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| Tekijä: | Currall, S. C. Epstein, M. J. |
| Otsikko: | The Fragility of Organizational Trust: Lessons from the Rise and Fall of Enron |
| Lehti: | Organizational Dynamics
2003 : MAY, VOL. 32:2, p. 193-206 |
| Asiasana: | ORGANIZATION TRUST ORGANIZATIONAL CULTURE |
| Kieli: | eng |
| Tiivistelmä: | In this paper, the authors develop a generic framework of the factors that lead to organizational trust and discuss th importance of trust to the success and failure of companies and their managers. The authors then show that excessive trust by some corporate stakeholders is a fundamental concept explaining the rise and fall of Enron. The authors also explain the evolutionary phases of trust. The collapse of Enron is partly a story of inadequate scrutiny by stakeholders-high levels of trust led to suspension of scrutiny by analysts, auditors, regulators, and the board of directors. Enron also is a story of excessive executive hubris and inadequate transparency. And, it is a case of excessive trust by accountants, analysts, and board members. |
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