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Case Study about Setting Goal Chapter 2 Communication Art Tatit Kurniasih (20125216013) Sources : http://www.affirmations- for-radical-success.com/goal- setting-theory.html  

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7/28/2019 Case Setting Goal From Internet - Tatit Kurniasih

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Overview 

 According to Jones and George's book Contemporary 

Management (2007):

“The goal-setting theory focuses on identifying the typesof goals that are most effective in producing high levels

of motivation and performance and explaining why goals

have these effects.” 

Each goal set forth by a person is a resemblance of what

they are trying to accomplish through their actions and

behaviors.

Without one's efforts, their goals cannot be set or accomplished. The harder the specific goal to achieve, the

more likely one would be motivated and dedicate their best

performance to achieving the desired goal.

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Details of Case 

John, a member of the senior management staff at Lowe's,

was given a Professional Development Plan (PDP), in order 

to maximize his potential as part of the management team of his store.

The goal of the PDP was to ensure that the store was

maintaining excellent customer service and improving

company and store sales.

Half-way through the year, John would report his status to his

supervisors.

Note :

If John was able to meet the goals he had established, new

goals would be created.

If the goals were not met by that time, a more in depth look

would be taken to see what changes may be needed to be

able to accomplish those goals.

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Case… 

John realized that if his store was going to be successful, he wouldfirst need to take a look at himself to see if he was reaching his

maximum potential. Therefore, John decided to first focus on self-development. He

knew that the store would not run efficiently if he was not asuccessful manager. John knew through his years of being amanager that his crew relied on him for encouragement, attitudes,dependability, etc.

John also knew that his employees' morale often reflected his ownmorale while at Lowe's. For each department to be successful,constant improvements needed to be made.

John felt the success of each department would have a trickledowneffect and enhance the success of the store.

Lastly, John had to improve his customer  service and store sales to make the store's overall performance better. Improving in thesethree areas would give his Lowe's store a more successful outlook.

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The PDP would allow John to look at each individual

section that consist of :1.Self-Development,

2.Department Development

3.Store Performance 

He has to see where he needed to improve to achievestandards set forth by the Lowe's corporate office.

The plan was built on goal-setting theory and included

education on how to create S.M.A.R.T. goals to ensure

focused changes could be implemented to improve the

success of his store.

3 Sections of Goals

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SMART GOALExplanation

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Analysis

 As John continued to readmore about each specific

section of the S.M.A.R.T.

goals, he decided to relate

them to the way he felt about

his current position and ways

he can improve himself and

his store to make his storebetter.

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SMART GOAL :

First, John took a look at the two questions off of the PDP under self  –development :

1."What must I stop doing to be a more successful

manager?" and

2."What must I continue to do well to be moresuccessful?"

Then he went to each specific category to see

how he could relate that to the two questions.

a. Self Development 

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1. SpecificWith goal specificity, John, as a manager can give his

employees some control in this area.

Different departments might have different, specific goals.

Specific goals would include: Increasing the sales of a

certain department over last year's sales. (This

information is available through weekly reporting of thecompany.); have a month pass with zero on-the-job

injuries; higher rates of positive customer feedback;

lower absenteeism/tardiness.

By giving his employees the autonomy to set their own

goals, John will "ensure that the goals are not

unreasonable" (Redmond, 2011)

a. Self Development Goal : 

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When John applies his questions, he can determine the following:

"What must I stop doing to be a more successful manager?"  

Through his measurements, he can see what areas might need to be

addressed. Actions he may need to stop are any scheduling habits that

make it difficult for employees to be punctual or he might need to stop

worrying about sales for a short period of time to address customer 

feedback. When he addresses customer feedback, he may improvesales. By stopping certain things that might impede not only his

performance but his employees' performance as well as sales

outcome(s), he can be more successful.

"What must I continue to do well to be more successful?"  

John's can use measurements to compare his store's success withother stores and national benchmarks to identify areas that he is

excelling in and he should evaluate each goal to make certain he will be

able to continue to measure those items and make certain that he doesn't

set new goals that would distract from current success areas.

2. Measurable a. Self Development Goal : 

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By giving his employees the freedom to set goals (and in turn

would make him a more successful manager), he must find

goals that can be reasonably be achieved.While the employees may give him feedback on whether or not

the goals are realistic, he must ensure that the goals are

difficult but not too difficult that would cause a drop in

commitment.

