Supervisor psychological contract management

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The psychological contract outlines the employer-employee relationship as an individualized exchange that transcends written work agreements, encompassing values like accountability and fairness. Current news highlights the ineffectiveness of management by objectives and pay-for-performance strategies in aligning managers and employees with organizational interests, underscoring the relevance of psychological contracts today. While research indicates a positive link between intact psychological contracts and motivation, as well as in-role and extra-role behaviors, there has been limited exploration of this concept in strategic human resource management or leadership studies. The research by Maida Petersitzke addresses these gaps, offering a significant contribution to the field. It begins with a structured overview of existing literature and the theoretical foundations of psychological contracts, which have been underexplored. Petersitzke then introduces a conceptual framework for a sustainable organizational exchange offer aligned with human resource strategy. Additionally, she presents an empirical study examining leadership behaviors that enhance employees' perceptions of their psychological contracts, ultimately fostering behaviors that benefit the organization.