Book contents
- Frontmatter
- Contents
- List of figures
- List of tables
- Notes on contributors
- Preface: discovering new territory in public trust in business
- Acknowledgments
- 1 Public trust in business: what’s the problem and why does it matter?
- Part I Trusting the institution of business
- Part II Public trust and business organizations
- 7 Public trust and trust in particular firm–stakeholder interactions: a theoretical model and implications for management
- 8 Creating more trusting and trustworthy organizations: exploring the foundations and benefits of presumptive trust
- 9 Building trust through reputation management
- 10 Can trust flourish where institutionalized distrust reigns?
- 11 Roles of third parties in trust repair: lessons from high-tech alliances for public trust
- 12 The repair of public trust following controllable or uncontrollable organizational failures: a conceptual framework
- 13 Toward a better understanding of public trust in business
- Index
- References
8 - Creating more trusting and trustworthy organizations: exploring the foundations and benefits of presumptive trust
Published online by Cambridge University Press: 05 July 2014
Book contents
- Frontmatter
- Contents
- List of figures
- List of tables
- Notes on contributors
- Preface: discovering new territory in public trust in business
- Acknowledgments
- 1 Public trust in business: what’s the problem and why does it matter?
- Part I Trusting the institution of business
- Part II Public trust and business organizations
- 7 Public trust and trust in particular firm–stakeholder interactions: a theoretical model and implications for management
- 8 Creating more trusting and trustworthy organizations: exploring the foundations and benefits of presumptive trust
- 9 Building trust through reputation management
- 10 Can trust flourish where institutionalized distrust reigns?
- 11 Roles of third parties in trust repair: lessons from high-tech alliances for public trust
- 12 The repair of public trust following controllable or uncontrollable organizational failures: a conceptual framework
- 13 Toward a better understanding of public trust in business
- Index
- References
Summary
Executive summary
The situation
Low trust has become virtually a default assumption, especially when it comes to the public’s expectations regarding the fundamental trustworthiness of American business and its leaders.
Key questions
What precisely can be done to remedy this low trust in business? How can it be “fixed”? Who should do it and how might they go about doing it? How does contemporary trust theory and research move us toward any useful answers to these important questions?
New knowledge
Presumptive trust – trust that is taken for granted – is one of the bedrocks of the high trust organization. It is only when trust has a solid, secure, and virtually taken-for-granted quality that it operates at maximum effectiveness and durability.
Four key types of expectations are critical to presumptive trust in organizational settings: (1) identity-based expectations; (2) role-based expectations; (3) rule-based expectations; and (4) leader-based expectations.
Key lessons
Trust works best when it has acquired an almost tacit or taken-for-granted quality.
The constructive role that leaders play in setting positive expectations regarding the general level of trust and trustworthiness within their organizations is key to the emergence and maintenance of presumptive trust.
In situations where the costs of misplaced trust are high, too much presumptive trust can create potential vulnerabilities and risks.
Presumptive trust, without actual trustworthiness, would be a hollow achievement and potentially sets the stage for costly abuses of the public’s trust.
