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Business Psychology: An Extended Arm Of The Hr

Psychology is a stream of science that involves the scientific study of mental functions and behaviors of human being

. It has the immediate goal of understanding individuals and groups and in turns it benefits the society only. In this field, a medical practitioner or a psychologist, attempt to understand the role of mental functions in individual and social behavior of people. While psychological knowledge is often applied to the assessment and treatment of mental health problems, it is also directed towards understanding and solving problems in different sphere of human activity. The majority of psychologists are involved in some kind of restorative role, practicing in clinics, counseling, school counseling or teaching. Some psychologists are employed in business organisation and known as Business Psychologist. They work in co-relation with the human resource department of the company.

Here, the question arises who are business psychologist and what is the need of psychology in an organisation. Business psychology is the scientific study of employees, workplace and organisation. The industrial psychologists contribute to an organizations success by improving the workplace and performance, satisfaction and well being of its people. These psychologists work behind the people in the company. They are the ones responsible for helping the organizations solve problems like finding the right people to do certain jobs as well as managing people and resources.

Very few people will disagree that the success of any organisation is a direct reflection of its managerial efficiency and effectiveness. A well managed organisation can survive and even prosper during the most difficult times as well. In an organisation where technical, analytical and conceptual skills are primarily knowledge based and can be learned and predictable applied, it is human skills that pose the greatest challenge to management due to complexity of human psychological processes and unpredictability of human behavior. Here comes an important role of human resource department which helps in studying the organizational behavior. Human resource people sometimes outsource workplace psychologist or hire them as an employee of a company. Industrial psychologists contribute to an organizations success by improving the workplace and the performance, satisfaction and well being of its people.

They read the employee behaviors and attitudes and try to improve the same through hiring practices and training programmes. The training programmes includes behavioural and soft skills training to the employees for changing organizational environment. The programmes have great potentials to enhance strategic business results. Workplace psychologist also helps human resource personnel at the time of performance appraisal also. The psychologist would be responsible for training organizational personnel how to use the performance appraisal instrument, including ways to minimize the bias system.


Being an organizational psychologist is a very difficult yet challenging task. The psychologists need to deal with the problems in the organization that includes the clients, employees and recruits. The study is known as organizational behavior. Objective in each company is to increase the profits and so the psychology helps in achieving this. Predictability of human behavior could help organizations more effective.

by: Andrewthomson
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