Page 185 - IMDR JOURNAL 2023-24

IMDR’s Journal of Management Development & Research 2023-24

Theoretical Framework:
This framework proposes a three-stage model exploring how EI influences the formation, management, and

fulfilment of psychological contracts:

Stage 1: Formation

1. Self-Awareness & Social Skills: High self-awareness allows individuals to recognize their needs,

values, and expectations when entering a new role. Strong social skills facilitate clear communication,
enabling them to negotiate and establish a psychological contract aligned with their desires and the

organization's offer.

2. Empathy & Compassion: By understanding the organization's culture and needs through empathy,

individuals can tailor their expectations and contributions for a mutually beneficial agreement.
Compassion fosters trust and collaboration, laying the foundation for a strong psychological contract.

3. Motivation & Goal Setting: Intrinsic motivation drives individuals to actively engage in building a

fulfilling work experience. Goal setting aligns individual aspirations with the organization's objectives,
contributing to a shared vision and a sustainable psychological contract.

Stage 2: Management

1. Self-Regulation & Adaptability: Navigating workplace changes and unforeseen circumstances requires

emotional regulation and adaptability. Individuals with these skills can adjust their expectations within

the psychological contract as needed, fostering resilience, and maintaining a positive working
relationship.

2. Communication & Conflict Resolution: Effective communication helps clarify expectations and
renegotiate terms when necessary. Strong conflict resolution skills enable individuals to address

discrepancies constructively, preserving the integrity of the psychological contract.

3. Motivation & Optimism: Maintaining intrinsic motivation and optimism helps individuals navigate

challenges and remain committed to the psychological contract. A positive outlook fosters trust and

encourages both parties to work towards fulfilling the agreement.

Stage 3: Fulfilment

1. Self-Awareness & Empathy: Ongoing self-awareness allows individuals to identify changes in their
needs and renegotiate the psychological contract when necessary. Empathy helps them understand the

organization's evolving needs and perspectives, facilitating mutually beneficial adjustments.

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