Mind mapping the topic of psychological contract
Joseph Kim-keung Ho
Independent
Trainer
Hong
Kong, China
Abstract: The topic of psychological
contract is a main one in Human Resource Management. This article makes use of
the mind mapping-based literature review (MMBLR) approach to render an image on
the knowledge structure of psychological contract. The finding of the review
exercise is that its knowledge structure comprises four main themes, i.e., (a)
Descriptions of basic concepts and information (b) Major underlying theories
and thinking, (c) Main research topics and issues, and (d) Major trends and
issues related to practices. There is also a set of key
concepts identified from the psychological contract literature review. The article offers some academic and pedagogical values on the topics of
psychological contract, literature review and the mind mapping-based literature
review (MMBLR) approach.
Key words: Psychological contract,
literature review, mind map, the mind mapping-based literature review (MMBLR)
approach
Introduction
Psychological
contract is a main topic in Human Resource Management. It is of
academic and pedagogical interest to the writer who has been a lecturer on
Human Resource Management for some tertiary education centres in Hong Kong. In
this article, the writer presents his literature review findings on psychological
contract using the mind mapping-based literature review (MMBLR) approach. This
approach was proposed by this writer in 2016 and has been employed to review
the literature on a number of topics, such as supply chain management,
strategic management accounting and customer relationship management (Ho,
2016). The MMBLR approach itself is not particularly novel as mind mapping has
been employed in literature review since its inception. The overall aims of
this exercise are to:
1.
Render an image of the knowledge structure of
psychological contract via the application of the MMBLR approach;
2.
Illustrate how the MMBLR approach can be
applied in literature review on an academic topic, such as psychological
contract.
The findings from this literature review
exercise offer academic and pedagogical values to those who are interested in
the topics of psychological contract, literature review and the MMBLR approach.
Other than that, this exercise facilitates this writer’s intellectual learning
on these three topics. The next section makes a brief introduction on the MMBLR
approach. After that, an account of how it is applied to study psychological
contract is presented.
On the mind
mapping-based literature review approach
The mind mapping-based literature review
(MMBLR) approach was developed by this writer in 2016 (Ho, 2016). It makes use
of mind mapping as a complementary literature review exercise (see the Literature on mind mapping Facebook page
and the Literature on literature review
Facebook page). The approach is made up of two steps. Step 1 is a thematic
analysis on the literature of the topic chosen for study. Step 2 makes use of
the findings from step 1 to produce a complementary mind map. The MMBLR
approach is a relatively straightforward and brief exercise. The approach is
not particularly original since the idea of using mind maps in literature
review has been well recognized in the mind mapping literature. It is also an
interpretive exercise in the sense that different reviewers with different
research interest and intellectual background inevitably will select different
ideas, facts and findings in their thematic analysis (i.e., step 1 of the MMBLR
approach). To conduct the approach, the reviewer needs to perform a literature
search beforehand. Apparently, what a reviewer gathers from a literature search
depends on what library facility, including e-library, is available to the
reviewer. The next section presents the findings from the MMBLR approach step
1; afterward, a companion mind map is provided based on the MMBLR approach step
1 findings.
Mind
mapping-based literature review on psychological contract: step 1 findings
Step 1 of the MMBLR approach is a thematic analysis on
the literature of the topic under investigation (Ho, 2016). In our case, this
is the psychological contract topic. The writer gathers some academic articles
from some universities’ e-libraries as well as via the Google Scholar. With the
academic articles collected, the writer conducted a literature review on them
to assemble a set of ideas, viewpoints, concepts and findings (called points
here). The points from the psychological contract literature are then grouped
into four themes here. The key words in the quotations are bolded in order to
highlight the key concepts involved.
Theme
1: Descriptions of basic concepts and information
Point 1.1.
“A popular definition of the psychological
contract is ‘individual beliefs, shaped by the organization, regarding
terms of an exchange agreement between the individual and their organization’
… where beliefs refer to an employee’s
interpretation of explicit and implicit promises” (Conway and Briner, 2009);
Point 1.2.
“The history of psychological contract research
can be organized in relation to Rousseau’s (1989) seminal reconceptualization
…. Psychological contract research prior to Rousseau’s (1989) article was
characterized by around half a dozen notable studies in which researchers from
somewhat different disciplines tended to use their own definition and
conceptualization of the psychological contract. Research during the Rousseau
period has to a very large extent embraced and adopted her reconceptualization. It has focused on a
small number of psychological contract concepts (i.e. promises, contents, and
breach), being conducted largely from within the disciplines of organizational
psychology and organizational behaviour” (Conway and Briner, 2009);
Point 1.3.
