collageAre you an international student? Are you interested in learning more about Business Psychology? Do you get overwhelmed by the amount of conflicting information you see online? If so, you need not search further because you will find the answer to that question in the article below.
To get more information on Business Psychology. You can also find up-to-date, related articles on Collegelearners.
The science of psychology is redefining what makes a successful workplace and helping to shape the technology that makes our lives easier.
What is Business Psychology?
The first thing to understand about business psychology is that it is a field known by a number of names. You might have heard it referred to as occupational psychology, organisational psychology, industrial psychology, or work psychology. Regardless of what term you prefer, business psychologists are experts who work in a wide array of areas relating to people, management and organisational change. Fields it influences include leadership development, executive coaching, recruitment and selection, personal development, performance management, team development, employee engagement and other wider organisational initiatives.
Before you choose to invest in the services of a business psychologist, you should first have a firm grasp of what one is, what they can offer and what benefits they can provide your company. This is what we aim to explore in this post.
Business psychology is the applied science of improving working life
According to the Association for Business Psychology (ABP), 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.”
Put simply, business psychology is an applied science which aims to explore how to make organisations — and the people who work within them — happier, more effective and productive. Business psychologists do this by employing a combination of psychological principles, methodical investigation and scientific research tools to study companies, employees and managers.
By doing so, business psychologists can help companies get to the bottom of what is and isn’t working within their organisations. They can then offer solutions to help push them forwards, towards success. As one research paper succinctly puts it, business psychologists operate as “teachers, researchers and consultants”.
Some essential goals and functions of business psychology are to:
- Create safe working environments
- Increase worker productivity and performance
- Improve onboarding
- Help organise and optimise a company’s management structure
How does business psychology work?
Practitioners of Business Psychology typically work in the following ways:
- They Advise: Business psychologists are independent professionals, who are employed to offer unbiased and objective data regarding people and workplace issues, such as employee engagement, succession planning and staff retention. Their advice will be based on years of research and scientific rigour.
- They Diagnose: Business psychologists will work towards diagnosing the issues at hand. They will make use of scientific tools, including psychometric tests, to give companies a more complete understanding. It should be noted that not all psychologists are truly unbiased in this area and are often contracted to use specific psychometric tools. Here at Davis Associates, though, we choose the best and most appropriate tools for the situation at hand.
- They Design: Business psychologists will design realistic and practical solutions to help overcome organisational challenges.
- They Deliver: Business psychologists can then put their solutions into practice, which is particularly helpful if the organisation in question is uncertain, unable or unqualified in how to implement them.
- They Evaluate: Finally, business psychologists can evaluate and measure the effectiveness of their solutions. This will be done in an objective and measurable way, so businesses can understand their return on investment.
What are the different areas of business psychology?
Business psychology is a field that touches on almost every aspect of the workplace and the people within it. Whilst there’s ongoing debate, the British Psychological Society defines 8 core areas, broken down into 4 generic categories of practice: the Work environment, the Individual, Organisational development and Training. Business psychology, and in particular Davis Associates, can help with the following:
- Competency-based psychometric and psychological assessment of individuals for selection and personal development.
- Executive coaching and mentoring.
- Bespoke design and delivery of Assessment centres and Development centres.
- 360-degree feedback and appraisal.
- Psychometric tests and Executive assessment.
- Job analysis and Competency-framework design.
- Soft-skills training and Leadership development.
- Meeting and Company day facilitation.
- Employee benchmarking and staff turnover analysis.
- Organisational due diligence and talent management audits.
- Redundancy coaching, Graduate employability and Career advice.
- Team building and Board Development.
- Employee engagement, satisfaction and other company surveys.
What benefits are to be gained from business psychology?
To answer this question, we can look to one particular study undertaken by the Division of Occupational Psychology (DOP) of the British Psychological Society. In this study, 36 UK companies took part in a web-based survey designed to investigate how they applied business psychology in their organisation, and the measurable results offered by business psychology.
The businesses surveyed found the use of business psychologists led to more effective recruitment, higher employee engagement, improved productivity and, therefore, greater financial performance. After employing the services of a business psychologist, they also found retention levels, morale and conflict resolution improved. One of the most obvious advantages offered by business psychology, in terms of visible return on investment, is better recruitment. This is with good reason; recruitment assessment can have far-reaching positive effects on your business, increasing the likelihood of hiring top performers and effectively saving you serious time and money.
