Locus of Control

Conceptual Overview

The Internal-External Locus of Control Scale (I-E) forces choices between statements conveying internal locus of control and those conveying external locus of control. People with a strong internal locus of control believe they have a command over their environment. They see a reasonable chance of success and are not troubled by change. Even if change is seen as arising from external causes, they believe they can influence the impact of change and feel confident with their coping skills. Those with a strong external locus of [Page 828]control are more inclined to believe that success arises from luck, accident, or coincidence. Psychologists expect a person's locus of control, or general outlook on life, to play a primary function in developing his or her conception of self. Links have been found between locus of control and behavior patterns in a number of different areas. The Locus of Control Scale, which has a more economic perspective than the I-E, was developed by Spector to assess behavior in employment and organizational situations.

According to Jungian psychological theory, information is received and processed differently by individuals with different personality temperaments. Personality types have been linked to decision making and are correlated with the social dimension of market exchange as noted by Wright, Kacmar, McMahan, and Deleeuw. Determining people's personality types gives some insight into how they will react in certain situations; how their temperament, character, and personality are configured; and how they are predisposed to certain actions and attitudes. An individual's personality determines communication practices, through which individual needs are shaped and decisions are made.

Critical Commentary and Future Directions

In a review of more than 40 years of research, at least 4,600 citations of the term locus of control have appeared in the social and psychological literature. Clearly, the construct has drawn a great deal of research interest. Rotter notes that in American culture, internal locus of control is associated with the most successful managers, and research points to the same conclusion, in that people are handicapped by an external locus of control.

Research on managers high in external control suggests that they are more alienated from their work environment than internals, are less satisfied with their work, and experience more job strain and less position mobility than do high internals. Similarly, high externals tend to perform less effectively under stress than high internals. Externals are also less likely to pursue entrepreneurial activities than internals.

Other studies point to similar results. For example, Hammer and Vardi noted that externals are less active in taking charge of their own careers than internals. As noted by Orpen, externals tend to have lower levels of job involvement than internals, and externals are less satisfied with a participative management style than are internals. However, high externals are more likely to help provide structure and role clarification and to show consideration for others than are high internals. Similarly, high externals are more likely to follow directions from leaders and are more accurate in processing feedback about successes and failures than are internals. Externals have less difficulty making decisions with serious consequences for someone else than internals do.

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