Last updated: July 14, 2019
Topic: BusinessManufacturing
Sample donated:


ESST team has to be developed to its full potential since experience staff from Ouest team have been inducted.


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Goal setting enables the objectives to be turned into reality. If objectives describe the ‘what’, plans describe the   way in which the objectives are to be achieved. Managers who are to implement are to achieve objectives. The objectives can be achieved only if the management converts them into specific action plans spelling out the various steps or activities to be performed and the specific time within which these must be performed.

There are four broad steps involved in every goal setting.

• Choosing strategies which are appropriate to the objectives

• Assigning responsibility for achieving the objectives

• Allocating resources for achieving the objectives

• Scheduling specific activities to achieve maximum utilization of resources.

Activities form the basis of every plan. Activity refers to the thing or series of acts which have to be done in order to achieve the objective. These activities have to be arranged sequentially in the most logical manner and a time frame has to be specified for the completion of each activity. This is known as scheduling. It is only when this has been done that the plans get converted into goal setting.

There are many techniques which are extremely useful in planning. .Depending on the specifics of the plan one can use the appropriate technique to make them more useful.

Objectives are set for the organization or the unit as well as for specific individuals. Therefore two kinds of plans are needed: plans for the team and individuals’ plans. The reference point for team or group plan may be the customer dealing team, or group of R & D engineers working on new product development.   Wherever objectives are specified for a group of people working together towards a common goal, a team goal is required. Within the team individuals are assigned specific objectives for achieving and these individuals need individual or personal plans.

Performance Review

Regular performance review is one of the main features. In the absence of a review system the system cannot function. The focus of the goal setting is on:

• Performance

• Improvement

• Future corrective action

• Frequency of reviews

• Self-Appraisal.

It is on the basis of these five elements that the planning of the is going to work.The purpose of evaluating is to provide corrective feedback to the concerned person. In such a system, the appraisal may be done for the purpose of assessing the individual’s potential and his compensations for career planning and identification of training and development needs and also includes appraisal of personality traits and not merely performance.

Top Management Support

Goal setting to be successfully implemented it is important that it has the full backing and support of the top management. In the process of implementation, there may be some redefining of objectives which in turn may lead to jobs being redefined. restructured or even totally scrapped in some cases. This is bound to lead to conflicts and friction and top management intervention may often be required to soothe disturbed emotions and find practical solutions. Top management needs to exhibit great patience, understanding and perseverance to see goal setting through its teething age.



Staff Motivational Methods

Reward management is about the development, implementation, maintenance, communication and evaluation of reward processes. A substantial knowledge does exist that focuses on the relationship between reward systems and the degree to which participative management is practiced. If an organization wishes to operate in a participative manner, it needs to change all its systems, including its motivational system. For effective participative management a different approach to pay for performance is required. It is  to suggest that the correct approach is to pay bonuses based on group or plant-wide performance.

For success of participative management team performance needs to be rewarded. Of late, reward system practices are changing in consistent with participative management. Gain sharing has become increasingly popular in the last decade, and skill-based pay plans have replaced job-based plans in many manufacturing locations practicing participative management.

Reward systems influence attraction and retention of employees. Overall, those organizations that give the most rewards tend to attract and retain the most people.. This seems to occur because high reward levels lead to high satisfaction, which in turn leads to lower turnover and more job applicants.

The best performers represent a particularly interesting retention pr6blem. To retain them, a reward system has to work on a par with those received by individuals performing similar jobs at a similar level in other organizations. The emphasis here is on external comparisons because turnover means leaving an organization for a better situation as well. One way to accomplish this is to reward everyone at a level that is above the reward levels in other organizations.

When certain specifiable conditions exist, motivation systems have been demonstrated to motivate performance. However, performance motivation depends on the situation, how it is perceived, and the needs of people. The connection between performance and rewards must be visible, and a climate of trust and credibility must exist in the organization. The belief that performance will lead to rewards is essentially a prediction about the future. For individuals to make this kind of prediction, they have to trust the system that is promising them the rewards.

Just as reward systems motivate performance, they can motivate the learning of skills and the development of knowledge. Individuals need to see a connection between learning specific skills and a valued reward. Pay for performance systems may motivate learning and development because individuals perceive that they must develop their skills in order to perform effectively. Sometimes pay for performance systems may discourage individuals from learning new skills or motivate them to learn wrong skills. This can happen when the skills that should be learned are not directly related to present performance.

The reward systems in hierarchical organizations acts as a strong motivation to learn those skills that are perceived to lead to promotion. To counter this tendency some organizations are using skill-based pay when they want individuals to add new skills that do not involve promotions.

Reward systems also contribute to the overall culture and climate of an organization. Depending on how reward systems are developed, administered, and managed, they may cause the culture of an organization to vary quite widely. Reward systems are often a significant cost factor in organizations.

One of the important attributes of work organization is its ability to give rewards to their members. Pay, promotions, fringe benefits, and status symbols are perhaps the most important rewards. Because these rewards are important, the way they are distributed have a profound effect on the quality of work life as well as on the effectiveness of organizations.

Organizations typically rely on reward systems to do four things:

I) motivate employees to perform effectively,

2) motivate employees to join the organization,

3) motivate employees to come to work, and

4) motivate individuals by indicating their position in the organization structure.

• Give value to the reward system. Employees must have a preference for the types of rewards being offered.

• Make the reward system simple to understand. Elaborate procedures for evaluating performance, filling of forms, and review by several levels of management lead to confusion. The system must be easy to understand if it is to be used effectively.

• Lay down performance standards within the control of the team.

• Make the reward system fair and effective.

• Ensure participation in the reward system.

• Involve people in the reward process and empower them to do the needful.


Every organization has some characteristics which are common with any other organization. At the same time, each organization has its unique set of characteristics and properties. This psychological structure of organization and their sub-units is usually referred to as Organizational Culture.

Culture is a commonly experienced phenomenon and many words like, climate, atmosphere, environment and milieu are often used interchangeably to describe it. Organizational climate is a relatively enduring quality of the internal environment that is experienced by the members, influences their behavior, and can be described in terms of values of a particular set of characteristics of the organization.Organisational is the set of characteristics that describe an organization and that (a) distinguish one organization from other organizations; (b) are relatively enduring over time and (c) influence the behavior of the people in the organization.

Organizational Culture is a relatively uniform perception held of the organization, it has common characteristics, it is descriptive, it can distinguish one organization from another and it integrates individual, group and organization system variables.

Just as any culture has some do’s and don’ts in the form of totems and taboos which dictate how each member should behave with a fellow member or an outsider, similarly each organization has a culture that influences the behavior of employees towards clients competitors, colleagues, supervisors, subordinates and strangers.  Organizational Culture is the perceived aspects of an organization’s internal environment, but within the same organization there may be very different OCs. This might happen because people with different length of experience or at different levels of organization’s hierarchy, may perceive internal environment of an organization differently. Personal characteristics such as Values, Needs, Attitudes and Expectations determine the manner in which an individual is likely to perceive the various aspects of the internal working environment of the organization.