How has Davis Associates helped its clients? And how could it help your business?
Here at Davis Associates, we’re proud to say we have helped clients across the globe achieve greater individual, team and organisational performance. We have a number of case studies to illustrate what we can do for you and your team.
During one partnership, with a leading pharmaceutical company, Davis Associates was hired to assess and develop its CEO and a number of other senior roles. After the success of this leadership development programme we were asked to help select a new Business Unit Director. The candidate required a particular mix of strategic insight, transformational leadership and people management capabilities. Working closely with the company we forged a strong understanding of it’s culture and team dynamics.
We completed a thorough job analysis, understanding the key behaviours needed for a candidate to bring success to the role, before then selecting an appropriate array of psychometric tools and exercises, to assess the candidate’s core drivers, skills and abilities. Given our independence, we were able to select the most appropriate psychometric instruments available, rather than relying on in-house tools.
It is important to note that we are not Recruitment Agents and don’t get involved in candidate searches or forwarding CVs. We believe this is important in order to remain critically objective and impartial in our candidate assessments.
The company was ultimately provided with a comprehensive, tailored report detailing each candidate’s strengths and limitations. The chosen candidate had an immediate positive impact on the organisation; over the course of their first year, they helped increase performance levels across their Division, driving significant financial growth and improved levels of employee engagement.
On another occasion, we were hired by a global leader in the technology industry to improve processes in relation to succession planning and leadership development. We were tasked with helping high-potential individuals identify and tackle any development needs in order to maximise their potential. We did this by developing a range of business simulation exercises, as part of a Development Centre, in order to draw out and assess critical leadership and behavioural competencies. This was combined with various psychometric tests, personality, motivation and emotional intelligence assessments in order to gain further insight into each individual’s natural style and potential.
Our efforts helped the company gain greater clarity for succession planning by considering various facets in people that they may not have been able to observe in their daily work. It proved to be very motivational to those involved, actively demonstrating that the organisation was taking a positive interest in their future. As part of a feedback and executive coaching process it gave them the opportunity to gain useful insights into their existing strengths and development needs, in the pursuit of improved effectiveness, performance and career advancement.
We take great pride in our work and have helped countless other companies improve existing processes and achieve greater individual, team and organisational performance. For further information and to discuss your particular needs with a member of our team, get in touch now and we’ll show you what business psychology can do for you.
Davis Associates is a team of Business Psychologists & HR consultants in Surrey (UK) who specialise in Recruitment assessment, Development, Organisational change and Career management services. Our mission is to help foster happier, healthier and more effective companies, where people can thrive, perform and live up to their potential.
The 5 Highest Paying Jobs You Can Get With A Psychology Degree
After high school, it seems that many students choose a business major simply because it’s ‘safe’ — in other words, a business degree is bound to be a lucrative one. While owning a tanning salon or working on Wall Street may allow for a life of luxury, there’s an even higher-paying and more rewarding option: a psychology degree.Some psychologists and psychiatrists have a salary large enough to afford a new car every year. A psychology degree can lead to many rewarding careers for people who want to do something that with have a positive impact (and possibly ripple effect) on others. Here are some of the highest paying jobs one can get with a psychology degree.
Child psychiatrist – $189,301 average
A child psychiatrist can make close to a half million dollars in just one year. The job requires the psychiatrist to treat mental, emotional, and behavioural disorders in kids ranging from ages as young as 2 or 3 to about 14 or 15. An advanced degree in psychology is required; the student must then move on to eight years of training. Four of those eight years would be at a psychiatric residency and the other four would be spent in medical school.
Engineering Psychologist – $108,348
The psychology of engineering studies human behaviour and capability in regards to technology. For example, some technology may frustrate and hinder some of its users when its initial purpose was to make life easier for those very people. Frustration using an ATM machine may leave the person blaming his or herself for their inability to operate it properly. However, it seems like today people are more and more willing (and eager) to blame the technology for the mistake before stopping to think if they might be doing something incorrectly. On a larger scale, engineering psychology students might get their degree in hopes of studying the effects and interactions with aviation technology or dangerous nuclear weapons. Overall system performance is also examined in hopes of improving the ways technology fits into our lives, aspiring to create a more user friendly and helpful experience.
