Psychological Contract And Social Exchange Theory
Psychological Contract Research on the psychological contract originates from March and Simon’s (1958) social exchange theory (SET), that is best known through the work of Blau (1964). SET and its reciprocal inducement are important principles in explaining both the psychological contract and the OCB concepts (Lub et al., 2011; Robinson & Morrison, 1995; Rousseau, 1993). SET posits that there is an exchange between individuals and the organization on two levels: the social and the economic exchange. On the economic level, tangible and financial aspects are usually clearly stated, while the intangible socio-emotional aspects of the social level are less clearly agreed upon. General expectations of a future return on the social level cannot be bargained or judged upon from either the employee’s or the employer’s side (Blau, 1964). Therefore, reciprocity (Gouldner, 1960) is the norm that individuals indulge to react positively to favorable treatment by the organization, or vice versa (Blau, 1964; Gouldner, 1960). According to Rousseau (1995, p. 9), a psychological contract is defined as “individual beliefs, shaped by the organization, regarding terms of an exchange agreement between individuals and their organization”. It describes the mutual obligations between an employee and its organization (Rousseau, 1995). These mutual and independent obligations refer to the promises an individual employee has made to their organization, and what they believe the organization has
Crisis Intervention Team Model
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Working At Costco Case Study
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Social Intuitionist Model
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The Socio Behaviorist Theory
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How Does Race Affect Women's Salary?
656 Words | 3 PagesDuring an interview, employers are searching for those who can accomplish the daily tasks that are required of the applicant. However, the most important thought shared between the employer and the job candidate is the money. One is thinking “How much do I have to pay out to have him/her on board?” while the other is wondering “How much am I going to receive?”
Social Process Theory: Social Control Theory And Social Behavior
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Social Contract Theory
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Financial And Ethical Issues At Engstrom Auto Plant
957 Words | 4 PagesManagement is not meeting the psychological needs of the employees and breaking what Newstrom refers to as the “unwritten psychological contract” (Newstrom, 2015) employees’ sign when they become part of a company. With this part of the contract being broken, employees’ productivity decreases and therefore the economic contract becomes broken as well. As time goes on, this deepens the root cause of all issues at
Individuality In The Giver Society
712 Words | 3 PagesMany people have different meanings of perfect. In The Giver society they want everything to be perfect and that 's where there differences apply. There is no individuality between the people in this society. In The Giver’s society the people are being watched for mistakes and perfection so the society looks perfect. The society is very strict on what people do and how they do it.
Organizational Behavior Issues In Engstrom Auto Mirror Plant
5624 Words | 23 PagesEmployees at the plant also perceive a breakdown in their psychological contract with the organization.
Social Exchange Theory: Examples Of Social Exchange Theory
873 Words | 4 PagesSocial Exchange Theory Introduction I. I am going to start my speech with a corny joke. What do you call the “Children of the Corn’s” father? Popcorn. II.
Theories Of Social Learning Theory
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Transaction Cost Theory, Resource-Based Theory and Relational Exchange Theory: A Comparison
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Apple, Inc.: Organizational Structure Of Apple Inc
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The Role Of Stakeholders In Supply Chain Management
807 Words | 4 PagesCommitment and Trust Trust is the foundation of every good relationship and helps to create a healthy work environment. According to Heathfield (2002), trust is the necessary precursor to the following: • Feeling able to rely upon another person • Cooperating as a group • Taking thoughtful risks • Experiencing believable communication Once trust is established, it enables the work and communication more effective. They will be committed to compromise and work towards the share goals. Hence, managers have a better opportunity to accomplish the company’s goals. Figure 2 Trust Equation
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