- Type
- Chapter
- Information
- Public Trust in Business , pp. 203 - 235Publisher: Cambridge University PressPrint publication year: 2014
References
, and (2001), ‘Trust in signs.’ In (ed.), Trust in Society. New York: Russell Sage Foundation, 148–184.Google Scholar
, and (2004), ‘Repetition and reputation: implications for trust and trustworthiness when institutions change.’ American Economic Association Proceedings, 94, 362–366.Google Scholar
and (1970), ‘The development of trust and mistrust in mixed-motives games.’ Sociometry, 33, 123–139.CrossRefGoogle Scholar
(1981), ‘Ethnocentrism and its role in interpersonal trust.’ In and (eds.), Scientific Inquiry and the Social Sciences. San Francisco, CA: Jossey-Bass.Google Scholar
(1996), ‘In-group favoritism: The subtle side of intergroup discrimination.’ In and (eds.), Behavioral Research and Business Ethics. New York: Russell Sage.Google Scholar
(2008), ‘Depersonalized trust and in-group cooperation.’ In (ed.), Rationality and Social Responsibility: Essays in Honor of Robyn Mason Dawes. New York: Psychology Press, 215–232.Google Scholar
and (2012), ‘Breaking the vicious cycle of low trust in decision-making authorities: it’s what they do and how they do it.’ In and (eds.), Restoring Trust in Organizations and Leaders: Enduring Challenges and Emerging Answers. New York: Oxford University Press, 257–274.CrossRefGoogle Scholar
(1995), Falling Backwards: An Exploration of Trust and Self-experience. New York: Norton.Google Scholar
(2008), ‘How Pixar fosters collective creativity.’ Harvard Business Review, 86, 65–72.Google Scholar
(2009), National Leadership Index 2009: A National Study of Confidence in Leadership. Cambridge, MA: Harvard Kennedy School.Google Scholar
, , and (1990), ‘A focus theory of normative conduct.’ Journal of Personality and Social Psychology, 58, 1015–1026.CrossRefGoogle Scholar
, , , , , and (2004), ‘Trust and distrust in physician-patient relationships: Antecedents and consequences.’ In and (eds.), Trust in Organizations: Dilemmas and Approaches. New York: Russell Sage, 65–98.Google Scholar
, , and (2009), Whom Can We Trust: How Groups, Networks, and Institutions Make Trust Possible. New York: Russell Sage Foundation.Google Scholar
, , , and (2000), ‘The trusted general manager and business unit performance: empirical evidence of a competitive advantage.’ Strategic Management Journal, 21, 543–576.3.0.CO;2-0>CrossRefGoogle Scholar
(1994), House of Cards: Psychology and Psychotherapy Built on Myth. New York: Free Press.Google Scholar
(2000), ‘Trust in leadership and team performance: evidence from NCAA basketball.’ Journal of Applied Psychology, 85, 1004–1012.CrossRefGoogle ScholarPubMed
, and (2002), ‘Trust in leadership: meta-analytic findings and implications for research and practice.’ Journal of Applied Psychology, 87, 611–628.CrossRefGoogle ScholarPubMed
(2006), ‘Three fundamental questions regarding trust in leaders.’ In and (eds.), Handbook of Trust Research. Northampton, MA: Edward Elgar, 15–28.Google Scholar
and (2004), ‘Trust in leaders: existing research and emerging issues.’ In and (eds.), Trust and Distrust in Organizations: Dilemmas and Approaches. New York: Russell Sage Foundation, 21–40.Google Scholar
(2009), Trust Barometer: The Tenth Global Opinion Leader Survey. New York: Edelman and Associates.Google Scholar
(2012), Trust Barometer: The 2012 Global Opinion Leaders Study. New York: Edelman and Associates.Google Scholar
(2004), ‘Managing images of trustworthiness.’ In and (eds.), Trust and Distrust In Organizations: Dilemmas And Approaches. New York: Russell Sage Foundation, vol. VII, 275–291.Google Scholar
(2009), ‘Institutions and midlevel explanations of trust.’ In , , and (eds.), Whom Can We Trust? How Groups, Networks, and Institutions Make Trust Possible. New York: Russell Sage Foundation, 127–148.Google Scholar
and (1996), ‘Secrecy, trust and dangerous leisure: generating group cohesion in voluntary organizations.’ Social Psychology Quarterly, 59, 22–38.CrossRefGoogle Scholar