Forensic Psychologist – $117,470 for top 10%
Pursuing a psychology degree is hard enough, but becoming one of the top forensic psychologists in the nation is a tedious battle. For the person who hates the grossly inaccurate joke that is CSI and loves real-life crime-solving, it can be a thrilling journey. Forensic psychologists first need a doctorate degree before taking on years of specific clinical experience. Forensic psychologists have a number of responsibilities. They evaluate criminals, interviewing them to decide whether or not they are fit to stand trial. Forensic psychologists also testify during the trial, whether it’s about their diagnoses of a suspect or victim’s mental state or to analyse behaviours. The federal government has the highest demand for forensic psychologists out of anywhere else, and employs over 5,000 of these psychologists with an average salary of $85,000 (09).
Be Dr. Phil – $80 million
This would be the most lucrative use of your psychology degree, but it’s impossible, so you should probably just get over it now. Famous in the 90s after appearing on Oprah, Dr. Phil’s career took off and he became one of the largest television personalities in America. He was already getting in trouble with the Texas State Board of Examiners of Psychologists for hiring a former patient, which the board said was inappropriate. Dr. Phil was criticised for his show but was allowed to continue broadcasting even after his psychology degree was retired because the board ruled that it was an entertainment show — not a psychology one. The trashiness of his show can support that statement; Dr. Phil was chastised by medical professionals and media alike when he randomly visited Britney Spears in her hospital room after she had a mental breakdown, hoping to convince her family to hold an “intervention” on his show.
Industrial-Organizational Psychologists – $102,570 average
That’s a mouthful. This psychology degree involves big business, which is always full of money that could be better used feeding all the starving and suffering people around the world. But this is America, where all is nothing and you’re nothing if you don’t have it all. Industrial organizational psychologists are responsible for using psychology to create business policies and better understand the way a successful business model works, considering the psychology of the personnel and the way in which they are treated. It may also involve employee screening (for jobs such as police officer, FBI, security officer or other job which requires the employee to carry a firearm). The psychologist may also work directly with employees to help improve the workplace and productivity.
Outpatient Care Center Psychologist
Psychologists who work in outpatient care centers make an average salary of $150,150, according to the Bureau of Labor Statistics (BLS). Psychologists who practice in an outpatient environment perform tasks like screening patients for depression, completing psychiatric evaluations and diagnostic tests, creating medication management strategies and counseling family members. Because of Affordable Care Act laws and regulations, there will be an increased demand for psychologists in outpatient care centers. Psychologists in outpatient care centers are required to have the same licenses and academic credentials as clinical psychologists. A Doctor of Psychology degree is the most common degree for clinical psychologists.
Industrial-Organizational Psychologist
Industrial-organizational psychologists use their academic and professional understanding of the concepts of psychology and human behavior to understand workplace efficiency and productivity. Corporations and businesses hire industrial-organizational psychologists to perform assessments and make recommendations about best practices on productivity, employee morale and work styles. Industrial-organizational psychologists make an average salary of $77,350 a year, which is higher than the average salary for all psychologists ($72,580). Generally, industrial-organizational psychologists need a master’s degree and not a doctorate.
Forensic Psychologist
Forensic psychologists work with judges, attorneys, crime victims, witnesses and other legal specialists within the criminal justice and legal systems to explain and analyze the psychological aspects of individual cases. They can testify in court as expert witnesses and help with family, civil and criminal casework. They must have a doctoral degree in psychology. Some forensic psychologists choose to pursue legal training as well. The average salary for forensic psychologists is around $61,500, according to PayScale. However, some of the highest salaries top $120,000.
Military Psychologist
A military psychologist works with other healthcare personnel to provide psychological and psychiatric treatment to service members and their families. Military psychologists can work with patient-service teams in military medical environments on bases, in combat or in any other military-related environment. Generally, military psychologists are also service members. They rank as officers because of their academic accomplishments. The American Psychological Association points out that the military offers incentives through its Health Professions Scholarship Program, which covers tuition, books and fees for the final two years of a doctoral program. The average salary for military psychologists depends on their rank, the branch of the military and their service record. In some cases, the salary is above $70,000.
