Rethinking and Goal Setting in Leadership Management

What it’s all about

The topic of goal setting is inseparable from the foundations of leadership. Leadership is more than simply managing people and resources; it is the art of providing direction in a world of uncertainty and constant change while continuously rethinking one’s approach. In the digital age, where technologies, markets, and social structures are rapidly evolving, leaders must regularly question and adapt their methods and perspectives. Goal setting, as the cornerstone of every leadership strategy, requires a deep engagement with the philosophical, psychological, and psychoanalytic aspects of human behaviour. This article explores the significance of goal setting from these perspectives and highlights why rethinking—systematically re-evaluating concepts and goals—is essential for achieving success and fulfilment in modern leadership.

Philosophical Foundations of Goal Setting

In philosophy, the question of “telos,” the purpose and direction of human action, has been central for centuries. The pursuit of the “good life” was a key theme for Aristotle. For him, eudaimonia – personal fulfilment and well-being – represented the highest goal of human existence. In his Nicomachean Ethics, he emphasised that goals are not arbitrary but are deeply rooted in the ethical and moral structures of humanity. They are an expression of our deepest desires for a meaningful and virtuous life.

For a leader, this means that setting goals is not merely about increasing efficiency but is an expression of their inner values and beliefs. The question of which goal to pursue always implies a moral reflection. The decision to focus solely on economic success or to incorporate social responsibility and ethical obligations presents a central philosophical dilemma. Kant’s categorical imperative teaches us that every goal should be set in such a way that it could serve as a universal law. A leader who is aware of these philosophical principles will not only set goals in terms of their role or economic efficiency but will also consider the well-being of their team, society, and the environment.

The question of the meaning and ethical dimension of goals is unfortunately often neglected in today’s business world, yet it is crucial for authentic and sustainable goal setting. Those who focus exclusively on short-term, profit-oriented goals lose sight of the bigger picture and risk losing integrity and trust in the long run.

The Psychological Perspective of Goal Setting

On a psychological level, goal setting plays a decisive role in motivation and individual success. Goals are the central driving force of human action, but they only have a lasting effect when they are intrinsically motivated. Deci and Ryan’s self-determination theory shows that people who pursue goals aligned with their own values and beliefs are more satisfied and successful than those driven by external incentives.

For leaders, it is therefore essential to define goals based on personal values and those that unlock their potential. Goals set too high or too low lead to frustration or under-challenge, respectively. A well-balanced goal system brings leaders into the so-called “flow state,” as described by psychologist Mihaly Csikszentmihalyi. This state of optimal concentration and productivity occurs when the challenge of a goal perfectly matches one’s abilities without overwhelming them. Leaders who set their goals in line with this principle lay the foundation for maximum efficiency and satisfaction for both themselves and their teams.

Another significant concept in goal setting is self-efficacy. The belief in one’s own ability to achieve a goal is often more critical than the goal itself. Leaders who believe in their own abilities are able to set ambitious and challenging goals and pursue them with determination. They exude confidence and inspire their employees to achieve great things. Leaders who consider strengthening their self-efficacy when rethinking goal setting create a solid foundation for long-term success.

Psychoanalytic Insights into Goal Setting

From a psychoanalytic perspective, our goals are often the result of unconscious drives and desires. Sigmund Freud extensively explored the influence of the unconscious on human behaviour. Many of the goals we consciously formulate are shaped by deeply rooted fears, desires, or societal norms that we may not be aware of. Carl Gustav Jung expanded on this with the concept of the “shadow.” The shadow encompasses all those aspects of our personality that we suppress or reject – weaknesses, unfulfilled desires, or unresolved conflicts. These unconscious parts of our psyche often have a significant impact on goal setting. Leaders who fail to reflect on these inner mechanisms risk formulating goals that are either too egocentric or too defensive.

