“As you go to work, your top responsibility should be to build trust” – Robert Eckert, CEO Mattel Building a Culture of Trust J’NE HINGER, VP ALLERGAN, INC. XLLEAD WORKSHOP November 12, 2015

Inspired by and thank you Simon Sinek and Stephen R. Covey

Johnny Bravo

Speed Of Trust, S. Covey Trust is not just a “nice to have”, it’s an economic necessity Trust = Speed & Cost Research shows: -Only 51% of employees have trust and confidence in senior management -Only 36% of employees believe their leaders act with honesty and integrity “The world is changing very fast. Big will not beat small anymore. It will be the fast beating the slow.” - Robert Murdoch, Chairman and CEO, News Corporation

Character and Competence = Credibility and Trust Four Cores of Credibility: 1.Integrity 2.Intent 3.Capabilities 4.Results (i.e. track record) Character “is” Competence “does” Do you know leaders that have great character, but aren’t competent? Do you know leaders that have great competence, but don’t have high character?

“I promise you that these 13 behaviors will significantly enhance your ability to establish trust in all relationships – both personal and professional.” – Speed of Trust; Covey 1.Talk straight 2.Demonstrate respect 3.Create transparency 4.Right wrongs 5.Show loyalty 6.Deliver results 7.Get better 8.Confront reality 9.Clarify expectations 10.Practice accountability 11.Listen first 12.Keep commitments 13.Extend trust “Its about learning to interact with others in ways that increase trust and avoid interacting in ways that destroy trust”

The “Welch-Way” is the wrong way  Profits were like a roller coaster ride due to irrational decision making without regard for long-term implications.  Every year, Welch fired the bottom 10% of his managers at GE to balance the books.  But didn’t GE profit? Yes. But it was more like rolling the dice and gambling with lives of employees for selfish gain — this is not strategy.

“A command and control culture perpetuates a system in which people will more likely do the thing that’s right for them. Uncertainty, silos and politics – all of which thrive in a command and control culture and work counter to the concept of a Circle of Safety – increase our stress and hurt out ability to form relationships to the point where self-preservation becomes our primary focus.” --- Simon Sinek

COSTCO CEO – Jeff Sinegal  While Welch was striking fear into the hearts of his managers, Jeff Sinegal was concerned about giving his employees a raise — at a time when the US was in an economic crisis… Sinegal would say that they should be helping the employees in bad times, not letting them go.  Costco’s stock was (and still is) stable and predictable — nothing exciting about it, just great, clean, predictable progress, performance and profit… when you’re the 2nd largest retailer in the country, predictability is better than spontaneity.

Compare GE to Costco Model

Press Release “We have listened to our customers very closely over the last few weeks and recognize their concern with our proposed debit usage fee. Our customer voices are most important to us. As a result, we are not currently charging the fee and will not be moving forward with plans to do so.”

Would this have been better? “In response to customer outcry and such negative reaction in the press, Bank of America no longer intends to implement a debit usage fee. We are facing bigger economic challenges than we are used to. In an effort to boost revenues, we thought we would try to implement a fee on debit card purchases. We expected some backlash, but not as much as we got. As a result, we will not be moving forward with any plans to charge any additional fees on debit card purchases for any of our customers. Furthermore, we apologize for being shortsighted. We’ve certainly learned an important lesson about just how valuable our customers are and how much influence they can have over our financial standing.”

Great Leaders…

Environment is Everything “When the environment at work is one of encouragement, and one that meets the basic human needs to live, to learn, to feel valued and significant, we do more than just survive — we thrive”. --- Simon Sinek