Beth Rogers Principal Lecturer Author of “Rethinking Sales Management” Sue Couchman Consultant West Sussex County Council Trust

Definitions / perceptions Expectation that an organisation or individual will: –Fulfil obligations –Behave predictably –Behave fairly when they could be opportunistic Or is it a belief? Zaheer et al, 1998

Definitions / perceptions Knowing that I need not worry…. Being able to rely on people, to have their support, to be able to work together towards a shared aim, to know that what they say is what they mean… Linked to faith and belief Couchman, 2007

TRUST in a commercial setting Can organisations trust or be trustworthy? –What’s the alternative? Interorganisational trust is established through regular performance to expectations Interorganisational trust and interpersonal trust are mutually reinforcing Interpersonal relationships can still be influential –E.g. Retail purchasers with new products

TRUST in the public sector Concerns with declining public trust in government have become a permanent element of the contemporary political discourse. International Review of Administrative Sciences, Vol. 74, No. 1, (2008) You don't hear much about trust these days. Instead, we want accountability. Sebastion Mallaby - Newspaper columnist

Why is it important? What does it deliver ? Workshop activity

Why is it important? What does it deliver ? In WSCC study –72% of individuals involved in partnership working said it was a very significant determinant of success in delivering to stakeholders Commercial research findings –Risk reduction –Links to retention of key relationships Employees, customers, etc. –Corporate reputation –Indirect link to better performance for shareholders

How does it work? Integrity (being open and honest) Good communications Reliability and predictability Respect Fulfil promises Own up to mistakes Reinforced by behaviour Identified common purpose/aim

Where does your business need trust? Management/employees Us/suppliers Us/customers Us/business partners (consortia/ jv) Us/community ?

The trust exercise

Trust signals Reputation and/or references Roles/positions Values demonstrated Motives/intentions Initial behaviour Reciprocal behaviour Prepared to signal problems Perks and Halliday, 2003

The perils of trust breaking down Feelings of betrayal (even grief) have negative power Unpleasant for individuals affected Retaliation/sabotage Resorting to legal redress Negative word of mouth The good things planned are not achieved

Provisos Uncertainty Perceptions of fairness Perceptions of consequences Human frailty –Especially in volunteering Circumstantial change (e.g. timing) Mess-up more common than conspiracy Honorable exit

Conclusions Trust is an intangible prerequisite for all types of interaction between individuals and organisations Building and nurturing trust associated with success Easily damaged Reflect before exiting

Stakeholder inclusion at WSCC We don’t talk about stakeholder inclusion so much as governance Governance: what we do when there’s low trust Stakeholder inclusion part of governance strategy