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MGMT 3080: Chapter 7
Transcript of MGMT 3080: Chapter 7
Willingness to be vulnerable to a trustee based upon positive expectations about the trustee’s actions and intentions.
Perceived fairness of an authority’s decision making.
Degree to which the behaviors of an authority are in accordance with generally accepted moral norms.
Why does this matter?
Trust Propensity - based upon individual personalities
Product of nature and nurture
Based upon a rational assessment
3 dimensions of trustworthiness
Three Dimensions of Trustworthiness
Skills, competencies, areas of expertise.
Belief that the authority wants to do good apart from any selfish or profit-centered motives.
Perception that the authority adheres to acceptable values and principles. A person's "character".
Based upon feelings (rather than thoughts) that go beyond a rational assessment
1. Disposition - "gut"
2. Cognition - "brain"
3. Affect - "feelings"
Trust is rooted in 3 factors:
Perceived fairness of the decision-making processes.
Are procedures consistent, neutral, unbiased and based on accurate information?
Perceived fairness of the treatment received by employees from authorities.
Do authorities treat employees properly and sincerely?
Perceived fairness in communications provided to employees from authorities.
Do authorities explain procedures thoroughly and honestly?
Perceived fairness of decision-making outcomes.
Are rewards allocated according to the proper norm?
Rules of Fair Process
Non-Discriminatory (Consistency, Bias Suppression, Representativeness, Accuracy)
Respect Rule - Treat employees in a dignified and sincere manner.
Propriety Rule - Refrain from making improper or offensive remarks.
Justification Rule - Decision-making outcomes explained clearly and reasonably.
Truthfulness Rule - Communications are honest and candid.
Four-Component Model of Ethical Decision Making
When former or current employees expose illegal or immoral actions by their organization.
Degree of ethical urgency
Degree people chronically consider morality
More maturity =
greater moral judgment
Factors that serve as guides for making moral judgments
The degree to which a person self-identifies as a moral person
These factors influence job performance and organizational commitment.
Remember the Equity Theory?
Recognizing that a moral issue exists.
Determining what's right and wrong and making a decision.
Having the cognitive moral development to WANT to act ethically
The outcome of ethical decision-making.
Tying it together.
1. One should be very cautious with strangers.
2. Most experts tell the truth about the limits of their knowledge.
3. Most people can be counted on to do what they say they will do.
4. These days, you must be alert or someone is likely to take advantage of you.
5. Most salespeople are honest in describing their products.
6. Most repair people will not overcharge people who are ignorant of their specialty.
7. Most people answer opinion polls honestly.
8. Most adults are competent at their jobs.
Answer each question using the response scale provided. Then subtract your answers to the bolded questions from 6, with the difference being your new answers for those questions (ex: if your original answer for question 4 was "4", your new answer is "2" (6-4). Then sum up your answers for all eight questions.
How trusting are you?
i.e. What is your "trust propensity"?
21 and above
You tend to be trusting of other people, which means you're often willing to accept some vulnerability to others under conditions of risk.
20 or below
You tend to be suspicious of other people, which means you're rarely willing to accept such vulnerability.
Think of a time when you felt your boss (or other authority figure) was unfair.
Find a partner, and share your story.
Find a partner and then each pair (partnership of two) will form into a larger cluster with a total of eight people.
1. The goal of the game is to win as much as you can.
2. For ten successive rounds, you and your partner will choose either an “X” or a “Y.”
3. The “pay off” for each round is dependent upon the pattern of choices made in your cluster.
4. Each round you will be allowed to discuss with your partner how you want to vote. Do
discuss your choices with the other pairs in your cluster.
Win as Much as You Can