“The term was first used in the
context of work organizations by Argyris in 1960, as a footnote in Understanding Organizational
Behavior … Levinson,
Price, Munden, Mandl, and Solley (1962) elaborate the concept in a case study
of a utility company. Levinson and colleagues applied Menninger’s (1958)
concept of the “psychotherapy contract,”
which ascribes the intangible aspects of the contractual relationship that
exists between psychoanalysts and patients, to the work setting. They define
the psychological contract, or “unwritten contract,” as the sum of all mutual
expectations between the organization and the employee” (Schalk and Roe, 2007);
Point 1.4.
“Levinson and colleagues pointed out
that psychological contracts are
largely implicit and unspoken, and they frequently antedate the formal
relationship between a person and an organization. Some of the expectations
(e.g., regarding salary and workload) concern concrete issues, but others are
related to less tangible matters (e.g., dignity at work, opportunity for growth, and a sense of being
cared for by the organization), which are revealed only indirectly” (Schalk and Roe, 2007);
Theme 2: Major underlying theories
and thinking
Point 2.1.
“According to social
exchange theory, people engage in interactions with other people because
they are motivated by the expectations of receiving inducements in return from
the other party …. Social exchange involves series of interactions (such as
incentives from the employer and contributions from the employee) between two
parties ….. Each party acts according to the norm that the other party will
reciprocate such actions, creating mutual obligations over time” (Bal, De Lange, Jansen and Van Der
Velde, 2008);
Point 2.2.
“…careers are said to be boundaryless
… with the onus placed on individuals to take responsibility for their
management …. Thus the new career is also sometimes depicted in terms of a ‘new
deal,’ whereby the psychological contract that exists between employer and
employee has changed to indicate that there is no longer an automatic promise
or an expectation of a career for life” (Sturges, Conway, Guest and Lifefooghe, 2005);
Point 2.3.
“…organisations employing innovative
prospector strategy seek out new markets and produce new and innovative
good quality products at reasonable prices. Flexibility and adaptability are
key employee attributes required for a climate of innovation to foster. If
employers want their employees to provide both hard and soft contributions, for
example, they “want employees to both work hard and to be loyal, then they
should ensure that they provide hard and soft inducements, as in case of
organisations fostering innovative or quality-enhancer strategy”..” (Agarwal and Bhargava, 2009);
Point 2.4.
“…the
psychological contract has highly intuitive links with employment contracts. Employment contracts will have
explicit terms and conditions akin to explicit promises. These terms will also
be open to interpretation by parties to the contract, which will lead to
inferred and implicit understandings of the employment relationship” (Conway and Briner, 2009);
Point 2.5.
“A recent meta-analysis revealed significant relations between psychological contract breach and work-related outcomes …, building on
the affective event theory …
Affective events theory proposes that events at the workplace shape emotions,
which at their turn influence job attitudes and behaviours” (Bal, De Lange, Jansen and Van Der
Velde, 2008);
Point 2.6.
“According to Rousseau, psychological contracts are perceived obligations, and not merely
expectations …. Psychological contracts lend structure to expectations
concerning future exchanges, thereby reducing uncertainty (e.g., by defining
roles and specifying future courses of action). The contract also plays a role
in creating social units (e.g., partnerships, organizations, joint ventures),
and managing interdependencies between individuals, groups, and organizations”
(Schalk and Roe, 2007);
Point 2.7.
“Informal dynamics do not necessarily parallel the
organization’s formal structure …. and, in some circumstances, are more
powerful and predictive in explaining work-related attitudes and perceptions …
Network effects are important in understanding the dynamics of the employment
relationship because the signals conveyed by the employer and its agents may
provide only a limited set of cues regarding the employment relationship, while
informal cues may be more readily available” (Ho, Rousseau and Levesque, 2006);
Point 2.8.
“It has been suggested that psychological contracts affect job attitudes (such as job
satisfaction) differently for older workers than for younger workers …. Because older
people, in general, have better emotion regulation skills …., and having
build up more stable psychological contracts …, they will react differently
than younger people to fulfillment or breach of the psychological contract” (Bal, De Lange, Jansen and Van Der
Velde, 2008);
Point 2.9.
