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Chapter 1 The Psychological Contract and Commitment Define the psychological contract and discuss the obligations of the contract currently in place Explain the importance of the psychological contract and what happens when it is violated Explain the benefits of committed employees and what employers can do to foster commitment Objectives Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -1 …Objectives Describe external influences that affect workplace expectations Explain the self-fulfilling prophecy and how managers can apply this concept Explain the pinch model Make a psychological contract with your professor Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -2 Mental Maps - Defined Our images, assumptions, and stories about every aspect of the world, which determine what we see and how we act. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -3 Psychological Contract - Defined An individual’s beliefs, shaped by the organization, regarding the terms and conditions of a reciprocal exchange agreement between individuals and their organization Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -4 Social Exchange Theory - Defined People enter into relationships in which not only economic, but also social obligations play a role People are most comfortable when the exchange is balanced Psychological Contract Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -5 Importance of Psychological Contracts Link individuals to organizations Reflect the trust that is a fundamental feature of the employment relationship Motivate individuals to fulfill their obligations (if they believe the other party will do the same) Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -6 Psychological Vs. Employee Contract Psychological Contracts Dynamic relationship defining employees’ psychological involvement with employer Reflects perceptions of expectations Interpretations may not be similar Employee Contracts Formal contract that specifies agreements such as hours and type of work in return for compensation and benefits Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -7 Sources of Experienced Violation Inadvertent Disruption Breach of contract Able and willing (divergent interpretations made in good faith) Willing but unable (inability to fulfill contract) Able but unwilling (reneging) Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -8 Consequences of Broken Contracts Outrage, shock, resentment, anger Decreased trust and good faith Decreased job satisfaction Decreased productivity Decreased attendance Turnover Causes Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -9 [...]... the workforce Changing complexion of the workforce Changing value trends Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 1 -17 Projected Year 2012 Workforce 47% 65% 15% 12% 6% Women White non-Hispanics Hispanics African Americans Asians Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb,... of management and their “ideal” manager Explain the competing values framework and what constitutes a master manager Explain why it’s important to identify your personal theories about management and organizational behavior Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 2 -1 …Objectives Describe your personal theory of management... duties, and especially about the major sources of job satisfaction and dissatisfaction prior to organizational entry Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 1 -10 Employee Commitment Defined Emotional attachment to, involvement in, and identification with organization Strong belief in and acceptance of organization’s goals and... Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 2 -3 Administrative Theory Basic Functions of Managers Fayol Plan Control Organize Command Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 2 -4 Administrative Theory Bureaucracy as a solution to nepotism, favoritism and unprofessional behavior Weber Organizational Behavior: An. .. on behalf of organization Strong desire to remain in organization Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 1 -11 Advantages of Committed Employees Higher performance Higher job satisfaction Adapt better to unforeseen circumstances Better attendance records Stay with the company longer More organizational citizenship... Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 2 -5 Human Relations School Acknowledged the effect of the informal social system with its norms and individual attitudes and feelings on organizational functioning Underlined the importance of employee morale and participation Hawthorne Studies Organizational Behavior: An Experiential Approach 8/E Joyce S Osland,... behavior Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 1 -12 Organizational Citizenship Defined OCB refers to discretionary contributions that are organizationally related, but are neither explicitly required nor contractually rewarded by the organization, yet contribute to its effective functioning Organizational Behavior: An Experiential... OCB 1 -14 Business-Related Changes Impacting Psychological Contracts Technological change Rate of change in the business environment Global economy Changing economic conditions Uncertainty for workers Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner Demands for performance, flexibility and innovation Reengineering... Identify the managerial skills you need in today’s global business environment Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 2 -2 Scientific Management Taylor Efficient division of labor Small standardized jobs Matched to the capabilities of trained workers who received wage incentives Organizational Behavior: An Experiential Approach. .. -22 Self-Fulfilling Prophecy Defined People perform in accordance with a rater’s expectations of them Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 1 -23 The Pinch Model Organizational Behavior: An Experiential Approach 8/E Joyce S Osland, David A Kolb, Irwin M Rubin and Marlene E Turner 1 -24 What’s Your Decision? Which decision . 65% White non-Hispanics 15% Hispanics 12% African Americans 6% Asians Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene. exchange is balanced Psychological Contract Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 1 -5 Importance. by the organization, regarding the terms and conditions of a reciprocal exchange agreement between individuals and their organization Organizational Behavior: An Experiential Approach 8/E