Module 2

Nature of job
Psychological contract
Itis the job description - the type of
things that will be done if hired.
Work structures vary in the pace by
which they are exposed to, are
affected by, or react to these forces.
Interdependent variables: Changing
markets, technologies, and
demographics, the human resource
policies and systems employed in
organizations, and the work
structures and outcomes they
produce for organizations,
individuals, and society are all
Individual job duties may vary by
industry or employer.
For instance, workers in larger firms
tend to be more specialized whereas
those in smaller firms often have a
wider variety of duties.
Most occupations have several
levels of skills and responsibilities
through which workers may
progress.
Beginners may start as trainees
performing routine tasks under
close supervision.
The influence of technological
advancements on the way work
is done is mentioned.
For example, the Internet
allows purchasers to acquire
supplies with a click of the
mouse, saving time and money.
When employer understand human
nature and how to apply it to
management then, it's like having a
"green thumb" for management or
becoming an "Employee Whisperer."
Psychological
contract
PC is an increasingly relevant aspect
of workplace relationships and wider
human behaviour.
Refers to therelationship between
an employer and its employees, and
specifically concernsmutual
expectations of inputs and outcomes.
It is usually seen from the standpoint
or feelings of employees, although a
full appreciation requires it to be
understood from both sides.
Employment context, the
Psychological Contract is the fairness
or balance between:
How the employee is treated by the
employer, and
What the employee puts into the
job.
In management, economics and HR
(human resources) the term
Psychological Contract' refers to
the actual - but unwritten -
expectations of an employee or
workforce towards the employer.
Basic sense PC represents, the
obligations, rights, rewards, etc.,
that an employee believes he/she
is 'owed' by his/her employer, in
return for the employee's work and
loyalty.
The PC is quite different to a
physical contract or document.
It represents the notion of
'relationship' or 'trust' or
'understanding' which can exist
for one or a number of
employees, instead of a tangible
piece of paper or legal document
which might be different from
one employee to another.
At a deeper level the concept
becomes increasingly complex and
significant in work and
management - especially in change
management and in large
organizations.
Interestingly the theory and
principles of the PC can also be
applied beyond the employment
situation to human relationships
and wider society.
The concept of 'psychological
contracting' is even less well
understood in other parts of society
where people and organisations
connect, despite its significance and
potential usefulness.
What really will encourage you to
advance?
Appreciation?
Application of important principles?
At the heart of the Psychological
Contract is aphilosophy- not a
process or a tool or a formula.
This reflects its deeply significant,
changing and dynamic nature.
The way we define and manage the
Psychological Contract, and how we
understand and apply its
underpinning principles in our
relationships - inside and outside of
work - essentially defines our
humanity.
QUALITIES
Respect, compassion, trust, empathy,
fairness, objectivity - qualities like
these characterize the Psychological
Contract, just as they characterize a
civilized outlook to life as a whole.
PC is strongly connected to, and useful
for understanding Stress and stress
management, and the broader
strategic approach to these issues
through the protection and
development of workplace well being.
Psychological
contracts models
and theories
Much of the theory
surrounding PC is intangible
and difficult to represent in
absolute measurable terms.
Diagrams can be helpful in
understanding and
explaining intangible
Venn diagram
It represents a quite a complex
view of the PC, significantly
including external influences,
which are often overlooked in
attempting to appreciate and apply
PC theory.
Are useful in representing all sorts
of situations where two or more
related areas interact or
interrelate.
VC= Visible Contract
The usual written employment contractual
obligations on both sides to work safely and
appropriately in return for a rate of pay or
salary, usually holidays also, plus other
employee rights of notice and duty of care.
PC = Psychological Contract
Which is hidden, unspoken, unwritten, and
takes account of the relationship
references (r) between employee and
market (which includes other external
factors),
Only VC element is written and transparent.
All the other sections are subject to
perceptions until/unless clarified.
'iceberg' model
For team-builders and trainers, and
leaders too, it's also potentially a
useful tool for explaining and
exploring the concept and its
personal meaning for people.
An iceberg is said to be 90%
hidden beneath the water.
This metaphor fits the PC very well,
in which most of the Contract
perceptions are unwritten and
hidden, consistent with its
definition.
The iceberg metaphor extends
conveniently so that the 'sky' and the 'sea'
represent external and market pressures
acting on employee and employer,
affecting the balance, and the rise or fall of
the iceberg.
As the iceberg rises with the success and
experience of the employee, so does the
contract value and written contractual
expectations on both sides.
Increasingly deeper inputs and rewards
emerge from being hidden or confused
perceptions below from the water-line, to
become visible mutual contractual
agreement above the water-line.
Left side of iceberg= employee
inputs (and employer needs).
Right side of iceberg= rewards
given by employer (and employee
needs).
Above the water level:factors
mostly visible and agreed by both
sides.
Work|Pay= visible written
employment contract.
Black arrows= mostly visible
and clear market influences on the
work and pay.
Red arrows= iceberg rises with
success and maturity, experience,
etc., (bringing invisible perceived
factors into the visible agreed
contract).
Below the water level:factors
mostly perceived differently by
both sides, or hidden, and not
agreed.
Left side of iceberg= examples
of employee inputs, which equate
to employer expectations -
informal, perceived and unwritten.
Right side of iceberg= rewards
examples and employee's
expectations.
Blue arrows= influences on
employee and employer affecting
perceptions, mostly invisible or
misunderstood by the other side.