This report about the high turnover and poor performance by the sales department of Monarch Helmets will assess the applicability of the goal-setting theory to the problem stated above. It will also develop a plan of action to provide solutions to these problems. This report addresses the HR Directors concern of a high turnover and poor performance of employees at Monarch Helmet company. These concerns arose after the expansion of the business beyond the customized bicycle helmets, the distribution centers, and the hiring of 600-full time salaried workers. The company through the HR Director needs to understand what could be the cause of the problem. In practice, several theoretical models have been developed to aid in providing a foundation for explaining certain causes and finding solutions. The goalsetting theory is one of the models that can be used to find the possible cause of the problem at Monarch Helmets and provide a recommendation.