trust organisation crisis

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Trust – The biggest organisa0onal crisis? Fact & work pack David Watkins ORGANISATIONSDYNAMICS 2016 www.organisa0on-dynamics.com

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Page 1: Trust organisation crisis

Trust–Thebiggestorganisa0onalcrisis?Fact&workpack

DavidWatkinsORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 2: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?Thetrust-richtrend–doesyourorganisa0onmeasureup?

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

“If these trust-rich, more resilient companies are the survivors of each period of turbulence, then they will come to dominate the market – and the model of the high-trust corporation will become prevalent.” World Economic Forum, The Evolution of trust in business

“ A low-trust environment makes everything about doing business more difficult… loss of trust leads to higher transaction costs, lower brand value, and greater difficulty attracting, retaining, and managing talent. Ultimately, it can mean boycotts, negative publicity, and unwanted regulation.” Beinhocker, Davis & Mendoca, 10 Trends You Have to Watch, HBR.org.

Page 3: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?Trust-likeabankaccount:arethesecompaniesoverdrawn?

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 4: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?DoesitmaPerifourleaderscanbetrustedornot?

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 5: Trust organisation crisis

Source: Edelman Trust Barometer 2016

Trust–thebiggestorganisa0onalcrisis?DoesitmaPerifourleaderscanbetrustedornot?

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 6: Trust organisation crisis

IftrustmaPers,whatdrivesit?Companies,cultureorindividuals?Orall3?

© Schindler Management Ltd. | Organisational Learning & Development | Trust | 2015

“Chinaaccountedfor70%ofallcounterfeitgoods2008-2010*”

•  UNOfficeonDrugs&Crime2013

Page 7: Trust organisation crisis

IftrustmaPers,whatdrivesit?Companies,cultureorindividuals?Orall3?

Cheating in exams is fairly common in the Indian state of Bihar, but new images have emerged which show just how large-scale and blatant the practice is. Many students smuggled in textbooks and notes into the examination centres despite tight security - and parents and friends were photographed scaling the walls of test centres to pass on answers to students during the current secondary school examinations for the Bihar School Examination Board (BSEB).

Page 8: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?Wealllie.Youcaneitherburyyourheadanddenyit,orbeawareofitandlookoutfornewdirec0on

Themostcommonlietoldbybothsexesis“nothing’swrong,I’mfine,”accordingtoastudyof2,000Britons,conductedby20thCenturyFox.

Onaveragea“porky”istoldevery5-10minutes!That’s150-200liesperday!

GeraldJellisonstudypaper

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 9: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?Havedifferentlevelsoftrustbecomeacceptable?

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 10: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?Bandura–Moraldisengagement

“persuadingoneselfthattheques>onablebehaviourisactuallymorallypermissible”.

•  “from:“Dishonestdeed,clearconscious”,(Shu,L;Gina,F;Bazzerman,M)

Page 11: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?Bandura–Moraldisengagement

MoraljusCficaCon:Itwasdoneforagreatergood .Advantageouscomparison:Othershavedoneworsethings.EuphemisCclabel:ItsoundsbePerifyoucallitsomethingelse.Minimisingorignoringtheconsequences:Itwasn’tthatbad.DehumanisaCon:Itwasdonetooneof“them”.ALribuConofblame:Itwaswhattheydeserved.Displacementofresponsibility:IdidwhatIwastoldtodo.Diffusionofresponsibility:Everyoneelsewasdoingit.

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 12: Trust organisation crisis

Ifyoucouldchooseyourleader,whatcriteriawouldyou

use?

What’stheminimumfloorto

aimfor?

Howdo/shouldwe“measure”our

leaders?ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 13: Trust organisation crisis

TheVirtuousStyleofLeadershipLeadershipBehavioursthatdrivetrust

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

“readytoconformtoethicalprinciples&inherentlydrivenbymoralexcellence”

Honesty/Trust

Personality

FairnessRespeceul

Caring

CourageBoldness

Enlightened

ReliableConsistent

Authen0c

Readiness

AccountabilityObliga0on

Responsibility

TransparencyCommunica0ve

Openness

AwarenessAcceptance

Humility

Page 14: Trust organisation crisis

Source: Edelman Trust Barometer 2016

Trust–thebiggestorganisa0onalcrisis?Minimumfloor–fixbehavior!

Page 15: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?EightAxiomsofHonestLeadership

Axiom:Self-evidenttruth.“Somethingsoself-evidentthatitisacceptedtobetruewithoutanycontroversy.”

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 16: Trust organisation crisis

Trust–thebiggestorganisa0onalcrisis?Measuringtrust–themoralintelligencequo0ent(MQ)-  Integrityandtrust-  Accountable-  Surprisesanddelights-  Dependable,reliable-  Naturalleader&coach-  Self-aware-  Follower-centric,par0cipa0ve-  Transparentcommunica0on

-  Occasionalwhitelies-  Passthe“monkey”-  Haveblindspots-  Self-achievementorientated-  Notmemorable-  Mo0vatesthroughposi0on-  Targetvspeopleorienta0on

-  Reac0ve/non-responsive-  Triestolead/leadswithpower

base-  Rude-  Self-centric-  Non-caring-  Notsharing-  Direc0ve-  Createsdetractors

BehaviourswhenMQ9-10

BehaviourswhenMQis7or8

BehaviourswhenMQis6orlower

MQ=moralintelligencequoCentUsingascaleof1-10,wouldyourecommendyourlinemanagerbasedontrustworthybehaviour?(10high,0low)

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

10

9

8

7

6

5

4

3

2

1

Page 17: Trust organisation crisis

Trust–thetoughestleadershipchallenge?NineAnchorstodrivehabitualhonesty

SecuringTrust

Lookinthemirror

Increaseyourfocus

Worryonlywhenitsworthit

Communicatewithinspira0on

Lookaround-benchmarkthebest

Taketheini0a0ve

Determineandsupportthe

spanofcontrol

Showyoucare

Channelyour0meandenergy

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 18: Trust organisation crisis

Aktudesvaryastowhatmakesaneffec0vehonestleaderIngeneraltermsthefollowingwordsrepresentaktudesabouthonestleadership.Towhatextentdoyouagreeordisagreewitheachofthese?

Trust–thebiggestorganisa0onalcrisis?Whatmakesaneffec0vehonestleader?

EffecCvehonestleaders…. Stronglyagree Agree Undecided Disagree Stronglydisagree

Arestrongondiscipline

Understandpeople

Makeallthedecisions

Arepopular

Takerisks

Aretransparentandopen

Areinteres0ngandinspira0onal

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 19: Trust organisation crisis

EffecCvehonestleaders…. Stronglyagree Agree Undecided Disagree Stronglydisagree

Aresympathe0c

Empowerothers

Nevercompromise

Canbetrusted

Areconfident

Arealwaysreadytolisten

Don'tsufferfoolsgladly

Arecharisma0c

Haveanopendoorpolicy

Earnrespect

Arefeared

Areinquisi0ve/curious

Arereliable

Trust–thebiggestorganisa0onalcrisis?Whatmakesaneffec0vehonestleader?

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com

Page 20: Trust organisation crisis

Keenformorereading?“Where’smydog?ThesearchforHonestLeadership”DavidWatkins@organisa0on-dynamics.com0041794658097www.organisa0on-dynamics.com

ORGANISATIONSDYNAMICS2016www.organisa0on-dynamics.com