abandoned its commission-based payment system after government officials accused the company of defrauding customers by charging them for unnecessary auto repairs. Perhaps most famously, in 1992, Sears, Roebuck, and Co. Schweitzer gave several examples of how this scenario plays out in real organizations. How you get there, I don't care about." That might leave the employee thinking that she has to do whatever it takes to reach those targets, even if it means cutting some corners. On the other hand, Schweitzer said the manager could be sending the message, "I care about hitting these numbers. On the one hand, that kind of conversation is empowering - there's no micromanaging, and the employee has a lot of autonomy in her work. Here's the budget - how you get there is up to you. Specifically, when leaders outline goals for their employees without monitoring the processes they use to get there, unethical or unfavorable behavior can sometimes follow.įor example, Schweitzer said, a manager might tell an employee: "I need sales to be X. Yet a growing body of research, much of it led by the Wharton School's Maurice Schweitzer and colleagues, focuses on the potential downsides of goal-setting at work and how it can backfire. Knowing exactly what you need to achieve and knowing that your performance will ultimately be measured can be highly motivational. Generally speaking, having concrete objectives is a good idea, one that's supported by years of scientific research. With just weeks left until the new year, many managers are setting goals for their employees: how many hours to bill, deals to close, and products to sell in 2016.
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