Introduction of Flexible working and Psychological Contract (Analysis)

With changing times, the dynamics of work place are working and organizational culture is evolving.  Major stake holders now include employees with organizations aiming to facilitate them to increase the efficiency of the workplace for productive output. Flexible working model which is very dynamic is being adapted by organizations. This will accommodate those working for the organization resulting in efficient workplace with greater productivity. Oman Electricity Transmission Company can make use of the model for better productivity.

The terms of legal contract may not be as important in these times then the psychological contract. The flexible working environment along with the psychological contract impacts the company. The report covers the idea of the psychological contract and flexible working. The report aims to establish the relationship between the psychological contract and flexible working and evaluate the efficiency of flexible working in the job dynamics.  Recommendations will be written to introduce the concepts with goal setting so Oman Electricity Transmission Company  can make use of it. Literature review will provide Oman Electricity Transmission Company with insight about the importance of flexible working and psychological contract to bring in action.

Literature Review of Flexible working and Psychological Contract (Analysis)

“Flexible Working Hours, Family Responsibilities, and Female Self‐Employment” was an article that was reviewed. It ponders over the effect of flexible working on the family stuff and especially in regard to female workforce. Flexible working hours can be used as feminist approach to reduce gender discrimination and reduce gender employment gap at the workplaces (Boden, 1999).  Individual decisions role to choose flexible timing is also a matter of concern in the article. From a research it is shown that women are more likely to be self-employed and quit jobs, reason being family commitments. Boden ends the article by recommending the employers to offer flexible working conditions which will be friendly to the employees and motivate them to work.  40 hour per week jobs model is also recommended that falls under flexible working (Boden, 1999).

Flexible working by definition is the the way of working that suites the needs of an employee. This ranges from home based working to flexible working hours. Different types of flexible working include:  (Reilly, 1998):

Numerical: Fixed-term contracts, outsourcing

Functional: Job enrichment, continuing education

Financial: Pay-for-performance, cost centers

Temporal: Part time, annual work time, flexi time

Locational: Teleworking, desk sharing

The article by Mr P. Reilly was used in research to get the idea and understanding of the benefits of flexible working in a bilateral manner both to the employee and the employer. This article which was published in 1998 gave us a better understanding to realize how work places can be adoptive to different kinds of flexible working. The kinds are dependent upon how relevant they are for the organization. The competitive business environment has pushed us in a place where we have to adopt and adapt to modern methods and such measures for employee retention and harmonized working environment.

Chris Hendry and Romy Jenkins’s article was also a part of learning for the research purpose. The article Psychological contracts and new deals tell us about the role of psychological contracts and its changing nature. The article informs us about the misuse of psychological contract by the employees and why change is needed to develop the contracts. The moving towards the flexible working by the firms have transformed psychological contracts to be more specific and seeking convenience over security (Hendry and Jenkins, 1997). Psychological contract’s role cannot be undermined when discussing work place environment and culture.  Corporate governance’s key concept is the contract. We also learn that flexible working is a major factor in formation of the contract and it lays down the foundation of how HR functions. HRM is seeking to empower employees and promote collective learning by means of flexible working (Hendry and Jenkins, 1997).

Exchange Relationships: Examining Psychological Contracts and Perceived Organizational Support published in the Journal of Applied Psychology was also used as a part of research. The authors shed light on relation of psychological contract work output. The article tells us about the formation of psychological Contracts.  Psychological contract is the mutual understanding of unwritten expectations of the employment defining the relationship of employee and the employer (Coyle-Shapiro and Conway, 2005).  The psychological contract can be called as an adaption of the employee to the organization culture. The terms of the contract include informal arrangement, mutual beliefs, common grounds and the degree of perception of the both parties. The core of the psychological contract is communication. It is by the means of communication expectations are defined. Communication clarifies so the goal setting is not vague and team is coherent. Incremental increase in bonuses and other perks get dependent on the psychological contract. In many ways psychological contract gets the upper hand on legal employment work in terms of workplace efficiency and environment.     

Discussion of Flexible working and Psychological Contract (Analysis)

The effect of adaptable working (flexible working) is influencing the employee as well as the business. Oman Electricity Transmission Company can adapt the model for numerous reasons. Diverse sorts of adaptable working alternatives expand the skyline of control for the business and it engages the worker to pick what may best meet their requirements. To achieve adaptable working in the organization it must work on its way of life and elements inside which the organization works. The association must see regardless of whether it will be feasible to present adaptable working.

Diverse kinds of adaptable working choices can be viewed as relying upon the activity type. The temporal or part time of adaptable working spotlights on less working hours and more errands situated every day. The representatives may work in various groups. This builds effectiveness and workers can browse diverse openings for their best fit. Likewise telecommute (home based) or teleworking enables numerous individuals to work proficiently from home. The primary concern is there a ton for organizations and representatives in flexible working as it might procure cost viability when there is work sharing as generally speaking work efficiency is enhanced (Reilly, 1998). By getting adaptable working it will enable the organization to enhance by having an effective and capable work constrain. This can likewise help in retaining of employees. There is a lot of leverage for Oman Electricity Transmission Company if they bring the model in play. Rotational job will ensure round the clock services.