, , and (2007), ‘Universal dimensions of social cognition: warmth and competence.’ Trends in Cognitive Sciences, 11, 77–83.CrossRefGoogle ScholarPubMed
, , , and (2002), ‘A model of (often mixed) stereotype content: competence and warmth follow from perceived status and competition.’ Journal of Personality and Social Psychology, 82, 878–902.CrossRefGoogle ScholarPubMed
, , and (2009), ‘Group-based trust in strangers: the role of stereotypes and expectations.’ Psychological Science, 20, 419–422.CrossRefGoogle ScholarPubMed
(2006). Trust and Honesty: America’s Business Culture at a Crossroad. New York: Oxford University Press.Google Scholar
, and (2007), Economics and Psychology: A Promising New Cross-Disciplinary Field. Cambridge, MA: MIT Press.Google Scholar
(1995), Trust: The Social Virtues and the Creation of Prosperity. New York: Free Press.Google Scholar
(1988), ‘Can we trust trust?’ In (ed.) , Trust: Making and Breaking Cooperative Relationships. Cambridge: Blackwell, 213–237.Google Scholar
, , , and (2012), ‘Restoring institutional trust after the global financial crisis: a systemic approach.’ In and (eds.), Restoring Trust in Organizations and Leaders: Enduring Challenges and Emerging Answers. New York: Oxford University Press, 185–211.CrossRefGoogle Scholar
and (2009), ‘Mission possible? The performance of prosocially motivated employees depends on manager trustworthiness.’ Journal of Applied Psychology, 94, 927–944.CrossRefGoogle ScholarPubMed
(2002), Leading Teams: Setting the Stage for Great Performances. Boston, MA: Harvard Business School Press.Google Scholar
(2005), Why Trust Matters: Declining Political Trust and the Demise of American Liberalism. Princeton, NJ: Princeton University Press.Google Scholar
and (1994), ‘Creating expectational assets in the laboratory: coordination in “weakest link” games.’ Strategic Management Journal, 15, 101–19.CrossRefGoogle Scholar
, , , , (2005), ‘Oxytocin increases trust in humans.’ Nature, 435, 673–676.CrossRefGoogle ScholarPubMed
(1991), ‘Intergroup relations and organizational dilemmas: the role of categorization processes.’ In and (eds.), Research in Organizational Behavior. Greenwich, CT: JAI Press, vol. XIII, 191–228.Google Scholar
(1994), ‘The sinister attribution error: paranoid cognition and collective distrust in groups and organizations.’ Motivation and Emotion, 18, 199–231.CrossRefGoogle Scholar
(1996), ‘Divergent realities and convergent disappointments in the hierarchic relation: trust and the intuitive auditor at work.’ In and (eds.), Trust In Organizations: Frontiers of Theory and Research. Thousand Oaks, CA: Sage, 216–245.Google Scholar
(1998), ‘Paranoid cognition in social systems.’ Personality and social psychology review, 2, 251–275.CrossRefGoogle ScholarPubMed
(1999), ‘Trust and distrust in organizations.’ Annual Review of Psychology, 50, 569–598.CrossRefGoogle ScholarPubMed
(2003), ‘The virtues of prudent trust.’ In and (eds.), Debating Organization: Point-Counterpoint in Organizational Studies. New York: Blackwell, 339–356.Google Scholar
(2005), ‘A failure to communicate: 9/11 and the tragedy of the informational commons.’ Special issue titled ‘Organizational perspectives on the 9/11 Commission Report,’ International Journal of Public Management, 8, 1–20.CrossRefGoogle Scholar
(2008), ‘Presidential leadership and group folly: re-appraising the role of groupthink in the Bay of Pigs decisions.’ In , , and (eds.), Leadership at the Cross-Roads. Westport, CT: Praeger, vol. I, 230–249.Google Scholar
and (1984), ‘Effects of group identity on resource use in a simulated commons dilemma.’ Journal of Personality and Social Psychology, 46, 1044–1057.CrossRefGoogle Scholar
and (1986), ‘Social group identity and the emergence of cooperation in resource conservation dilemmas.’ In , , and (eds.), Experimental Studies of Social Dilemmas. Frankfurt: Peter Lang, 46–61.Google Scholar
and (2010), Repairing and enhancing trust: approaches to reducing organizational trust deficits. In and (eds.), Academy of Management Annals. New York: Routledge, vol. IV, 245–278.Google Scholar
and (2012), Restoring Trust in Organizations and Leaders. New York: Oxford University Press.Google Scholar
