Transactive Goal Dynamics Theory: A relational goals perspective on work teams and leadership

Transactive Goal Dynamics (TGD) Theory is a multi-level, relational theory of goal pursuit that can be used to understand behavior within organizational teams. The theory describes the nature of goal-related interdependence (called transactive density) within dyads and groups, and predicts when transactive density will have positive versus negative consequences for goal-related outcomes. TGD Theory states that within many close dyads and teams, individuals’ goals, pursuits, and outcomes come to affect each other in a dense network of goal-related interdependence, with the individuals possessing and pursuing goals oriented toward themselves, other members of the system, and the system as a whole. This article discusses novel implications of the theory for the understanding of organizational teams and team leadership, and constraints on relational dynamics within organizational contexts.