham, B. W. (2004) Goal Setting and Goal Orientation: An Integration of Two Different Yet Related Literatures. Academy of Management Journal, 47(2), pp.227-239.

Tohidi, H. (2011) Teamwork productivity & effectiveness in an organization base on rewards, leadership, training, goals, wage, size, motivation, measurement and information technology. Procedia Computer Science, 3(1), pp.1137-1146. 







Comments

  1. I agree with you pushpa. Let me add some poit to this. organization members will work hard to reach challenging goals, they will only do so when the goals are within their capability. As goals become too difficult, performance suffers because organization members reject the goals as unreasonable and unattainable. A major factor in attainability of a goal is self-efficacy (Bandura, 1997). This is an internal belief regarding one’s job-related capabilities and competencies. If employees have high selfefficacies, they will tend to set higher personal goals under the belief that they areattainable. The first key to successful goal setting is to build and reinforce employees’ self-efficacy.

    ReplyDelete
    Replies
    1. The proper strategy identified and followed by the team would increases the performance of the team, however, the incorrect strategy may reduce the achievability of difficult goals (Yurtkoru et al.,2017). Further, Yurtkoru et al.(2017) says, the employees will take difficult tasks as a positive challenge, when the team or individuals are self-sufficient, which would result in improved performance.

      Delete
  2. Agree with your view. It Industry in global economy is highly competitive and business continuity is depend on innovation (Nickie, Frimpong, and Sun, 2019). Establishing, communicating and directing employees towards achievement of organizational goals by rewarding mechanism is establishing a motivational working atmosphere and enhance employee work engagement. The continuous work engagement maintains a positive relationship on employee performances and opens the gate for innovation (Landers, Bauer and Callan, 2015).

    ReplyDelete
    Replies
    1. True. Challenging goals which needs innovative implementation is a key motivator for information technology sector employees, therefore, it is essential for the team leads and management to set the challenging goals to the workers to keep the enthusiasm and passion towards work at a higher level, as per Choon and Patrick (2016).

      Delete
  3. A very interesting topic. furthermore Locke (1989) explains; Given goal commitment, job performance improves because the goal provides a regulatory mechanism that allows the employee to observe, monitor, subjectively evaluate, and adjust job behavior in order to attain the goal. goal setting taps a fundamental attribute of human behavior, namely 'goal directedness' (Lee, Locke and Latham, 1989).

    ReplyDelete
    Replies
    1. Agree. However, Goldman et al. (2002) say, even though the goal-directedness has a positive relationship to the well-being of an individual, and his compensation and materialistic satisfaction, such goal-directedness may not significantly relate to the satisfaction of the employment functions.

      Delete
  4. Interesting topic.In 1960’s, Edwin Locke put forward the Goal-setting theory of motivation. This 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. Goals indicate and give direction to an employee about what needs to be done and how much efforts are required to be put in.

    ReplyDelete
    Replies
    1. Agree. Yurtkoru et al. (2017) says, properly defined goals direct team towards the achievements of the organizational targets as every individual has good understanding about the expectation and deliverable. However, if the organization failed to set goals properly, employee performances may degrade due to unnecessary pressure on the employees (Yurtkoru et al.,2017).

      Delete
  5. Agree with your view, Goal-setting and performance assessment of individuals and teams. Most organizations will expect line managers to undertake these tasks, usually within a centrally designed appraisal scheme. This improves the chances of appraisals being linked to strategy. Also, there has been a move towards so-called 360° appraisals. These assess an individual’s performance from multiple perspectives not just the line manager but also from other parts of the organization on which the work of the individual and/or their team impacts. This is an attempt to assess the full impact of an employee’s work on the success of strategy (Johnson, Scholes & Whittington 2005).

    ReplyDelete

Post a Comment