Architects of Trust: Architects of Trust: Building Trust in the Building Trust in the

WorkplaceWorkplace

Some Survey NumbersSome Survey Numbers70% of employees believe that trust and loyalty within the f irms is declining

60% do not believe that their management is upright, ethical and honest

50% believe that lack of trust is a problem in their workplace (57 organizations surveyed)

70% won’t speak up because they fear repercussions

One Bottom Line One Bottom Line NumberNumber

•6,500 employees surveyed at 76 Holiday Inn international hotels

•Correlated with customer satisfaction scores, personnel records and hotel revenues

•Hotels where managers were perceived to follow through on their promises were more profitable

•0.125 (1/8 th) improvement in employee trust ratings (5 point scale) should improve hotel profitabil i ty by $250,000

.

What is Trust?What is Trust?

The act of placing yourself in the vulnerable posit ion of relying on

others to treat you in a fair, open, and honest way

Trust n.& v. 1.

(a) a firm belief in the reliability or truth or strength etc. of a person or thing (b) the state of being relied on 2. a confident expectation 3. (a) a thing or person committed to one’s care (b) the resulting obligation or responsibility (OED)

Where Do We Trust?Where Do We Trust?

• Social trust - between people

• Trust in organizations - between organizations and those they serve

• Intra - organizational trust - within organizations

• Inter- organizational trust - between organizations

Some Trust JargonSome Trust Jargon

• Relational trust • Organizational trust • Active trust• Passive trust • Dispositional trust

The Importance of The Importance of TrustTrust

“... in low trust groups, interpersonal relationships interfere with and distort perceptions of the problem.

Energy and creativity are diverted from finding comprehensive, realistic solutions, and members use the problem as an instrument to minimize their vulnerability.

In contrast, in high trust groups there is less socially generated uncertainty and problems are solved more effectively.”

Zand, 1972

“Under conditions of high trust, problem solving tends to be creative and productive. Under conditions of low trust, problem solving tends to be degenerative and ineffective.”

R. Wayne Boss, 1977

Harvard Business Review,

Importance of TrustImportance of Trust“The most productive people are the most trusting people. If this seems to be an astonishing statement, it shows how distorted the concept of trust has become. Trust is one of the most essential qualities of human relationships. Without it, all human interaction, all commerce, all society would disappear.”

Taylor McConnell in Group Leadership for Self Realization

“[Trust] creates a reservoir of goodwill that helps preserve the relationship when, as will inevitably happen, one party engages in an act that its partner considers destructive.”Nirmalya Kuma,

Harvard Business Review November/December 1996

The Importance of The Importance of TrustTrust

• Productive relationships are based on trust – often unrecognized and taken for granted

• It’s a resource that increases with use• Enables coordination without coercion• Enables commitments to be undertaken

in situations of high risk

Reasons for Low TrustReasons for Low TrustFrame of reference - past experiences

•Feelings - low self esteem, vulnerabil i ty

•Facts - past results (or perception of past results)

Perception of attr ibutes of the trustee

•competence

•capacity and abil i ty

•profession

• intentions (virtue)

.

Roots of Low Trust in Roots of Low Trust in the Workplacethe Workplace

Lack of inclusion

Feelings of deprivation and loss

Perceptions of vulnerabil i ty

No posit ive attachment to a “boss”

Previous experiences – yours or other peoples

Trust (or not) in ChangeTrust (or not) in Change

• All change creates distrust. Trust is often the first casualty of change.

• Effective communication depends on the capability and willingness of the receiver

• Concepts of fairness and clear process shapes workable relationships

Fallout From ChangeFallout From Change

• Older forms of hierarchy being replaced• New webs or networks may be based

on business processes• New accountabilities requiring people to

work in teams• May require new skill sets, attitudes and

understanding e.g. initiative, relational competence, time management

Biggest Trust Buster in Biggest Trust Buster in ChangeChange

Organizational change entails a risk of generating real or perceived misalignment between a manager’s words and deeds

Behavioural IntegrityBehavioural IntegrityEmployees perception of the pattern of word/deed alignment

EMPLOYEE TRUST

Will ingness to promote

and implement

change

Intent to stay with the organization

Organizational cit izenship behaviour

Performance

.

