1. Friday, January 7, 2011
Trust influences workplace relations and
organization’s bottom line
Memphis Business Journal - by Barbara Richman
Trust is often cited as a cornerstone in building successful workplace relationships with
employees and customers. Unlike programs that can be planned, implemented and
communicated to all employees, trust has to be established through each workplace interaction. It
only can be gained if the organization’s leaders and employees are attentive to a number of key
factors, including ethics, credibility and integrity.
Breaches of trust have adverse consequences. Depending on their magnitude and scope, they can
damage relationships, undermine overall organizations, or have a negative impact on society at
large. In recent years, widespread unethical conduct in Corporate America has contributed to and
exacerbated economic challenges on a global scale.
These economic conditions have placed increased stress on relationships between employers and
employees in many organizations. According to Deloitte LLP’s fourth annual Ethics &
Workplace Survey conducted in 2010, one-third of employed Americans plan to look for a new
job when the economy gets better. Within this group of respondents, the primary reasons cited
for looking for other employment were a loss of trust in their employers (48 percent) and a lack
of transparent communication from the organization’s leadership (46 percent). Additionally, a
large majority (65 percent) of the Fortune 1000 executives surveyed believe that trust will be a
factor in a potential increase in voluntary turnover during the months ahead.
The study’s findings reinforce the need for organizations to cultivate trust with employees. It
also points out the impact that a loss of trust can have on the bottom line. In the event that these
projections become a reality, employers can anticipate increased costs associated with hiring and
training new employees. Other ramifications, including decreased productivity, can result if
employees with institutional knowledge seek employment opportunities elsewhere.
Employers can mitigate or reverse these projected trends by acting as role models and cultivating
a culture of trust within their organizations. As individuals, each employee can have a positive
influence on the workplace environment by taking steps, such as the following, to develop and
maintain trust in day-to-day relationships:

2. 1. Be mindful that trust is fragile when making decisions that have the potential to jeopardize the
confidence that others have in their relationships with you. Pause and reflect on alternative
courses of action that will not undermine the trust that has been established.
2. Guard against the dangers of using rationalizations or other excuses to justify decisions or
actions that violate ethical principles or organizational expectations. This faulty reasoning can be
used to provide justification for taking inappropriate, and in some cases, illegal actions. It also
can be used to avoid taking responsibility for negative outcomes that could have been prevented.
3. “Walk the talk” on an ongoing basis. Pay attention to your words and actions to ensure that
they are consistent with one another.
4. Apply a “glass house standard” in gauging your integrity. Consider how your conduct would
be perceived if videos of your workplace interactions were e-mailed to each of your business
associates or placed on YouTube for all to view.
5. Communicate a consistent message rather than changing your viewpoints according to what
you believe each audience would like for you to say. Others will lose confidence in your ability
to provide guidance if your perspectives flip flop based on listeners’ expectations.
6. Recognize that workplace relationships can be harmed by engaging in gossip or making
negative comments about others who are not present. Before engaging in these types of
discussions, consider the quote by Ruth Anne Crouse, “What Peter tells me about Paul tells me
more about Peter than it tells me about Paul.”
7. Be truthful in your communications. You will undermine or destroy trust if you knowingly
make false statements or provide incorrect information.
8. Only make commitments that you intend to fulfill. In the event that unforeseen obstacles
prevent you from accomplishing what was agreed upon, inform appropriate parties promptly.
9. Maintain confidentiality based on job requirements and assurances that you have provided. Do
not be swayed if others ask you to divulge information, regardless of whether they promise to
keep it in the strictest confidence.
10. Understand that criticizing others in public can cause resentment and embarrass all who are
present. However, offering constructive criticism in private can increase your potential of
preserving relationships and accomplishing other intended objectives.
11. Work to create an overall environment that is conducive to enhancing trust in your workplace
relationships. Focus on factors such as developing respect, listening for understanding, acting on
facts rather than assumptions, and resolving conflicts with civility.
BARBARA RICHMAN is a senior consultant with HR Mpact, a Memphis human resource
consulting firm. She can be reached at (901) 685-9084, (901) 496-0462 or barbara@hr-
mpact.com.