It is likewise of significance to see the positive effect of flexible working with the family lives of numerous workers and how it has encouraged minimizing the gender gap. Because of the alternatives and simplicity of working at different timings and shifts it has enabled people to have a better family life and work efficiently without pressures. The family lives of men and women have improved. This has helped the employer as well as the employee to be tranquil and work more efficiently (Boden, 1999). More organizations should adapt flexible working attempting to make lives of individuals working easy and convenient. By permitting flexible working can enable the organization to keep up a diverse work force which is an advantage to the working of the organization.

Flexible working has impacted the dynamics of operation when it comes to the unwritten norms and expectations from the job. The psychological contracts not recorded but rather considered as a comprehended understanding between the two stake holders.  The psychological contract has greatly transformed towards a goal oriented approach reshaping the understanding of work related activities from job security (Coyle-Shapiro and Conway, 2005).  Clarity in communication is needed for establishing a psychological contract. The need for psychological contract is important as it establishes the environment and culture of organization basing it on shared beliefs (Hendry and Jenkins, 1997).  By being thoughtful of the way that mental contracts are an essential viewpoint in corporate administration it will help set up an intelligent workplace which will empower both the organization and the employee.

Recommendations of Flexible working and Psychological Contract (Analysis)

The recommendations are:

The OMAN ELECTRICITY TRANSMISSION COMPANY should build up a model of adaptable working relying upon the elements of the working dynamics.

There ought to be clarity in communication about the objectives and expectations so the premise of psychological contract is clear and there is no disarray

OMAN ELECTRICITY TRANSMISSION COMPANY ought to develop more well-disposed strategies towards the work force to get the best out of them

Clear organization objectives and lucid work environment culture ought to be promoted

Every one of the recommendations expressed above will encourage the individual development and organizational advancement and development of the Oman Electricity Transmission Company. As well as it will help build up working conditions that will be more satisfactory and enhance work efficiency.

Conclusion and analysis of Flexible working and Psychological Contract (Analysis)

The presence of psychological contract and flexible working cannot be ignored in the working environment. There are numerous fundamental advantages of both the ideas. Not just this we have likewise discovered that there is an immediate connection between the two as the working environment elements are directed by the methodology of working. Flexible working means empowering the employees increasing their efficiency which adds to the organization and its business. The job enables the worker to profit by the organization and the organization can have a more extensive scope of range of abilities accessible to them. Fulfilled employees promote work place effectiveness and the psychological contract turns out to be less complex as it turns out to be more objective and goal driven. This can be the biggest motivational factor for Oman Electricity Transmission Company. Also they can have a diverse work force by inducting women. The understanding changes from job stability to work execution and the employees comprehend the advantages of flexible working have enabled them to adjust to the circumstance likewise. Organizations with positive methodology have more open culture and straightforwardness. Google is an example to follow the flexible working model and profiting by it in the long term and short term fulfillment of goals.

Flexible working is a productive strategy for organizational advancement and development; it enhances the terms of psychological contract profiting both the worker and the organization. The interesting point for flexible working is its impact on the psychological contract and the general working environment condition. Flexible working is picking up fame yet it doesn't mean it is the answer for each firm. The organizations ought to evaluate their organization dependent on the pro and cons of running with flexible working. Oman Electricity Transmission Company can truly benefit from this provided they do strategic management.

References of Flexible working and Psychological Contract (Analysis)

Boden, R. (1999). Flexible Working Hours, Family Responsibilities, and Female Self-Employment. American Journal of Economics and Sociology, 58(1), pp.71-83.

Coyle-Shapiro, J. and Conway, N. (2005). Exchange Relationships: Examining Psychological Contracts and Perceived Organizational Support. Journal of Applied Psychology, 90(4), pp.774-781.

Hendry, C. and Jenkins, R. (1997). Psychological contracts and new deals. Human Resource Management Journal, 7(1), pp.38-44.

Reilly, P. (1998). Balancing Flexibility—Meeting the Interests of Employer and Employee. European Journal of Work and Organizational Psychology, 7(1), pp.7-22.

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Bjerke, B., & Al-Meer, A. (1993). Culture′s Consequences: Management in Saudi Arabia. Leadership & Organization Development Journal, 14(2), 30-35.

Bono, J., & Judge, T. (2003). Toward understanding the motivational effects of transformational leaders. Academy of Management Journal, 554-571.

Noer, D. M., Leupold, C. R., & Valle, M. (2007). An Analysis of Saudi Arabian and U.S. Managerial Coaching Behaviors. Journal of Managerial Issues, 19(2), 271-287.