1. The Psychological Contract of Hungarian Higher Education Students
László Horváth
Eötvös Loránd University, Institute of Education, Hungary
Oxford Education Research Symposium
7-9th December 2016, Oxford

2. The psychological contract approach
Organizational psychology
Organizational behaviour
Social Exchange Theory
The psychological contract approach
‘An individual’s beliefs regarding the terms and conditions of a reciprocal exchange agreement between that focal person and another party.’
The beliefs constituting the psychological contract
The implicit nature of psychological contracts
The subjective nature of the psychological contract
Perceived agreement — not actual agreement—is necessary for psychological contracts
The psychological contract is about exchange
The psychological contract is the entire set of an employee’s beliefs regarding the ongoing exchange relationship with his/her employer
The parties to the psychological contract
The psychological contract is shaped by the organization
(Rousseau, 1989:123; Conway & Briner, 2005:22-23.)

3. Rajasekhar, Muninarayanappa & Reddy (2009)
The design of the study
Service-marketing approach (higher education as service)
Focusing on Gap 5 as psychological contract breach
Expectations, fulfillment, obligations, student role metaphor, other
Process
Internal Customer
External Customer
Teaching
Faculty
Student
Learning
Employer
Research
Society/ Government
(Pereira & da Silva, 2003)

4. Expectations Obligations
Factor analysis
Expectations
Need for personalization
Need for development in soft skills
Need for competent teachers
Need for labour market preparedness
Need for support
Need for flexibility
Obligations
Obligation of performance and activity
Obligation of preciseness and punctuality
Obligation of obedience and respect
KMO=0,824
Bartlett-test: χ2(55)=920,662; p<0,001
Maximum Likelihood extraction
Varimax rotation
3 factor; TVE=41,749%
Goodness-of-fit: χ2(25)=72,420; p<0,001
KMO=0,779
Bartlett-test: χ2(190)=1524,584; p<0,001
Maximum Likelihood extraction
Varimax rotation
6 factor; TVE=39,959%
Goodness-of-fit: χ2(85)=142,855; p<0,001
(Davies, 2002; Kandiko - Mawer, 2013; Tan - Kek, 2004; Eagle - Brennan, 2007; Pereira - da Silva, 2003; Rajasekhar - Muninarayanappa - Reddy, 2009; Nordensvärd, 2011; Pietersen, 2014)

5. Hierarchical Cluster Analysis (Ward-method): 6 clusters
Segmentation
Hierarchical Cluster Analysis (Ward-method): 6 clusters
Based on the six expectation factor score
Differentiating customer needs! (marketing strategy)
Personas:
Outcome-centred Olivia (N=126)
Teacher-centred Tom (N=28)
Learner-centred Lois (N=79)
Learning-centred Lily (N=51)
Content-centred Carl (N=37)
Self-centred Sean (N=23)

6. 🏈 📖 1 Outcome-oriented Olivia Dominant form of study full-time
Dominant form of financing
state-financed
Dominant gender
female
Participation in talent management no
Outcome-oriented Olivia 🏈 📖 1
PSYCHOLOGICAL CONTRACT
NEEDS
OBLIGATIONS
MOST IMPORTANT
Development in soft skills
Preciseness and punctuality
LEAST IMPORTANT
Flexibility
Performance and activity
Overall ROI
Lowest
Low
Average
High
Highest
Overall satisfaction
CONSUMER

7. 2 Teacher-centred Tom Dominant form of study part-time
Dominant form of financing
state-financed
Dominant gender
male
Participation in talent management
yes
Teacher-centred Tom 2
PSYCHOLOGICAL CONTRACT
NEEDS
OBLIGATIONS
MOST IMPORTANT
Competent teachers
Obidience and respect
LEAST IMPORTANT
Labour market preperadness
Performance and activity
Overall ROI
Lowest
Low
Average
High
Highest
Overall satisfaction
COMMODITY

