The (Ir)relevance of Integrity in Organizations

Abstract

Managers often use the notion of integrity as a means to an end. Specifically, suggesting that a top manager or an organization is characterized by integrity functions as an insurance policy against potential risk. This study analyzes some personal and organizational definitions of integrity, then proceeds to distinguish between utilitarian and intrinsic perspectives of institutions, and how they influence the organizational (ir)relevance of integrity. Organizations whose integrity strategy aligns economic objectives with ethical and environmental goals may be able to foster organizational integrity as a valuable end as well as a beneficial means. In the pursuit of nonfinancial objectives, integrity adds societal value to the institution, while increasing its overall standing within and thus relevance for society.