An example would be an excessive focus on power and status as primary goals, which could be rooted in an unconscious need for control and validation, stemming from early childhood experiences. A leader who is aware of these mechanisms, however, can shape their goal setting more clearly and reflectively. Goal setting thus becomes a process that not only considers external circumstances but also internal drives. Through rethinking goal setting, leaders can learn to integrate their shadow aspects and develop more authentic and sustainable goals.

Goal Setting in the Context of Self-Management and Leadership Management

In self-management, the ability to set clear and focused goals is fundamentally important. Leaders face a multitude of tasks, decisions, and challenges daily that demand their time and attention. Goals provide direction and structure in an often chaotic work environment. However, viewing goals merely as to-do lists misses their deeper meaning. Goals are not just tools for increasing efficiency; they are an expression of personal and professional ambitions.

Reflective goal setting in self-management thus involves not only setting operational milestones but also continuously engaging with one’s own values, strengths, and areas for development. Goals must be regularly questioned and adjusted to ensure that they are not pursued out of habit or convenience but genuinely reflect current needs and challenges.

In leadership management, goal setting also plays a central role. A leader must not only keep their own goals in mind but also those of their teams and employees. Clear, inspiring goal setting provides not only direction but also motivation. It defines the common path and gives individual employees the feeling of being part of something bigger. A leader who can communicate their goals clearly while allowing space for flexibility and creativity creates an environment where teams thrive and achieve peak performance.

The Relevance of Goal Setting in the Digital Age

In the context of advancing digitalisation, the ability to set agile and flexible goals is becoming increasingly important. The technological changes driven by digitalisation require leaders to continuously adjust and rethink their goals. Long-term planning is increasingly being replaced by short-term, iteratively adjusted goals that allow for quick responses to market changes. This highlights the importance of rethinking: goals should not be set in stone but must be dynamic and flexible enough to respond to changing circumstances.

At the same time, digitalisation offers new opportunities for goal tracking and measurement. Data-driven decision-making has become an indispensable part of modern leadership. Leaders can use digital tools to monitor in real-time how their goals are developing and where adjustments are needed. This not only opens up new opportunities but also presents new demands for the ability to deal with uncertainty and complexity. Goal setting thus becomes a continuous process of rethinking, adjusting, and developing.

Five Practical Tips for Rethinking-Based Goal Setting

To apply the insights on goal setting in everyday leadership, it is crucial to formulate clear, actionable steps. A leader who develops their goals based on a rethinking approach must not only focus on the philosophy and psychology of goal setting but also on its practical implementation.

The first step is regularly reflecting on one’s goals. Leaders should take time to critically question their goal setting and ensure that it is still aligned with their values and current reality. This requires not only conscious rethinking but also the courage to discard old goals and define new ones.
Second, leaders should not view goal setting in isolation. Involving the team in the process of goal setting strengthens engagement and ensures greater identification of employees with the organisation’s goals. This fosters trust and collaboration.
Third, it is essential to actively incorporate digital transformation into goal setting. Leaders must familiarise themselves with new technologies and learn how to use them to better pursue and adjust their goals.
Another key point is strengthening one’s self-efficacy. Leaders should be aware of their own abilities and strengths and incorporate these into the goal-setting process. Only those confident in themselves can set ambitious and challenging goals.
Finally, it is crucial to strike a balance between flexibility and consistency. Goals should not be rigidly pursued, but neither should they be constantly changed. A clear structure in goal setting, combined with the ability to respond flexibly to changes, is the key to success.

Conclusion: Goal Setting as the Key to Sustainable Leadership

Goal setting is not a static process but a dynamic one that must continuously evolve. Leaders who regularly rethink their goals and are aware of the philosophical, psychological, and psychoanalytic aspects lay the foundation for sustainable success. In this context, rethinking means having the courage to break old patterns, face new challenges, and, at the same time, stay true to one’s values and beliefs. In the digital age, the ability to set flexible and agile goals is becoming one of the most critical competencies of modern leadership. By setting goals thoughtfully and reflectively, leaders not only create a clear direction for themselves but also inspire their teams to achieve peak performance and genuine engagement.