Using the model for goal setting, evaluate Allstate’s goal-setting process to determine whether or not Allstate has an effective goal-setting program Goal setting in an organization provides a blueprint that determines the courses of action to take and what they need to effect future changes (Hellriegel & Slocum, 2007). Goals serve four purposes in an organization. They guide and direct the organization, aid planning, motivate and inspire staff, and aid in reviewing and controlling performance. There are five principles of goal setting organizations follow in order to have effective goals as outlined by Hellriegel & Slocum, (2007). First is the clarity of goals. This means that goals are measurable and unambiguous and everybody knows the time set for completion of specific tasks set out, what is expected and what is to be rewarded. Goals are specific, measurable and time-bound. Secondly, goals are challenging. People are motivated to do something due to the sense of achievement and reward associated with it. Goals should be closely related with rewards for achieving these goals. The idea is to make each goal a challenge so that it may be viewed as important. If the goal is too easy it may not appear important. However, a balance should be reached between realistic and challenging goals. Commitment is another feature of smart goal setting. Employees should be involved in every step of goal setting and their agreement sought for goals to be effective. Feedback is also an important part of goal setting. This brings chances of clarifying expectations, adjusting to goal difficulty and recognizing those that have accomplished or tried to accomplish their goals. Finally, task complexity is another consideration. Complicated and demanding roles are highly motivating however, care should be taken not to overwhelm the employees therefore it I prudent to give them enough time to improve performance and learn what they need and is required in order to be successful.

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Allstate Insurance Company has met the characteristics effective goal setting program in that in the program already outlined in the four-step process

Employees have been armed with the knowledge and capabilities to meet the goals, the commitment of employees have been sought through involvement, feedback on the achievement is gotten in step three and tasks have been broken down. Moreover, employees have been provided with necessary resources to accomplish their goals. Discuss the competitive advantage Allstate has from the development of the Diversity Index. Diversity index in Allstate carries out a survey on employees regarding their view on the same in the company and the way they are treated based on diversity (Wah, 1999). The American population is very diverse both culturally and ethnically and so is the workforce in companies such as Allstate. This diversity is being used as leverage for competitive advantage by mirroring the diversity of a company’s customer base in its workforce (Wah, 1999). This is not a moral or legal compliance issue but a business strategy where the previously cultural and lifestyle unfulfilled needs of a sensitive workforce are being used with positive results such as better customer satisfaction and increased sale. In this report in the management review, Wah, (1999) says that since 1993, Allstate Insurance Co. has connected diversity with the overall company objectives. The diversity index used by Allstate is not only based on ethnicity and cultural diversity but also on wider perspectives such as age, religion, sexual orientation and disability among others.

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Diversity inclusiveness in Allstate started in the 1960s by assimilating cultural differences in the company’s culture

This strategic become one advantage Allstate had over its competitors as customers wanted to deal with workers who are knowledgeable and are like themselves and give them best services and products. This results to a huge customer base and greater satisfaction levels in them. The company ensures diversity through a number of ways. The first step is in recruitment, which is done among diverse backgrounds. Then promotion is the second way where at every level diversity of employees is sought through the provision of opportunities for growth. To ensure recruitment and retention of talent from diverse backgrounds, a comfortable working environment is created be it for mothers; minority populations; young people etc. recruitment for employees is also done to people who contact the company first as potential customers. Reaching out to historically black collages fro recruitment is also another way of seeking diversity. Retaining the diverse employees in various ways is also a company policy. The Allstate partnership states what employees will receive from the company and what he/she is expected. This way a high level of employee satisfaction and motivation is guaranteed.

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Career development for diverse employee group is given. This ensures motivation and quality service from them (Wah, 1999). Recommend the types of high-performance reward system Allstate should use to motivate its employees to reach its diversity goals In order to ensure high performance and diversity strategy for Allstate, the company can use the gain-sharing programs as a reward system to its employees. In this program the employees share with the company the savings made from productivity improvements. In Allstate the company and its employees share similar goals and therefore they should share the achievements made in increased productivity, reduction of costs and improved quality in form of regular cash bonuses. Since in Allstate employee consultation and involvement in decision making is in the plan of goal settings, this program is effective since they will be involved in setting rewards. There, however, exist disadvantages to this program in that labor costs may increase to out do the highest wage rate and in case of a depression in service prices of the company, the rewards may not be significant even after cost-cutting. This may demoralize the employees (Artley & Stroh, 1993). If you were an Allstate employee, discuss whether or not you would be motivated by the Diversity Index and QLMS As an employee of Allstate there are several things that will motivate me to work hard and achieve the goals of the company. The first thing is “The Allstate Partnership”.

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This kind of contract which shows what the company will do for me and what it expects from me shows that this is no ordinary employer-employee relationship but a partnership in which all the chips are put on the table and we are on the same level right from the beginning. Fair treatment of all employees in the organization irrespective of their ethnicity, race, religion, gender etc is another factor of motivation. I will be respected for who I am and not what I am. Fair treatment of all employees is another thing will boost my morale. This way I know I will voice my opinion and views without fear of being victimized and expect to be treated with respect and that my opinions are listened to and put into consideration. The prospect for the reward for my hard work and effort is another boost to morale. The rewards are clearly stated and what is expected of me is clearly stated and my contribution in setting these goals and rewards was sought (Latham, 2007). The career development aspect for Allstate for all employees is a positive thing to an employee. The education and training given to the employees enables them to perform their duties even better and also advance up the corporate ladder. This is again offered to everyone one who shows good performance and potential solely rather than what other companies seek “company look.” The breakdown of tasks in Allstate to outline exactly what I should do and when I should be doing it is a motivation to work harder. Sufficient time is given to each employee to learn how to these tasks and on regular basis one is evaluated and given the report on his/her performance and achievements (Latham, 2007).