Organization Studies

This book provides a coherent overview of the most important theories and insights in the field of business ethics, together with a substantiated development of ethical norms and values with which organizations must comply. At the end of each chapter is a case study (e.g., Shell, KPN Telecom, IHC Caland, Herald of Free Enterprise disaster, etc.), ideal for graduate courses in business ethics and corporate social responsibility.

Normal Organizational Wrongdoing critically reviews theory and research on wrongdoing in and of organizations, focusing on the individual level of analysis. The book considers a wide variety of organizational misconduct, including corporate crime, white-collar crime, unethical behaviour, and socially irresponsible behaviour. It begins by developing an overarching framework for classifying existing theories of organizational wrongdoing. Then it uses this framework to guide its presentation, evaluation, and extension of theories currently in use in the field. The overarching framework distinguishes between two broad classes of theories of wrongdoing; one, shared by most students of wrongdoing, considers wrongdoing an abnormal phenomenon and the other, championed by the author, considers wrongdoing a normal occurrence. Two existing explanations of wrongdoing, the rational choice and culture accounts, fall into the former category. Four existing theories, the administrative system, situational social influence, power structure, and accidental accounts, fall into the latter category. One current theory, the behavioural decision account, serves as a bridge between the two approaches. The book's overarching framework also suggests the need for an eighth explanation of organizational wrongdoing that has largely been overlooked to this point, the social control account. The theoretical arguments advanced in the book are illustrated by rich case studies of instances of organizational wrongdoing. The book concludes with a discussion of the practical implications that the theory reviewed and developed in the book holds for those seeking to curb wrongdoing in and of organizations.

Recent events around the world, especially in the financial sector and with respect to government performance, have severely undermined people’s trust in both private organizations and public institutions. In no small measure, these substantial and enduring declines in trust reflect widespread disenchantment with the leadership of such organizations and institutions. In recognition of this pervasive problem, policymakers and scholars alike have argued the need to restore trust in our organizations and their leadership. But precisely how to restore trust is less evident and often unspecified in these exhortations. The present volume addresses this important and timely issue by assessing the state of social science theory and evidence regarding effective trust repair. The volume presents multi-disciplinary perspectives, including insights from social psychology, organizational theory, and behavioral decision theory. The first part of the volume examines some of the reasons why trust and its restoration are problematic from a variety of perspectives. The second part of the volume examines constructive approaches for restoring trust, including psychological and structural perspectives.