8. 🎨 3 Learner-centred Lois Dominant form of study full-time
Dominant form of financing
state-financed
Dominant gender
female
Participation in talent management no
Learner-centred Lois 🎨 3 -
PSYCHOLOGICAL CONTRACT
NEEDS
OBLIGATIONS
MOST IMPORTANT
Development in soft skills
Obidience and respect
LEAST IMPORTANT
Flexibility
Preciseness and punctuality
Overall ROI
Lowest
Low
Average
High
Highest
Overall satisfaction
MANAGER

9. 4 Learning-centred Lily Dominant form of study part-time
Dominant form of financing
state-financed
Dominant gender
female
Participation in talent management
yes
Learning-centred Lily 4
PSYCHOLOGICAL CONTRACT
NEEDS
OBLIGATIONS
MOST IMPORTANT
Personalization
Performance and activity
LEAST IMPORTANT
Labour market preperaddness
Obidience and respect
Overall ROI
Lowest
Low
Average
High
Highest
Overall satisfaction
COMMODITY

10. 5 Content-centred Carl Dominant form of study full-time
Dominant form of financing
self-financed
Dominant gender
male
Participation in talent management no
Content-centred Carl 5 -
PSYCHOLOGICAL CONTRACT
NEEDS
OBLIGATIONS
MOST IMPORTANT
Flexibility
Preciseness and punctuality
LEAST IMPORTANT
Personalization
Performance and activity
Overall ROI
Lowest
Low
Average
High
Highest
Overall satisfaction
MANAGER

11. 6 Self-centred Sean Dominant form of study part-time
Dominant form of financing
self-financed
Dominant gender
male
Participation in talent management no
Self-centred Sean 6
PSYCHOLOGICAL CONTRACT
NEEDS
OBLIGATIONS
MOST IMPORTANT
Flexibility -
LEAST IMPORTANT
Support
Obidience and respect
Overall ROI
Lowest
Low
Average
High
Highest
Overall satisfaction
COMMODITY

12. Implications
potentially harmful psychological contract of fee-paying students
need for customer segmentation in delivering teaching and learning (institutional level analysis)
need for conscious marketing activity (encourage market research, developing upward communication, strengthening relational focus, raising the quality of the service)  7P of educational service marketing (Rajasekhar - Muninarayanappa - Reddy, 2009)

13. Thank you for your attention!
László Horváth
Eötvös Loránd University, Institute of Education, Hungary

14. References
Conway, N. – Briner, R. B. (2005): Understanding Psychological Contract at Work. A Critical Evaluation of Theory and Research. Oxford University Press, Oxford.
Davies, S. (2002): Marketing in Higher Education: Matching Promises and Reality to Expectations. In: OECD (eds.): Responding to Student Expectations. OECD, Paris, 152 p., p.
Eagle, L. - Brennan, R. (2007): Are students customers? TQM and marketing perspectives. Quality Assurance in Education. 1:44-60.
Kandiko, C. B. - Mawer, M. (2013). Student Expectations and Perceptions of Higher Education. King’s Learning Institute, London, 82 p.
Nordensvärd, J. (2011): The consumer metaphor versus the citizen metaphor: different sets of roles for students. In: Molesworth, M. - Scullion, R. - Nixon, E. (szerk.): The Marketisation of Higher Education and the Student as Consumer. Routledge, London, 264 p., p.
Pereira, M. A. C. – da Silva, M. T. (2003): A Key Question for Higher Education: Who are the customers? Proceedings of the 31st Annual Conference of the Production and Operations Management Society, April 4-7, 2003, Atlanta, GE.
Pietersen, C. (2014): Negotiating a Shared Psychological Contract with Students. Mediterranean Journal of Social Sciences, 7:25-33.
Rajasekhar, M. - Muninarayanappa, M. - Reddy, S. V. S. (2009): The GAP Model Analysis of Service Quality in Indian Higher Education. Asia-Pacific Journal of Social Sciences, 2:
Rousseau, D. M. (1989): Psychological and implied contracts in organizations. Employee Responsibilities and Rights Journal, 2,
Tan, K. C. - Kek, S. W. (2004): Service Quality in Higher Education Using an Enhanced SERVQUAL Approach. Quality in Higher Education, 1:17-24.