Motivation vs. Psychological Contract

Attribute	Motivation	Psychological Contract
Definition	The internal and external factors that stimulate desire and energy in people to be continually interested and committed to a job, role, or subject, or to make an effort to attain a goal.	The unwritten expectations and obligations that define the terms of the relationship between an employee and an employer.
Types	Intrinsic and extrinsic motivation	Relational and transactional psychological contracts
Drivers	Achievement, recognition, responsibility, advancement, and growth	Trust, fairness, respect, and reciprocity
Impact on Performance	Higher motivation leads to increased performance and productivity	A positive psychological contract can enhance employee engagement and commitment

Introduction

Motivation and psychological contract are two important concepts in the field of organizational behavior. While motivation refers to the drive or desire to achieve a goal, psychological contract refers to the unwritten expectations and obligations that exist between an employee and their employer. Both concepts play a crucial role in shaping employee behavior and performance within an organization.

Attributes of Motivation

Motivation is a key factor that drives individuals to achieve their goals and perform at their best. There are two main types of motivation: intrinsic and extrinsic. Intrinsic motivation comes from within an individual and is driven by personal satisfaction and enjoyment of the task itself. Extrinsic motivation, on the other hand, comes from external factors such as rewards, recognition, or punishment.

One of the key attributes of motivation is that it can be influenced by various factors such as individual needs, goals, values, and beliefs. For example, an employee who values recognition and praise may be motivated by receiving positive feedback from their supervisor. Another employee who values financial rewards may be motivated by the promise of a bonus or salary increase.

Motivation can also be influenced by the work environment, organizational culture, and leadership style within an organization. A positive work environment that fosters collaboration, communication, and trust can enhance employee motivation. Conversely, a toxic work environment characterized by micromanagement, lack of recognition, and poor communication can demotivate employees and lead to decreased performance.

Attributes of Psychological Contract

The psychological contract is a concept that refers to the unwritten expectations and obligations that exist between an employee and their employer. These expectations can include factors such as job security, career development opportunities, work-life balance, and fair treatment. When these expectations are met, employees are more likely to be engaged, committed, and satisfied with their job.

One of the key attributes of the psychological contract is that it is dynamic and can change over time. As employees gain more experience, develop new skills, and progress in their careers, their expectations and obligations may evolve. Similarly, changes in the organization's structure, leadership, or policies can also impact the psychological contract and influence employee attitudes and behaviors.

The psychological contract is also influenced by factors such as trust, communication, and fairness within the organization. When employees feel that their employer is trustworthy, transparent, and treats them fairly, they are more likely to have a positive psychological contract. On the other hand, when there is a lack of trust, poor communication, or perceived unfairness, the psychological contract can be damaged, leading to decreased employee engagement and satisfaction.

Comparison of Motivation and Psychological Contract

While motivation and psychological contract are distinct concepts, they are closely related and can influence each other. For example, when employees feel that their psychological contract is being fulfilled by their employer, they are more likely to be motivated to perform at their best and achieve their goals. On the other hand, when employees are demotivated due to factors such as lack of recognition, poor communication, or unfair treatment, their psychological contract may be negatively impacted.

Both motivation and psychological contract play a crucial role in shaping employee behavior, attitudes, and performance within an organization. Employers can enhance employee motivation by providing opportunities for growth and development, recognizing and rewarding performance, and creating a positive work environment. Similarly, employers can strengthen the psychological contract by being transparent, fair, and consistent in their interactions with employees.

Ultimately, understanding the attributes of motivation and psychological contract can help organizations create a supportive and engaging work environment that fosters employee satisfaction, commitment, and performance. By recognizing the importance of both concepts and taking proactive steps to enhance them, employers can build a strong and positive relationship with their employees, leading to increased productivity, retention, and overall success.