Amy Farmer

University of Arkansas, Fayetteville, USA

afarmer@walton.uark.edu

COLLEGIALITY IN ORGANIZATIONS: AN ECONOMIC APPROACH

TO ORGANIZATIONAL CITIZENSHIP BEHAVIOR

Raja Kali

University of Arkansas, Fayetteville, USA

rkali@walton.uark.edu

Abstract.We present an economic model of collegiality based on production with synergies in organizations. The model provides an adverse selection based explanation of corporate culture distinct from moral hazard or equilibrium selection rationales. The model yields positive correlation between corporate culture and collegiality and explains the observed correlation between the strength of corporate culture and the reliability of firm performance. The implications of the model are aligned with a rich literature in management and applied psychology on organizational citizenship behavior.

Received: February, 2016

1st Revision: April, 2016

Accepted: June, 2016

DOI: 10.14254/2071- 789X.2016/9-2/15

JEL Classification: Z13, L23, D23

Keywords: synergies,  collegiality,  mutual  insurance,  corporate culture.