Industrial-Organizational Psychology Basics: Learn It 1—What Is Industrial and Organizational Psychology?

  • Describe the field of industrial and organizational psychology
  • Describe the history of industrial and organizational psychology

Work takes up a major portion of adult life, shaping people’s health, relationships, identity, and daily routines. For example, U.S. full-time employed people averaged about 8.4 hours of work on weekdays they worked (American Time Use Survey, 2024 results).  Because work matters so much, it’s not surprising that there is an entire branch of psychology devoted to understanding how workplaces affect people—and how people affect workplaces.

industrial-organization psychology

Sometimes called workforce psychology, industrial and organizational (I-O) psychology is a branch of psychology that studies how human behavior and psychology affect work, and vice versa. It is the scientific study of working and the application of psychological principles to workplace issues facing individuals, teams, and organizations.[1]

Industrial and organizational psychologists work in four main contexts: academia, government, consulting firms, and business. Most I-O psychologists have a master’s or doctorate degree. 

Traditionally, I-O psychology is organized into several overlapping areas: industrial (personnel), organizational, human factors/engineering (ergonomics), occupational health psychology, and (more recently) humanitarian work psychology.

industrial psychology

Industrial psychology (also called personnel psychology) focuses on:

  • analyzing job requirements (job analysis)

  • recruiting and selecting employees

  • training and evaluating performance

  • improving hiring systems in ways that are fair and legally defensible

Because it deals directly with employee selection and evaluation, industrial psychology also pays close attention to issues of bias, discrimination, and equal opportunity—especially as organizations increasingly use digital assessments and algorithm-assisted screening tools.

Photograph A shows two people sitting across from one another and conversing. Photograph B shows a room full of people sitting in front of computers.
Figure 1. (a) Industrial psychology focuses on hiring and maintaining employees. (b) Organizational psychology is interested in employee relationships and organizational culture. (credit a: modification of work by Cory Zanker; credit b: modification of work by Vitor Lima)

organizational psychology

Organizational psychology examines how relationships and social systems at work affect both employees and organizational performance. Topics often include:

  • job satisfaction, motivation, and commitment

  • leadership and management

  • teamwork, communication, and conflict

  • organizational culture and norms

  • employee well-being, burnout, and psychological safety

  • workplace harassment and violence

For example, I-O psychologists have helped organizations understand how remote and hybrid work affects collaboration, belonging, and engagement—and how management practices matter as much as (or more than) location.

There is considerable overlap between the work of industrial-organizational psychologists and that of human resource managers or human resource officers who work for a company and manage the employees (their selection, training, legal concerns, etc.), but the HR manager is more likely to be directly concerned with day-to-day activities within the organization while the industrial-organizational psychologist is more likely to be a researcher or consultant looking at the big picture.

human factors psychology

Human factors psychology (often called ergonomics in Europe) studies how people interact with tools, technology, and work environments—and how to design those systems to improve:

  • efficiency and accuracy

  • safety and injury prevention

  • usability and accessibility

This can involve everyday work setups (desk, chair, keyboard) and complex environments (medical devices, aircraft controls, industrial dashboards). Since many people now work at least part-time from home, human factors questions also include the design of home workspaces, video meeting fatigue, and how digital tools shape attention and productivity.

The figure includes an illustration that shows a person seated at a desk. Measurements are provided showing the proper distance and angle from work equipment. The labels are as follows: Viewing distance from head to monitor should be 19–24 inches.” For the viewing angle, the eyes should be about level with the top of the screen. The chair should provide lumbar support for the lower back. The forearm and upper arm should be at a 90 degree angle, with wrists straight over the keyboard. The seat back angle should also be 90 degrees, as should the angle of the bend of the knees. The top of the knees should be between 23 and 28 inches from the floor. If this distance cannot be met due to short stature, a footrest should be used below the feet. The seat should have an adjustable height to help in posturing oneself according to these suggested angles and distances. The figure also includes three photos that show different workspaces. The first photo shows a man sitting on an exercise ball at a desk. The second photo shows a man standing at a desk. The third photo shows a man riding a stationary bicycle at his desk.
Figure 2. Human factors psychology is the study of interactions between humans, tools, and work systems. (a) At a traditional desk, certain positioning is ideal for ergonomics and health. (b) Recent developments in workspaces include desks where people might sit on a ball, stand, or even cycle while working. (credit “ball chair”: modification of work by Chris Rosario; credit “standing desk”: modification of work by “juhansonin_Flickr”/Flickr; credit “cycle desk”: modification of work by “Benny Wong_Flickr”/Flickr)
Find out what I-O psychologists do on the Society for Industrial and Organizational Psychology (SIOP) website—a professional organization for people working in the discipline. This site also offers several I-O psychologist profiles. You can also visit Psychology.org to learn more about what it takes to become an I-O psychologist.

occupational health psychology

Occupational health psychology (OHP) focuses on how work affects employee health—especially stress, burnout, injury, and illness—and how to improve quality of work life. OHP draws from psychology, medicine, public health, human factors, and organizational research. Its goal is to support healthier employees and healthier organizations. 

The responses for employees are not limited to the workplace as there may be some spillover into their personal lives outside of work, especially if there is not good work-life balance. The ultimate goal of an occupational health psychologist is to improve the overall health and well-being of an individual, and, as a result, increase the overall health of the organization (Society for Occupational Health Psychology, 2020).

In 2009, the field of humanitarian work psychology was developed as the brainchild of a small group of I-O psychologists who met at a conference.

humanitarian work psychology

Humanitarian work psychology (HWP) is a newer area within I-O psychology that applies workplace science to humanitarian goals—for example:

  • supporting employment access for marginalized or displaced populations

  • building job-related knowledge, skills, and abilities (KSAs)

  • improving workforce systems during crises (natural disasters, public health emergencies, economic instability)

The table below summarizes the main fields in I-O psychology, their focuses, and jobs within each field.

Field of I-O Psychology Description Types of Jobs
Industrial Psychology

 

It focuses on the analysis of jobs; recruitment, selection, and training of employees; and evaluation of performance in the workplace.

Specializes and focuses on the retention of employees and hiring practices to ensure the least number of firings and the greatest number of hirings relative to the organization’s size.

Personnel analyst, instructional designer, professor, research analyst; a close partner of human resource managers
Organizational Psychology

Works with the relationships that employees develop with their organizations and conversely that their organization develops with them. In addition, studies the relationships that develop between co-workers and how that is influenced by organizational norms.

Major areas of study within organizational psychology include employee attitudes, worker health and safety, motivation, and teamwork and leadership.

HR research specialist, professor, project consultant, personnel psychologist, test developer, training developer, leadership developer, talent developer
Human Factors and Engineering Researches advances and changes in technology in an effort to improve the way technology is used by consumers, whether with consumer products, technologies, transportation, work environments, or communications. Seeks to be better able to predict the ways in which people can and will utilize technology and products in an effort to provide improved safety and reliability. Professor, ergonomist, safety scientist, project consultant, inspector, research scientist, marketer, product development
Occupational Health Psychology Concerned with the overall well-being of both employees and organizations. Occupational therapist, research scientist, consultant, human resources (HR) specialist, professor
Humanitarian Work Psychology Works to improve the conditions of individuals who have faced serious disaster or who are part of an underserved population. Focuses on labor relations, enhancing public health services, effects on populations due to climate change, recession, and diseases. Professor, instructional designer, research scientist, counselor, consultant, product manager, senior response officer

  1. Industrial-Organizational Psychology. (2018, August 28). Retrieved from https://www.siop.org/Events-Education/Educators/Incorporating-I-O