• --- psychologists are able to apply psychological theories to explain and enhance the effectiveness of human behaviour in the workplace.

• psychologists “enhance the dignity and performance of human beings, and the organizations they work in, by advancing the science and knowledge of human behavior.

• Focuses on determining the competencies needed to be to perform a job, staffing the organization with competent employees and boosting the competencies through learning and development.

• Testing and selection focus.

• Focuses on organizational structure and culture.

• Attitudinal and social focus.

• Deals with analyzing jobs, recruiting applicants, selecting employees, determining salary levels, training employees, and evaluating employee performance.

• Focuses on the issues of leadership, job satisfaction, employee motivation, organizational communication, conflict management, organization change and group processes within the organisation.

• Focuses on workplace design, human machine interaction, ergonomics, and physical fatigue and stress.

• Focuses on human behavior in the workplace.

• Conducting research better understands the relationship between employee happiness and organizational efficiency.

• Focuses on affairs like recruitment, compensation, and benefits administration.

• Improving employee-employer relations and workplace health by maintaining company culture, performing administrative tasks and implementing already-developed programming.

Early Beginnings:

Walter Dill Scott publishes The Theory of Advertising

Early Beginnings:

Hugo Munsterberg publishes Psychology and Industrial Efficiency

Early Beginnings:

Journal of Applied Psychology first published

• World War (1914-1921):

• literate

• World War (1914-1921):

• illiterate but with abstract reasoning.

• World War (1914-1921):

• developed tests for pilots (perceptual and motor tests)

• World War (1914-1921):

•  increased cargo ship efficiency

• 1920-1940

  
  Inventor Thomas Edison crafted 163 items knowledge tests that he admitted to 900 applicants.

  
  

• 1920-1940

   First Ph.D. in I/O Psychology awarded to Bruce Moore and Merrill Ream at Carnegie Tech

  
  

  
  

• 1920-1940

   First I/O text book written by Morris Viteles

  
  

  
  

  
  

• 1920-1940

  Hawthorne Studies published (employees are more productive if someone is observing)

  
  

  
  

  
  

  
  

• 1920-1940

  American Association for Applied Psychology Established

  
  
  

  
  

  
  

  
  

• Derives from a curiosity and usually starts with a sentence “I wonder..”

• An educated prediction about the answer to a research problem (What will happen?)

• A systemic set of assumptions regarding the cause and nature of behavior (Why will it happen?)

• An educated prediction about the answer to a research problem (What will happen?)

• An educated prediction about the answer to a research problem (What will happen?)

Concentrates on the formal structure of the organisation and leaves the human aspect of the organization to the personnel specialist.

• Also known as Human Relations Theory

• Begin in 1940s

• Response to the Classical Theories, which created a dehumanized workplace that vastly underutilised the creativity and initiative of employees.

• Give emphasis to “affective and socio-psychological aspects of human behaviour in organization”

• Concentrates on topics such as morale, leadership, and mainly factors that aid in the cooperation in organizational behavior.

• Employees’ behavior should be taken into consideration when designing organization structure.

• Managers not only think of job descriptions, they also think of why people behave as they do and what influences their behavior.

• The organization is composed of individuals with different needs that can be studied and a group of people who developed their own ways of doing things and their own code of conduct.

• Workers should be motivated and encouraged to boost active participation in the production process.

• The feelings and sentiments of the workers should be taken into account and respected before any change is introduced in the organization.

• The emphasis is on a structural framework in which grouped activities are assigned to people, authority relations are established, individual efforts are properly coordinated and responsibilities are fixed.

• Divides the tasks to be done.

• How the group tasks together into departments.

• How to deal with the problems of coordination.

• The emphasis is on a structural framework in which grouped activities are assigned to people, authority relations are established, individual efforts are properly coordinated and responsibilities are fixed.

• Static approach, meaning too little too much attention to the many interactions that take place between different parts of the organization.

• Most managers' time is allotted in coordination and control of the subordinates. 

