In combating the ongoing global health threat of the COVID-19 pandemic, decision-makers have to take actions based on a multitude of relevant health data with severe potential consequences for the affected patients. Because of their presumed advantages in handling and analyzing vast amounts of data, computer systems of algorithmic decision-making are implemented and substitute humans in decision-making processes. In this study, we focus on a specific application of ADM in contrast to human decision-making, namely the allocation of COVID-19 vaccines to (...) the public. In particular, we elaborate on the role of trust and social group preference on the legitimacy of vaccine allocation. We conducted a survey with a 2 × 2 randomized factorial design among n = 1602 German respondents, in which we utilized distinct decision-making agents and prioritization of a specific social group as design factors. Our findings show that general trust in ADM systems and preference for vaccination of a specific social group influence the legitimacy of vaccine allocation. However, contrary to our expectations, trust in the agent making the decision did not moderate the link between social group preference and legitimacy. Moreover, the effect was also not moderated by the type of decision-maker. We conclude that trustworthy ADM systems must not necessarily lead to the legitimacy of ADM systems. (shrink)

Declining levels of stakeholder trust in business are of concern to business executives and scholars for legitimacy- and performance-related effects. Research in the area of stakeholder trust in business is nascent; therefore, the trust formation process has been rarely examined at the stakeholder level. Furthermore, the role of personal values as one significant influence in trust formation has been under-researched. In this paper, we develop a contingency model for stakeholder trust formation based on the effects of stakeholder-specific vulnerability and personal (...) values of the trustor. Using a factorial vignette methodology, we find that Schwartz’s value set interacts with stakeholder roles so that trustworthiness signals of competence and character play differing roles during trust formation. These results inform stakeholder trust research, organizational trust research, and research in personal values. The research also informs managers tasked with rebuilding stakeholder trust in business. (shrink)

Behavioral integrity (BI) is the alignment pattern between an actor’s words and deeds as perceived by another person. Employees’ perception that their leader’s actions and words are consistent leads to desirable workplace outcomes. Although BI is a powerful concept, the role of leader referents, the relationship between perceived BI of different referents, and the process by which BI affects outcomes are unclear. Our purpose is to elaborate upon this process and clarify the role of different leader referents in determining various (...) outcomes. To understand the impact of referents, we explicitly compared the BIs of two leader referents: senior management and supervisor. In contrast to previous research findings where supervisory BI was found to have a stronger relationship with outcomes than senior management, we find that both referents are important. However, their impact varies based upon the outcome studied. Only senior management BI predicted organizational commitment, while senior management BI, supervisory BI and supervisory trust predicted organizational cynicism. Only trust in supervisor, and not supervisory BI, impacted organizational citizenship behaviors. When senior management is the referent, trust and not BI might play an important role for outcomes that require extensive employee investments, such as organizational commitment. In contrast, when the outcome measured does not require employee investments, BI might have a direct impact on the outcome. We also uncovered that trust in supervisor substantially influences the trust employees have in their senior management. (shrink)

We tested whether the impact of an organizational transgression on consumer sentiment differs depending on whether the organization is a nonprofit. Competing hypotheses were tested: that people expect higher ethical standards from a nonprofit than a commercial organization, and so having this expectation violated generates a harsher response and that a nonprofit’s reputation as a moral entity buffers it against the negative consequences of transgressions. In three experiments participants were told that an organization had engaged in fraud, exploitation of women, (...) or unethical labor practices. Consistent with the moral disillusionment hypothesis, decreases in consumer trust post-transgression were greater when the organization was described as nonprofit, an effect that was mediated by expectancy violations. This drop in trust then flowed through to consumer intentions and consumer word of mouth intentions. No support was found for the moral insurance hypothesis. Results confirm that nonprofits are penalized more harshly than commercial organizations when they breach consumer trust. (shrink)

Management literature has repeatedly shown that an absence of voice can have serious negative influences on team and organization performance. However, employees often withhold suggestions or advices when they have ideas, concerns, or opinions. The present study proposes leader behavioral integrity as a key antecedent of employee voice, and investigates how and when leader behavioral integrity influences employee voice. Specifically, we argue that leader behavioral integrity affects employee voice via team independence climate. In addition, we propose a moderating effect of (...) corporate ethical values. The results from a study of 134 managers and 408 employees provide support for this moderated mediation model. Leader behavioral integrity positively affects employee voice via team independence climate, but only when ethical values are emphasized in organizations. These results suggest that leader behavioral integrity, along with team independence climate and corporate ethical values, is very important for fostering employee voice. (shrink)

Numerous researchers have examined the antecedents of trust between managers and subordinates. Recent studies conclude that their influence varies depending on whether what is being examined is a manager's trust in a subordinate or a subordinate's trust in a manager. However, the reasons given to justify this phenomenon present limitations. This article offers a new theoretical approach that relates the influence of each antecedent to Aristotelian forms of reasoning, ethical, and instrumental. The proposed approach shows that the influence of each (...) antecedent depends on which rationality prevails in the person who trusts. The contribution of this article is to better explain the phenomenon of interpersonal trust formation and its logic, while offering at the same time several practical implications for managers interested in developing an organizational culture based on trust. The article begins with a literature review of more relevant empirical studies analyzing superior–subordinate trust formation and presents some theoretical limitations of the arguments described in these works. Then, it offers a new theorerical approach based on Aristotelian thought to explain the influence of the antecedents of trust in management–subordinate relationships. The theoretical contribution is then confirmed in an empirical study of 163 mid-level managers in Spain. (shrink)

If self-interested behavior conflicts with the collective welfare, rules of cooperation are often installed to prevent egoistic behavior. We hypothesized that installing such rules may instigate personal moral norms of cooperation, but that they fail in doing so when installed by a leader who is self-interested rather than self-sacrificing. Three studies confirmed this and also showed that, consequently, only self-sacrificing leaders were able to install rules that increase cooperation without the need for a perfectly operating monitoring system.

Customer engagement behavior is a critical success factor for community e-commerce. While many community e-commerce websites are currently improving service quality to enhance customer engagement behavior, little is known about how such e-services affect customer engagement behavior. Building upon the stimulus-organism-response model, this study developed a research model to explain how e-service quality of community e-commerce platform affects customer engagement behavior through customer trust and perceived risk. The research model was empirically evaluated by surveying 326 customers who have shopped through (...) the community e-commerce platforms. The results indicate that e-service quality positively affects customer engagement behavior. Besides, customer trust and perceived risk play a mediating role between e-service quality and customer engagement behavior. This study offers recommendations to managers on how to build an attractive community e-commerce platform to stimulate customer engagement behavior. (shrink)

With service robots becoming more ubiquitous in social life, interaction design needs to adapt to novice users and the associated uncertainty in the first encounter with this technology in new emerging environments. Trust in robots is an essential psychological prerequisite to achieve safe and convenient cooperation between users and robots. This research focuses on psychological processes in which user dispositions and states affect trust in robots, which in turn is expected to impact the behavior and reactions in the interaction with (...) robotic systems. In a laboratory experiment, the influence of propensity to trust in automation and negative attitudes toward robots on state anxiety, trust, and comfort distance toward a robot were explored. Participants were approached by a humanoid domestic robot two times and indicated their comfort distance and trust. The results favor the differentiation and interdependence of dispositional, initial, and dynamic learned trust layers. A mediation from the propensity to trust to initial learned trust by state anxiety provides an insight into the psychological processes through which personality traits might affect interindividual outcomes in human-robot interaction (HRI). The findings underline the meaningfulness of user characteristics as predictors for the initial approach to robots and the importance of considering users’ individual learning history regarding technology and robots in particular. (shrink)

Despite the general expectation that ethical leadership fosters employees’ ethical behaviors, surprisingly little empirical effort has been made to verify this expected effect of ethical leadership. To address this research gap, we examine the role of ethical leadership in relation to a direct ethical outcome of employees: moral voice. Focusing on how and when ethical leadership motivates employees to speak up about ethical issues, we propose that moral efficacy serves as a psychological mechanism underlying the relationship, and that leader–follower value (...) congruence serves as a boundary condition for the effect of ethical leadership on moral efficacy. We tested the proposed relationships with matched reports from 154 Korean white-collar employees and their immediate supervisors, collected at two different points in time. The results revealed that ethical leadership was positively related to moral voice, and moral efficacy mediated the relationship. Importantly, as the relationship between ethical leadership and moral efficacy depended on leader–follower value congruence, the mediated relationship was effective only under high leader–follower value congruence. Theoretical and practical implications are discussed. (shrink)

PurposeTrust is a social factor at the foundations of human action. The pervasiveness of trust explains why it has been studied by a large variety of disciplines, and its complexity justifies the difficulties in reaching a shared understanding and definition. As for all the social factors, trust is continuously evolving as a result of the changes in social, economic and technological conditions. The internet and many other Information and Communication Technologies (ICT) solutions have changed organizational and social life. Such mutated (...) scenarios challenged what researchers know about trust, thus several studies tried to investigate the difference between online and traditional (physical) environments. The purpose of this paper is to solve this multi‐dimensional puzzle by presenting a conceptual framework that will take into consideration the complexity of ICT mediated‐trust.Design/methodology/approachThe extant literature still lacks a homogeneous framework and presents a large amount of different perspectives, each one addressing a very specific issue. By using the methodology suggested by Short and Cropanzano the paper proposes a conceptual model for understanding the dynamics of trust in online settings. In doing so the authors' adopted the Actor Network Theory conceptual frame for disentangling the ambiguous role of technology in its relation with trust.FindingsThis paper provides an ultimate conceptual model on trust in virtual settings.Research limitations/implicationsThe proposed model will help systematize the extant contributions and also identify the gaps that can be addressed by future researches.Originality/valueThe model permits the understanding of the dynamics of trust in online settings. (shrink)

DINÇ L and GASTMANS C. Nursing Inquiry 2012; 19: 223–237 Trust and trustworthiness in nursing: an argument‐based literature reviewCaring requires nurses to establish trusting relationships with patients and to be trustworthy professionals. This article provides insight into the conceptual understanding of trust and trustworthiness in nursing through an argument‐based literature review of 17 articles published between 1980 and 2010. Trust is characterized as an attitude relying with confidence on someone. The importance of trust relationships is considered by addressing the imbalances (...) of power in nurse–patient relationships as they increase the vulnerability and dependency of the truster. Trust is considered as a process, and time, reliance on others, risk and fragility are identified as basic attributes of trust. However, trustworthiness is inadequately explored in the nursing ethics literature. Nurse educators have a responsibility to ensure that nurses are equipped with the attitudes and knowledge that are needed to establish trusting nurse–patient relationships. (shrink)

Trust is both ethically important and essential for business but difficult to measure. This paper contributes toward clarifying the nature of trust in a way that is both conceptually helpful for ethical inquiries concerning business and pertinent to the measurement of trust as an element in organizations. Several papers hypothesize that increasing the role of trust in a corporation reduces the need for external monitoring and contracts. Assessing this important hypothesis requires a way to gauge whether a firm has a (...) trusting corporate culture. We develop an objective measure of trust in a firm’s corporate culture by counting the number of times 21 trust-related words appear in an important kind of document: the Management Discussion and Analysis section of the annual report. We report two significant findings: that, contrary to what one might think, firms with a trusting culture frequently use audit and control-type words and that trust is positively linked with subsequent share price volatility. We propose explanations of these findings with the hope of facilitating the objective measurement of trust and enhancement of a trusting atmosphere in corporate culture. (shrink)

PurposeAs fake information has become the norm on the internet, it is important to investigate how skepticism impacts an individual’s attitude toward word-of-mouth (eWOM). This study examines eWOM skepticism via three dimensions: suspicion of motivation, suspicion of truthfulness and suspicion of identity. It investigates not only which of the three dimensions is more influential in eWOM situations but also the variations and relationships among these three. Furthermore, this study evaluates how an individual’s dispositional trust and perceptions regarding structural assurance can (...) impact each dimension, which in turn affects the assessment of the eWOM messages’ credibility.Design/methodology/approachUsing an online scenario-based survey, data were collected via Amazon Mechanical Turk from 195 participants in the U.S. PLS and cluster analysis were used to analyze the data.FindingsThe results reveal that the suspicion of identity play a major role in message credibility assessment and that people who are naturally less likely to trust others also hold higher suspicion of motivation and truthfulness. Further, structural assurance has significant negative effects on all three dimensions.Practical implicationsThe findings highlight the importance of enhancing the protective measures on eWOM platforms and call for stricter regulations to prevent organizations from adopting deceptive eWOM propagandas.Originality/valueThis research contributes to the literature by exploring the impact of skepticism on eWOM message credibility assessment and helping to validate this newly created construct by considering eWOM skepticism as a formative construct. (shrink)

ABSTRACTNative advertising is among the most ethically charged strategies of digital communications. The ethical controversies are inherent in native advertising’s definition—paid advertising that is disguised to make readers think it is editorial content of digital publishers. Drawing on moral philosophy, the persuasion knowledge model, the social responsibility of the press theory, schema theory, and psychological reactance theory, this project demonstrated that consumers’ perceptions of native advertising’s deceptiveness increased advertising skepticism, irritation, and avoidance. In contrast, higher media trust resulted in lower (...) perceived deceptiveness, skepticism, irritation, and avoidance. Thus, advertisers and online publishers will benefit from explicit disclosure of sponsorship that is responsible and transparent. (shrink)

. The present research study was designed to extend our knowledge about issues of relevance for business ethics by examining the role of equity sensitivity and perceived organizational trust on employees perceptions of procedural and interactional justice. A model was developed and tested, and results revealed that organizational trust and respect mediated the relationship between an employees equity sensitivity and perceptions of procedural, interactional, and social accounts fairness. A discussion of issues related to perceptions of trust and fairness is presented, (...) as well as recommendations for leaders and future scholarship. (shrink)

This article examines the factors that influence the propensity of corporations to engage with NGOs. Drawing from resource dependency theory and related theories of social networks and the resource-based view of the firm, the authors develop a series of hypotheses that draw from this conceptual foundation to predict a range of factors that influence firms to collaborate with NGOs. These factors include the level of commitment of the firm to CSR, the strategic fit between the firm’s and the NGO’s resources, (...) the level of trust the firm has in NGOs, the frequency of contact with NGOs, prior level and perception of experience with NGOs, and the level of pressure exerted by NGOs. The authors report on results of a survey of the Top 500 firms in the Netherlands on their interactions with NGOs, finding general support for our hypotheses, and suggest that understanding the motives for firm–NGO interactions can teach us more about firms’ corporate social activities and the way such activities are shaped in the dynamic interplay between firms and their stakeholders. Our findings are relevant for future research on cross-sectoral interactions, for corporations considering future relationships with NGO cohorts, and for broader questions about the role of stakeholders and the role of business in society. (shrink)

The literature on ethical decision-making is rooted in a cognitive perspective that emphasizes the role of moral judgment. Recent research in interpersonal dynamics, however, has suggested that ethics revolves around an individual’s perceptions and views of others. We draw from both literatures to propose and empirically examine a contingent model. We theorize that whether the individual relies on cognitions about the ethical issue or perceptions of others depends on the level of social consensus surrounding the issue. We test our hypotheses (...) in three studies. Results suggest that not only does social consensus determine whether an individual relies on ethical cognitions about the issue or perceptions of others, but also that an individual’s view of self is an important moderator in these relationships. We conclude by considering implications of this research for theory and practice. (shrink)

