Psychology of management

The main task of the Leader’s psychology of management
is 
the analysis of 
psychological conditions and peculiarities of a leader’s managerial activities in order to 
increase effectiveness and quality of work within a management system
. 
In essence, the psychology of management was called to solve the following two tasks: 
1) personnel selection for performing various functions and to math one another 
according to their individual traits; 
2) influencing employees’ psyche through stimulation. 
Considering the tasks of the “Leader’s Psychology of Management” in more detail they 
can be expressed in the following way: 
- Psychological analysis of an executive-leader’s activity – for correct performance of 
collective’s management and successful fulfillment of work activities an executive must be 
capable of realizing and analyzing his/her own actions depending on which correct managerial 
decisions will be taken in future; 
- Studying the mechanisms of making psychic adjustments of collective’s activity both in 
normal and extreme circumstances – studying all mechanisms of work activities will enhance 
correct decision-making both in normal and extreme conditions of an enterprise’s operation; 
- Research in leadership and its psychic peculiarities – this task is manifested in the 
research of leadership process in the course of which an individual personality influences the 
collective and organizes its activity. Executives must be characterized by distinctive leadership 
qualities in order to display an individual style in management of the working processes; 
- Development of psychological managerial guidelines on practical application of 
psychological knowledge in the sphere of management, conflict-solving, and psychological 
micro-climate regulation in an organization’s collectives – it is necessary to shape a stable 

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feeling of conviction in relation of the whole collective’s work and its type of behavior. The 
most important indicator of the attitude to work activity is the feeling of satisfaction with the job; 
- Studying the group interaction processes – quite often there can be seen arguments and 
disagreements, conflicts which subsequently are accompanied with painful affects and 
counteractions to common aims, interests, opinions, and positions. To eliminate or to control a 
conflict a manager must come up with a common goal and direct the collective on its 
accomplishment; explain the authority and responsibilities of every employee, etc. Thus, a 
manager must attain a stable microclimate within the collective in every possible way; 
- Research of ways and mechanisms to motivate employees – motivation is the scope of 
processes sustaining and directing the behaviors of organization’s employees. Motivational 
measures activate an employee’s personality and induce to gain the most significant aim. 
Without doubt, motivation must be held taking into consideration peculiarities in development of 
every individual personality, as well as by setting the goals which can be achieved by a particular 
personality. 
Leader’s management process is carried out in the course of an executive’s activity in 
which the following elements are singled out by psychology of management: 

diagnostics and prognostication of the state and changes in a managerial 
subsystem; 

creating a program of employees’ activity directed at changing the states of the 
controlled object in the preset direction; 

organizingthe execution of decision. 
In the executive-leader’s personality, psychology of management distinguishes his/her 
managerial needs and abilities as well as his/her individual managerial concept which includes 
ultimate objective, problem content, managerial concept, and inner, taken by the personality, 
principles and rules of management. 
Thus, knowledge of management’s regularities, of psychological peculiarities of a 
person’s behavior within an organization are viewed today as an intrinsic component of 
psychological managerial culture of a specialist-manager’s personality. 
A modern manager-leader’s activity directly depends on skillfuluse of human factor. An 
executive must possess certain managerial qualities to influence in a desired way both 
subordinate people and those who are not accountable to him/her, but on whom depends the 
functioning of the whole organization. 
A leader’s psychological knowledge enables him/her to better know and understand both 
himself/herself and other people, first of all employees. Knowledge of human psyche supposes 
identification and evaluation of human’s psychological qualities, state, directedness, relations, 
and peculiarities of cognitive, emotional, and volitional sphere. Psychological knowledge help 

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managers and entrepreneurs to better interact with people, establish psychological contact with 
them, exert influence on them if necessary, communicate with people effectively, guide the staff, 
train and educate young employees, establish a favorable microclimate in a collective, shape and 
develop positive motivation of work and creative activity.