Organizational Organizational Citizenship Citizenship

How people behave in the organization – How people behave in the organization – norms.norms.

• Coworker trust and teams Environment for trust affects motivation in groupsHIGH TRUST

LOW TRUST

Group GoalsIndividual Goals

• Knowledge sharing versus knowledge hoarding

• Voluntary Participation – covert/overt resistance

Characteristics of Trust Characteristics of Trust BuildersBuilders

Faith in life and hope in the goodness of mankind

A “healing” attitude

Able to self disclose

Able to risk being open and vulnerable

Self acceptance

Self awareness - clear values, boundaries

Architect of TrustArchitect of Trust

AuthenticityAuthenticity - finding your voice

Emotional Intell igenceEmotional Intell igence - tuning into your own emotions and those of others.

Climate BuildingClimate Building - creating an environment where people can bring forth their ideas, values and concerns

Walking the TalkWalking the Talk - actions speak louder than words - espoused values v. values in action

Taking the responsibil i ty to build trust

Choosing to TrustChoosing to Trust

What are my

feelingsfeelings

Why do I trust?

Why do I not trust?

WHAT ASSUMPTIONS AND BELIEFS ARE AT THE

BASIS OF THIS CHOICE?

What are

the factsfacts

How do you Trust?How do you Trust?

I don’t trust anyone until they are shown to be trustworthy

I trust everyone until they are shown NOT to be trustworthy

1 2 3 4 5

What Are Your Trust What Are Your Trust Patterns?Patterns?

• People, groups and institutions that I connect with

• Do I trust/not trust them?• Why do I trust/not trust them?• What beliefs, assumptions or facts am I

basing this on?

Who Should I Trust?Who Should I Trust?

Interests:Interests: Does this person share my goals, values Does this person share my goals, values

and beliefs?and beliefs?

Competence:Competence: Does this person have the required Does this person have the required

knowledge and ability.?knowledge and ability.?

Accountability:Accountability: Will this person honor commitments?Will this person honor commitments?

Reliability:Reliability: Will this person tell me what I need to Will this person tell me what I need to

know?know?

Attitude:Attitude: Does this person want me to succeed? Does this person want me to succeed?

The Trust Building EquationThe Trust Building Equation

Trust

Intention

Preparation

Mechanics

Self Knowledge

Outcomes

Trust BuildersTrust BuildersImplementing ChangeImplementing Change

• Understand the climate. • Understand the level of resilience – future

shock• Are you stepping on values, norms and

traditions?• Practice the very best communication –

frequently• Resistance is normal and healthy – listen• Don’t ignore the signs – it won’t go away

Trust Building ActionsTrust Building ActionsCOMMUNICATIONCOMMUNICATION

• Solve problems through direct communication.Be explicit . I f compromise is productive, do it in communication, not in your mind alone

• Ask non-assumptive questions. Inquiry not advocacy.

• Practice deep l istening - suspend judgement

• Look for the posit ive - acknowledge the intent f irst

• Validate success or new effort. Share credit generously

RESULTSRESULTS

• When in doubt about taking on a commitment, air your concerns. Only make promises you can keep.

• Schedule regular opportunit ies for input and feedback

• Be t imely

• Be wil l ing to be wrong

Hidden Trust BustersHidden Trust BustersDistance Barriers - telephone, email, fax - lacks

the “high touch” - psychological separation

Physical Barriers - the structure of the meeting place

Language Barriers - language used may not be the first language of both parties.

Cultural Barriers - trust may mean different things and be built in different ways e.g.

• North America - Demonstrated performance over time

• China, Latin America, Arab countries - relationships - social interaction over time

.

Common Organizational Common Organizational Trust Based PracticesTrust Based Practices

• Effectiveness and Productivity• Improvement and Change• Culture and Moral• Employee Retention/Turnover

CommunicationCommunicationAdvocacyAdvocacy

A western academic & business tradition that

stresses testing one viewpoint against the other to find

the strongest.

