Trust Diffusion: The Effect of Interpersonal Trust on Structure, Function, and Organizational Transparency

Abstract

This study presents an organizational model to explain when and how trust permeates an organization, when it is constrained and to what extent it informs the perceptions of transparency among stakeholders. Through the use of qualitative research, resulting in five corporate case studies, and a separate quantitative analysis, it was possible to demonstrate ways in which trust can be diffused amongorganizational layers. These findings add to the literature by analyzing trust in organizational settings via reciprocal dyadic relationships in a social-structural context. These findings suggest that functional elements and informal network position contributed to the dyad's ability to establish positive trust climates and specific communication and cooperative behaviors were critical in diffusing trust to the group level; the degree of organizational transparency positively correlated to the degree of dyadic and group-level trust.

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