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Chapter 1

Chapter 1. Objectives. Examine generational work expectations Define and understand the importance of the psychological contract Explain the pinch model Examine the influences that affect workplace expectations Make a psychological contract with your professor. Why Generations Differ.

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Chapter 1

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  1. Chapter 1

  2. Objectives • Examine generational work expectations • Define and understand the importance of the psychological contract • Explain the pinch model • Examine the influences that affect workplace expectations • Make a psychological contract with your professor

  3. Why Generations Differ • Each generation is a product of historical events that shape their values and views of the world • Emotional memories shape feelings about institutions, authority, materialism, family and careers

  4. Gen X’ers • Vary their assignments • Teach them new skills • Teach them some manners • Keep them in the loop • Tie praise for a job well done to a concrete reward • Keep it fun

  5. Generation Y: The Echo Generation • Are you any different from Generation X? • What are you perceptions of what a career and work should be?

  6. Generation Y: The Echo Generation • 76 million Baby Boomers; 44 million Gen Xers; 80 million Gen Y • Generation Y born approximately 1976-1995 • 24 hour media produces a more global perspective and an expanded definition of diversity • Computer literacy and ease of communication/data collection • Personal fulfillment is key

  7. Observations about Gen Y • Offer choices: expect state-of-the-art, cooperative scheduling , many choices with freedom to pursue them • Want work-life balance • Offer training opportunities (all generations): expect coaching and rewarding • Offer an evolving workplace: expect new motivational techniques; relationship-intensive environment

  8. Concerns about Gen Y • Every performance is excellent. Input (effort) is confused with output (achievement) • Passion is replaced by standard of living (pay) • Short-term time management is the priority. Getting to the next event has replaced getting the most out of the experience • Short-term career outlooks

  9. What is the Psychological Contract?

  10. PSYCHOLOGICAL CONTRACT An individual’s beliefs, shaped by the organization, regarding the terms and conditions of a reciprocal exchange agreement between individuals and their organization.

  11. Pinch Model for Managing Psychological Contracts

  12. I. As a manager… • Can you ensure that the psychological contract is not broken? Why? • What do employees do that you would consider a breach of the contract? • What is most important to you to have in the contract? • How would you ensure that a contract with an employee remains - what would you do before or at the pinch? II. As an employee… • Can you ensure that the psychological contract is not broken? Why? • What do employers do that you would consider a breach of the contract? • What is most important to you to have in the contract? • How would you ensure that the contract with an employer remains - what would you do before or at the pinch?

  13. Summary • Do employees and employers have the same perceptions? • Can we use this information to ensure that we are a better employee/employer? • The decision to join and the decision to participate.

  14. Managing the Psychological Contract Provide realistic job expectations Have frequent discussions of expectations Check employee understanding Give feedback Be sensitive to individual differences Check for changes in expectations

  15. Technological change Rate of change in the business environment Global economy Changing economic conditions Demands for performance, flexibility and innovation Reengineering Downsizing Mergers and acquisitions Outsourcing and subcontracting of work Contingent and temporary employment for peripheral employees Environmental Changes Impacting Psychological Contracts • Uncertainty for workers

  16. Workforce Changes Impacting Psychological Contracts Demographics Nomadic nature of the workforce Changing value trends

  17. Broken Contracts • Outrage, shock, resentment, anger • Decreased trust and good faith • Decreased job satisfaction • Decreased productivity • Decreased attendance • Turnover Consequence

  18. Contract Makers’ Violations

  19. Systems Contract Violations

  20. RESPONSES TO VIOLATION

  21. Advantages of Committed Employees Have the self-control required for teamwork, empowerment, and flatter organizations Display organizational citizenship behavior that benefits the organization Are “willing to help”

  22. ...Advantages of Committed Employees Have better attendance records Stay with the company longer Work harder at their jobs Adapt better to unforeseeable occurrences Perform better

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