Many Industrial and organizational psychologists work as members of consulting business concerns which sell their services to companies. For one business, they may set up an employee selection program and for another they might recommend changes in the training program. For another they may analyse the problems of interpersonal relationships recurrently occurring and try to fix them, and then run programs to train the company management and employees in human relations skills. For yet another they may do research on client’s attitudes towards the company’s products.
This is a subfield of psychology in which the principles of psychology are extensively applied to practical problems of business and work. Even the research which is done regarding this sector is aimed at the solutions of particular practical problems at work. Aptitude tests are used to identify and analyse leadership potential within a candidate. Such tests measure the actual potential of capacity of a candidate rather than his actual achievements. Leadership plays an immense role when it comes to success and failure of a business organization or industrial unit. It is a common mistake that people often confuse leadership with the extraversion trait. Leadership is obviously hard to judge since it is not an objective entity.
A person who undertakes such psychological tests like the intelligence, aptitude and personality tests the stinky present himself before the organization which ultimately helps in the correct assessment of him. If a person truly has leadership qualities in himself the assessment bill distinctly identify his strength and also further training will enhance and develop the breakthrough leadership traits in him. Four functions such as leading a significant and possible change, leading a mass of people, being driven by results and building coalition along with 19 different other important competencies are taught to a plausible leader through efficient training programs. It also determines whether a leader will be democratic or autocratic that is, it identifies the leadership style of a person. How dominant the leader will be and hence to what extent he will fit for the role in the organization.
Hence it is needless to say that the tone of an organizational functioning is set by the quality of its leaders functioning at various levels today it is possible to spot out potential leaders and developed than for providing efficient leadership in the organizations. For this motivating the workers is a significant step to overcome. How to motivate people to work is one of the most crucial problems of industrial psychology. Motivation to work is influenced by numerous factors in the work situation. However by the proper study and control of these factors, it is not always difficult to motivate people.
Most industrial organizations are just structures possessing distinct characteristics like structures, size, and methods of communication, authority, and climate. These factors by their mutual interactions generate an atmosphere that eventually affects their overall functioning. Organizational psychology studies the impact of all these factors on the health, efficiency and well-being of the incumbents in the business organization. This it does by employing the concept of group dynamics.