What is Business Psychology?
“Business Psychology is the study and practice of improving working life. It combines an understanding of the science of human behaviour with experience of the world of work to attain effective and sustainable performance for both individuals and organisations”
The Association for Business Psychology, U.K.
Practitioners of Business Psychology typically work in the following ways:
Advise - Practitioners give advice on a wide range of people issues at work – from careers to large scale organizational change. They are also independent professionals who can be trusted to offer an unbiased, scientifically credible perspective.
Diagnose – Practitioners help organizations to better understand issues and challenges (e.g. high turnover and low engagement). They use social scientific research methods to investigate human behaviour at work.
Design – Practitioners design solutions to organizational challenges. For example, they might design a psychometric tool to help an organization select better employees or an assessment exercise.
Deliver – Practitioners often implement solutions to organizational problems for clients. Their role is usually to facilitate a solution and not to take ownership of the problem for the client.
Evaluate – Practitioners measure the effectiveness of interventions. Demonstrating evidence of individual and organizational benefits is a core principle of Business Psychology.
Business Psychology is an applied science that investigates how to make people and organizations more effective. It uses social scientific research methods to study people, workplaces and organizations in order to better align their multiple and sometimes competing needs. Its goal is to create healthy and productive relationships between people and organizations for mutual benefit.
As an applied science, Business Psychology does dictate to organizations what constitutes effective organizational practice. It has a reciprocal relationship with business and draws insights from those with experience of what works at work. This enables psychological research to be applied pragmatically and in a way that is appropriate to the situation. It also allows a cross fertilization of experience from business into psychology and of academic knowledge and rigor from psychology into business.
Business Psychology employs wide range of social scientific research methods to investigate what constitutes best organizational practice. It uses a combination of qualitative and quantitative methods and considers both types of evidence equally legitimate. Common data collection methods include questionnaires, surveys, focus groups, interviews and case studies. Common analytical techniques include descriptive and inferential statistics, thematic and content analysis.
Association for Business Psychology. (2015). The Association for Business Psychology. Macclesfield U.K.
Areas of Business Psychology
Business Psychology can be applied to almost any people issue at work. MCGC focuses on two specific domains of business including:
Business needs analysis
Project task management
Peer Advisory Board Facilitation