In this article you can find some practical examples of how industrial and organizational psychology works.
Just to avoid confusion, bear in mind that different terminology might be used to indicate industrial and organizational psychology such as occupational psychology, work and organizational psychology, or business psychology.
Industrial and organizational psychology can be applied to all types of organizations: public and private organizations, large and small businesses, and freelancers. Moreover, private individuals can benefit from this area of psychology as well (e.g. career coaching).
The goal of industrial and organizational psychology is to increase the performance and well-being of people and organizations. That’s the most important thing!
Example 1 – Recruitment and Selection
Company A needs to hire a computer expert.
The psychologist’s task is to review the specific job position (duties and responsibilities) and the profile of the ideal candidate (skills, work experience, and personality). Later, it is searching for candidates through various channels (e.g. recruiting sites), making an initial selection of applicants, and conducting job interviews (with the possible use of tests). Finally, the consultant makes a report of the applicants examined, proposes the most suitable candidates, and gives suggestions on how to introduce them within the company.
The goal is to put the right person in the right place in order to avoid a waste of time and money.
Example 2 – Conflict Management
Company B complains of frequent conflicts between two colleagues that are ruining the organizational climate and damaging production.
The industrial and organizational psychologist interviews the client (e.g. the CEO) and other key people to understand the situation. He then suggests specific measures to solve the problem. For instance, he may suggest a training course on conflict management or corporate policies that punish conflict behaviors and reward teamwork.
The goal is to maintain a good organizational climate within the company and promote collaboration, mutual respect, and communication. It is important to prevent conflicts from damaging internal relations and the quantity and quality of production.
Example 3 – Sales Techniques
Company C wants to increase sales of its products.
The industrial and organizational psychologist trains personnel about sales techniques, communication, and customer relationship management.
The goal is to increase sales through the development of the salespeople’s skills.
Example 4 – Customer Satisfaction
Company D receives frequent complaints from customers and wants to understand what the problem is.
The industrial and organizational psychologist conducts brief interviews with some clients, especially those who have complained, in person or via the phone. He identifies the strengths and weaknesses of the service offered to customers and proposes solutions to resolve the problem (e.g. a better organization of work) and a plan for monitoring customer satisfaction (e.g. questionnaires).
The goal is to satisfy customers, retain them, and prevent them going to a competitor. In addition, satisfied customers mean free advertising via word of mouth.
Example 5 – Marketing and Market Research
Company E wants to launch a new product. It wants to ensure that prospective customers will like it. In particular, the company wants to identify positive and negative aspects of the product that may increase or decrease sales.
The industrial and organizational psychologist leads focus groups (group discussions) made up of a sample of potential customers. He analyzes perceptions of the product (Do they like it? Is it useful? Is the price reasonable? Where would they buy it?). After collecting and analyzing the data, the psychologist gives a report to the company with suggestions on how to improve the product, distribution, and advertising.
The goal is to facilitate sales.
Example 6 – Reorganization
Last year, Company F lost customers, had a decrease in revenue, and had an increase in the levels of stress among staff.
The industrial and organizational psychologist interviews key workers in the company to understand the situation, the resources available, and the critical points. Subsequently, he administers a brief questionnaire to employees to gain a measure of the problem (e.g. workloads, inadequate distribution of tasks, and problems of corporate communications). Once the psychologist has collected all of the data, he writes a report and proposes appropriate solutions such as a redistribution of tasks and responsibilities. It is therefore an intervention of reorganization.
The goal is to improve performance (profit), increase efficiency, and achieve a good level of organizational well-being.
Example 7 – Psychology of Performance
A performer (a student, musician, worker, or athlete) wants to increase performance through the better management of anxiety.
The industrial and organizational psychologist analyzes the factors triggering anxiety through an interview (e.g. fear of making a fool of oneself) and typical reactions of the performer (e.g. palpitations, loss of concentration, and panic attacks). The performer is taught relaxation techniques (cognitive and physical strategies) and techniques for maintaining concentration (e.g. internal dialogue).
The goal is to help the person increase his ability to control thoughts, physiological reactions, and focus on the goal.
Example 8 – Vocational Guidance, Career Coaching, and Career Counseling
A person is undecided about his career (university or job).
The industrial and organizational psychologist analyzes his interests, skills, capabilities, motivations, and personality characteristics (including the possible use of tests). He explains the trends in the labor market and which professions are the most requested. Depending on the customer profile (skills and motivation) and the labor market, the organizational psychologist suggests a course of study or professional activity to invest in.
The goal is to guide customers to choose the path most in line with their own motivations and personal characteristics while taking into account the socioeconomic environment.
Conclusion
The mission of industrial and organizational psychology is to increase the performance and well-being of people and organizations.
Dr. Andrea Miriello
Business Psychologist
Consultant, Business Coach, and Trainer