Psychiatrist
Psychiatrists are physicians who specialize in mental health. Like any medical doctor, they diagnose and treat illness through different strategies. Psychiatrists prescribe medications for patients with a mental illness. Psychiatry is by far the best-paying psychology career. The average salary is $245,673, according to the BLS. Job growth for psychiatrists is expected to be 15 percent by 2024, which is much faster than the average for all occupations.
Education
The skills learned in an online B.A. Psychology program will give you a foundation in psychology to help you start your career in human services. The ability to understand others helps people become better communicators, leaders, and problem solvers – skills that transfer to virtually any industry. Graduates are prepared to pursue careers in multiple human service settings and/or obtain more education in an advanced degree program.
WHAT IS BUSINESS PSYCHOLOGY? WHY IS IT IMPORTANT? DEGREE, JOBS & SALARY
Business psychologists focus on studying the workplace and work on motivating employees and staff to improve working conditions in organisations and ensure a smooth day-to-day business.
You may be wondering, “What is business psychology?” “Why is it important? “What is a business psychologist?” “What can you do with a business psychology degree?” Well, technically there are many things that you can do with a Bachelor’s or Master’s degree in business psychology. Getting a degree in Business psychology is definitely worth it and it pays off in the long run, because of its diverse field and the various trendy career paths it opens up for you. In this article, we will discuss what business psychology is, why is it important, the different types of business psychology careers and career paths, the roles and responsibilities of business psychologists, business psychology degree programmes and what you learn in them.
Psychology vs. Business Psychology
At first, many people do not have a clear idea of what business psychology is. At parties, you’ll usually hear the following reaction: “What? You’re studying psychology? I’ll have to watch out for that! Can you look into my soul now? Do you want to treat me now and are you interested in my childhood?” The reason: Commonly, many people automatically understand ‘psychology’ to mean ‘clinical psychology,’ which actually deals with the diagnosis and treatment of mental illnesses, such as anxiety disorders or depression. But business psychology has little to do with this. In a completely different way, the latter focuses on organizations and economies and all the processes there that have to do with people and not with numbers. Let’s take a look at the exact meaning of business psychology.
What is business psychology?
Business Psychology (also referred to as organisational psychology) is defined as the practice of understanding and improving the working life of employees. It combines an understanding of the science of human behaviour with experience of the world of work to gain effective and sustainable performance for both individuals and organisations. What kind of environment do employees need for their optimal development? And how can teams be led effectively? The economy is one of the largest employers of business psychologists. With their specialist knowledge of psychological and economic interrelationships, they play a major role in helping companies to better understand their customers and employees, and in establishing a good working atmosphere.
What are business psychologists and what do they do?
A business psychologist examines employees and organisations with one goal in mind, which is improving the environment at work and increasing the productivity of employees. A business psychologist evaluates the company’s goals, work strategies, and employees in order to assess areas and tools for improvement.
Business psychologists use the aspects of business psychology first to analyse the issues within the company and then implement solutions accordingly. They use different ways and methods to collect information on employee behaviours, such as interviews, surveys, and polls.
They may also help human resource employees by assessing future candidates to ensure that they are the right fit for the role and the company and to pick the ones that share the same values, mission, and goals with the organisation. Depending on the company or the specific position, business psychologists may also support in developing leadership and training programmes, to help utilize the skills in the best possible way.
As a business psychologist you can expect any of the following tasks:
- Assist with employee hiring process
- Increase business efficiency
- Create a positive work environments
- Establish employee training and motivation
- Perform employee appraisals and evaluations
- Provide employee counseling
- Improve employee morale
- Organise and manage initiatives for the overall health and well-being of employees
- Improve organizational structure
- Provide leadership development
What can you do with a business psychology degree? 15 possible career paths!
Business psychology is still a relatively new & young field and is still unknown to the ‘masses’. However, business psychologists are some of the most sought-after professionals on the job market. What makes it also interesting is that business psychologists can also compete with ‘normal’ economists for positions in the personnel and marketing departments of big international corporations. The diverse and versatile nature of the currently offered business psychology degrees and majors enable students to cover a very broad range of topics including many aspects of psychology and multiple soft skills. It is therefore important for young business psychologists to know their own competencies well and to be able to present them. Those who know this and position themselves accordingly are often preferred to graduates of classic degree programs!
