Trust & Transparency The New Corporate Currency

Guest post by: Robert Whipple
Become an Author

Free PDF Download
Situational Transparency - By Robert Whipple

In just a few years, Trust and Transparency have moved from an also-ran position in the line up of the things that are important to US Corporate reputation to the number one and number two slots. This represents an unprecedented recent shift in the perceived importance of trust and transparency in organizations. Let's take a peek at some data.

In 2006, the top three items mentioned by respondents to the Edelman Trust Barometer Survey were:

1) Quality products and services 53%,

2) Attentiveness to customer needs 47%, and

3) Strong financial performance 42%.

By the 2010 survey, The top three items were:

1) Transparent and honest practices 83%,

2) Company I can Trust 83%, and

3) High Quality products or services 79%.

The astonishing thing is that financial returns dropped from number three on the list to number 10 in just 4 years. Note that "Financial Returns" in 2010 were still important coming in at 45% versus 42% in 2006. It is just that Trust and Transparency showed up as being far more important - nearly twice as important as financial returns in terms of what is important for a company's reputation. Put another way, without Trust and Transparency, good financial returns are not going to be sustainable.

For the past decade Richard Edelman and his team have surveyed people around the world. They interview about 5000 people a year. These are college educated professionals from 25 to 65 years old in the top quartile of income and who are savvy about domestic and world events. The data are then analyzed for trends and reported with detailed analysis. The study is about the things that are driving trust in all major countries. The focus of the survey is on three main sectors, Business, Government, and NGOs (Non-government Organizations).

For the business sector in the United States, these data ring out a signal that is loud and clear. Edelman put it this way: "Trust, absolutely, is now a product for companies to pursue and pursue avidly. Why? Because it enables company performance and stock price to prosper. We see an interlinking of share price and trust." He notes a dramatic correlation between his Trust Barometer and the S&P 500 index over the past several years.

If your company is not measuring the level of trust and actively managing it, you are not focusing on the right things. Seek, through education, to understand these variables and how to obtain and maintain high trust in your organization. It is extremely powerful.

How start trading FX in 3 steps

Leverage And Forex Trading

Use Forex Trading to Provide a Hedge for the Demise of the USD

12.0 The Entrepreneurial Firm Corporate Governance: Entrepreneurs and entrepreneurship in Africa

Building Trust

What Do Trust and Transparency Have to Do With Success?

Five Tips to Instantly Warm Up Meetings and Interviews

Transparency as a Marketing Tool

Aligning minds and what that means

Choosing the Marshall Islands for Company Registration

Best Practices: Annual CEO Expense Audit

Obama Stock Analyst Turned Currency Analyst

The Irony of “Risk” in the Markets

Downsizing Mistakes

Using Your Currency

Financial services: Transparency through social media

Leadership Truth #4 - Great Leaders Value Transparency

5 Unique Benefits of Investing in Foreign Exchange Managed Funds & Other Forex Managed Alternatives

A Tryst with Trust

Situational Transparency

Home > Leadership > Robert Whipple > Trust Transparency The New Corporate Currency > Google +

Free PDF Download
Situational Transparency - By Robert Whipple

About the Author: Robert Whipple

RSS for Robert's articles - Visit Robert's website
Robert Whipple is CEO of Leadergrow Incorporated, an organization dedicated to development of leaders. He has spoken on leadership topics and the development of trust in numerous venues across the country. He is author of three leadership books: The Trust Factor: Advanced Leadership for Professionals, Understanding E-Body Language: Building Trust Online, and Leading with Trust is Like Sailing Downwind. His ability to communicate pragmatic approaches to building Trust in an entertaining and motivational format has won him top ranking wherever he speaks. Audiences relate to his material enthusiastically because it is simple, yet profound. His work has earned him the popular title of The TRUST Ambassador. Mr. Whipple has been published in several Leadership and Training journals including Leadership Excellence Magazine and T+D Training + Development Journal. He is a frequent contributor to The Rochester Business Journal. He has been named one of the top 50 thought leaders on the topic of leadership development by Leadership Excellence Magazine and one of the top 100 Thought Leaders on Trustworthy Business Practices by Trust Across America. Mr. Whipple has a BSME, MSChE, MBA and is a Certified Professional in Learning and Performance (CPLP). Contact at www.leadergrow.com or 585-392-7763
Click here to visit Robert's website.

More from Robert Whipple
Getting a Reluctant Boss to Agree
EMail Tip 33 Creating an Online Persona
Writing Challenging Emails
Bonehead Advertising Ploys
Neon Hypocrisy

Share this article. Fund someone's dream.

Share this post and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Featured

Expert

Robert Strong
@robertdstrong
Visit website

Trust & Transparency The New Corporate Currency

Related Articles

Related Forum Posts

Share this article. Fund someone's dream.


Name:
Email: