Why Some Rules Are More Likely to Be Broken

Which rules are most likely to be broken? Research based on 1,011 hygiene inspections of 289 restaurants in California suggest that how rules are designed can create significant challenges for otherwise well-intentioned organizations. Researchers found that not only were more complex rules more likely to be broken, but they were able to determine what type of complexity led to more repeat violations. The findings have implications for how regulators and managers design and enforce rules.

Legal rules are in force to protect shareholders, employees, and consumers from risk. Many of the most notorious corporate accidents and failures have resulted from noncompliance with these rules. Consider the examples of the BP Deepwater Horizon oil spill, Wells Fargo’s account scandal, and even Chipotle’s foodborne illness outbreaks. Each of these cases originated with some sort of rule violation.

Accelerate your career with Harvard ManageMentor®. HBR Learning’s online leadership training helps you hone your skills with courses like Business Plan Development. Earn badges to share on LinkedIn and your resume. Access more than 40 courses trusted by Fortune 500 companies.

David W. Lehman is an Associate Professor of Commerce at the McIntire School of Commerce, University of Virginia. He received is PhD from Purdue University. His research examines how organizations learn from performance feedback, rule violations, and failure, and has been conducted in a range of contexts including professional sports, healthcare, and restaurants.

Bruce Cooil is the Dean Samuel B. and Evelyn R. Richmond Professor of Management at the Owen Graduate School of Management, Vanderbilt University. He received his PhD from The University of Pennsylvania. His research focuses on statistical inference and decision models for business and healthcare and the development of new measures for the reliability of qualitative data.

Rangaraj Ramanujam is the Richard M. and Betty Ruth Miller Professor of Management at the Owen Graduate School of Management, Vanderbilt University. He received his PhD from Carnegie Mellon University. His research examines the organizational causes and consequences of operational failures in high-risk work settings such as healthcare.