The two classic and most common career paths for business psychologists are human resources (which includes, for example, personnel development/selection, training, continuing education), and marketing (with the facets of market research, strategic marketing, advertising, and consumer analysis).
In general, large companies offer business psychologists far more opportunities than smaller ones. Mainly because large corporations deal with topics such as diversity management, corporate social responsibility, or change management, for which business psychologists are often needed. In addition, business psychologists could also be utilized in areas such as internationalization, intercultural cooperation, usability, or assistance.
Here are 15 careers to consider in business psychology
- Human Factors Specialist
- Industrial Counselor
- College Professor
- Human Resources Executive
- Market Research Analyst
- Marketing Executive
- Corporate Consultant
- Industrial-Organizational Psychologist
- Recruitment or Training Specialist
- Sales Representative
- Employee Retention Consultant
- Customer Relationship Specialist
- Professional Development Coach
- Customer Service Manager
- Change Management Specialist
How much does a business psychologist earn? What is the expected salary?
Business psychologists are increasingly in demand and companies are always on the lookout for them, especially in areas such as personnel development and market research.
Therefore, professionals with a bachelor’s or master’s degree in Business Psychology, have great chances of landing a lucrative well-paid job. The average starting salary for a business psychologist is 2500 euros per month. However, the compensation varies significantly depending on the industry, experience, and location. Someone with a few years experience can earn up to 3000 to 5000 euros per month. That amount can go up to 10,000 euros for managerial positions.
Important qualifications and soft skills for a future career in business psychology
Business psychologists play a crucial role in creating a more productive, positive workplace environment. Companies always look for graduates with good soft skills, i.e. people who can leverage a variety of skills – analytical, interpersonal, and critical thinking skills – people who are approachable and able to relate to others. It is precisely these competencies that make you stand out from the crowd.
What is a business psychology degree?
A business psychology degree is an interdisciplinary degree. It deals with two scientific fields and combines economic content with the components of psychology. The standard period of study for a Business Psychology degree at CBS International Business School in Germany is six semesters for an undergraduate degree and four-semester for a graduate one. A semester abroad is integrated into the programmes, and it can be spent at one of our more than one hundred partner universities abroad. You can find a list of our partner universities here. In addition, a mandatory internship of at least eight weeks is also an essential part of the programmes.
Study Business Psychology – What do you learn in a business psychology degree?
The components of the business psychology program vary from university to university. However, the basics are certainly the following:
Fundamentals in business administration
Introduction to Business Psychology
Marketing, sales, and consumer psychology
General Psychology and Research Methods
Human Resource Management
Communication and Management Competence
Soft skills in leadership and personnel selection
Basics in law
Languages
Basics in law
Languages
Basic psychological subjects such as
- Consumer Psychology
- Experimental Psychology
- Psychology in Digital Businesses
- Organisational Psychology
- Social Psychology & The Workplace
- Personality Psychology
- Neuropsychology & Biological Psychology
- Media Psychology
In addition to these business psychology courses, at CBS there are also business projects and business electives that you can individually choose in order to adapt your studies to your interests.
Why study business psychology? Is it worth it?
Studying business psychology allows students to broaden their horizons. It will give you a useful combination of business administration and psychology and thus valuable knowledge that many companies can use in today’s world. Students of business psychology also learn a method-oriented way of thinking, which pure business students lack.
How to become a business psychologist?
To become a business psychologist, you’ll need a bachelor’s degree, a master’s degree in business psychology, or a related field.
At CBS International Business School in Germany, we offer full-time English and German-taught undergraduate and graduate programmes in business psychology.
Psychology’s Impact
Psychology is critical to the workplace. It helps managers at all levels of organizations select, support, motivate and train employees. It also helps businesses design products, build better workspaces and foster healthy behavior.
Through their scientific research, psychologists are discovering new ways to increase productivity, identify training and development needs, and implement policies proven to attract and retain the best employees. By studying how people interact with technology and equipment, psychologists can help make these tools more user-friendly and prevent errors, whether we are using everyday products or life-critical technologies.
Subfields
Experimental psychologyExperimental psychologists use science to explore the processes behind human and animal behavior.
Human factors and engineering psychologyHuman factors and engineering psychologists strive to make everyday experiences easier, more comfortable, and less frustrating by applying the psychological science of human behavior to the products, systems, and devices we use every day.
