Chapter7Trust,JusticeandEthics

Trust,Justice,andEthics
Anorganizationsreputationreflectsitsbrandtothepublic
Anorganizationsbrandmatterstopotentialconsumersandalsotoemployees
Reputationsdependonmanythingsthemostimportantistrust
TrustThewillingnesstobevulnerabletoatrusteebasedonpositiveexpectationsaboutthetrusteesactions
andintentions
o TheTrustee(manager,organization)istrustworthyandwillactinawaythatbenefitsthetrustor(employee,
customer)
o Trustisonlyanissuewhenanindividualisdependentonandvulnerabletotheactionsofanotherparty
o Ex.IfacustomertruststhequalityofaNikeshoe,thecustomeriswillingtoacceptconsequencesofpaying
moneyfortheshoes
o Trustisbeingabletotakearisk
Justicetheperceivedfairnessofanauthoritysdecisionmaking
o Whenemployeesperceivehighlevelsofjusticetheybelievedecisionoutcomesarefair
EthicsThedegreetowhichthebehaviorsofanauthorityareinaccordancewithgenerallyacceptedmoral
norms

Whyaresomeauthoritiesmoretrustedthanothers?
Trustisrootedindifferentkindsoffactors
o DispositionbasedTrustthatisrootedinonesownpersonality
Thishaslesstodowiththeauthorityandmorewiththetrustor
Sometrustorsarehighintrustpropensity
TrustpropensityAgeneralexpectationthatthewords,promises,andstatementsofindividualscan
bereliedupon
Theseindividualsaretrustingevenbeforeatrusteestrustworthinesshasbeenearned

Interactionswithstrangersledtovulnerability&blindtrust
SometimesyouarefooledintotrustingsomeoneORifyouhavelowtrustpropensityyoudonttrust
someonewhodeservesit
Trustpropensityisaproductofnature&nurtureandisshapedbyearlychildhood..themoreour
needsaremetaschildrenthemoretrustingwebecome
o CognitionbasedTrustthatisrootedinarationalassessmentoftheauthoritystrustworthiness
Indispositionbasedtrustwedonthavedataaboutaperson,butoncewegainknowledgewecan
seetheretrustworthiness
TrustworthinessCharacteristicsofapersonthatinspiretrust
Atthispoint,ourtrustisbasedonwhatwethinkabouttheauthorityNOTourpersonality
Cognitionbasedtrustisdrivenbytheauthoritystrackrecord
Ifgood,thenwecantrust.Ifnot,thendonttrustthem
Researchsuggestthatwemeasurethetracktherecordofanauthorityalongthreedimensions
Ability
o Theskills,competenciesandareasofexpertisethatenableanauthoritytobe
successfulinsomespecificareas
o Ex.YouwonttrustaDoctortobeyourmechanic
Benevolence
o Thebeliefthatanauthoritywantstodogoodforatrustor,apartfromanyselfishor
profitcenteredmotives
o Ex.Amentorgoesoutoftheirwaytobehelpful
Integrity
o Theperceptionthattheauthorityadherestoasetofvaluesandprinciplesthatthe
trustorfindsacceptable
Ifauthoritieshaveintegritytheyaresoundcharacterwithgoodintentions
Theydoastheysaytheywill

o AffectbasedTrustthatdependsonthefeelingstowardtheauthoritythatgobeyondanyrational
assessment
Affectbasedtrustismoreemotionalthanrational
Withaffectbasedtrust,wetrustbecausewehavefeelingsforthepersoninquestionwereallylike
themandhaveafondnessforthem
Wetrustthembecausewelikethem

Innewrelationships,trustdependsonourtrustpropensity.Inmostrelationships,knowledgeaboutability,
benevolence,orintegrity,atwhichpointcognitionbasedtrustdevelops,eventuallysupplementsthatpropensity.In
aselectfewofthoserelationships,anemotionalbonddevelopsandourfeelingsforthetrusteefurtherincreaseor
willingnesstoacceptvulnerability.
Dispositionbasedtrust,cognitionbasedtrust,andaffectbasedtrustprovidethreecompletelydifferentsourcesof
trustinaparticularauthority
o Indispositionbasedtrust:ourwillingnesstobevulnerablehaslittletodowithauthorityandmorewith
genesandourearlylifeexperience
o Inaffectbasedtrust:ourwillingnesstobevulnerablehaslittletodowitharationalassessmentofthe
authoritysandmoretodowithouremotionalfondnessfortheauthority
o InCognitionbasedtrust:weevaluatetheplusesandminusesofanauthority,intermsofitsability,
benevolenceandintegrity

