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Organizational Reintegration and Trust Repair after an Integrity Violation: A Case Study

Published online by Cambridge University Press:  23 January 2015

Nicole Gillespie ,
Graham Dietz  and
Steve Lockey
Nicole Gillespie
Affiliation:
University of Queensland
Graham Dietz
Affiliation:
Durham University
Steve Lockey
Affiliation:
Durham University
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Abstract:

This paper presents a holistic, contextualised case study of reintegration and trust repair at a UK utilities firm in the wake of its fraud and data manipulation scandal. Drawing upon conceptual frameworks of reintegration and organizational trust repair, we analyze the decisions and actions taken by the company in its efforts to restore trust with its stakeholders. The analysis reveals seven themes on the merits of proposed approaches for reintegration after an integrity violation (including open investigations, accurate explanations, apologies, penance, and systemic reforms), and novel insights on the role of organizational identity, “changing of the guard” and cultural reforms alongside procedural modifications. The case further supports the dynamic nature of stakeholder salience across the reintegration process. The study both supports propositions from existing frameworks and suggests novel theoretical extensions for future research.

Keywords

reintegrationtrust repaircase studyorganizational fraudstakeholders
Type
Articles
Information
Business Ethics Quarterly , Volume 24 , Issue 3 , July 2014 , pp. 371 - 410
Copyright
Copyright © Society for Business Ethics 2014

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