and (1998), Trust within and between Organizations: Conceptual Issues and Empirical Applications. New York: Oxford University Press.Google Scholar
and (1996), ‘Trust in relationships: a model of trust development and decline.’ In and (eds.), Trust in Organizations. Newbury Park, CA: Sage, 114–139.Google Scholar
and (1995), ‘Trust in relationships: a model of trust development and decline.’ In and (eds.), Conflict, Cooperation, and Justice. San Francisco, CA: Jossey-Bass.Google Scholar
, and (2012), ‘The art of the apology: the structure and effectiveness of apologies in trust repair.’ In and (eds.), Restoring Trust in Organizations and Leaders: Enduring Challenges and Emerging Answers. New York: Oxford University Press, 95–128.CrossRefGoogle Scholar
(1978), ‘Trust development, the GRIT proposal, and the effects of conciliatory acts on conflict and cooperation.’ Psychology Bulletin, 85, 772–793.CrossRefGoogle Scholar
(2010), ‘The impact of positive mood on trust in interpersonal and intergroup interactions.’ Journal of Personality and Social Psychology, 98, 420–433.CrossRefGoogle ScholarPubMed
(1995), ‘Affect- and cognition- based trust as foundations for interpersonal cooperation in organizations.’ Academy of Management Journal, 38, 24–59.Google Scholar
, , , and (2006), ‘Can groups be trusted? An experimental study of trust in collective entities.’ In and (eds.), Handbook of Trust ResearchNorthampton, MA: Elgar, 52–67.Google Scholar
and (1989), Rediscovering Institutions: The Organizational Basis of Politics. New York: Free Press.Google Scholar
, , and (1995), ‘An integrative model of organizational trust.’ Academy of Management Review, 20, 709–734.CrossRefGoogle Scholar
and (1996), Codes of conduct: Behavioral Research into Business Ethics. New York: Russell Sage Foundation.Google Scholar
, , , , and (1983), ‘Individual adaptations and structural change as solutions to social dilemmas.’ Journal of Personality and Social Psychology, 44, 294–309.CrossRefGoogle Scholar
, and (1996), ‘Swift trust and temporary groups.’ In and (eds.), Trust in Organizations: Frontiers of Theory and Research. Thousand Oaks, CA: Sage.Google Scholar
(1992), Managerial Dilemmas: The Political Economy of Hierarchies. New York: Cambridge University Press.CrossRefGoogle Scholar
, , and (1990), ‘Predicting intergroup fairness and in-group bias in the minimal group paradigm.’ European Journal of Social Psychology, 20, 221–239.CrossRefGoogle Scholar
(1993), Making Democracy Work: Civic Traditions in Modern Italy. Princeton, NJ: Princeton University Press.Google Scholar
and (2008), ‘First impressions: peeking at the neural underpinnings.’ In and (eds.), First Impressions. New York: Guilford, 35–56.Google Scholar
and (1996), ‘Micro-OB and the network organization.’ In and (eds.), Trust in Organizations. Thousand Oaks, CA: Sage.Google Scholar
and (2005), ‘A social identity approach to trust: interpersonal perception, group membership, and trusting behavior.’ European Journal of Social Psychology, 35, 413–424.CrossRefGoogle Scholar
, , and (2005), ‘Normal acts of irrational trust: motivated attributions and the trust development process.’ In and (eds.), Research in Organizational Behavior. New York: Elsevier Press, vol. XXVI, 75–102.Google Scholar
and (1994), ‘Trust and commitment in the United States and Japan.’ Motivation and Emotions, 18, 129–166.CrossRefGoogle Scholar
, , and (1999), ‘Bounded generalized reciprocity: in-group boasting and in-group favoritism.’ Advances in Group Processes, 16, 161–197.Google Scholar
and (2000), ‘The group as the container of generalized reciprocity.’ Social Psychology Quarterly, 63, 116–132.CrossRefGoogle Scholar
, , , and (2005), ‘Cross-cultural differences in relationship- and group- based trust.’ Personality and Social Psychology Bulletin, 31, 48–62.CrossRefGoogle ScholarPubMed
(1986). ‘Production of trust: institutional sources of economic structure, 1840–1920.’ In B. M Staw and L. L. Cummings (eds.), Research in Organizational Behavior, 8, 53–111.Google Scholar
- 1
- Cited by