This research investigated goal setting on engineering teams with gcographically dispersed members. A survey was designed to measure the Quality of Goal Setting, Goal Commitment, Perceived Task Outcomes, and Perceived Psychosocial Outcomes, all constructs and scales used in previous research on project teams. 82 respondents from 12 virtual teams participated. Analysis suggested the quality of goal setting affected Perceived Task Outcome (t = 2.40, p < .05) but not Perceived Psychosocial Outcomes. Further regression analysis indicated goal commitment predicted significant variance in both Perceived Task Outcomes (t = 2.35, p < .05) and Perceived Psychosocial Outcomes (t = 4.3, p < .01). These results suggest that setting high quality goals and building commitment to goals significantly affect perceptions of outcomes on virtual project teams.