Industrial and organizational psychology is the science of human behavior in the workplace. It is an applied discipline within psychology. Depending on the country or region of the world, I-O psychology is also known as occupational psychology in the United Kingdom, organisational psychology in Australia and New Zealand, and work and organizational (WO) psychology throughout Europe and Brazil. Industrial, work, and organizational (IWO) psychology is the broader, more global term for the science and profession.
Performance management (PM) is the process of ensuring that a set of activities and outputs meets an organization's goals in an effective and efficient manner. Performance management can focus on the performance of a whole organization, a department, an employee, or the processes in place to manage particular tasks. Performance management standards are generally organized and disseminated by senior leadership at an organization and by task owners, and may include specifying tasks and outcomes of a job, providing timely feedback and coaching, comparing employees' actual performance and behaviors with desired performance and behaviors, instituting rewards, etc. It is necessary to outline the role of each individual in the organization in terms of functions and responsibilities to ensure that performance management is successful.
In organizational behavior and industrial and organizational psychology, organizational commitment is an individual's psychological attachment to the organization. Organizational scientists have also developed many nuanced definitions of organizational commitment, and numerous scales to measure them. Exemplary of this work is Meyer and Allen's model of commitment, which was developed to integrate numerous definitions of commitment that had been proliferated in the literature. Meyer and Allen's model has also been critiqued because the model is not consistent with empirical findings. It may also not be fully applicable in domains such as customer behavior. There has also been debate surrounding what Meyers and Allen's model was trying to achieve.
A performance appraisal, also referred to as a performance review, performance evaluation, (career) development discussion, or employee appraisal, sometimes shortened to "PA", is a periodic and systematic process whereby the job performance of an employee is documented and evaluated. This is done after employees are trained about work and settle into their jobs. Performance appraisals are a part of career development and consist of regular reviews of employee performance within organizations.
Sociotechnical systems (STS) in organizational development is an approach to complex organizational work design that recognizes the interaction between people and technology in workplaces. The term also refer to coherent systems of human relations, technical objects, and cybernetic processes that inhere to large, complex infrastructures. Social society, and its constituent substructures, qualify as complex sociotechnical systems.
Human relations movement refers to the researchers of organizational development who study the behaviour of people in groups, particularly in workplace groups and other related concepts in fields such as industrial and organizational psychology. It originated in the 1930s' Hawthorne studies, which examined the effects of social relations, motivation and employee satisfaction on factory productivity. The movement viewed workers in terms of their psychology and fit with companies, rather than as interchangeable parts, and it resulted in the creation of the discipline of human relations management.
Work design is an area of research and practice within industrial and organizational psychology, and is concerned with the "content and organization of one's work tasks, activities, relationships, and responsibilities" (p. 662). Research has demonstrated that work design has important implications for individual employees, teams, organisations, and society.
In general, incentives are anything that persuade a person to alter their behaviour. It is emphasised that incentives matter by the basic law of economists and the laws of behaviour, which state that higher incentives amount to greater levels of effort and therefore, higher levels of performance.
Organizational behavior (OB) or organisational behaviour is the: "study of human behavior in organizational settings, the interface between human behavior and the organization, and the organization itself". OB research can be categorized in at least three ways:
In industrial and organizational psychology, organizational citizenship behavior (OCB) is a person's voluntary commitment within an organization or company that is not part of his or her contractual tasks. Organizational citizenship behavior has been studied since the late 1970s. Over the past three decades, interest in these behaviors has increased substantially.
Competence is the set of demonstrable characteristics and skills that enable and improve the efficiency or performance of a job. Competency is a series of knowledge, abilities, skills, experiences and behaviors, which leads to effective performance in an individual's activities. Competency is measurable and can be developed through training. The term "competence" first appeared in an article authored by R.W. White in 1959 as a concept for performance motivation. In 1970, Craig C. Lundberg defined this concept as "Planning the Executive Development Program". The term gained traction in 1973 when David McClelland wrote a seminal paper entitled, "Testing for Competence Rather Than for Intelligence". The term, created by McClelland, was commissioned by the State Department to explain characteristics common to high-performing agents of embassy, as well as help them in recruitment and development. It has since been popularized by Richard Boyatzis, and many others including T.F. Gilbert (1978), who used the concept in performance improvement. Its uses vary widely, which has lead to considerable misunderstanding.
