Journal of Organization and Human Behaviour

Open Access Open Access  Restricted Access Subscription Access
Open Access Open Access Open Access  Restricted Access Restricted Access Subscription Access

Strength of Psychological Contract: a Predictor of Organizational Effectiveness


Affiliations
1 Prestige Institute of Management, Gwalior, M.P., India
2 VISM, Gwalior, M.P., India
3 ABVIIITM, Gwalior, M.P., India
     

   Subscribe/Renew Journal


Psychological contract is something which is not written anywhere and not even enforceable by law but which plays such a role between employer and employee which is more important than written and legal contract. It is an unwritten social contract which is based on mutual trust, expectation and obligation which the employer and employee share. Organizational effectiveness is defined in number of ways; it is not only productivity of organization but also adaptation to the changing environment, achieving the mission and surviving successfully.

The present study deals with exploring how this unwritten psychological contract affects the capability and effectiveness of organization. For the purpose of study, data was collected from 243 respondents from service (10) and manufacturing (10) organizations of Gwalior region the analysis of the collected data was done with the help of various statistical tools like item to total correlation, factor analysis, regression analysis.


Keywords

Psychological Contract, Organisational Effectiveness, Regression, Factor Analysis
Subscription Login to verify subscription
User
Notifications
Font Size

  • Anderson, N. & Schalk, R. (1998). The Psychological Contract in Retrospect and Prospect. Journal Organizational Behaviour, 19, pp. 637-47.

  • Bhatnagar, D. (2007). Strategic HRM-A Tool To Leverage Organizational Effectiveness, Journal Of IPM, Meerut, 8(2).

  • Boerman, P. L. J. & Bechger, T. M. (1997). Decentralized Decision Making and Organizational Effectiveness in Colleges for Vocational Education: A Structural Equation Model for School Organization, Educational Research and Evaluation, 3(3), pp. 189-213.

  • Conway, N. & Briner, R. B. (2002). Full-Time Versus Part-Time Employees: Understanding the Links between Work Status, the Psychological Contract, and Attitudes. Journal of Vocational Behavior, 61, pp. 279-301.

  • Cameron, K. & David, W. (1983). Some Conclusions about Organizational Effectiveness, In Organizational Effectiveness. (pp. 261-277). New York: Academic Press.

  • Friedlander, F. & Pickle, H. (1968). Components of Effectiveness In Small Organizations. Administrative Science Quarterly, 13 pp. 289-304.

  • Goodmann, P. S. & Penning, J. M. (1997). Perspectives and Issues-An Introduction. P.S. Goodmann, J. M. Pennings (Ed). New Perspective on Organizational Effectiveness.

  • Guest, D. E. & Conway, N. (2002), Pressure At Work and the Psychological Contract. London: Chartered Institute of Personnel and Development.

  • Guest, D. E. & Conway, N. (2004). Employee Wellbeing And The Psychological Contract. London: Chartered Institute Of Personnel And Development (CIPD).

  • Huiskamp, R. & Schalk, R. (2002). Psychologische Contracten in Arbeidsrelaties: De Stands Vanzaken in Nederland. Gedrag & Organisatie, 15(6), pp. 370-385. (English edition)

  • Patrick, H. A. (2008). Psychological Contract and Employment Relationship. The ICFAI Journal of Organization Behavior, 8(4), pp. 9-21.

  • Handa, V. & Adas, A. (1996). Predicting the Level of Organizational Effectiveness: A Methodology for the Construction Firm. Construction Management and Economics, 14, pp. 341-352.

  • Hall, R. (1982). Effectiveness Theory and Organizational Effectiveness. Journal of Applied Behaviourial Science, 16, pp. 536. Johnson & Johnson. (2006). Joining Together Group Theory and Group Skills. Pearson International Edition.

  • Levinson, H., Price, C. R., Munden, K. J. & Solley, C. M. (1962). Men, Management and Mental Health. Cambridge, MA: Harvard University Press.

  • Morrison, E. W. & Robinson, S. L. (1997). When EmployeesFeel Betrayed: A Model of How Psychological Contract Violation Develops. Academy of Management Review, 22, pp. 226-256.

  • Mott, P. E. (1972). The Characterstics of Effective Organizations. New York Harper & Row.

  • Chien, M. H. (2003). A Study of the Factors Effecting Organizational Effectiveness. Retrieved from http://docs.google.com/viewer?a=v&q=cache:rC3H4eSzw1oJ:www.hicbusiness.org/biz2003proceedings/Chien%2520Min-Huei%25203.pdf

  • Mc Cann, J. (2004). Organizational Effectiveness: Changing Concept for Changing Environments, Human Resource Planning.

  • Mark, B. (1985). Task and Structural Correlates of Organizational Effectiveness in Private Psychiatric Hospitals. Health Serv Res., June, 20(2), pp. 199-224.

  • Maguire, H. (2002). Psychological Contracts: Are They Still Relevant? Career Development International, 7(3), pp. 167-80.

  • Quinn, R. E. & Rohrbaugh, J. (1983). A Spatial Model of Effectiveness: Criteria towards a Competing Values Approach to Organizational Analysis. Journal of Management Science, 29, pp. 363-377.

  • Robinson, S. L. (1996). Trust and Breach of the Psychological Contract. Administrative Science Quarterly, 41(4), pp. 574-599.

  • Rousseau, D. M. (1989). Psychological and Implicit Contract in Organizations Employee Responsibility and Rights, Journal, 2, pp. 121-139.

  • Rousseau, D. M. & Wade, B. K. A. (1994). Linking Strategy And Human Resource Practice: How Employee And Customer Contracts Are Created. Human Resource Management, 33(3), pp. 463-489.

  • Robinson, S. L., Kraatz, M. S. & Rousseau, D. M. (1994). Changing Obligation and The Psychological Contract: A Longitudinal Study. Academy Of Management Journal, 37(1), pp. 137-152.

  • Rousseau, D. M. & Wade, B. K. A.(1994). Linking Strategy And Human Resource Practice: How Employee And Customer Contract Are Created. Human Resource Management, Fall, 33(3), pp. 463-489.

  • Rousseau, D.M. (1989). Psychological And Implied Contract In Organizations. Employee Responsibilities and Rights Journal, 2, pp. 121-139.

  • Thibodeaux, M. S. & Favilla, E. (1995). Strategic Management and Organizational Effectiveness in Colleges of Business. Journal of Education for Business, 70(4).


Abstract Views: 373

PDF Views: 4




  • Strength of Psychological Contract: a Predictor of Organizational Effectiveness

Abstract Views: 373  |  PDF Views: 4

Authors

Richa Banerjee
Prestige Institute of Management, Gwalior, M.P., India
Subeer Banerjee
VISM, Gwalior, M.P., India
Manoj Patwardhan
ABVIIITM, Gwalior, M.P., India

Abstract


Psychological contract is something which is not written anywhere and not even enforceable by law but which plays such a role between employer and employee which is more important than written and legal contract. It is an unwritten social contract which is based on mutual trust, expectation and obligation which the employer and employee share. Organizational effectiveness is defined in number of ways; it is not only productivity of organization but also adaptation to the changing environment, achieving the mission and surviving successfully.

The present study deals with exploring how this unwritten psychological contract affects the capability and effectiveness of organization. For the purpose of study, data was collected from 243 respondents from service (10) and manufacturing (10) organizations of Gwalior region the analysis of the collected data was done with the help of various statistical tools like item to total correlation, factor analysis, regression analysis.


Keywords


Psychological Contract, Organisational Effectiveness, Regression, Factor Analysis

References