A multilevel investigation of the relationship between the strength of ethical organizational culture and psychological safety: Do simple organizational interventions work?

Purpose: This study examines in a cross-lagged design the relationship between ethical organizational culture (EOC), psychological safety (PS) and two organizational interventions aimed at fostering employee engagement and integration as well as increasing decision transparency and employee participation in work design (labeled as FIKA and “Start, Stop & Go”). Design/methodology/approach: We use a cross-lagged design in which we assessed (in a sample of 581 employees) the strength of EOC before deploying two informal interventions aimed at stimulating the informal interactions between leaders and their followers and guiding participative reflections on the progress of work activities. After deployment, we assessed PS in relation to leaders, colleagues and customers as well as the strength of EOC, using the same scales as before the intervention. Findings: Results show that a strong ethical culture promotes PS at the individual as well as at the group level. Although the interventions did not significantly change the strength of EOC, they do enhance the positive association between EOC and PS experienced in relation to the leaders. Research limitations/implications: More research is needed on the long(er)-term effects of the interventions studied to determine their lasting impact on EOC and PS. In addition, more research is needed on specific mechanisms through which organizational interventions potentially foster the emergence of EOC. Practical implications: These findings highlight the importance of EOC in promoting PS and call for more research on the effectiveness of specific organizational interventions aimed at increasing the strength of EOC. Such interventions could help organizations create more supportive, inclusive and productive work environments. Social implications: EOC is a key antecedent of (socially) responsible organizational practices and understanding the interplay between EOC and PS is essential for promoting a healthier work culture and improving employee well-being and ultimately organizational financial and non-financial performance. Originality/value: These findings highlight a systematic attempt to test the effect of informal organizational interventions on the development of ethical values in organizations and present initial empirical evidence concerning the relation between the strength of EOC and PS.