"When commitment to a difficult goal lapses, performance

would be expected to level off or decrease" (Redmond,

2011). He then can analyze their goals in order to set his goals

and make them attainable. He would help his employees set

goals, and then set his own goals to become a better manager and give himself more motivation.

John will need to evaluate his own as well as his employee's

competency in each area to make certain the goals set can be

achieved.

3. Attainable a. Self Development Goal : 

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4. Realistic As in the attainable part of the goal, letting his

employees set realistic goals, John can in turn setrealistic and attainable goals.

Although it is important for John to set himself acertain degree of difficulty in his goals to have a

higher motivation and "higher the performance"(Redmond, 2011), it is also just as crucial that he isrealistic.

By evaluating his goals on a month to month basis,

he can visualize more realistic goals and moresuccessful outcomes.

a. Self Development Goal : 

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5. Timely Bound 

John's goals as well as the goals his employee's assist insetting must be related to a specific time-frame.

Setting goals within specific time frames also allows for periodic evaluation to see where he stands and how muchfurther he needs to go, and what step is next.

If he applies the two questions ("What must I stop doing to

be a more successful manager?" and "What must I continueto do well to be more successful?") to the timely aspect, hecan evaluate and target a specific time frame that he muststop doing that is interfering with his success as well aswhat he should continue to do to be more successful.

With feedback from customers as well as employees, hewould be able to weed out what he might need to stopdoing, what he needs to continue to do and ensure successin his goals.

a. Self Development Goal : 

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John need a proven method of maximizing his success

in setting and achieving goals is to set SMART goals.The guidelines given to aid him in developing S.M.A.R.T.

goals for department development were the questions:

How can I improve Attachment Rates?

How can I improve Shrink Loss?

What can I do to improve Specialty Sales?

SMART GOAL : b. Department Development 

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For the Department Development, John sets specific

goals to be achieved. The goals to be achieved include:-Absenteeism and tardiness in each department to

decrease by 50%. With documentation for those who

violated the policy.

-Positive customer feedback for each department to

rise by 20%.

-Employee meeting attendance 100%.

-Each department sales increase by 3-5% than previous"quarter" (previous three months.)

a. Specific b. Department Development Goal :

b t t l t G l

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John will measure these Department Development goals as listed:

-Absenteeism/tardiness will be measured by counts of days absent,

counts total hours tardy per department each month.-Customer feedback measured as positive or negative every 4-8

weeks

(Depending on amount of each individual department's amount

of feedback)

-Meetings will be held once a quarter (3 months), attendance will be

measured

Per department. Meetings are important for communication

between

Departments and management.

-Departments' sales measured by, obviously their sales totals and

will be compared to last year's sales, same month, for sales growth.

b. Department Development Goal : b. Measurable: 

b D t t D l t G l

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Through achievability, each department's goals

will have the factor that John is comparing each

department's sales, absenteeism, feedback, etc.

rather than comparing them as total combined.

b. Department Development Goal : c. Attainable: 

b D t t D l t G l d li i

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Realistically, John has set attainable goals for the

departments individually and as a whole.

By doing so, it will help him realistically achieve his goal of becoming a better supervisor.

Through his pragmatic goals and measurements, the

department will have a very positive development as well

as outcomes.

John will be able to develop "project objective, work plans

and implementation strategies consistent with

departmental goals" (Indiana University) as well as be able

to rationally "accomplish his goals "in a specified time

frame," follow through and resolve "problems in a timely

manner to keep project on track" (Indiana University).

b. Department Development Goal : d. Realistic: 

b D t t D l t G l

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John will be able to "resolve problems in a timely

manner to keep project on track" (IndianaUniversity).

With his goals having a time-frame kept in mind

(measurements per so many weeks, months,quarters, etc.),

 A timely execution of succeeding will be practicable

as well as very possibly successful.

b. Department Development Goal : e. Timely bound: 

SMART GOAL

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John was to apply the S.M.A.R.T. theory concept to this

part of the PDP and see what goals can be set to

increase the performance of the Lowe's store he is in

charge of managing.

The questions listed on the PDP under store

performance included:"How can I improve overall store sales?” 

"How can I improve average ticket?"

"What can I do to impact customer service?" and"What can I do to improve employee engagement?"

He looked at each category to see how they could be

defined using the S.M.A.R.T. theory.

Store Performance SMART GOAL :

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John decided that he needed to give his employees a chance tobe involved within the company to make them feel like part of the team.

