IDEAS home Printed from https://ideas.repec.org/a/kap/jbuset/v191y2024i2d10.1007_s10551-023-05429-6.html
   My bibliography  Save this article

How do Sector Level Factors Influence Trust Violations in Not-for-Profit Organizations? A Multilevel Model

Author

Listed:
  • Nicole Gillespie

    (University of Queensland)

  • Mattia Anesa

    (University of Sydney)

  • Morgana Lizzio-Wilson

    (University of Exeter)

  • Cassandra Chapman

    (University of Queensland)

  • Karen Healy

    (University of Queensland)

  • Matthew Hornsey

    (University of Queensland)

Abstract

The proliferation of violations within industry sectors (e.g., banking, doping in sport, abuse in religious organizations) highlights how trust violations can thrive in particular sectors. However, scant research examines how macro institutional factors influence micro level trustworthy conduct. To shed light on how sectoral features may influence trust violations in organizations, we adopt a multilevel perspective to investigate the perceived causes of trust violations within the not-for-profit (NFP) sector, a sector that has witnessed a number of high-profile trust breaches. Drawing on interviews with board members and senior executives of NFPs with cross-sectoral experience, we analyze the causes of trust violations to inductively develop a conceptual model of the multilevel factors contributing to trust violations in NFPs. Our model highlights how trust violations have their roots in sectoral-level factors, which trickle-down to influence the ethical infrastructure at the organizational-level, and in turn individual-level factors and violations. We identify how three NFP sectoral features influence trustworthy behavior: corporatization, resource scarcity, and assumed moral integrity. Our findings speak to the importance of looking beyond the organization to understand both the causes and prevention of trust violations and developing the concept of sector-level ethical infrastructure.