We focus almost exclusively on advocacy

Most managers are trained to be advocates

critiquing - adversarial thinking - confrontation - presenting our views and arguing strongly for them - debating forcefully to influence others

.

CommunicationCommunicationInquiryInquiry

A complementary skill to advocacy that seeks to uncover information about why a particular view is held

Asks questions about underlying assumptions, beliefs, reasoning

Explores why do you believe this ?Supported by attitude of wanting to understand,

explore, learn, expandNot a technique to cross examine people or find fault

Appreciative Inquiry Appreciative Inquiry

Draws on research and studies that show how we get more of what we focus on and looks for the best of what might

be.

• Assumes situations are problems to be overcome

• Problem, symptoms, causes, solutions, action plan, intervention

• Breaks things into pieces guaranteeing fragmented responses. Slow, linear change.

• What to fix.

• Assumes situations are sources of infinite capacity and imagination

• Good, better, possibilities• Expanded vision of preferred

future. Creates new energy fast.

• What to grow

Problem Solving Appreciat ive Inquiry

CommunicationCommunicationListening Listening

• Group of obstetricians with similar competence and skills

• Drs. perceived as poor listeners who spent less time or were more abrupt in their interactions had more malpractice suits that those who were perceived as attentive, who took time and who listened.

JAMA research

CommunicationCommunicationDeep ListeningDeep Listening

Level I:Internal Listening

at the Word level.

Level III:Intuitive Listening at the Essence level

Level II: Focused Listening

at the Feeling level

FOCUS ON ME

FOCUS ON YOU

ResultsResultsProject ManagementProject Management

• Keep it simple• Traditional good project practices –

small time frames, lots of wins• Full participation in the planning• Clear roles, responsibilities• Full understanding of what participation

and commitment to plan means

Big Snakes, Little Big Snakes, Little LaddersLadders

• Trust builds incrementally

• Distrust has a catastrophic effect

• 5 times the effort to rebuild

Why Is It So Hard to Why Is It So Hard to Rebuild Trust?Rebuild Trust?

• Why is it hard for people to do? Typically involves admissions of guilt , apology, compensation and/or punishment - each of which may have signif icant costs.

• Why is it hard to accept from someone? Involves repeating a decision that was proven to be wrong the f irst t ime.

Importance of Trust Importance of Trust within Organizationswithin Organizations

“Although an organization obviously cannot succeed without high levels of trust between members, most aggressive companies do little to actively build trust. The typical corporation spends huge sums of money training its managers in interpersonal skills, but pays lip service to the critical issue of trust.”

Marsha Sinetar, Organizational Dynamics, 2001

.

Why Not?Why Not?• demands on overstretched managers and

executives, skill set that takes us into intimidating territory, requires significant time and energy, and demands risk

• easier to spend two days learning new project management software, or two weeks adopting a new strategic thinking model than to undertake the complex exploration of building trust and connection with other human beings.

Maintaining an Environment of TrustMaintaining an Environment of Trust ChallengesChallenges

• As society and institutions become more complex the attribution of blame and responsibility for failures becomes diffuse. (I see you, I blame you so I don’t trust you)

• Complex organizations make it hard to deliver consistent service and conduct

• Need for “quick trust” - being in a hurry to complete the process - pace/workloads

• Trust in government is a scarce resource

High Trust High Trust OrganizationsOrganizations

• Experience ½ the average turnover of industry peers

• Higher productivity and profitability• More qualified candidates for open positions• Higher levels of customer satisfaction and

loyalty• More adaptive organizational structures• Constructive strategic alliances• Responsive virtual teams• Effective crisis management• Reduced transaction and litigation costs

The People ResultThe People ResultInvestment in becoming Architects Architects of Trustof Trust, develops an organization full of employees that

• trust management• willing to speak up and

challenge the process to improve the way things are,

• bring commitment, innovation and energy to their work

That's competitive advantage