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Thursday, September 13, 2012

The One Quality That Builds Loyalty


The one key ingredient that builds loyalty is trust. The inspirational leader knows this and demonstrates qualities in their life that builds trust with those around them. They know that walking the talk is far more effective than talking about trust or service or loyalty.

In an article by one of my favourite columnists (Leon Gettler), he shared a study about trust that should alarm us all. Even though it was published in 2005, it seems to still be valid today.
 

Trust Study by Global Public Relations Giant Edelman
77% trust the business environment is on track
65% trust word of mouth regarding trustworthiness of another organisation
61% trust newspapers
46% trust chief financial officers
44% trust chief executives
41% trust company chairmen
36% trust “analyst” reports about business
35% trust non-government organisations
34% trust company Web sites
30% trust the Internet
18% trust governments
17% trust government representatives
14% trust business
7% trust radio
6% trust the media
3% trust advertisements
2% trust TV

(Sydney Morning Herald, Leon Gettler, “Management Report”,1 November 2005)

 
The study found that 27% of opinion leaders – drawn from executives, middle manager and above, senior government bureaucrats, non-government organisations (NB)) leaders and senior journalists – did not give any of these areas high ratings for trustworthiness.

Loyalty


What IS loyalty? By definition loyalty is the state or quality of being true and steadfast, a feeling of duty towards someone or something. To be loyal is to be faithful and true, personally devoted to someone (leader, friend, partner) or something.

I’ve done a series of workshops for many years about what loyalty is, how to establish loyalty in leadership and how to secure loyalty in staff and customers. Through these two-day workshops, I’ve learned much from my research and more from the experiences of the participants.

 

Loyalty, when it exists, is strong as a rock

yet fragile as frozen glass!

 

In a study by SEEK, 69% of employees stated they

Did not believe management is open and honest;

45% do not believe management inspires trust.

 

To be effective and productive, followers must be able to trust and be trusted. Followers seem to have a more reliable intuition about trust and its healthy effects than many leaders give them credit for. When trust permeates a group, great things are possible, not the least of which is a true opportunity to reach our potential.

Secrets

 Trust is often most eloquently expressed in secrets. “Only trust holds personal relationships – friendship, marriage, family, or a larger community – together.” - Lew Smedes

We trust or withhold secrets from those around us as they demonstrate trustworthiness or a lack there of. Without information, knowledge and clear communication – trust, and thus, loyalty is diminished.

The more secrets withheld, the more obvious it is that trust is also withheld. Trust in organisations is foundational and functional. Communications, relationship, unity around a vision – these things are reliant on trust.

Sometimes things go wrong and when they do, such as the GFC, if we have established trust through communications there is a “forgiveness factor” that goes into action to bridge the gap between uncertainty and certainty -- and results in loyalty. Only a leader who consistently demonstrates trustworthy behaviours will be able to hold the imagination and hope of staff, customers and shareholders.

We learn to trust in our families, in school, those we watch and establish as our guides and mentors and role models. Trust generates loyalty. Yet trust cannot be bought or commanded, inherited, coerced or enforced. Trust cannot even be measured. To keep trust alive, it must be continuously earned.

Trust springs from a serious pursuit by both leaders and followers of at least seven essential beliefs and initiatives. These will be the topics for future segments of this column.

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Darlene Richard is an international, subject-matter expert and philosopher on the issues affecting the quality and productivity of staff within non face-to-face customer supporting environments. Contact her on DR@CustomerResponseINTEGRITY.comif you have any questions or comments regarding this article.

 


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