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Trust relations in management of change

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  • Sørensen, Ole H.
  • Hasle, Peter
  • Pejtersen, Jan H.

Abstract

Trust is essential for the success of change, but transformational change challenges trust. This paper analyses how trust dynamics develop over time in two Danish manufacturing firms affected by major change programmes. The results show that change creates uncertainty among employees, thereby provoking intense scrutiny of management intentions and a tendency to make interpretations that exaggerate management intentions—with the end result of reduced trust. Management then react similarly with negative interpretations of employee reactions, creating a vicious cycle of reduced trust. The paper proposes a model for how change and trust interact and suggests a managerial strategy for trust repair: Strong management actions that symbolise integrity, competence and benevolence may counteract reduced trust, but if low trust turns into distrust, the result may be a deadlock that both parties find difficult to break.

Suggested Citation

  • Sørensen, Ole H. & Hasle, Peter & Pejtersen, Jan H., 2011. "Trust relations in management of change," Scandinavian Journal of Management, Elsevier, vol. 27(4), pages 405-417.
    • Handle: RePEc:eee:scaman:v:27:y:2011:i:4:p:405-417
    DOI: 10.1016/j.scaman.2011.08.003
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    References listed on IDEAS

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    1. Reinhard Bachmann, 2003. "Trust and power as means of coordinating the internal relations of the organization: a conceptual framework," Chapters, in: Bart Nooteboom & Frédérique Six (ed.), The Trust Process in Organizations, chapter 4, Edward Elgar Publishing.
    2. Thomas, Robyn & Hardy, Cynthia, 2011. "Reframing resistance to organizational change," Scandinavian Journal of Management, Elsevier, vol. 27(3), pages 322-331, September.
    3. Steve Maguire & Nelson Phillips, 2008. "‘Citibankers’ at Citigroup: A Study of the Loss of Institutional Trust after a Merger," Journal of Management Studies, Wiley Blackwell, vol. 45(2), pages 372-401, March.
    4. Duncan Gallie, 2009. "Institutional regimes and employee influence at work: a European comparison," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 2(3), pages 379-393.
    5. Kurt T. Dirks & Donald L. Ferrin, 2001. "The Role of Trust in Organizational Settings," Organization Science, INFORMS, vol. 12(4), pages 450-467, August.
    6. Frédérique Six, 2007. "Building interpersonal trust within organizations: a relational signalling perspective," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 11(3), pages 285-309, September.
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    Citations

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    Cited by:

    1. Ole Henning Sørensen & Virginia Doellgast & Anders Bojesen, 2015. "Intermediary cooperative associations and the institutionalization of participative work practices: A case study in the Danish public sector," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 36(4), pages 701-725, November.
    2. 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.
    3. Valkokari, Katri, 2015. "Describing network dynamics in three different business nets," Scandinavian Journal of Management, Elsevier, vol. 31(2), pages 219-231.

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