PurposeAs fake information has become the norm on the internet, it is important to investigate how skepticism impacts an individual’s attitude toward word-of-mouth (eWOM). This study examines eWOM skepticism via three dimensions: suspicion of motivation, suspicion of truthfulness and suspicion of identity. It investigates not only which of the three dimensions is more influential in eWOM situations but also the variations and relationships among these three. Furthermore, this study evaluates how an individual’s dispositional trust and perceptions regarding structural assurance can (...) impact each dimension, which in turn affects the assessment of the eWOM messages’ credibility.Design/methodology/approachUsing an online scenario-based survey, data were collected via Amazon Mechanical Turk from 195 participants in the U.S. PLS and cluster analysis were used to analyze the data.FindingsThe results reveal that the suspicion of identity play a major role in message credibility assessment and that people who are naturally less likely to trust others also hold higher suspicion of motivation and truthfulness. Further, structural assurance has significant negative effects on all three dimensions.Practical implicationsThe findings highlight the importance of enhancing the protective measures on eWOM platforms and call for stricter regulations to prevent organizations from adopting deceptive eWOM propagandas.Originality/valueThis research contributes to the literature by exploring the impact of skepticism on eWOM message credibility assessment and helping to validate this newly created construct by considering eWOM skepticism as a formative construct. (shrink)

Ingratiation is an impression management strategy whereby actors try to curry favor with targets, and is one of the more pervasive social activities in a workplace. An assumption in the literature is that a target’s awareness of the tactical purposes behind ingratiation is an ethical concern which triggers suspicions of ulterior motives and casts the actor as distrustful. However, this assumption fails to consider alternative explanations in that ingratiation may also be perceived as occurring for authentic purposes. This alternative view (...) may cause targets to cast the actor differently, and thus presents an intriguing ethical paradox where actors could be recognized by targets as trustful, distrustful, or some level in-between. This research draws on behavioral ethics and attributional models to investigate supervisor trust of employees who engage in ingratiation. We report two studies that examine perceived tactical ingratiation, perceived authentic ingratiation, and their interaction as predictors of supervisor trust using multisource data from two field samples. Across the two studies, we find positive interactions between tactical and authentic ingratiation as predictors of trust and trustworthiness. Study 2 also shows that combined tactical and authentic ingratiation predicts the trustworthiness dimensions of benevolence and integrity, but not ability. The results suggest that ingratiation is portrayed somewhat bleaker than necessary in the literature, and that when actors engage in tactical ingratiation that is also deemed authentic, targets respond with less concern than the literature would suggest. (shrink)

The organizational trust literature relies strongly on the notion of trust and trustworthiness as a calculative cause-and-effect relationship aimed at assessing the advantages and disadvantages between two actors. This utilitarian notion of trust has been critiqued by studies that highlight _construct inconsistencies_ related to utilitarian trust, which, it is argued, is deficient, incomplete and misleading. Our empirical study of the Dutch insurance sector identifies and categorizes three _process inconsistencies_ that help to explain why the calculation of trust in a utilitarian (...) sense is seemingly impossible in practice and is a barrier to the unambiguous assessment of individual needs and individual utility. These process inconsistencies successively concern insufficient information, complex behavioural dynamics, and a convoluted pattern of stakeholder influence to assess utility in trust relationships, specifically within complex socio-economic systems. Our findings contribute to the trust literature by proposing a classification of the previous critiques on utilitarian trust, and by showing that in scenarios of systematic rather than dyadic trust, process inconsistencies may be too strong to endure a ‘leap of faith’, at least with regard to suspension and assessing utilitarian trust in these more complex socio-economic systems. (shrink)

Hunger and deprivation, lack of education, sanitation, and health care are only a few pressing issues related to poverty in developing countries. Addressing such complex social issues requires pooling complementary resources of the civil, public, and private sector. Over the last decade, stakeholders tried to cocreate innovative solutions in cross‐sector social partnerships (CSSPs) at the base of the economic pyramid (BoP), but collaboration proved to be very challenging. Practitioners become increasingly frustrated with operational differences, intransparency, and mismatched goals in partnerships. (...) This study unravels the black box of collaboration and delivers empirical insights on trust and power inCSSPsbased on social exchange theory. Structural equation modeling (SEM) enables us explore relationships beyond case‐based insights. Our rigorous empirical analysis covers 207 interorganizational relationships and outlines a crucial gatekeeping function of trust inCSSPs. Findings provide strong empirical support for conceptual works calling for an “integrative orientation” inCSSPs. Furthermore, we pinpoint the role of intermediates and draw implications for future research. (shrink)

