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

Management:

 Self-management: Strong self-management skills enable both parties to uphold their commitments

within the psychological contract. Employees manage their emotions and workloads effectively, while
employers manage resources and expectations transparently. This consistency builds trust and

strengthens the perceived value of the exchange.

 Relationship management: This competency is crucial for navigating inevitable challenges and

renegotiating the psychological contract as circumstances change. Open communication, conflict

resolution skills, and a willingness to adapt help both parties feel heard and valued, even when
adjustments are needed.

Overall Impact:

These competencies contribute to a stronger and more fulfilling psychological contract in several ways:

 Increased trust and commitment: When both parties understand and respect each other's needs and

expectations, trust builds. This leads to a stronger commitment to the relationship and a willingness to
invest in its success.

 Improved communication and collaboration: Effective communication and collaboration require
understanding others' perspectives and managing emotions effectively. These competencies foster a

more open and productive work environment.

 Enhanced motivation and engagement: When employees feel valued and heard, they are more likely
to be motivated and engaged in their work. This leads to increased productivity and job satisfaction.

 Reduced conflict and turnover: By addressing challenges constructively and renegotiating the
contract as needed, conflicts are minimized, and employee turnover is reduced.

In conclusion, developing these four key competencies is crucial for both employees and employers to form

and manage strong psychological contracts. This ultimately leads to a more positive, productive, and rewarding
work experience for everyone involved.

Conclusion
The research unveils a captivating interplay between emotional intelligence (EI) and psychological contracts

within human resources. It reveals a multifaceted relationship where these concepts influence and shape each
other, impacting employee engagement and organizational success.

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