Organizational dysfunction is the product of structural, cultural, or leadership patterns that undermine the purpose, health, wholeness, safety, solidarity, and worth of an organization or its stakeholders. Organizational dysfunction is characterized in a number of ways. These include the intensification of the profit motive in ways that maximize advantage to a few over the many, internalizing benefits (whether personally or organizationally), and externalizing costs. It is facilitated by a number of manipulative processes, policies, structures, information, and relationships.

An organization’s reputation affects its ability to function effectively both internally and externally. If an organization is under reputational strain, caused by resource deficiency, scandal, litigation, or negative media reports, organizational dysfunctions are more likely to lead employees to internalize the stress so that they are more prone ...

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