9 – Trust, Justice, & EthicsLecture OutlineIntroduction to Trust3 Sources of Trust3 Sources of Trust3 Dimensions3 Sources of Trust3 Types of Justice Perceptions3 Norms/Rules of Distributive Justice3 Norms/Rules of Distributive Justice3 Norms/Rules of Distributive Justice3 Types of Justice PerceptionsEmployee Involved Norms/Rules of Procedural JusticeProcess Norms/Rules of Procedural JusticeWhen is Procedural JusticeJustice3 Types of Justice Perceptions2 Components of Interactional Justice2 Rules/Norms for Interpersonal Justiceabusive supervisionSustained display of hostile verbal and nonverbal behaviors2 Rules/Norms for Informational JusticeEmployee Justice Seeking ResponsesEmployee Justice Seeking Responses2 Types of Norms4-Component Model2 factors that affect moral awareness2 factors that affect moral awareness4-Component ModelKohlberg’s 3 Main Stages:Kohlberg’s 3 Main StagesKohlberg’s 3 Main Stages4-Component Model4-Component Model3 Levels of Ethical Behavior9 – Trust, Justice, & Ethics Chapter 7OBHR:33000 Organizational BehaviorProfessor HabashiLearnSmart & Ch. 7 Quiz Available: 10/12 – 10/22Lecture Outline• Introduction• Trust• Justice• Ethics• Importance of TJEIntroduction to Trust• Reputation matters!– For clients- want to support the best organizations– For employees – want to work for the bestorganizations.Trust3 Sources of Trust 1. Disposition-based trust– Trust propensity• Some individuals are more trusting than others• General expectation that others are honest or not– Guides us in new interactions• Affected by• Upbringing: Nurturing parents• Culture: Higher in US than many other countries3 Sources of Trust 2. Cognition-based trust– Based on rational assessment– Time laden process– Develops only after we have enough knowledge about trustworthiness of an individualTrustworthiness3 Dimensions 1. Ability– Skills and expertise2. Benevolence– Belief that good motivates the behavior oractor3. Integrity– Adheres to similar morals and valuesTrust3 Sources of Trust 4. Affect-based trust– Based on feelings– Highly related to how much we like an individual– Usually a supplement to the other two sourcesJustice• Justice Perceptions: employee judgements about whether their work situation is fair• Justice Perceptions in organizations have been found to be related to:– Job Satisfaction– Organizational Commitment– Job Performance– Withdrawal Behaviors– Counterproductive behaviors– Self-perceptions3 Types of Justice Perceptions 1. Distributive Justice– Perceived fairness of decision-makingoutcomes• Are they fair when determining pay, promotions– Heavily predicated on valuesDistributive Justice3 Norms/Rules of Distributive Justice 1. Equity– More outcomes for those with more inputs– Generally seen as the fairest• When goal is to maximize individual productivity3 Norms/Rules of Distributive Justice 2. Equality– All team members receive the same amount of rewards/outcomes– Best in group work or collaborative settings• Building harmony is most importantDistributive Justice3 Norms/Rules of Distributive Justice 3. Need– Certain individuals/groups are protected andgiven more resources– Best when the welfare of a specific person or group is the goalJustice3 Types of Justice Perceptions 2.Procedural Justice– Perceived fairness of decision-making process- Emphasis on the structural components of the processJustice- Do they follow the rules correctly?Procedural JusticeEmployee Involved Norms/Rules of Procedural Justice 1. Voicea. Giving employees a chance to express their opinions and views during the process2. Correctability– Giving employees a chance to request anappeal when the process is ineffectiveProcedural JusticeProcess Norms/Rules of Procedural Justice 1. Consistency2. Bias suppression3. Representativeness4. Accuracy• These rules affect reactions to authoritymore than distributive justice rulesHigh Procedural JusticeLow Procedural JusticeWhen is ProceduralJusticeMost Important?FavorableUnfavorableLowHighReactions to Org.Outcome FavorabilityJustice3 Types of Justice Perceptions 3. Interactional Justice– Perceived fairness of decision-makingprocess - Emphasis on interactions with employees and individuals affected by decisionInteractional Justice2 Components of Interactional Justice 1. Interpersonal Justice– Perceived fairness in treatment of employees• Are they treated with dignity and respect?2. Informational Justice– Perceived fairness of communication toemployees• Are adequate explanations for decisions providedInteractional Justice2 Rules/Norms for Interpersonal Justice 1. Respect– Employees treated in a dignified and sincere manner2. Propriety a. No improper or offensive remarks are madeInteractional Justice• Lack of interpersonal justice leads toabusive supervision - Sustained display of hostile verbal and nonverbal behaviors– Rare (1.5%) but very negative• Increased stress, burnout, and withdrawalbehaviors• Negative interactions more impactful than positiveinteractions2 Rules/Norms for Informational Justice 1. Justification– Decision-making procedures explained in acomprehensive and reasonable manner2. Truthfulness– Communications are honest and candid• Lack of informationaljustice can be hazardous for the organization• Greenberg (1990)• Decreased informational justice leads to higher theft (and other counterproductive behaviors)JusticeEmployee Justice Seeking Responses 1. Retributive Justice– Based on principle of punishment– Intent is to dissuade further wrongdoing– Looks a lot like revengeJustice– Greenberg (1990) – theft was a form ofretributive justiceEmployee Justice Seeking Responses 2. Restorative Justice– Employee seeks restitution– Literally means “putting back as it was”– Often in the form of an apology or otherpositive outcome– Much more positive response – restores orderand positive feelingsEthics• People behaving in a manner consistent with generally accepted norms of morality• Violations of ethical behavior are notuncommon– Crime– Counterproductive