What phenomenon describes improved morale and productivity due to employees feeling cared for by management?

The Hawthorne effect refers to a phenomenon observed in social science and industrial psychology where individuals modify their behavior in response to being observed or receiving attention from management or researchers. Specifically, when employees feel cared for and recognize that management is taking an interest in their welfare and productivity, it often leads to improved morale and increased productivity. This effect was originally identified during studies at the Hawthorne Works plant in the 1920s and 1930s, where researchers found that various environmental changes led to increases in worker output, primarily because workers felt valued and more engaged in their work.

The significance of this phenomenon lies in the understanding that employees are motivated not just by tangible rewards, but also by social and emotional factors, such as feeling recognized and appreciated. This understanding is crucial for effective management and organizational culture, as it highlights the importance of employee well-being and the relational aspects of the workplace.