Models for Integrating Conscience, Ego Depletion and Social Dominance Orientation: Fighting Fraud and Discrimination Culturally in Organizations

• In Event: Breakfast with Research Roundtable Forum Session
  In Roundtable: Roundtable 7

Abstract

In a matter of seconds, an organizational member can make a discriminatory internet statement that can cost the future of a very successful endeavor and many millions of dollars.
We propose integrating the most recent interdisciplinary research on Ego Depletion (EgoD), Social Dominance Orientation (SDO), and Dark Tetrad (D4) to better understand, predict and fight fraud and discrimination in organizations. Auditing standards dictate that auditors consider the attitudes of management toward fraud when making fraud risk assessments. We utilize the most recent research on D4 and the validated HEXACO model, which can be audited for using organizational emails, interviews, short personality tests, ethics codes and performance appraisals. We propose a model of three dyads underscored by a bipolar dimension ranging from low to high fraud and discrimination risk. We use the HEXACO Honesty-Humility (H) dimension which is a strong predictor for ethics and whistleblowing. We combine this with the HEXACO Agreeableness (A) dimension to form the Altruism (AL) extension dimension, because employees high on AL are more likely to refrain from supporting fraud and are more likely to report it. We propose how accountants can integrate internet posted data and auditing to facilitate a culture of low discrimination and fraud risk via facilitating organizational citizenship behavior to counter the culture of discrimination and high fraud risk engendered by D4 and SDO. We propose a research-based Positive versus Negative Reputation Building Process (PNRBP) model to teach employees the long-term value of conscience building and strong stakeholder relationships. Our proposed model can help explain extremely costly discrimination, anti-egalitarianism, and a culture of white-collar criminality developing in organizations.

Author

• Jana Wilhelm, University of Kentucky