The document discusses the lack of trust in leadership in both government and corporations in America. It argues that this lack of trust is due to leaders not being honest, not delivering results, and not living up to their principles. Specifically, corporate leaders promote employees but easily lay them off and government bailed out banks but not citizens. The document says that to restore trust, leaders must clearly articulate their vision, lead by example through honesty and integrity, and deliver tangible results. Effective leadership built on trust is needed to drive unity and help America overcome its challenges.

1. What We Need is Trust In Leadership
Ultimately, it is trust that serves as the catalyst, an enabler for the volition
of employees and citizens to achieve success through expressing itself in
the united pursuit of a common cause.
According to an ABC/Washington Post Poll, 68 percent of Americans view the government unfavorably
and 70 percent view Wall Street financial institutions unfavorably. Amid the Occupy movement, a PBS
report by Paul Solman found that the financial gains during the last decade have mostly been made at
the top percent of Americans as more people are falling out of the middle class. The top 20 percent of
Americans now hold 84 percent of the wealth in the U.S. while the second 20 percent holds 11 percent
and the third 20 percent holds 4 percent.
These are problems of leadership, and they are not surprising after a decade in which many lost their
jobs and believed falsehoods about war and job permanence, while watching respected institutions and
the promise of owning a home crumble overnight. These are the worst kinds of leadership problems. At
their heart are fundamentals that must be restored. One such fundamental is trust.
Today, trust seems to be reducing for leaders in corporate America (and now globally), and
government, by employees and constituents respectively. The spread of Occupy Wall Street to cities
across the nation, and around the world, was simply a reflection of the sheer power and prominence of
this sentiment. Political leaders in Europe were forced to step down because they were not trusted to
effect the necessary changes to stem the tide of global financial collapse. Neither did they demonstrate
the volition to take preventative measures to guard against acquiring what they knew to be risky
financial instruments, derivatives, being aggressively sold to them by J.P. Morgan and Goldman Sachs
among others. More importantly nothing has been done to stem the tide of fewer owning greater.
Americans feel that business cannot be trusted to consider a redefined social responsibility and
government cannot be trusted to hold business accountable for ethical practices.
How did America get here? Corporate America has been systematically weaning employees off of trust.
Businesses promote the employee as the greatest asset but you do not find human capital on the
balance sheet. It “develops talent,” “fosters diversity,” and trumpets these efforts widely to internal and
external audiences. However, that greatest asset is easily expendable if it’s in “the best interest of the
company,” and “maximizing profits and shareholder returns.” There is not one American who has not
been touched by stories of reductions in force (RIFs). And why do so many companies “RIF” before
March when they have policies requiring you to be an employee until the end March in order to get your
bonus, stock options, LTIC, etc.? When actions are not consistent with words or perceptions created by
design, trust sits on the losing side of the equation, and as we have seen, its ripples are far-reaching.
Government is marred with favoritism for the benefit of the few, corruption, and the lack of moral
character. America lives in the aftermath of a political system that is drowning in infighting, has lied to
its citizens and broken many promises, dismantling the nations unified stance and welfare, and stunting
its growth at the same time. First, it was about WMDs (weapons of mass destruction) in Iraq, the
primary reason for going to war. As revealed in the documentary “Inside Job,” we have seen tort law
changes that dramatically reduce citizens’ ability to sue effectively, a critical lever in corporate
accountability.
Government and the power elite bailed out Corporate America but not Citizen America. While the
government and the parties claim their policies will improve the welfare of the 99 percent the nation
sees the 1 percent reaping far greater benefits than the 99 percent. Government settles for $20 billion
with the financial institutions that played such a large role in the collapse of 2008 when home
mortgages in the US are upside down by more than $500 billion. Enter the Occupy movement.

2. Leaders who implement effective change strategies excel at communicating a compelling vision and
clear strategy. They build a well-functioning leadership team built on the pillar of unity and
cornerstone of trust. Applying these learnings to the state of the U.S. today, we must do the following
four things to restore trust and faith in leadership:
1. Be clear about the vision and expectations. No one will follow a leader unless you clearly
articulate your vision for the future, how you will get there, what is expected from whom, and
how we will manage for results, including accountability.
2. Lead through example. If you can’t live your principles, no one else will either. For example,
if you want billions for bailing out the auto industry, opt for a coach seat on a commercial flight
instead of the executive jet to meet with Congress. We have some great examples to follow.
Consider the believers in Mahatma Gandhi who trusted him because he lived the change he
wanted to see through a life based on essentials and his campaign of civil disobedience that
ultimately led hundreds of millions of Indians to independence. The impact on the world from
these trusted leaders will influence our lives for time to come.
3. Be honest and straightforward. Respect the intelligence of your constituencies enough to
tell them the truth. If the government’s goal is to ask the rich to pay taxes, how real is it to expect
that getting taxes from the rich alone will create hundreds of thousands of jobs, or improve the
wellbeing of the entire nation? Admitting this is being real. Your constituents will not take you
at face value so you must demonstrate courage through honesty. If you do this, when you ask
them to meet your expectations they will have a clear understanding of the challenges and join
you in your quest to overcome them.
4. Deliver results. If you can’t bring results to fruition, you’ve lost not only the battle, but the war
as well. No amount of clarity, leadership through example or honesty will be enough. Consider
Steve Jobs and the critical mass of likeminded individuals who trusted him not only because of
his steadfast and uncompromising loyalty to a vision, but his ability to bring that vision into
fruition and deliver the results.
Earning back trust is not an easy thing to do. Take a look at the state of a bickering Congress and a
Presidential race marred with the cancer of rumor, gossip, and backbiting and the paralysis this has
created in the greatest nation on earth, a corporate and government environment bereft of discernment
to see the undercurrents they are stirring filling the backbreaking burden on Citizen America, and
incarcerating the nation’s ability to effect material change. There’s also a public crying out for the kind
of leadership (government or business) that can make lives better.
The answer to restoring trust is via effective leadership. Yes, we are in a difficult position due to a
confluence of variables that have gone terribly wrong. Has history not shown that we can overcome
when things are terribly wrong? The only way out is through effective leadership built on a strong pillar
of trust that drives unity and results. Ultimately, it is that trust that serves as the catalyst, an enabler for
the volition of employees and citizens to achieve success and realize greatness through expressing itself
in the united pursuit of a common cause.
Vafa Akhavan is a Senior Adviser with NueBridge llc. He has been President and CEO of The Forum Corporation, a global
consulting firm based in Boston. Previously he held various executive positions at The McGraw Hill Companies based in
New York. Vafa has worked with F500 companies in 7 sectors across 3 continents.