1. Formal and Psychological Contracts All organizations work on two different levels 1. Overt conscious levels that focuse on specific tasks, e.g., measurable goals, the formal stuff. 2. More implicit (tacit) level of process emphasizing group maintenance, interpersonal dynamics, sentiments, and belief systems, the psychological stuff.

2. Books to buy, due dates, deliverables, grading criteria, (curve or not), etc. The specific stuff we try to “weigh” and “measure.” Deals with concrete expectations and how they are met. We assume we can be objective about the formal contract. The Formal Contract

3. Not the formal contract. Deals with psychological expectations and how they are met. Dynamic: it unfolds, it changes as we work with it, e.g., how we treat each other, how you “feel” about course, your commitment or “motivation” to learn, my commitment or “motivation” to learn with you. Found in our relationships our behavior with each other, faculty-student and student to student, not in the syllabus, the books, exams we take, grade we get or give. The Psychological Contract

4. Psychological Contract and BMA505 Psychological contract focuses on a dynamic relationship. Mutual expectations are at work. Both student and faculty contributions obligate the other party to reciprocate. Based upon trust and good faith. If violated, can’t be easily rebuilt.

5. Faculty and Students Need Each Other Faculty need: Good students. Prepared students. Effective study groups. Feedback and help Respect and affirmation. Students need: Managerial & leadership competencies Clear expectations. Feedback and help Respect and affirmation.

6. Students Need Each Other Effective study groups Clear expectations. Feedback and help Respect and affirmation

7. Self Fulfilling Prophecy Folks respond to others’ expectations of them. We respond to our expectations of each other.

8. Implications The psychological contract really matters: Clearer psy and formal expectations = less anxiety. Higher expectations = higher performance. All parties need to minimize the dysfunctional consequences of shifting expectations. Begins and ends with sharing information and expectations. It’s a continuous process and not a discrete event.

9. Getting Fit When the fit between the faculty and students is poor, both suffer. A Good Fit: Benefits students by creating meaningful and satisfying learning experiences. Benefits faculty who get to work with challenging and energetic students and the MBA Program prospers.