While research has not necessarily shown that employeeimproves motivation John decided that having the employeesinvolved would give them a sense of belonging. He hoped that

this sense of belonging would improve the morale of theemployees and in turn improve customer service.

John set himself a goal to have monthly team meetings wherethe staff could give input on ideas they may have to improveLowe's.

John set a goal to develop a program that would allow eachemployee to learn more about their department so that theycould better assist customers and know what the customerswant and need when shopping within his particular store.

c. Store Performance Goal :  1. Specific: 

S f G l

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John was taught that if a goal is not measurable, it cannot

be achieved (Reis, 2010).

This is why John was going to review the team meetings

after three months to see if the employees were inputting

any ideas they have and how successful it was at carrying

out those ideas.

He would also learn as each meeting went on if the

employees felt like they had input, if more and more input

was given as the meetings went on.

The team that was in charge of putting together theprogram about each department would return to the same

employees within three months to see if their knowledge of 

their department has improved as well.

c. Store Performance Goal :  2. Measurable: 

St P f G l

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In order for the goals to be attainable, they must be

assigned to a specific person or group capable of 

achieving that goal.

The team meetings were going to be assigned to John

himself since he was in charge of all the employees

and he knew the best ways to improve their moraleand receive their inputs.

He assigned the tasks of "department knowledge" to a

team of ten people who would ensure that each

department received the knowledge, training, and

expertise in their department.

c. Store Performance Goal :  3. Attainable: 

St P f G l

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The two main goals set forth for storeperformance were realistic because they could

actually happen.

They were not goals that would turn people

away due to the lack of interest.

c. Store Performance Goal :  4. Realistic: 

St P f G l

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John set the time line to review each goal's

progress in three months. This would allow him time to see if the goals

were attainable or needed to be changed.

John had a year to complete and work on thePDP. Allowing three months to see the progress

would still give him ample time to change the

goals if these specific goals were not workingto improve the store performance.

c. Store Performance Goal :  5. Timely Bound: 

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Applying Goal Setting Theory 

Goal setting theory is probably the bestsupported theory of work motivation and one of 

the best-supported management theories

overall.Research convincingly shows that specific,

difficult and employee accepted goals will lead

to higher levels of performance than easy,vague, or nonexistent ones (Werner &

DeSimone, 2009).

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“ The basic premise of goal setting theory is that there is a positive linear relationship between aspecific high goal and task performance”  

(Latham & Locke, 2007).

In other words having a specific target goal will

increase the level of performance, effort, andmotivation in that employee.

The goal--performance relationship is strongest

when people are committed to their goals (Locke& Latham, 2002).

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An organizational application of goal setting theory that is

widely used is an intervention called Management by Objectives

(MBO) which combines employee participation in the goalsetting process with closely measured results toward achieving

each specific goal.

“In its broadest construction it is seen as a planning and control

system which is designed to encourage self-control over anindividual’s work while assuring that managers’ efforts are

aligned with the overall organizational goals and priorities” 

(Poister & Streib, 1995).

The importance of participative goal setting has not been shownto significantly impact motivation. “From a motivational

perspective, an assigned goal is as effective as one that is set

participatively provided that the purpose or rationale for the

goal is given” (Locke & Latham, 2002).

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In this case study Lowe's was using an MBO system as

an approach to directing an organization through

strategic goal setting.They utilized a list of questions to direct their 

managers to the goals of the company and hoped this

would guide their managers in developing goals to

meet their overall objectives.The specific questions contained within the PDP

directed the manager to focus on three specific areas

of development to target goal setting.

Self development, department development, and store

development. According to goal-setting theory The

managers were then given the tools to develop goals

that were SMART.

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The Goal Setting Theory is becoming more of a norm

in today's society. Larger companies are finding it

useful to motivate their managers and teams to higher levels.

It is a theory that is easy to use and easy to follow.

With today's technology it makes the process very

simple to follow, each company can set up email

reminders to update you S.M.A.R.T Goals, they can

provide you with the correct paperwork and supply

the tools you may need to succeed in the position.The largest factor in being successful is the internal

motivation that one has to succeed and follow the

goals as they have set forth.

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"Nothing can stop

the man with the right mentalattitude from

achieving his goal;nothing on earthcan help the man

with the wrong

mental attitude."  - Thomas Jefferson -

 

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Thank You!

Tatit Kurniasih

20125216013NUIST

Magister of Management Business 2012