Book

Description

The banking sector plays a vital role in Sri Lanka’s economic stability, making effective managerial performance essential for institutional success. This study investigates how psychological capital and emotional intelligence influence the goal orientation of managers in the banking sector of the North Central Province. Drawing on data collected from 168 managers across licensed commercial and specialized banks, the research provides one of the first empirical examinations of these psychological factors within the Sri Lankan context. Psychological capital—comprising self-efficacy, hope, optimism, and resilience—emerges as a powerful predictor of constructive goal orientation. Managers with strong PsyCap demonstrate greater confidence, motivation, adaptability, and perseverance, enabling them to pursue learning goals and respond effectively to workplace challenges. Similarly, emotional intelligence—built on self-awareness, self-management, social awareness, and relationship management—significantly enhances managers’ ability to set goals, navigate pressure, understand teams, and maintain productive work environments. The study’s findings reveal that both PsyCap and EI have significant positive effects on all dimensions of goal orientation. Managers with heightened psychological strengths are more likely to adopt learning-focused and performance-driven goals, while minimizing avoidance behaviors. These insights highlight the importance of developing psychological resources as a strategic approach to improving managerial effectiveness in high-pressure service sectors. By exploring the intersection of positive psychology and managerial behavior in the Sri Lankan banking industry, this research contributes meaningful knowledge to organizational behavior literature and underscores the practical value of investing in psychological skill development for improved leadership and performance.