1.1 Introduction

The aim of this paper is to discuss and analyze the cause and impact of locus of control personally and in the organization.
Within psychology, Locus of Control (LOC) is considered to be an important aspect of personality. The concept was developed originally Julian B. Rotter in the 1950s (Rotter, 1966), an American psychologist, as he defined LOC as “Generalized belief that a person can or cannot control his own destiny or a person’s perspective on the events whether he able to control behavior that happened to him or not.”

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1.2 Types of Locus of Control
There are mainly two types of basic Locus of Control (LOC) are Internal Locus of Control and External Locus and Control. People with Internal LOC believe that he or she can influence events and their outcomes, whereas people with External LOC blames outside forces for everything.
Another type of control that contains a mix of internal and external types is referred as Bi-locals. People who have Bi-local characteristics are known to be able to cope and handle their stress and diseases more efficiently. Also, they could take better personal responsibility of their actions and thus

1.3 Causes of Locus of Control
Main factors which heavily affect the development of Locus of control in people are education, age, cultural background, ethnicity, gender and health (mental and physical).
Education – more education generally leads to increases in internal locus of control.
This can be proofed by the statement cited by Kirkpatrick, Stant, & Downes, 2008, p. 486: “High scoring students identify effort and ability as causes of their success, whereas those performing poorly are more likely to cite test difficulty and bad luck as causes”.
And as cited in Grimes, Millea, & Woodruff, 2004, para. 8: “Students with internal locus of control are more likely to process information with “deep or strategic learning approaches”.

Age – Age has a strong relationship with locus of control.
Schieman S. (2001), determined that an individual’s locus of control morphs as they age: as an individual gets older, they lose their sense of control.
He suggests that retirement, widowing, and deteriorating health all contribute to a low sense of control, whereas education, marriage, financial satisfaction, and religious association can all help maintain an internal locus of control.

Cultural Background and Ethnicity – Both can also contribute to one’s locus of control, as Lefcourt pointed out in 1982 that,
“Minority groups who do not enjoy as much access to opportunity as do the predominant Caucasian groups in North American society, are often found to hold fatalistic, external control beliefs.”
Gender – Woman are less likely to posses an internal locus of control than men.
However, the gender gap in regards to locus of control is changing:
As according to Slagsvold, B. ; Sorensen, A. (2008), “As gender inequality in education and life chances decline, we should expect to see gender difference in sense of control to decline as well, because women’s and men’s life courses are converging.”

Health (Mental ; Physical) – There is also a direct relationship between an individual’s locus of control and their health, both mental and physical.
A study determined that college students who experience “Severe stress make more behavioral attributions to chance,” meaning they possess an external locus of control. Overall, those with an external locus of control have a more difficult time dealing with stress, including the stress that develops as a result of deteriorating health, which can then lead to worsening health conditions (Lefcourt, 1982, p. 103).

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