Justice
o Justiceprovidesbehavioralevidence,becauseauthoritieswhotreatemployeesmorefairlyareusually
judgedtobemoretrustworthy
o Employeescanjudgethefairnessofanauthoritysdecisionmakingalongfourdimensions:
DistributiveJustice
Reflectstheperceivedfairnessofdecisionmakingoutcomes
Employeesmeasuredistributivejusticebyaskingwhetherdecisionoutcomes,suchaspay,
rewards,evaluations,promotionsandworkassignmentsareallocatedusingpropernorms
Inmorebusinesssituations,thepropernormisequitywithmoreoutcomesallocatedtothose
whocontributemoreinputs
Otherallocationnormsareappropriateinsituationswhereothergoalsarecriticalinteam
basedwork,buildingharmonyandsolidarityinworkgroupsareimportantsoequalitynorm
isimportant
ProceduralJustice
Reflectstheperceivedfairnessofdecisionmakingprocesses

Proceduraljusticeisfosteredwhenauthoritiesadheretorulesoffairprocess
o Givingemployeeavoiceorchangetoexpressopinions
o Providingemployeeswithachancetorequestachangewhensomethingdoesntwork
Proceduraljusticeisraisedwhen4rulesthatserveequalemploymentopportunityaredone:
o Consistency,Biassuppression,Representativeness,Accuracyrules
EnsuresthatproceduresareneutralNOTbiasedanddiscriminatory
Ex.Askingthesameinterviewquestionstoeveryone

o InterpersonalJustice
Reflectstheperceivedfairnessofthetreatmentreceivedbyemployeesfromauthorities
Proprietyrulewhetherauthoritiesrefrainfrommakingimproperoroffensiveremarks
Respectrulewhetherauthoritiestreatemployeesinasinceremanner
Interpersonalinjusticeoccurswhenauthorizesarerude&disrespectful.Leadstohostile
verbal&nonverbalbehavior,excludingphysicalcontact
Employeesthatareabusedhavemoreanxiety,strain&lesssatisfactionwithlife
o InformationalJustice
Reflectstheperceivedfairnessofthecommunicationprovidedtoemployeesfromauthorizes
Justificationrulemandatesthatauthoritiesexplaindecisionmakingproceduresandoutcomesina
comprehensiveandreasonablemanner
Truthfulnessrulerequiresthatthosecommunicationsbehonest
Ex.Beingfiredfornoreasonatallbecausemanagersarescaredandfeelsadortheydont
wantalawsuittohappen

Distributive,procedural,interpersonalandinformationaljusticecanbeusedtodescribehowfairlyemployeesare
treatedbyauthorities
Whenanauthorityadherestothejusticerules,theactionsprovidebehavioraldatathattheauthorityistrustworthy

Allfourjusticeformshaveastrongcorrelationwithemployeetrustlevels
o Employeestrustauthoritieswhoallocateoutcomesfairly,makedecisioninaconsistent,unbiasedway,
communicatedecisionmakingdetailsinarespectfulandcomprehensivemanner.