• Too concerned with formal structure, not sufficient with the individuals who make the structure work.

• Most managers' time is allotted in coordination and control of the subordinates. 

• Stressed the need for a clear definition of responsibilities and authority.

• Introduced by Frederick Winslow Taylor

• Aims to encourage production efficiency and productivity through management of production as science.

• Focuses on job performance only.

• Creation of a scientific method of measurement that replaces the “rule-of-thumb” method.

• Emphasis on training of workers by management.

• Cooperation between manager and workers to ensure principles are met.

• Equal division by labor between managers and workers.

• Job Classification and clustering of jobs.

• Presence of impersonal positions that are earned and not inherited, rule governed decision making, professionalism, chain of common, defined responsibility, and bounded authority

• Max Weber

• Systems of rules and regulations

• Max Weber

• Authority structure: bureaucratic institutions are characterized by very narrow spans of control.

• Impersonal relations: reward should be based on one’s contribution to the organizations, as opposed to social and familial connections.

• Line of hierarchy: ideally have one (and only one) direct supervisor.

• Rationality: unity of direction.

• Designed to assist managers in carrying out their essential functions of planning, organizing, commanding, coordination, and controlling.

• Henri Fayol

• Stability of personnel

• Encouraging people to take initiative

• Having a high level of cohesion and camaraderie among employees.

Fayol’s Classic Principles of Organizing
 individuals and managers work on the same part or task.

Fayol’s Classic Principles of Organizing
Authority:right to give orders; power to exact obedience; goes with responsibility for reward and punishment.

Fayol’s Classic Principles of Organizing
 obedience, application, energy, behavior. Agreement between firm and individual.

Fayol’s Classic Principles of Organizing

1.  orders received from one supervisor.

Fayol’s Classic Principles of Organizing

1. one head and one plan for activities with the same objective.

1. organizational objectives come before the objectives of the individual.

1. fairness of pay to the organization and the individual; discussed various forms.

1.  Amount of discretion held by the manager compared to that allowed to subordinates.

1. Line of authority from lowest to up.

1. A place for everyone, and everyone in his or her place.

1. Emphasis on kindness and justice.

1. ability in managerial ranges; time to adapt to work.

1.  power of thinking out and executing a plan.

1.  Harmony and union among personnel is strength. 

• Douglas McGregor

• Assume that most people inherently dislike work.

• Needed to be coerced and supervised very closely in terms of work.

• People have little ambition and are not self-directed and value security over all else.

• Very narrow spans of control.

• Work is a natural part of peoples’ lives and rather than avoid it, most people seek greater meaning to it.

• People are capable of some degree of self-control and will work towards the goal of the organisation.

• Many people will seek out responsibility and will creatively solve organization problems if they are allowed to do so, under the right conditions.

• Rensis Likert

• Similar to Theory X.

• Very little trust, scant communication, very centralized decision making.

• Would result in largely dissatisfied employees and, ultimately, a low level of organizational performance.

• There is some level of trust in employees.

• Employees have an opportunity to communicate their ideas to upper management.

• May derive some moderate level of satisfaction toward their work, and organizational performance may be “fair to good”.

• Employees are still treated in a largely authoritative manner, but a bit nicer to them.

• Substantially greater trust in employees and their ideas are used a great deal more.

• Employees are still treated in a largely authoritative manner, but a bit nicer to them.

• More “bottoms-up” communication compared to other types.

• Decisions are still primarily in the hands of those at the higher positions, but operational decisions are made by those at lower organizational levels.

• Capable of “good” performance.

• Managers have complete trust in subordinates.

• Communication is free flowing in all directions, and there is often great reliance on teamwork.

• Decision-making occurs at all organizational levels with a high level of involvement.

• Capable of “excellent” performance.

• Proposed by J.G. Likers and Akari

• Essential identical with Participative Group Type but leadership is truly a shared enterprise or “no boss”

• Rare but may eventually become more prevalent.