Industrial and organizational psychologyIndustrial and organizational psychologists use science to study human behavior in organizations and the workplace.
Sport and performance psychologySport and performance psychologists use science to study human behavior and abilities in sport, exercise, and performance. They help people overcome psychological barriers that can impede their achievements and professional success.
6 Career Paths in Business Psychology
Business psychologists specialize in the study of the workplace and work to motivate employees, enhance working conditions, and ensure the smooth and successful running of a business.
By applying psychological principles to influence workplace behavior, a business psychologist aims to help organizations and employees to attain the highest performance and job satisfaction. They give counsel to business owners and employers on improved practices that make work performance better, including hiring practices, employee feedback, training, and management.
Generally, there are two kinds of business psychologists: a researcher and an advisor. Both may work as consultants or in-house staff. Analyzing people at all levels, the business psychologist generally works with the administration to evaluate corporate practices, individuals, and teams to create a healthy and productive work environment.
6 Career Paths in Business Psychology
Here are six interesting careers you could be qualified for with a degree in business psychology.
Industrial Counselor
An industrial counselor has the unique job of applying psychological principles to enhance both a business’s performance and its working environment. Designing better screening tools that allow hiring managers to select the best people to employ for different positions or tasks within the organization is also a function of this job description.
As an industrial counselor, the business psychologist will deal with problems in the workplace that adversely affect productivity and develop strategies for conflict resolution. Counselors will also help new employees acclimatize to their work environment.
Human Resource Executive
An excellent application of your business psychology degree is in the human resources domain. Human resource personnel tasks include employee performance evaluations, management functions (such as management development and employee training), consultation services, fair hiring practices, employee relations, employee personal development, as well as behavioral and organizational assessments.
Some other responsibilities include screening, interviewing, and hiring new employees, supervising timesheets, and addressing conflict amongst co-workers or between employee and management.
Marketing Executive
Your skills as a business psychologist can help you function effectively in the marketing sphere. By analyzing the consumers’ thought processes and purchasing trends, a business psychologist can help a company develop the best strategies to attract more customers. As you work to communicate the brand’s message in more creative ways, you will be directly involved in expanding its reach.
This role also helps in the design of fresh, creative advertising campaigns, marketing strategies, and, sometimes, even new products. The job of a psychology-trained marketing executive is to know what makes consumers tick and apply that to company strategy. With this lens, you can improve the messaging, products, and ultimately revenue of a company.
Corporate Consultant
Expertise in business psychology comes in handy when helping corporations improve performance and increase productivity. As a corporate consultant, the business psychologist analyzes the overall corporate body, or a department directly involved with productivity, to learn the possible problems and develop strategies for positive changes.
For example, if employees aren’t performing desirably, the business psychologist will need to figure out what is hampering their productivity and provide suitable solutions that result in a renewed desire for success and productivity in the corporation.
Human Factors Specialist
Human factors specialists develop products that are simpler to use by utilizing their understanding of how people learn and interact with their environment.
For example, a human factors specialist could work with designers and programmers to develop a website that is easy for everyone to interact with and enjoy. A business psychologist has the special skills it takes to understand what fonts, displays, colors, or features will be most effective in making the site attractive, enjoyable, and simple. They can also coordinate and advise a design team for the development of products and services.
College Professor
With a master’s degree or doctorate in business psychology, one can become a college professor teaching a variety of concentrations in the field, including classes in industrial-organizational psychology, organizational management, engineering psychology, consumer psychology, and industrial relations.
An educator shapes the next generation of business psychologists and may also supervise business-related research studies to expand and deepen the body knowledge of the field of business psychology.
Pursuing a Business Psychology Degree
To become a practicing business psychologist, you’ll need a bachelor’s degree, master’s degree, or a doctorate in business psychology or a related field.
The requirements for classifying yourself as a business psychologist vary in different states. It is essential to research the requirements in your state before enrolling in a business psychology training program. Almost all states require you to receive a license or certification before they allow you to practice psychology in any capacity within the state.
At The Chicago School, we offer a variety of programs allowing students to graduate with a Ph.D. in Business Psychology. These include both online and in-person programs, with tracks in either consulting or industrial and organizational business psychology:
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