As a starting point for understanding the behavior of people in organizations, let’s first examine the basic nature of the individual - organization relationship. Let’s expand a bit further on the concept of individual differences.
Every individual is unique. Individual differences are personal attributes that vary from one person to another. Individual differences may be physical, psychological, and emotional. The individual differences that characterize a specific person make that person unique.
One person may be dissatisfied, withdrawn, and negative in one job setting but satisfied, outgoing, and positive in another. Working conditions, coworkers, and leadership are just a few of the factors that affect how a person performs and feels about a job.
Thus, whenever a manager attempts to assess or account for individual differences among her employees, she must also be sure to consider the situation in which behavior occurs. Managers should also be aware of psychological contracts that exist between the organization and its employees. In an ideal situation, then, understanding differences across people and creating effective psychological contracts can help facilitate a good fit between people and the organization.
