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Earning a degree in industrial-organizational psychology

This article was updated on July 24, 2024.

Michael Feder

Written by Michael Feder

Kathryn Uhles

Reviewed by Kathryn Uhles, MIS, MSP, Dean, College of Business and IT

The silhouette of two brains in front of a business structure

To many people, earning a degree in psychology can help them learn to identify mental, psychological or emotional issues in individuals. However, that’s not the only path within the psychology field. Individuals earning a bachelor’s or master’s in psychology can also study and address organizational issues to promote employee well-being and improve performance. This is a field known as industrial-organizational psychology.

Read on to learn about industrial-organizational psychology careers.

What is industrial-organizational psychology? 

The describes industrial and organizational (IO) psychology as a branch that studies human behavior in organizations and workplaces. IO psychology helps organizations of all sizes improve their teams’ efficiency and productivity. Understanding IO psychology can also help improve your employees’ satisfaction, which can .

This field gained prominence after World War I and grew even more after World War II. Many businesses began to recognize the importance of psychological health among employees for productivity. Psychologists like incorporated aspects of social psychology and other behavioral sciences.

This development inspired several workplace changes. For example, by incorporating psychology into manufacturing, employers could provide their employees with equipment that was more psychologically and physically intuitive. This, in turn, helped boost productivity in some areas. 

Industrial and organizational psychology has several applications for the workplace and can greatly affect all aspects of the business. Most organizations — whether they know it or not — employ facets of IO psychology in these critical areas:

  • Recruitment and selection: Organizations use industrial-organizational psychology principles to develop effective hiring processes and select the best candidates.
  • Training and development: IO psychology is integral to designing training programs to enhance team members’ skills and influence their career development.
  • Performance management: Companies often use IO psychology best practices to create systems to evaluate and improve employee performance.
  • Employee well-being: An organization that focuses on employees’ well-being often promotes health and safety in (and out) of the workplace.
  • Leadership: Different leadership styles uniquely affect an organization’s success by understanding employee behaviors. Understanding how IO psychology influences those leadership styles is important.
  • Organizational culture: Companies can use IO psychology principles to analyze and shape their company culture, which can help them align better with their goals and values.

As companies continue emphasizing employee well-being and understanding how to retain talent, industrial-organizational psychology careers will play an integral role in organizations’ operations.

Let’s explore some career opportunities for those specializing in this field.

Industrial-organizational psychology careers

Industrial-organization psychology professionals can wear many hats, depending on their experience level and educational attainment. Many available jobs fall under the human resources umbrella and can include, but aren’t limited to, the following roles.

Training and development specialist 

Training and development specialists help build plans to improve employees’ knowledge and skills with comprehensive training. That includes developing and running those programs for their organizations. Their duties typically include designing and creating various materials, from online modules to print materials and manuals.

Most training and development specialists require a bachelor’s degree in business or related fields, including industrial-organizational psychology.

As of May 2023, training and development specialists earned between , with a median wage of $64,340, according to the U.S. Bureau of Labor Statistics (BLS). Salaries largely depend on experience, industry and level of education. BLS also projects employment of training and development specialists will grow by , which is faster than the average for all occupations.

Salary ranges are not specific to students or graduates of °®ÎŰ´«Ă˝. Actual outcomes vary based on multiple factors, including prior work experience, geographic location and other factors specific to the individual. °®ÎŰ´«Ă˝ does not guarantee employment, salary level or career advancement. BLS data is geographically based. Information for a specific state/city can be researched on the BLS website.

BLS Occupational Employment Projections, 2022-2032 is published by the U.S. Bureau of Labor Statistics. This data reflects BLS’ projections of national (not local) conditions. These data points are not specific to °®ÎŰ´«Ă˝ students or graduates.

Human resources specialist 

play an integral role in the hiring and onboarding process. They often screen and recruit applicants. In many cases, they may handle benefits, training and retention. HR specialists often have training in all disciplines that relate to human resources. Their roles can vary based on the organization’s size and scope.

As of May 2023, annual pay for human resource specialists ranged between , with a median wage of $67,650, according to BLS. Government workers earn the most, followed closely by professional and technical services workers. In addition to their salaries, HR specialists are projected to see in the number of available positions between 2022 and 2032.

Program manager 

Think of a program manager as someone who strategically implements and supports tasks that align with a business’s strategies or goals. Most of a program manager’s work involves high levels of coordination and task delegation. In some respects, it’s a job that involves and development of programs and projects, but it also requires much of the work that industrial-organizational psychology supports.

BLS does not offer program manager-specific salaries or projected employment statistics for the next decade. But if we look at project management specialists, you might infer similarities: In May 2023, project managers earned between , with a median wage of $98,580, according to BLS. The job outlook has a between 2022 and 2032.

Employee development specialist 

Employee development specialists, like training and development specialists, focus on enhancing employees’ skills and capabilities. However, their roles and areas of emphasis differ.

While training and development specialists often focus on skill acquisition, instructional design and onboarding, employee development specialists concentrate on employee behaviors and long-term career development. They typically facilitate coaching and mentoring programs to help employees achieve professional aspirations. Their role usually emphasizes the enhancement of interpersonal communication and other soft skills.

Personnel analyst 

Personnel analysts are an integral part of the HR puzzle because they help determine how organizations can best leverage their employees. They are often responsible for contributing to the development of procedures and processes for policies and regulations, payroll and equal employment opportunities.

Personnel analysts may have a including industrial-organizational psychology. Sometimes, companies may prefer their candidates to have a master’s degree and relevant job experience.

BLS does not provide specific salary data for personnel analysts.

What does an industrial-organizational psychologist do? 

An industrial-organizational psychologist applies psychological theories and practices to solve workplace problems related to employee behavior or organizational structure. They often conduct research, develop training programs and improve hiring processes. Other duties include enhancing workplace productivity and helping build a positive organizational culture.

Individuals who pursue a bachelor’s or master’s degree in organizational psychology may have the opportunity to join professional organizations like the  (SIOP). SIOP’s members give presentations to companies and organizations about their research methods and workplace organization structures and advise on best practices for running effective and regulation-compliant human resources departments.

Get started with your industrial-organizational psychology degree 

An industrial-organizational psychology program or other online psychology degrees can provide a strong foundation for a human resources role that not only helps organizations thrive but also focuses on improving the skills and careers of others. If you’re someone with a keen interest in influencing how people impact their organizations, consider pursuing this path. °®ÎŰ´«Ă˝ pairs flexible, online learning with career-relevant skills. Check out the industrial-organizational degrees offered:

To learn more about admissions requirements, program benefits or potential careers, request more information today.

FAQ: Industrial-organizational psychology careers 

Q: How does IO psychology differ from other types of psychology? 

A: Industrial-organizational psychology focuses on human behavior in workplace settings and applies psychological principles to improve an organization’s efficiency and employee well-being. Unlike clinical or counseling psychology, which addresses individual mental health issues, IO psychology deals with group dynamics, employee performance and organizational development.

Q: What are the key fields of IO psychology? 

A: IO psychology’s primary fields include:

  • Personnel psychology (recruiting, selection, training and performance appraisal)
  • Organizational psychology, which focuses on change management
  • Work motivation and job satisfaction
  • Human factors and ergonomics

Q: What topics are covered in an industrial-organizational program?

A: Students learn more than just general psychology. Courses also dive into the following topics:

  • Group dynamics
  • Organizational cultures
  • Innovative leadership
  • Social psychology
Headshot of Michael Feder

ABOUT THE AUTHOR

A graduate of Johns Hopkins University and its Writing Seminars program and winner of the Stephen A. Dixon Literary Prize, Michael Feder brings an eye for detail and a passion for research to every article he writes. His academic and professional background includes experience in marketing, content development, script writing and SEO. Today, he works as a multimedia specialist at °®ÎŰ´«Ă˝ where he covers a variety of topics ranging from healthcare to IT.

Headshot of Kathryn Uhles

ABOUT THE REVIEWER

Currently Dean of the College of Business and Information Technology, Kathryn Uhles has served °®ÎŰ´«Ă˝ in a variety of roles since 2006. Prior to joining °®ÎŰ´«Ă˝, Kathryn taught fifth grade to underprivileged youth in °®ÎŰ´«Ă˝.

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