“Organisations employing cost-defender strategy focus on
operational excellence, efficient use of assets and production at relatively
low cost. A transaction employment strategy is most suitable for organisations
employing cost-defender strategy. HR [human resource] practices suggested
useful for fostering behaviours suitable for organisations with such strategy
include relatively fixed and stable job descriptions, career paths that
encourage specialisation and result oriented performance appraisal system,
compensation at par with market levels and minimum levels of employee training
and development” (Agarwal
and Bhargava, 2009);
Point 2.10.
“Psychological contract theorists … have identified
various causes of psychological contract
breach. For example, reneging occurs when the organization knowingly fails to meet an exchange
obligation. Incongruence occurs when employees
and organizations have different understandings about whether an obligation
exists or about the nature of obligations. Reneging and incongruence lead to
discrepancies between an employees’ understanding of what was promised and their
perception of what has been experienced. Once a breach has occurred, employees
enter into a sensemaking process that determines their response” (Rosen, Chang, Johnson and Levy,
2009);
Point 2.11.
“Psychological
contracts [PC] are by definition perceptual and idiosyncratic. Therefore even
if the organisation offered the same deal to every employee, their reactions
will vary. PC of employees is formed as a result of interaction of various macro and micro variables …. Although
an employee brings to the table a set of possible future relationships …., they
are subject to change through an interactive influence of individual and
organisational factors that often begins during recruitment” (Agarwal and Bhargava, 2009);
Point 2.12.
“The employee's perception that the organisation has failed to fulfil
one or more obligations relating to the psychological contract represents the
cognitive aspect of violation - a mental calculation of what the employee has
received relative to what was promised. However, there is also an emotional
state that accompanies violation - the feelings of betrayal, distress, anger,
resentment, a sense of injustice and wrongful harm …. This emotional experience
culminates in attitudinal and behavioural responses, such as, job
dissatisfaction and lowered organisational commitment” (Knights
and Kennedy, 2005);
Point 2.13.
“The
employment relationship and psychological contract are essentially a social exchange …, whereby employees
contribute to the organization with the expectation that the firm will provide
certain benefits in return …. In particular, underlying all social exchanges is
the norm of reciprocity, which maintains that ‘when one party benefits another,
an obligation is generated’ …, and individuals expect their rewards to be in
line with their investments …. Because this reciprocity norm is widely held,
organizations need not explicitly promise employees that their contributions
will be duly rewarded before such an expectation is formed” (Ho, Rousseau and Levesque, 2006);
Point 2.14.
“The
perception that one's psychological contract has been breached in an inherently
subjective phenomenon. In some cases it may arise from a `real' breach of contract. For example, a recruiter may clearly
promise a new employee that he or she will be promoted within three years and
yet this does not occur. In other cases, it is much less clear whether a `real'
breach occurred. Perhaps the recruiter made some vague statement such as
`people tend to get promoted rapidly here - often within three years,' and the
employee interpreted this as a promise that he or she would be promoted within
three years.” (Robinson
and Morrison, 2000);
Point 2.15.
“The psychological contract is used to explain employee behavior in two ways: By exploring how reciprocal promises
oblige employees to do things for their employer …, and considering how
employees react when they believe promises made to them are broken” (Conway and Briner, 2009);
Point 2.16.
“The relationship between psychological
contract and commitment has been
well documented in the literature …. According to Meyer et al. … commitment is a psychological state that characterizes the
employee’s relationship with the organization. Three types of commitment are
generally distinguished: affective, normative and continuance commitment” (Lub, Bijvank, Bal, Blomme and
Schalk, 2012);
Point 2.17.
“Violation
of the transactional obligations of the psychological contract (e.g., pay, benefits and
promotion) results in a decrease in job satisfaction, while violation of
relational obligations (e.g. loyalty and support) resulted in a lowering of
organisational commitment” (Knights and Kennedy, 2005);
Theme 3: Main research topics and
issues
Point 3.1.
“Research
on the psychological contract has borrowed NacNeil’s … typology of contracts as a way of categorizing psychological
contracts. Transactional contracts refer to specific, monetizable exchanges
over a limited period of time. In operationalizing transactional obligations in
the context of the psychological contract, the following have been included:
rapid advancement, high pay and merit pay…. Relational obligations, in
contrast, have included long-term job security, career development, training
and development opportunities and support with personal problems” (Coyle-Shapiro
and Kessler, 2003);
Point 3.2.
