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(Behaviour control)

A goal-setting process in which managers and subordinates negotiate specific goals and objectives for the subordinate to achieve and then periodically evaluate their attainment of those goals.
- Specific goals are set at each level of the firm.
- Goal setting is participatory with manager and worker
- Periodic reviews of subordinates’ progress toward goals are held (pay raises and promotions are tied to goal attainment).
- Teams are also measured in this way with goals and performance
measured for the team.