Is Trust Really Required to Be an Effective Leader - Literature review Example

Literature review, Management: Is trust really required to be an effective leader? The popularity of trust asa concept in the academic analysis and public debate has led to the most of organizations being associated with its concern. In this article, trust has been identified as the major influential factor in relation marketing, capital investment, cross-cultural communication and various types of learning cooperation. This paper also reviews on the effect of organizational politics where trust is being affected greatly by this. The paper also includes the effects of trust and management incentives on audit committee judgments. Trust in management: the role of employee voice arrangements and perceived managerial opposition to unions Trust in management is an element that is critical for an organization to foster. Trust has been found to contribute positive attitude towards valued work behaviors, and behavioral citizenship to the organization. (Dirks and Ferrin, 2002). Cooperation is a judging key element on how the employees relate with the management. The study is about the relationship between the voice of the employee arrangement and the trust of the employee in management. The literature of the employee relations and the social exchange theory is what brings the voice arrangements in an organization. The article also looks on the higher side to examine the EVA and the trust of employees in management relationship. EVA forms one means of participation and involvement and form part of HR practices and policies of an organization. (Tzafrir et al., 2004). The context of the national relation of employment is critical any relationship evaluation between trust and EVA given the mimetic and the normative pressures the actors are placed on. (Boxall and Purcell, 2011). In conclusion to this article, Union voice which is the provision of a two-way communication between the employees and management through the presence of a union which is incorporated with trust in the work place. Trust and quality management: Perspectives from marketing and organizational learning In this article trust as a concept is elaborated by comparing with quality management of traditional value. Organizational learning and marketing relationship are the bases of approaching trust in this area where it is a frequent element. The purpose is to create a trust framework based particularly on organizational learning and marketing relationship. Trust has been importantly recognized as a concept in marketing relationship. As trust is component that is more important in every relationship so it is in the quality management and has attracted research of considerable amounts in the same field. (Egan, 2001). Important concepts according to Gro¨nroos (2000), are trust, attraction and commitment. An element of risk is there in all businesses ventures, but in the presence of trust, risk associated with relation of employees can possibly be alleviated thereby improving the relationships in the businesses hence better functioning of economy. (Gummesson, 1999; Selnes, 1998). Trust is also observed in the relationship that concern services. For example in service industries trust is particularly crucial, as human interaction is vital in this field. In some services like transportation and healthcare indeed, the customers’’ lives are literally on the hands of service providers. Generally, in conclusion an important component, which is trust in the business relations, has been found. Trust has a greater role in the relationship marketing, traditional quality management and organizational learning. Therefore this is a concept that should be highly taken into account. Organizational Politics: The Impact on Trust, Information and Knowledge Management and Organizational Performance Organizational politics is that behavior that maximize on self-interest and brings conflict with the interests and goals of others. Organizational politics becomes a barrier to effective information sharing collaboration and knowledge management, as it tends to break down trust. According the literature, organizational politics conflicts the employees and the organization interests. Employees need to learn, share and collaborate in order to further development of their personal career while the organization on knowledge absorption and information sharing hence promoting an innovative culture, achieving competitive advantage and enhancing performance. For these positive outcomes to be achieved, the organizational politics, which have negative effects, should at least be minimized or possibly be eradicated. A large number of organizations in order for them to become more innovative and productive through improvement of their information assets management is embracing this idea. (Evans & Price, 2012). Literature management is the organizations ability to acquire and incorporate external knowledge to transform and exploit organizations knowledge by assimilating its day-to-day activities and processes. In conclusion, the political behavior such as influence by the international act to enhance individual group self interests exist in every organization. Such behaviors in an organization lead to suppression and distortion of information. (Kreitner, Kinicki & Buelens 2002) The Effects of Trust and Management Incentives on Audit Committee Judgments High trusting of the committee of audit according to research may be poor at the recognizing of the incentives underlying the management. In other words, overconfidence with the audit committee may be sensitive to potential effects of the management actions. Dispositional trust becomes a personality trait that someone making decision brings to all situations of management. Source credibility theory indicates decrease on individual reliance on information source as it diminishes. Through managing of earnings, incentives can be faced while the audit committee may or may not understand such incentives having meaningful effect on the credibility of management. Findings Trust is one of the essential components of leadership in management to enhance credibility in the organizations. Trust builds union between the organization and the employees. This creates a good environment in the work frame and promotes good relations among the workers. Secondly, trust and management works hand in hand. Trust has been lately identified as the major factor that influences capital investment, cross-cultural communication and relationship marketing. Conclusion Trust as it has been seen above create business relation that led to high quality management. It builds leadership commitment, continuous improvement and participation of everybody. Therefore trust component needs to be taken into account and be embraced in every organization as it applies everywhere across the management. Reference Chowdhury, S. 2005. ‘The Role of Affect- and Cognitions-Based Trust in Complex Knowledge Sharing.’ Journal of Managerial Issues 17 (3): 310–26. Dirks, K. T. 2000. ‘Trust in Leadership and Team Performance: Evidence from ncaa Basketball.’ Journal of Applied Psychology 85 (6): 1004– 12. Dirks, K. T., and D. L. Ferrin. 2002. ‘Trust in Leadership Meta-Analytic Findings and Implications for Research and Practice.’ Journal of Applied Psychology 87 (4): 611–28. Nina Evans ands Athar Mahmood Ahmed Qureshi University of South Australia, Adelaide, Australia Nina.Evans@unisa.edu.au Athar.Qureshi@unisa.edu.au Peter H. K., Cooper and Amanda P, (2012) Department of Management, Monash University Julian Teicher, Centre of Commerce and Management, RMIT University of Vietnam Human Resource Management Journal, Vol 22, no 4, , pages 377–391 Read More