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Man 3240/Sop 3662 Term A – M/W 11:00-12:15 Syllabus – Fall 2003 Professor: Dr. Marian C. Schultz Journals Logos Roster Team Names. Organizational Behavior. Psychological Contract. Chapter 1. PSYCHOLOGICAL CONTRACT.
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Man 3240/Sop 3662 • Term A – M/W 11:00-12:15 • Syllabus – Fall 2003 • Professor: Dr. Marian C. Schultz • Journals • Logos • Roster • Team Names Organizational Behavior
Psychological Contract Chapter 1
PSYCHOLOGICAL CONTRACT An individual’s beliefs, shaped by the organization, regarding the terms and conditions of a reciprocal exchange agreement between individuals and their organization.
Objectives • Define and understand the importance of the psychological contract • Explain the self-fulfilling prophecy • Describe the external influences that affect workplace expectations • Explain the pinch model • Make a psychological contract
OB • Multidisciplinary • Three Levels of Analysis: Individual, Group, and Organizational • Environmental Forces • Performance Orientation • Applied Orientation • Change Orientation
Technological change Rate of change in the business environment Global economy Changing economic conditions Uncertainty for workers Performance, flexibility and innovation Environmental Changes Impacting Psychological Contracts
Reengineering Downsizing Mergers and acquisitions Outsourcing and subcontracting of work Contingent and temporary employment for peripheral employees Fewer full-time jobs and core employees Relatively low union representation Less job security Psychological Contracts
Broken Contracts • Outrage, shock, resentment, anger • Decreased trust and good faith • Decreased job satisfaction • Decreased productivity • Decreased attendance • Turnover Cause
Workforce Changes Impacting Psychological Contracts Demographics Nomadic nature of the workforce Changing complexion of the workforce Changing value trends
A Nomadic Work Force 13 different jobs for the average high school or college graduate • 3.5 years on each job
Self-Fulfilling Prophecy • People perform in accordance with expectations • People do what gets rewarded
Mental Maps Our images, assumptions, and stories about every aspect of the world that determine what we see and how we act.
Why Generations Differ • Each generation is a product of historical events that shape their values and views of the world • Emotional memories shape feelings about institutions, authority, materialism, family and careers
Values Who are we? How do we come across to others?
Our behaviors are absolutely correct for the time we grew up! • Different is good…we just have to work with it!
Friends Media Education Media Money Family Military Music
Manage Gen X • Vary assignments • Teach new skills • Teach manners • Keep in the loop • Tie praise to a concrete reward • Keep it fun
Have the self-control required for teamwork, empowerment, and flatter organizations Display organizational citizenship behavior that benefits the organization Are “willing to help” Advantages of Committed Employees
Have better attendance records Stay with the company longer Work harder at their jobs Adapt better to unforeseeable occurrences Perform better ...Advantages of Commitment
Commit to people-first values: Put it in writing Hire right-kind managers Walk the talk Earning Employee Commitment
Clarify and communicate your mission: Clarify the mission and ideology Make it charismatic Use value-based hiring practices Stress values-based orientation and training Build the tradition Earning Employee Commitment
Guarantee organizational justice comprehensive grievance procedure two-way communications Earning Employee Commitment
Build value-based homogeneity Share and share alike Emphasize barn-raising, cross-utilization, and teamwork Get together Earning Employee Commitment Create a sense of community
Support employee development Earning Employee Commitment Commit to actualizing/developing people Provide first-year job challenge Enrich and empower; promote from within Provide developmental activities Provide employee security; no guarantees