A Study Of The Impact Of Economic Contract And Psychological Contract On Organizational Identification

In today’s society, organizations have become the main part of society, socialgroup "organized" has increasingly become an irresistible historical trend, andorganizational identification has been the concern of many scholars and entrepreneurs.Organizational Identification, especially in the field of organization management,caused the extensive attention of scholars, has become an important variable factor inthe study of organizational behavior. The definition of Organizational Identificationis that the organization members consistent with their organization in the behavioral,psychological and other aspects，which include both rational sense of contract,responsibility to the organization and irrational sense of belonging and dependence.Organizational Identification is the glue which connect the members of theorganization, thus the organization, like enterprise, will form the strong cohesion andvitality which can enhance the competitiveness of the organization against externalcompetition and overcome the crisis of emergency power. In this way, the enterprise’seconomic benefits will be improved greatly. As the main form of organization identity,exchangeable organizational identification is formed in the process of organizationmanagement. Economic contract and psychological contract is the main channel of theorganization with its members. Therefore, this study will focus on the economic andpsychological contract’s different impact on the organizational identity, which based onthe social exchange theory, in view of the contracts’ impacts on the management of therelationship organization with its members. Furthermore, my study also pays attentionto the role which two variables, the organizational justice and perceived organizationalsupport play in the impact.Based on the study of theories of economic contract, psychological contract,organizational justice, organization identification, and social exchange, I divideeconomic contract into three dimensions, job duty, working condition and pay andbenefits. Likewise, I divide economic into two dimensions, transactional and relational.I study the impacts that every dimension impose on the organizational identity. I alsointroduce the organizational justice and support as the mediating variables, analysestheir relationship. All of these construct a theoretical model of this study, with it Ipropose hypotheses.In empirical research, I combine the method of questionnaire survey with dataanalysis. Firstly, based on the collected mature and high recognition scales, I make a appropriate questionnaire. Secondly, I select every class of every representativeenterprise to survey, use paper questionnaires and electronic questionnaires to collectdata, and get rid of the papers in vain to improve the quality of collected date. Finally,I check the sample data’s validity and reliability make sample descriptive statisticalanalysis and path analysis by software. In this way, I verify the rationality of thehypothesis.Through data analysis for this study hypothesis, I reach the following conclusion:The job duty dimension of economic contract has a direct positive influence onorganizational identification; Transactional dimension of psychological contract has adirect negative effect on organizational identification; The relational dimension ofpsychological contract has a direct positive influence on organizational identification;The dimension of job duty in economic contract plays a leading role in the impact onorganizational identification, its effect date reach0.219; The dimension of relational inthe psychological contract plays a leading role in the impact on organizationalidentification, its effect date reach0.412.;Perceived organizational support plays anintermediary role not only in the economic contract’s pay and benefits, transactionaland relational dimension but also in the organizational justice; But the organizationaljustice variables in this study did not directly play the role of intermediary variable. Inthis study only through perceive organizational support does organizational justice canstand intermediary role. The dimensions of working condition, pay and benefits,transactional, relational all exert influence on organizational identification follow thepath of “organization justice�'perceive organizational support�'organizationidentification”.The results and the train of thinking of this study have certain theoretical andpractical value to Chinese enterprises’ organization management.