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This article was automatically translated from the original Turkish version.

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The Effect of Psychology on Work Performance

Psychology, as a science discipline that examines the mental processes underlying human behavior, plays a critical role in understanding workforce dynamics. Industrial and organizational psychology developed in the early 20th century through a process initiated by Frederick Taylor’s theory of “Scientific Management” to optimize employee productivity and motivation. Today, psychological factors exert influence across a broad spectrum including employee performance and leadership styles.


In the workplace context, psychology shapes not only individual behaviors but also team dynamics organizational culture and even global business trends. For instance, the Hawthorne Studies (1924–1932) laid the foundation for human relations management approaches by revealing the impact of employees’ social needs on productivity. Recent research emphasizes that psychological well-being directly affects employees’ creativity creativity decision making problem-solving and problem collaboration skills. Therefore, it is essential for employers to adopt policies that support employees’ mental health to achieve sustainable success.


Happiness and Productivity in the Workplace: Theories and Applications


The relationship between happiness and productivity has been extensively studied in the field of positive psychology. Fredrickson’s “Broaden and Build” theory (2001) posits that positive emotions enhance individuals’ cognitive flexibility enabling them to generate innovative solutions. This theory explains why employees in roles requiring creativity such as software development or marketing are more happy productive when they experience positive emotions.


Case Example: Google’s “Project Oxygen”

Google’s “Project Oxygen” launched in 2008 is a program designed to enhance employee happiness by training managers in coaching skills. According to Google’s 2020 report as a result of this program inter-team collaboration increased by 37 percent and project delivery times were shortened (Google People Analytics 2020).


Example from Türkiye: Turkcell Akademi

Turkcell’s “İyi ki” program initiated in 2019 is a comprehensive initiative aimed at increasing employee happiness. Through the implementation of awareness training programs and flexible working models employee engagement increased by 25 percent (Turkcell Sustainability Report 2021).


Industry Differences:


- Creative Industries: Autonomy and flexible working hours enhance happiness in design and advertising like fields.

- Production Industry: Physical safety and just fee policies are prioritized.

- Technology Industry: Continuous learning opportunities and participation in innovative projects boost motivation.


Measurement Methods:


- Gallup’s Q12 Survey: Evaluates employee engagement through 12 questions.

- Oxford Happiness Scale: Analyzes emotional and cognitive well-being.

- Türkiye Statistical Institute (TÜİK) Life Satisfaction Survey: Measures job satisfaction at the national level.


Causes of Unhappiness: Individual and Organizational Factors


Workplace unhappiness is linked not only to external factors but also to individuals’ personality traits. According to the Five-Factor Personality Model individuals with high neuroticism are more vulnerable under stressful conditions.


External Factors:


- Time Pressure: The widespread adoption of Agile methodologies has increased pressure on software developers to meet fast delivery cycles.

- Harmful Leadership: Excessive control and a consistently critical approach undermine employee self-confidence.


Internal Factors:


- Perfectionism: Fear of making mistakes reduces job satisfaction.

- Work-Life Imbalance: The blurring of boundaries during remote work periods triggers burnout.


Consequences:


- Presenteeism: Working with low motivation can reduce productivity by up to 60 percent (Harvard Business Review 2023).

- Social Isolation: In particular in karma work models some employees may lose a sense of affiliation belonging.


Medicalization and Alternative Solutions


As Dworkin (2001) noted treating unhappiness as a pathological condition can lead individuals to become dependent on medication. According to the 2023 report of the Türkiye Medicines and Medical Devices Agency antidepressant use increased by 65 percent between 2010 and 2022. However alternative approaches exist for building psychological resilience to develop:


Mindfulness Programs:


Microsoft’s “Mindfulness Mondays” initiative according to a 2022 study by independent researchers reduced employees’ stress stress levels by 30 percent (Jensen et al. 2022).


Coaching and Mentoring:


IBM’s mentoring programs implemented between 2020 and 2022 doubled the rate at which female employees advanced into leadership positions (IBM Diversity Report 2023).


Psychological Safety:


Amy Edmondson’s research demonstrates that teams without fear of making mistakes have higher innovation capacity.


Management Strategies: Global and Local Examples


A) Flexible Work Models:


- Spotify’s “Work From Anywhere” Policy: Achieved a 20 percent lower turnover rate.

- Anatolia Group’s “Hybrid+” model: Observed a 15 percent increase in work productivity.


B) Psychological Support Mechanisms:


- Salesforce’s “Wellbeing Support” Program: Provides employees with an annual budget of $1200 for therapy and meditation applications.

- Ram Holding’s “Kindness Hali” program: Offers 24/7 psychological counseling services.


Applicable Solutions for SMEs:


1. Organize group therapy sessions

2. Establish discount agreements with local sports facilities to do

3. Implement flexible working hours to offer

4. Establish employee feedback notification systems


Post-Pandemic Period and New Dynamics


Following the COVID-19 pandemic significant important changes have occurred in the world of work:


1. Widespread adoption of hybrid work models

2. Increasing importance of Digital communication tools

3. Shifts in work-life balance expectations

4. Heightened awareness of mental health

Author Information

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Authorİsmail ÖzyurtDecember 24, 2025 at 7:35 AM

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Contents

  • Happiness and Productivity in the Workplace: Theories and Applications

    • Case Example: Google’s “Project Oxygen”

    • Example from Türkiye: Turkcell Akademi

    • Industry Differences:

    • Measurement Methods:

  • Causes of Unhappiness: Individual and Organizational Factors

    • External Factors:

    • Internal Factors:

    • Consequences:

  • Medicalization and Alternative Solutions

    • Mindfulness Programs:

    • Coaching and Mentoring:

    • Psychological Safety:

  • Management Strategies: Global and Local Examples

    • A) Flexible Work Models:

    • B) Psychological Support Mechanisms:

    • Applicable Solutions for SMEs:

  • Post-Pandemic Period and New Dynamics

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