Three characteristic problems in the measurement of corporate social performance (CSP) center around the need to measure three “metrics”: the metric of performance evaluation (M1), the metric of performance measurement (M2), and the metric of performance perception and belief (M3). The central issues in each metric are commitment, revelation, and belief, respectively. This article discusses each metric and provides sets of theoretical propositions under M2 and M3 describing behavior in those contexts. Some of the propositions inM2form an explicit partial theory (...) of factors affecting the likelihood of CSP measurement. Those under M3 are developed from more general ones in the theory of testaments. (shrink)

Using multisource data and multilevel analysis, we propose that the ethical stance of supervisors influences subordinates’ perceptions of corporate social responsibility which in turn influences subordinates’ trust in the organization resulting in their taking increased personal social responsibility and engagement in organizational citizenship behaviors oriented toward both the organization and other individuals. Using a multilevel model, we assessed the extent to which ethical leadership and CSR at the work unit level impacts subordinates’ behaviors mediated by organizational trust at the individual (...) level. We employed a sample of 71 work unit supervisors and 308 subordinates from five businesses of a conglomerate company located in mainland China. Subordinates were asked to rate supervisory ethical leadership practices, CSR, and their extent of organizational trust. Supervisors were asked to rate the personal social responsibility taking and OCB of their respective subordinates. A multilevel path analysis revealed that ethical leadership has a positive effect on CSR at the work unit level and that CSR has a positive cross-level effect on organizational trust at the individual level, which in turn significantly and positively impacts OCB through the mediating effect of taking personal social responsibility. Results are discussed in the context of China’s manufacturing sector. (shrink)

I propose a leadership theory with moral concerns at its core. Sāttvika leadership is defined as a set of purposive leader actions comprising knowledge-driven cooperation that are initiated on the basis of positive and reasonably accurate assumptions and executed through morally responsible and sustainably fruitful means to secure the flourishing of followers and the collective. SL enhances psychological capital, psychological empowerment, and work engagement of followers while developing them into morally better persons. It enhances their trust on the leader and (...) fellow followers. Further, it develops ethical climate of the organization. (shrink)

At a time when some are questioning the relevancy of business education in general, others are now asking whether MBA programs should be blamed for society’s declining trust in business and the numerous corporate ethical failures of recent decades. Whether the full blame lies with business schools or not, MBA instructors are actively seeking more effective ways to help students adopt more practical and ethical managerial paradigms. Because trust theory is simple and robust and outlines the basic mental processes that (...) drive economic exchange while simultaneously prioritizing ethical behavior, in this article, we argue that it is distinctively suited to operationalize stakeholder theory in the classroom, providing MBA students with both a principled and a practical foundation or thematic platform for their MBA coursework and subsequent careers. We also discuss potential challenges and limitations and provide recommendations for future research. (shrink)

Business Ethics: A European Review, EarlyView.

People increasingly access news through ‘new’, algorithmic intermediaries such as search engines or aggregators rather than the ‘old’ (i. e., traditional), journalistic intermediaries. As algorithmic intermediaries do not adhere to journalistic standards, their trustworthiness comes into question. With this study, we (1) summarize the differences between journalistic and algorithmic intermediaries as found in previous literature; (2) conduct a cross-media comparison of information credibility and intermediary trustworthiness; and (3) examine how key predictors (such as modality, reputation, source attribution, and prior experience) (...) affect the trustworthiness and credibility assessments. Results from a quasi-experimental online survey (n = 485) confirm that recipients assess journalistic intermediaries more positively than algorithmic intermediaries and audio more positively than text intermediaries. Furthermore, we found reputation and information credibility to be the most important predictors of intermediary trustworthiness, while general media trust is the most important predictor of information credibility. Implications and directions for future research are discussed. (shrink)