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Based On The Trust Mechanism Of The Risk Control Strategy

Posted on:2007-04-22Degree:MasterType:Thesis
Country:ChinaCandidate:M ZhengFull Text:PDF
GTID:2209360182485145Subject:Business management
Abstract/Summary:PDF Full Text Request
Trust research has attracted enormous interest in social sciences for decades. Trust in the workplace is considered particularly important for organizational effectiveness and competitive advantages. Consequently, trust-building between supervisor and subordinates is concerned by theorists and managers. Based on the review of literatures, a risk control model is proposed to explain the trust decisions behaviors in Chinese organizations. In this study, trust is supposed to be a decision-making behavior under the risks that the other side might exploit his honor. Trust in supervisor is a judgment that exists in interdependent task based on behavior prediction and outcome measurement. It is influenced by cultural context, social network and task structure that might have effects on the judgment of interpersonal behavior risks. Decision-makers reduce the risks caused by trust offers through two optional approaches: formal structures as institutional controls and informal structures as personal relationships like Chinese Guanxi. This study focused on the risk control strategies and the contingent combinations of these strategies of trust decision-makers in Chinese organizations.This study systematically examined the process of trust building and the mechanism of risk control tactics in Chinese organizations by structured interview, scenario questionnaires and survey. Finally, a risk control model of trust decision is proposed to explain the trust behaviors in Chinese organizations. Suggestions for trust-building between supervisor and subordinates are also discussed. The study was developed in four stages as following:(1) The definition of a conception of trust in supervisor. Using interview method, the results was acquired that trust in supervisor is an important condition for cooperation in workplace. It is a risk decision in interaction of interests within organizations. Institution and Guanxi are two major approaches to risk control in organizations and then were used to reduce risks in trust by employees.(2) Analysis for the characters of development in trust decision-making. In this part, interview and coding analysis were conducted to test and verify the theoretical model, and then scenario risk decision-making model for trust in supervisor was developed. Meanwhile, characters of critical incidents in supervisor trust development were identified for next state research.(3 ) Analysis for the effect mechanism of risk control strategies on behavior choice of trust in supervisor. This part focuses on the frame of scenario trust-decisionby scenario research. The results show that the effect mechanisms of the two risk control tactics are totally different. Contract, rather than Guanxi influences the behavior choice of trust in supervisor. Formal contract has a more positive influence on trust behavior choice than that of informal contract. Both contracts and Guanxi have impacts on need of supervisor's trust worthy in trust behavior choice. Informal contract usage needs higher level of supervisor's trustworthy than formal contract usage. By contraries, the higher quality of Guanxi, the higher level need of supervisor' trustworthy. So it is necessary to figure out the relationship between the risk control strategies and perceived trust in supervisor.(4) Analysis for the effect mechanism of risk control strategies on perceived trust in supervisor. Using questionnaire research, the results were acquired as follow: Guanxi can facilitate perceived trust in supervisor and work steadily. It is the main method for employee to judge supervisor's trustworthy. However, contracts can only take effect at lower level of Guanxi. The interaction effect between Guanxi and contract is significant.Base on the conclusions above, for Chinese employee, Guanxi is a dominant mode for the decision-making of trust in supervisor. Contract just plays a secondary condition for trust building. Contract can improve trust in supervisor in short-term, but in long-term, Guanxi is the most effective approach to trust-building.
Keywords/Search Tags:Trust in supervisor, Risk control, Contract, Guanxi
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