“… there
have been calls for more research on psychological contracts in non-western contexts to examine how
employees from diverse cultures respond to breach …. Indeed, Thomas, Au and
Ravlin … proposed that cognitive schemas and motivational mechanisms
represented in one’s cultural orientation are likely to shape not only one’s
psychological contracts but also the resulting outcomes to contract
transgressions” Restubog,
Bordia and Tang, 2007);
Point 3.3.
“…research [on psychological contract] has
predominantly focused on employee views
and has largely neglected the organisational perspective and the management of
the psychological contract” (Guest and Conway, 2002);
Point 3.4.
“…studies
have found that part-timers are
managed under “Theory X”-type assumptions and stereotypes ….. One would predict
that such treatment would, through the mechanism of the psychological contract,
be reciprocated through Theory X type behaviors from employees” (Conway and Briner, 2002);
Point 3.5.
“…the psychological contract potentially provides a useful
framework through which to explore the relationship between career management activities and
employee attitudes and behaviors. As a representation of the employment
relationship, it is likely to reflect promises, expectations and experiences
regarding careers, and help provided by employers with career management, among
other things” (Sturges, Conway, Guest and
Lifefooghe, 2005);
Point 3.6.
“Building on earlier work on
organisational identification by Ashforth and Mael … and Dutton et al …, Smidts et al argue that extensive top-down communication and use of
multiple channels of communication are likely to increase organisational
identification, with positive consequences for self-esteem, organisational
commitment and co-operative behaviour. By implication, the process of
communicating the psychological contract can be as important as its content” (Guest and Conway, 2002);
Point 3.7.
“Formal roles shape the nature of an
individual’s relationship with the employer …. However, it is less clear what
role informal aspects of employment
play in individual beliefs regarding their employment relationship. The kinds
of employment relations workers experience have been attributed, to some
extent, to their informal as well as formal standing and power in the firm that
employs them” (Ho,
Rousseau and Levesque, 2006);
Point 3.8.
“Guest … and Guest and
Conway … suggested that it is useful in considering the range of antecedents
and consequences of the psychological contract to focus on the state of the psychological
contract
defined in terms of the extent to which promises are kept, how fair they are
perceived to be and trust in whether they are likely to be delivered in the
future” (Guest, 2004);
Point 3.9.
“Our knowledge of the consequences
of psychological contract breach is extensive, as breach is consistently
found to predict various attitudes and behaviors like work satisfaction and
citizenship behaviors …. However, relatively less is known about the factors
that lead to global evaluations of psychological contract breach. For example,
it is unclear how perceptions of the social context of organizations affect (or
are affected by) evaluations that one’s psychological contract has been
breached” (Rosen,
Chang, Johnson and Levy, 2009);
Point 3.10.
“Psychological
contract theory offers a highly relevant and sound theoretical lens for
studying IT outsourcing management
because of its three distinctive principles: (1) its focus on mutual (rather
than one-sided) obligations between contractual parties, (2) its emphasis on
psychological (as distinct from legal) obligations, and (3) its emphasis on an
individual (rather than interorganizational) level of analysis” (Koh, Ang and Straub, 2004);
Point 3.11.
“Psychological contracts can be breached or violated, and can be
abandoned or deserted. However, our knowledge on the way in which psychological contracts develop, and on the conditions
that initiate and influence changes in the psychological contract is still
limited” (Schalk and
Roe, 2007);
Point 3.12.
“Rousseau … suggests that antecedents of psychological contracts
are activated to a large extent through pre-employment experiences such as
societal events. The psychological contract literature has however thus far
largely ignored societal dimensions of social relationships …. Bal et al. … also suggest that specific types of psychological contracts may
be age-related” (Lub,
Bijvank, Bal, Blomme and Schalk, 2012);
Point 3.13.
“The
psychological contract is an individual-level
construct, and one may argue whether it is even applicable to an
organizational-level phenomenon such as IT outsourcing. As Rousseau fervently
argues, “individuals have psychological contracts, organizations do not” …
Nevertheless, we believe that the concept of a psychological contract is highly
relevant to the context of IT outsourcing. In fact, we show that by focusing on
the individual level of analysis the use of psychological contracts provides a
unique and hitherto understudied perspective on the outsourcing relationships
that develop between organizations” (Koh, Ang and Straub, 2004);
Point 3.14.
“Understanding relationships among politics, procedural justice, and psychological contract breach is important for several reasons. ….
each of these constructs has implications for managerial and organizational
effectiveness. For example, organizational politics create aversive
environments from which employees wish to withdraw …, procedural justice
affects employee motivation and performance …, and psychological contract
breach is negatively related to employee well-being and effectiveness” (Rosen, Chang, Johnson and Levy,
2009);
Point 3.15.
