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What is Organizational Psychological Contract

Advances in Intelligent, Flexible, and Lean Management and Engineering
Refers to the individual beliefs that are molded by the organization, concerning the terms of an exchange agreement between individuals and their organization, being at a large extent informal and implicitly rather than explicitly understood because they root on expectations.
Published in Chapter:
Green Transformational Leadership as a Redefinition of the Organizational Psychological Contract: Psychological Capital in Green Corporate Performance
Diana Fernandes (University of Minho, Portugal) and Carolina Feliciana Machado (Interdisciplinary Centre of Social Sciences (CICS.NOVA.UMinho), University of Minho, Portugal)
DOI: 10.4018/978-1-7998-5768-6.ch002
Abstract
This study grounds on the contemporary concern towards sustainability, reviewing literature to ascertain the personality traits of current leaders, framing them under the most effective leadership style in order to leverage organizational green consciousness and performance. It provides insights on the multilevel social dynamics outlining individual citizenship behaviors at work, as it advances that organizations shall rely on green transformational leadership to enhance the workforce green cognitions and behaviors, providing workplace opportunities to engage in environmental management related activities, thus leveraging green consciousness and performance. Hence, this study maps the current leader's personality traits so that their leadership paradigm may be best captured in terms of the value congruence between leaders/followers, solidifying a green psychological climate at the organization, impacting on its psychological capital and ownership, reconfiguring the organizational psychological contract by defining it as a collaborative learning process.
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