How entrepreneurs can build trust in their businesses

When you are trusted as a supervisor, manager, chief executive or as a company, you attract new customers and old ones keep coming. Employees also go the extra mile to ensure the company thrives. Companies or departments run by trustworthy managers also attract new talent; everyone wants to be employed there.

They also experience less resistance when strategies change and the staff turnovers are low. Be it start-ups or big organisations, we are all struggling with retaining the restless millennials. Studies show that this group tends to thrive in work environments in which employees “act like a bunch of old friends.’’

Don’t make employees trust their colleagues more than they trust you, the boss. Trust is an asset, yet many companies focus on it when they need to repair it. This is when they spend millions of shillings on marketing and taking employees to team-building challenges. And we all know that broken trust takes ages to repair.

Every day we hear of an ambitious crop of young entrepreneurs seizing the moment to start a business. However, one of the harsh realities that they all end up facing and having to deal with is: Trust.

What I have learnt over the years is that trustworthiness is one trait that separates successful entrepreneurs from failures. It is the one thing that an entrepreneur can use to determine success for herself, in areas she has control and those he does not have control. If you are an entrepreneur or manager, don’t kill your prospects of growing the business by being untrustworthy.

Businessman and keynote speaker Stephen M.R Covey sought to clarify how trust builds business empires. He notes that trust is a measurable skill that can be effectively taught and learnt, and it is not a ‘‘soft’’ social virtue. So, how can we build trust in a way that helps businesses endure and outlast us? Here are ten steps to help you get started:

Be a great listener

Before offering any solutions, first listen, understand then diagnose what the issues are. The mistake most bosses make is to jump into conclusions.
‘‘You had intentions of stealing when goods got lost in the warehouse, or you were given a gift and that compromised your decision in awarding the tender, or you are a lazy employee, look at how you come in 15 minutes late. You’re fired.’’ This makes other workers jittery and lose commitment in work especially if the boss is two-faced. Why would someone struggle to go out of their way when they are likely to lose the job?

Be accountable
This is your business and you cannot afford to point fingers at others. You must take responsibility and always be clear on how you communicate progress. For this to be effective, you need to be approachable and make it easy for others to give you feedback.

Be honest
I you are committed to building trust you must commit to telling the truth — even when it is difficult. People are wired to seek out trustworthy people so clearly state your intentions by talking straight.
If you invest in being honest, business people who are honest will be attracted to you.

Be transparent
People tend to trust you when you share about yourself, good and bad. You have to take a risk in order to create a rapport. Tell the truth in a way that your stakeholders can verify it, whether good or bad. Avoid having hidden agendas. Confront reality and address the difficult issues directly, not the person who raised them.

Clarify expectations
Even as contracts and agreements are signed, it is important to have all expectations out in the deal table. Feel free to renegotiate if you feel the expectations are not clear.  Do not go back on your word once this is done.

Deliver results
In reality, new entrepreneurs or chief executive are distrusted because they have not build a success track record or case studies against which customers and employees can verify their capability. However, by delivering results as agreed, one can build trust in a new relationship.

Demonstrate loyalty
You must learn to give genuine credit to others generously. Avoid bad-mouthing people who may have betrayed you in a business deal. But this does not you blindly defend your teams when they make mistakes. If you do that they will take advantage of you and the thin line between boss and employee will slowly fade.

Improve
Take time to continuously improve on your business. Take calculated risks, learn from mistakes and allow others to make mistakes from which they can grow.  Develop systems that allow you to get feedback from your stakeholders, formally or informally and act on them.

Keep your promises
The unquestionable character of a trustworthy person is one who keeps their commitments to others and to oneself, no matter how big or small these may be.
These commitments, personal or professional, are all equally important. Should you be unable to do it, proactively let the other person know in good time. And be early for meetings as this has great impact on others inference of your character.  Work to associate dependability with your brand.

Right wrongs

When on the wrong, be quick to apologise and take corrective action where possible. Be a great listener and listen empathically. Before offering solutions, first listen, understand then diagnose what the issues are without coming across as judgmental.

Show respect
Let your behaviour be governed by fairness, kindness and level-headedness whether dealing with those who can help your business and those who cannot.

Trust others

This may be hard thing to do, but whether one has earned it or not, first trust. However, use your knowledge, experience and intuition to avoid being gullible. Trusting others is the first step of becoming a better manager and leader of your business. Avoid micromanaging your employees and let your behaviour communicate that you trust them.

In a nutshell, trust enables others to have confidence in your capability and integrity. Working in a high trust environment means success and peace of mind because trusted people get more things done faster and cost effectively.

As much as it seems easy, building trust takes time and one can easily lose it overnight.  In the words of Warren Buffet, “It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently”.

At the end, it all starts with you.

The author is the chief executive officer at the Raiser Resource Group, a performance improvement company based in Nairobi.