“In
her initial and subsequent work [on psychological contract], Rousseau
established two main research agendas relating to the contents of psychological contracts (What are the contents? How are
they formed? What are their consequences?) and violation of psychological
contracts (What are the antecedents to and consequences of violation?)” (Conway and Briner, 2009);
Theme 4: Major trends and issues
related to practices
Point 4.1.
“Profound changes in psychological contracts may be caused either
by organizational changes (for
example, “new deals” that are imposed by organizational transformations…) or by
individual changes (for example,
entering a new phase in life that is associated with different needs and
expectations….). Critical events that can cause changes in psychological
contracts occur quite frequently in organizations” (Schalk and Roe, 2007);
Point 4.2.
“In a world of ongoing organisational transformation,
the psychological contract between the employer and the employee is open to
violation. It is imperative that senior managers, as change agents, have a good
understanding of the psychological contract and how it influences employee
behaviour and attitudes towards their job and their organisation” (Knights and Kennedy, 2005);
Point 4.3.
“Organizations’ expectations that part-time employees can perform fairly
repetitive tasks at the busiest times of the working day may result in part-time
employees perceiving their contributions to be different from those of full-time employees in terms of, for
example, effort and flexibility. If part-time employees perceive themselves to
be treated differently from full-time employees in terms of the inducements
they receive and the contributions they give, then this is likely to affect how
they perceive their psychological contract” (Conway and Briner, 2002);
Point 4.4.
“The
implications of globalization,
organizational restructuring and downsizing on employment relations have
renewed interest in the concept of the psychological contract. It has captured
the attention of policy-makers in their efforts to ‘change the deal’ in
response to increasing pressures to adapt to changing circumstances”
(Coyle-Shapiro and Kessler, 2000);
Each of the four themes has a set of
associated points (i.e., idea, viewpoints, concepts and findings). Together
they provide an organized way to comprehend the knowledge structure of the psychological
contract topic. The bolded key words in the quotation reveal, based on the
writer’s intellectual judgement, the key concepts examined in the psychological
contract literature. The referencing indicated on the points identified informs
the readers where to find the academic articles to learn more about the details
on these points. Readers are also referred to the Literature on psychological contract Facebook page for additional
information on this topic. The process of conducting the thematic analysis is
an exploratory as well as synthetic learning endeavour on the topic’s
literature. Once the structure of the themes, sub-themes[1]
and their associated points are finalized, the reviewer is in a position to
move forward to step 2 of the MMBLR approach. The MMBLR approach step 2
finding, i.e., a companion mind map on psychological contract, is presented in
the next section.
Mind
mapping-based literature review on psychological contract: step 2 (mind
mapping) output
By adopting the findings from the MMBLR
approach step 1 on psychological contract, the writer constructs a companion
mind map shown as Figure 1.
Referring to the mind map on psychological
contract, the topic label is shown right at the centre of the map as a large
blob. Four main branches are attached to it, corresponding to the four themes
identified in the thematic analysis. The links and ending nodes with key
phrases represent the points from the thematic analysis. The key phrases have
also been bolded in the quotations provided in the thematic analysis. As a
whole, the mind map renders an image of the knowledge structure on psychological
contract based on the thematic analysis findings. Constructing the mind map is
part of the learning process on literature review. The mind mapping process is
speedy and entertaining. The resultant mind map also serves as a useful
presentation and teaching material. This mind mapping exercise confirms the
writer’s previous experience using on the MMBLR approach (Ho, 2016). Readers
are also referred to the Literature on
literature review Facebook page and the Literature
on mind mapping Facebook page for additional information on these two
topics.
Concluding
remarks
The MMBLR approach to study psychological
contract provided here is mainly for its practice illustration as its
procedures have been refined via a number of its employment on an array of
topics (Ho, 2016). No major additional MMBLR steps nor notions have been
introduced in this article. In this respect, the exercise reported here
primarily offers some pedagogical value as well as some systematic and
stimulated learning on psychological contract in the field of Human Resource
Management. Nevertheless, the thematic findings and the image of the knowledge
structure on psychological contract in the form of a mind map should also be of
academic value to those who research on this topic.
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pdf version at: https://www.academia.edu/31818316/Mind_mapping_the_topic_of_psychological_contract
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