eawop congress 2013 High Trust Culture Driving Organizational & Leadership Success

USP-D Deutschland Consulting GmbH

24th May 2013 www.usp-d.com

Petra Schulte
Managing Director USP-D Germany and USP-D Austria

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Welcome!
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eawop 2013 High Trust Culture

Agenda
1 2 3 State of the Art New Perspective/Contribution Conclusion and Implications for Research

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eawop 2013 High Trust Culture

Background and Relevance

Trust as subject for search and research? Personnel Development addresses people and their growth in competencies, personality, effectiveness Strategic Personnel Development corresponds with Organizational Development Most common reason for strategic development measures: change

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eawop 2013 High Trust Culture

Background and Relevance

Starting Point
Organizations face

- growing diversity (people, cultures, business portfolios) - reduced availability of resources: experts/talents/potentials
Organizations ask for

- multiplication of positive effects: high speed, wide spread - efficiency of measures: less investment of time/money The common denominator often is trust.
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eawop 2013 High Trust Culture

Edelman Trust Barometer 2011
Quality, transparency, trust, and employee welfare are most important to corporate reputation How important are these factors to corporate reputation?

Source: Edelman Trust Barometer 2011, Management Summary, p.7

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eawop 2013 High Trust Culture

State of the art: Definition of Trust

An integrative model of organizational trust (Mayer et.al. 1995, Schoormann et.al. 2007) Trust is the willingness to take risk, and the level of trust is an indication of the amount of risk that one is willing to take
Schoorman et.al. (2007, 346)

View: Trust is based on relationship

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eawop 2013 High Trust Culture

State of the art: The concept of Trustworthiness

Three factors contribute to trust (Mayer et.al. 1995)

Ability: Ability is that group of skills, competencies, and characteristics which enable a party to have influence within some specific domain (p.717). Benevolence: The extent to which the trustee is believed to want to do good to the trustor (p.718). Integrity: The perception that the trustee adheres to a set of principles the trustor finds acceptable (p.719).

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eawop 2013 High Trust Culture

State of the art: A model of organizational trust

Mayer et.al. 1995

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eawop 2013 High Trust Culture

Agenda
1 2 3 State of the Art New Perspective/Contribution Conclusion and Implications for Research

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eawop 2013 High Trust Culture

Four Levels of Trust

Intrapersonal trust

Trust in ones own capacities (Selbstvertrauen)

Interpersonal trust

Trust reduces complexity (Neubauer, 1999)

Intraorganisational trust Interorganisational trust

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Trust in ones own organization or trust in ones own team, department

Trust that is directed towards the organization (e.g. from suppliers and customers) (Neubauer, 1999)
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Possible first steps / interventions for organizations

Creating awareness

trust as agenda topic of management team jour fixe

Analyzing the status quo

desktop research on fluctuation, employee surveys

Selling the idea

road shows on high trust culture project

Developing solutions
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implementing trust-building development measures

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eawop 2013 High Trust Culture

Hypotheses

Trust reduces complexity. The quality of the high trust culture in a company directly influences the process factors time, budget, and quality. If those are measurable, the quality of a high trust culture might be measurable, too. What interventions develop and support high trust culture within an organization positively and measurably?

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eawop 2013 High Trust Culture

Meta level model

Organization development
Desktop research

Leadership development
Employee Survey

Road shows SE Communication CSR

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eawop 2013 High Trust Culture

Agenda
1 2 3 State of the Art New Perspective/Contribution Conclusion and Implications for Research

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eawop 2013 High Trust Culture

A Research Proposal: Intervention Landscape for HTC

Structured Interviews with Executives & Top Management members with respect to trust-shaping factors & interventions

Guiding questions for Group Interview

Group Interview (Workshop 1) with Top Management: Complexity/impact of trust-shaping factors & interventions

Draft of an intervention landscape

Workshop 2 with cross-sectional groups: Discussion and evaluation of landscape

Validated Interventions landscape

Analysis & interpretation of results

Final landscape

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eawop 2013 High Trust Culture

Trust Study and Observations

Target Area International company groups with wide spread sites/entities Medium sized private owned companies with international entities First Resonance: - International company groups hesitate: Important point, but Trust finds its place in projects and mission statements. - Medium sized companies first shy back: To big of a point, but they often start doing it step by step.

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eawop 2013 High Trust Culture

Literature
Mayer, Roger C., Davis, James H., & Schoorman, F. David (1995) An integrative model of organizational trust, Academy of Management Review, 20, pp. 709734 Neubauer, Walter (1999): Zur Entwicklung interpersonalen, interorganisationalen und interkulturellen Vertrauens durch Fhrung empirische Ergebnisse der sozialpsychologischen Vertrauensforschung, in: Sydow, Jrg & Schreygg, Georg: Managementforschung 9: Fhrung - neu gesehen. Berlin: de Gruyter Schoorman, David F., Roger C. Mayer, James H. Davis (2007) An Integrative Model of Organizational Trust: Past, Present and Future, Academy of Management Review, Vol. 32, No. 2, pp. 344354

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Contact

Petra Schulte USP-D Dsseldorf / Wien www.usp-d.com

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