The Employee Experience

APPENDIXComparing the Three Contracts: Brand, Transactional, and Psychological

Brand Contract	Transactional Contract	Psychological Contract
Both intentionally and unintentionally generated; while we may want to be in control of this, we often are not Image-focused; based primarily on perception Can be greatly influenced by others who are not part of the relationship Fluid and changing, can swing based on the involvement and input of others Relies heavily on the past; little intentional anticipatory effect (not intended to anticipate future potential actions) Is often developed before the formal relationship begins Is the reason why we are attracted by and to the relationship Adjusted based on ongoing experiences; all parties expect this contract to be renegotiated over time	Focused on short-term exchanges and specific cases; quid-pro-quo Explicit (but not always written); agreed upon by all parties with an attempt to minimize misinterpretation Promissory: Based on an exchange of reciprocal bilateral commitments Compliance-focused; breaches are closely monitored by both sides The default setting: If there is ever a problem, we revert back to the transactional contact Intended to bind parties together through preserving mutual interests Inclusive: Considers both parties’ wants and needs Intentional, tangible, and quantifiable Emphasizes fairness of the procedural outcome and equality Breaches are mutually understood and identifiable; renegotiated through agreement ...