Ethics
o Prescriptivebranchhowpeopleoughttoactusingvariouscodesandprinciples
o Descriptiveinnaturebranchobservehowpeopletendtoactbasedoncertainindividualcharacteristics
o Unethicalbehaviors>discrimination,harassment,falseadvertising,invadingcustomerprivacy,
o Merelyethicalbehaviorbehaviorthatadherestosomeminimallyacceptedstandardofmorality
Ex.Obeyingthelaw,complyingwithformalrules&contracts
o Especiallyethicalbehaviorsbehaviorsthatexceedsomeminimallyacceptedstandardofmorality
Ex.Charitablegiving
WhistleblowingEmployeesexposingillegalactionsbytheiremployers
Whydosomepeoplebehaveethicallywhilesomedont?
o Answercomesformthefourcomponentmodelthisarguesthatethicalbehaviorsresultsformamultistage
sequencebeginningwithmoralawareness>moraljudgment>moralintent>ethicalbehavior
MoralAwareness
Occurswhenanauthorityrecognizesthatamoralissueexistsinasituationorthatanethical
codeorprincipleisrelevanttothecircumstance
Moralintensitythedegreetowhichanissuehasethicalurgency
o Aparticularissueishighinmoralintensityifthepotentialforharmishigh
o Alsohighifthereissocialpressuresurroundingit
Moralattentivenesscapturesthedegreetowhichpeopleperceiveandconsiderissuesof
moralityduringtheirexperience
o Moralattentivepeoplefaceseveralethicaldilemmasinatypicalday
MoralJudgment

Whenanauthoritycanaccuratelyidentifytherightcourseofaction
Theprocesspeopleusetodeterminewhetheraparticularcourseofactionisethicalor
unethical
Cognitivemoraldevelopment
o Theorysaysthataspeopleage&mature,theymovethroughstagesofmoral
development,eachmoremature&sophisticated.>Moremature=bettermoral
judgment
Aspeoplemature,theirmoraljudgmentreachestheconventionalstage
Themostsophisticatedmoralthinkersreachtheprincipledstage
Philosophershaveidentifiedanumberofmoralprinciplesthatserveasprescriptiveguides
formakingmoraljudgment>Readchartintextbook.
MoralIntent
Anauthoritysdegreeofcommitmenttothemoralcourseofaction
Theauthorityhastowanttoactethically!

Moralidentity
o Thedegreetowhichapersonviewshim/herselfasamoralperson
o Explainstheabilityofsomepeopletostaytruetotheirmoraljudgment
o Peoplewithstrongmoralidentity=volunteermore,donatemoney
o **Thestagesofthefourcomponentmodelcanbeusedtoexplainwhyauthoritiesactinanethical/unethical
manner
o Whenauthoritiesaremorallyaware,hentheyhavemoraljudgment,andwhentheypossessstrongmoral
intent..Chancesaretheiractionswilltendtobeethical
Summary:Whyaresomeauthoritiesmoretrustedthanothers?
Dispositionbasedtrustrootedinanindividualstrustpropensity
Affectbasedtrustrootedinafondnessfortheauthority
Cognitionbasedtrustdrivenbyperceptionsoftrustworthiness

o Asemployeesattempttoassestheability,benevolence,andintegrityofauthorities
Itisdifficulttogaugetrustworthinessaccurately,soemployeesinsteadlooktomoreobservablebehaviorsthatcan
beusedasindirectevidentoftrustworthiness
o Justiceofauthorities
o Employeesconsideringthedistributive,procedural,interpersonalandinformationaljustice
Justice&generaltrustworthinessofauthoritiescanbeexplainedbyauthoritiesmoralawareness,moraljudgment
andmoralintent

Howimportantistrust?
Trustiscorrelatedwithtaskperformance
o Trustmeasuresaresignificantpredictorsofemployeesabilitytofocus,whichreflectsthedegreetowhich
employeescandevotetheirattentiontowork
Trustalsoinfluencescitizenshipbehaviorandcounterproductivebehavior
o Employeeswhodonttrusttheirauthoritieshaveeconomicexchangerelationship(employeesfulfilljob
dutiesinexchangeforfinancialcompensation)
o Astrustincreases,socialexchangerelationshipsdevelop(employeeswillingtogotheextramilebecause
theytrustthattheirbehaviorwillgetrewarded)
Trustaffectsorganizationalcommitment
o Trustinganauthorityincreasesthelikelihoodthatanemotionalbondwilldevelop
o Trustinganauthorityalsomakesitmorelikelythatasenseofobligationwilldevelopbecauseemployees
feelmoreconfidentthattheauthoritydeservesthatobligation
o Whennegativeeventsoccur,employeeswhotrusttheauthorityarewillingtoacceptthevulnerabilitythat
comeswithcontinuedemployment,remainingconfidentintheirbeliefthatthesituationwillimprove