Group Incentives and Performance: A Study of Spontaneous Goal Setting, Goal Choice and Commitment

Abstract

Building on previous results at the individual level, this study tested the differential effects of three forms of group incentives on aspects of group goal setting, and group performance. Relationships among group incentives, spontaneous goal setting, chosen group goal level, goal commitment, and group performance were examined. Results indicate that placing pay at risk increased the level of spontaneous group goal setting. Also, groups with the most pay at risk chose higher goals. For these groups, chosen group goal level mediated the group incentives-group performance relationship.