The Benefits And Applications Of Business Psychology

In business, it’s important to get to know the work environment inside out, as well as all the different factors that come into play in it. That is why it is important to be aware of the capabilities of the work teams as well as the potential problems. These and other issues are addressed by corporate psychology.

This area of ​​psychology specializes in all factors that can influence the development of work tasks. It is also a branch of psychology that focuses on the study of human behavior at work. This can be done on an individual level as well as on a group level.

The goal is to correctly define all possible outcomes to improve the performance of the employees. Let’s take a closer look at this.

The Origins of Business Psychology

The first definition of business psychology appeared under the name industrial psychology. This area was mainly concerned with scientific work in Europe at the end of the 16th century.

In the book The Examination of the Ingenuities for the Sciences , written by Juan Huarte San Juan in 1575, you will find all the details about the origin of this field. Experts consider this to be the first piece of paper to deal effectively with corporate psychology.

Several centuries later, after World War II and the ensuing financial crisis that spread around the world, a new interest in corporate psychology emerged.

The main reason was the clear need for many companies to recover from these globally changing events. This was due to the consequences on both an economic and organizational level.

Let’s take the armed forces as an example. During the war, there was a great need for new recruits in the training camps who were able to develop advanced tasks at a technological level. All these people were assigned specific functions with this in mind.

After the war

However, after the war ended, all these former soldiers had to return to other jobs. The problems associated with rehabilitation led to increasing psychological problems and high unemployment.

To solve this labor crisis, the research conducted during those years helped to evolve the concept of industrial psychology into the field of business psychology as we know it today. This was due to the fact that their research and applications extended to all areas of the work environment, not just industrial.

One notable change was how the application of industrial psychology went from analyzing employee behavior at the individual level to studying their behavior in groups. It is in a corporate environment where you can conduct this type of group research effectively.

The Differences Between Business Psychology and HR

The field of business psychology should not be confused with the work of HR (Human Resources) in an organization. The first is a branch of psychology, and to practice it you need an appropriate education.

It is true that business psychology can include work related to HR. However, it also addresses factors such as motivation, stress, or culture.

It is not necessary to undergo psychological training to work in an HR department. There you will mainly have to deal with the preparation and analysis of budgets, personnel costs, contracts or legal issues. As a result, the knowledge you need is more related to economics and law than to psychology itself.

The Functions of Business Psychology

That said, business psychology can fulfill many functions within a company’s organization. To illustrate these tasks in more detail, we’ll break them down into the following areas:

• Personnel orientation. This may be the most important area within this branch of psychology. The main objectives are to plan the tasks of the work teams and clearly define their objectives.
• Personnel development. Another goal of corporate psychology is to get to know the needs of the employees when it comes to their training. In addition, you will have to implement the best solutions so that the company’s personnel can acquire all the necessary knowledge to do the job well. It will also help them progress in their position and develop new skills.

• marketing. This area consists of conducting surveys and working with group dynamics. In addition, it conducts research into the product or company image and the degree of acceptance by potential consumers.
• management. Finally, business psychology deals with the management and administrative tasks related to the company’s policy. These include the human resources policy and definition of responsibilities in each position. This branch of psychology aims to help companies manage the different work teams effectively.

Now you have learned a bit more about corporate psychology, and you may also be able to see this reflected in your employer.