Suggested Citation

  • Nicole Gillespie & Mattia Anesa & Morgana Lizzio-Wilson & Cassandra Chapman & Karen Healy & Matthew Hornsey, 2024. "How do Sector Level Factors Influence Trust Violations in Not-for-Profit Organizations? A Multilevel Model," Journal of Business Ethics, Springer, vol. 191(2), pages 373-398, May.
  • Handle: RePEc:kap:jbuset:v:191:y:2024:i:2:d:10.1007_s10551-023-05429-6
    DOI: 10.1007/s10551-023-05429-6
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10551-023-05429-6
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1007/s10551-023-05429-6?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. J. V. Hansen & J. B. McDonald & W. F. Messier, Jr. & T. B. Bell, 1996. "A Generalized Qualitative-Response Model and the Analysis of Management Fraud," Management Science, INFORMS, vol. 42(7), pages 1022-1032, July.
    2. Pamela Wicker & Christoph Breuer, 2011. "Scarcity of resources in German non-profit sport clubs," Sport Management Review, Taylor & Francis Journals, vol. 14(2), pages 188-201, April.
    3. Kathie Pelletier & Michelle Bligh, 2006. "Rebounding from Corruption: Perceptions of Ethics Program Effectiveness in a Public Sector Organization," Journal of Business Ethics, Springer, vol. 67(4), pages 359-374, September.
    4. Jana Craft, 2013. "A Review of the Empirical Ethical Decision-Making Literature: 2004–2011," Journal of Business Ethics, Springer, vol. 117(2), pages 221-259, October.
    5. Andreas Georg Scherer & Andreas Rasche & Guido Palazzo & André Spicer, 2016. "Managing for Political Corporate Social Responsibility: New Challenges and Directions for PCSR 2.0," Journal of Management Studies, Wiley Blackwell, vol. 53(3), pages 273-298, May.
    6. Gillespie, Nicole & Dietz, Graham & Lockey, Steve, 2014. "Organizational Reintegration and Trust Repair after an Integrity Violation: A Case Study," Business Ethics Quarterly, Cambridge University Press, vol. 24(3), pages 371-410, July.
    7. Matthew J. Hornsey & Cassandra M. Chapman & Heidi Mangan & Stephen Macchia & Nicole Gillespie, 2021. "The Moral Disillusionment Model of Organizational Transgressions: Ethical Transgressions Trigger More Negative Reactions from Consumers When Committed by Nonprofits," Journal of Business Ethics, Springer, vol. 172(4), pages 653-671, September.
    8. Kuenzi, Maribeth & Brown, Michael E. & Mayer, David M. & Priesemuth, Manuela, 2019. "Supervisor-Subordinate (Dis)agreement on Ethical Leadership: An Investigation of its Antecedents and Relationship to Organizational Deviance," Business Ethics Quarterly, Cambridge University Press, vol. 29(1), pages 25-53, January.
    9. James Agarwal & David Malloy & Ken Rasmussen, 2010. "Erratum to: Ethical Climate in Government and Nonprofit Sectors: Public Policy Implications for Service Delivery," Journal of Business Ethics, Springer, vol. 94(1), pages 1-2, June.
    10. Daniel Muzio & David M. Brock & Roy Suddaby, 2013. "Professions and Institutional Change: Towards an Institutionalist Sociology of the Professions," Journal of Management Studies, Wiley Blackwell, vol. 50(5), pages 699-721, July.
    11. Bill McEvily & Vincenzo Perrone & Akbar Zaheer, 2003. "Trust as an Organizing Principle," Organization Science, INFORMS, vol. 14(1), pages 91-103, February.
    12. McCabe, Donald L. & Trevino, Linda Klebe & Butterfield, Kenneth D., 1996. "The Influence of Collegiate and Corporate Codes of Conduct on Ethics-Related Behavior in the Workplace," Business Ethics Quarterly, Cambridge University Press, vol. 6(4), pages 461-476, October.
    13. David Malloy & James Agarwal, 2010. "Ethical Climate in Government and Nonprofit Sectors: Public Policy Implications for Service Delivery," Journal of Business Ethics, Springer, vol. 94(1), pages 3-21, June.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ivan Bozhikin & Nikolay Dentchev, 2018. "Discovering a Wilderness of Regulatory Mechanisms for Corporate Social Responsibility: Literature Review," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 2, pages 145-174, June.
    2. Matthew J. Hornsey & Cassandra M. Chapman & Heidi Mangan & Stephen Macchia & Nicole Gillespie, 2021. "The Moral Disillusionment Model of Organizational Transgressions: Ethical Transgressions Trigger More Negative Reactions from Consumers When Committed by Nonprofits," Journal of Business Ethics, Springer, vol. 172(4), pages 653-671, September.
    3. Christof Miska & Günter K. Stahl & Matthias Fuchs, 2018. "The Moderating Role of Context in Determining Unethical Managerial Behavior: A Case Survey," Journal of Business Ethics, Springer, vol. 153(3), pages 793-812, December.
    4. Kähkönen, T. & Blomqvist, K. & Gillespie, N. & Vanhala, M., 2021. "Employee trust repair: A systematic review of 20 years of empirical research and future research directions," Journal of Business Research, Elsevier, vol. 130(C), pages 98-109.
    5. Valentine, Sean & Godkin, Lynn, 2019. "Moral intensity, ethical decision making, and whistleblowing intention," Journal of Business Research, Elsevier, vol. 98(C), pages 277-288.
    6. Orly Benjamin & Sarit Nisim & Galit Segev, 2015. "Corporate Social Responsibility as Shaped by Managers’ Role Dissonance: Cleaning Services Procurement in Israel," Journal of Business Ethics, Springer, vol. 130(1), pages 209-221, August.
    7. Sean R. Valentine & Sheila K. Hanson & Gary M. Fleischman, 2019. "The Presence of Ethics Codes and Employees’ Internal Locus of Control, Social Aversion/Malevolence, and Ethical Judgment of Incivility: A Study of Smaller Organizations," Journal of Business Ethics, Springer, vol. 160(3), pages 657-674, December.
    8. Luca Casali, Gian & Perano, Mirko, 2021. "Forty years of research on factors influencing ethical decision making: Establishing a future research agenda," Journal of Business Research, Elsevier, vol. 132(C), pages 614-630.
    9. Kai Lamertz & Devasheesh P. Bhave, 2017. "Employee perceptions of organisational legitimacy as impersonal bases of organisational trustworthiness and trust," Journal of Trust Research, Taylor & Francis Journals, vol. 7(2), pages 129-149, July.
    10. Erica Harris & Christine Petrovits & Michelle H. Yetman, 2017. "Why Bad Things Happen to Good Organizations: The Link Between Governance and Asset Diversions in Public Charities," Journal of Business Ethics, Springer, vol. 146(1), pages 149-166, November.
    11. Han, Shaojie & Su, Jingqin & Lyu, Yibo & Liu, Qing, 2022. "How do business incubators govern incubation relationships with different new ventures?," Technovation, Elsevier, vol. 116(C).
    12. Kamini Gupta & Donal Crilly & Thomas Greckhamer, 2020. "Stakeholder engagement strategies, national institutions, and firm performance: A configurational perspective," Strategic Management Journal, Wiley Blackwell, vol. 41(10), pages 1869-1900, October.
    13. Catherine Casey & Helen Delaney & Antje Fiedler, 2021. "Recalling the moral dimension: Transnational labour interests and corporate social responsibilities," Industrial Relations Journal, Wiley Blackwell, vol. 52(5), pages 389-405, September.
    14. Jarratt, Denise & Ceric, Arnela, 2015. "The complexity of trust in business collaborations," Australasian marketing journal, Elsevier, vol. 23(1), pages 2-12.
    15. Maximilian J. L. Schormair & Lara M. Gerlach, 2020. "Corporate Remediation of Human Rights Violations: A Restorative Justice Framework," Journal of Business Ethics, Springer, vol. 167(3), pages 475-493, December.
    16. Muel Kaptein, 2015. "The Effectiveness of Ethics Programs: The Role of Scope, Composition, and Sequence," Journal of Business Ethics, Springer, vol. 132(2), pages 415-431, December.
    17. Barron, Andrew & Pereda, Asier & Stacey, Stephen, 2017. "Exploring the performance of government affairs subsidiaries: A study of organisation design and the social capital of European government affairs managers at Toyota Motor Europe and Hyundai Motor Com," Journal of World Business, Elsevier, vol. 52(2), pages 184-196.
    18. Andersen, Sophie Esmann & Johansen, Trine Susanne, 2021. "Corporate citizenship: Challenging the corporate centricity in corporate marketing," Journal of Business Research, Elsevier, vol. 131(C), pages 686-699.
    19. Dina A. M. Miragaia & João J. M. Ferreira & Cédric T. Vieira, 2024. "Efficiency of Non-profit Organisations: a DEA Analysis in Support of Strategic Decision-Making," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(1), pages 3239-3265, March.
    20. Markard, Jochen & Erlinghagen, Sabine, 2017. "Technology users and standardization: Game changing strategies in the field of smart meter technology," Technological Forecasting and Social Change, Elsevier, vol. 118(C), pages 226-235.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:jbuset:v:191:y:2024:i:2:d:10.1007_s10551-023-05429-6. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.