Employee engagement is a fundamental concept in the effort to understand and describe, both qualitatively and quantitatively, the nature of the relationship between an organization and its employees. An "engaged employee" is defined as one who is fully absorbed by and enthusiastic about their work and so takes positive action to further the organization's reputation and interests. An engaged employee has a positive attitude towards the organization and its values. In contrast, a disengaged employee may range from someone doing the bare minimum at work, up to an employee who is actively damaging the company's work output and reputation.
A workplace is a location where someone works, for their employer or themselves, a place of employment. Such a place can range from a home office to a large office building or factory. For industrialized societies, the workplace is one of the most important social spaces other than the home, constituting "a central concept for several entities: the worker and [their] family, the employing organization, the customers of the organization, and the society as a whole". The development of new communication technologies has led to the development of the virtual workplace and remote work.
Proactivity or proactive behavior refers to self-initiated behavior that endeavours to solve a problem before it has occurred. Proactive behavior involves acting in advance of a future situation, rather than reacting. It refers to taking control of a situation and making early changes, rather than adjusting to a situation or waiting for something to happen.
Training and development involve improving the effectiveness of organizations and the individuals and teams within them. Training may be viewed as related to immediate changes in organizational effectiveness via organized instruction, while development is related to the progress of longer-term organizational and employee goals. While training and development technically have differing definitions, the two are oftentimes used interchangeably and/or together. Training and development have historically been topics within adult education and applied psychology but have within the last two decades become closely associated with human resources management, talent management, human resources development, instructional design, human factors, and knowledge management.
Contextual performance is defined as the activities that employees carry out to contribute to the social and psychological core of an organisation.
Emotions in the workplace play a large role in how an entire organization communicates within itself and to the outside world. "Events at work have real emotional impact on participants. The consequences of emotional states in the workplace, both behaviors and attitudes, have substantial significance for individuals, groups, and society". "Positive emotions in the workplace help employees obtain favorable outcomes including achievement, job enrichment and higher quality social context". "Negative emotions, such as fear, anger, stress, hostility, sadness, and guilt, however increase the predictability of workplace deviance,", and how the outside world views the organization.
A “toxic workplace” is a colloquial term used to describe a place of work, usually an office environment, that is marked by significant personal conflicts between those who work there. Such infighting can often harm productivity. Toxic workplaces are often considered the result of toxic employers and/or toxic employees who are motivated by personal gain, use unethical means to psychologically manipulate and annoy those around them; and whose motives are to maintain or increase power, money or special status or divert attention away from their performance shortfalls and misdeeds. Toxic workers do not recognize a duty to the organization for which they work or their co-workers in terms of ethics or professional conduct toward others. Toxic workers define relationships with co-workers, not by organizational structure but by co-workers they favour and those they do not like or trust.
Reward management is concerned with the formulation and implementation of strategies and policies that aim to reward people fairly, equitably and consistently in accordance with their value to the organization.
The presence of psychopathy in the workplace—although psychopaths typically represent a relatively small fraction of workplace staff—can do enormous damage when in senior management roles. Psychopaths are usually most common at higher levels of corporate organizations, and their actions often cause a ripple effect throughout an organization, setting the tone for an entire corporate culture. Examples of detrimental effects are increased bullying, conflict, stress, staff turnover and absenteeism; reduction in productivity and in social responsibility. Ethical standards of entire organisations can be badly damaged if a corporate psychopath is in charge. A 2017 UK study found that companies with leaders who show "psychopathic characteristics" destroy shareholder value, tending to have poor future returns on equity.