Elizabeth Cogswell Baskin

What we know about building employee trust in the CEO

One of the best ways a CEO can build employee trust is to first demonstrate that he or she trusts employees. A recent article in the Harvard Business Review addresses this dynamic from the perspective of managers, but the same principle applies at a higher level in the corporate hierarchy and to the organization overall.

How does company leadership show trust in employees?

  1. Share information. Not just good news, but the bad news as well. In fact, sharing bad news honestly can go a long way towards increasing employee trust. Of course there will always be business information that’s not appropriate to share, and it’s fine to say that. Employees can appreciate that distinction. But if you talk about transparency, make sure you follow up by truly keeping employees in the loop on news you can share.
  2. Avoid creating a risk-averse culture. This is a big ship to turn around, if your culture is already rife with policies and attitudes intended to put as many controls in place as possible. It’s popular now for companies to promote the idea of failing fast, but there’s sometimes a contradiction presented by punitive policies. Giving employees a little more autonomy and decision-making power demonstrates trust in their abilities and their judgment. That’s a first step in having them return the favor.
  3. Promote visibility for individuals responsible for innovation. Look for examples of leaders within the company who are spearheading new product developments or initiatives and celebrate them. Mention them in town halls, encourage your communications staff to feature them in the internal publications or on the intranet. Most success stories will include bumps and challenges along the way. Telling those stories reinforces the notion that the company leadership trusted those employees enough to let them hit a dead end or two before they got it right.

Interested in building trust in leadership at your company? Tribe can help.