ABSTRACT
Change is undeniable. One of those who cannot run from the change is the university. As an educational institution under the Ministry of Indonesia, there are many changes associated with the system of governance rules, remuneration system, leadership system, as well as the performance evaluation system in the organization. This study was conducted to examine whether the Psychological Contract (PC) can be managed to increase the organizational effectiveness. The PC is an individual’s belief regarding the terms and conditions of a reciprocal exchange agreement between that individual and another party. A PC emerges when one party believes that a promise of future return has been made, a contribution has been given, and thus an obligation has been created to provide future benefits. The study was conducted on 166 lecturers at the State University. The sampling technique is simple random sampling. Based on research, it is found that the PC mapping is a reciprocal relationship that occurs between lecturers and institutions. This gives the variation perception among lecturers towards the organization that affects their performance.
