The document discusses the importance of trust in organizations and its relationship to performance. It defines trust and discusses different perspectives on trust. There are two types of trust: calculated trust which is based on self-interest, and uncalculated trust which is based on having others' best interests in mind. Absence of trust can hamper team effectiveness by causing people to conceal weaknesses and not help each other. An employee's trust is shaped by their leader, other employees, direct supervisor, and company. Research shows a relationship between trust and positive outcomes like sales, profit, and employee perceptions of leadership. Trust is built by managing tasks, relationships, and transparency, with mentorship playing a key role. Integrity and sincerity are essential for

1. Trust & Performance Dr. Amine Ayad

2.  What is trust?
 Why is “trust” important?
 Are there potential negative
consequences to trust?
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3. Different authors define trust differently
 Assured reliance on the character, ability, strength, or truth of someone or
something (Source: merriam-webster.com).
 An expectancy held by an individual or a group that the word, promise, verbal or
written statement of another individual or group can be relied upon (Rotter, 1967:
651).
 A personality trait of people interacting within an organization (Farris, Senner, &
Butterfield ; 1973: 145).
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4. Numerous theories attempted to explain trust
 Classic theory of management: Workers are motivated by external factors i.e. rewards &
punishment. They would slack without supervision
 Economists: Humans are self-benefiting in an opportunistic way
 Agency theory: Trust is a product of negotiations i.e. contractual
 Anthropologists: Trust is cultural i.e. in certain cultures actions are done for the benefit of the
collective not the individual
 Social identity theory: Individual identity tied to the organization i.e. mutual success necessitates
trust
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5. Calculated and uncalculated methods of trust provide clarity to
understanding trust
Calculated
I trust you because you will be held
accountable if you don’t fulfill my trust. It is
in your best self-interest. It is contractual.
Uncalculated
I trust you because you will have my best
interest in mind regardless of external
factors such as rewards & punishments and
/ or contractual obligations.
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6. Seven dangerous factors that lead to bad team performance
Bad
Performance
No agreement
- paralysis
Groupthink
(agreement at
any cost)
Free-riding (no
contribution)
Bad Apple
Effect
(negative
member)
No
Accountability
for Results
Lack of TrustWeak
functional
knowledge
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7. Absence of trust among team members hampers team’s
effectiveness
Conceal
Weaknesses
Hide mistakes
Don’t ask for
help
Don’t offer to
help
Jump into
conclusions
Don’t tap into
one another’s
experience
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8. Employee’s trust is shaped by 4 key influencers
Leader or CEO Other Employees
Direct Supervisor Company
Employee’s Trust
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9. There is a relationship between trust and performance
Davis et al. (2000) found that trust was significantly related to sales, profit and
turnover, and to employees' perceptions of their managers' integrity and competence.
Observation: Trust without verification process opens the door for risks and
inadequacies.
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10. Trust building is about managing the task, self, and
relationships
Openness in communication was seen as highly important, because gate-keeping of
information or keeping employees in ignorance, creates uncertainty, fear and distrust.
Essentially, supervisors were most likely to be trusted if they were seen to take a
caring, mentoring approach with their supervisees while still being regarded as
competent and deserving of authority. By contrast, managers perceived as
untrustworthy were seen as self-serving, failing to give recognition, stifling the
employee's potential, quick to blame and criticize, and perceived as incompetent. It
can be concluded that a trusted supervisor not only manages the task responsibilities
of his or her role, but manages the relationship and power differences positively at the
same time (Evans, 1996)
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11. Mentorship builds trust
Not all supervisors are mentors; however, Bell (1996) argues that, when supervisors
take on a mentoring role (formally or informally), the individuals as well as the
organization benefit. House (1981) identified four dimensions of mentoring: emotional
support (e.g. trust, concern, listening and esteem); appraisal support (e.g. affirmation,
feedback); informational support (e.g., advice, suggestions, directives and
information); and instrumental support (e.g. resources, labor and time). These factors
are clearly related to issues of trust in supervisor-supervisee relationships.
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12. Integrity & Sincerity are key elements to building trust &
performance
Trust
Productivity &
Efficiency leading to
Results &
Performance
Fairness
Reliability
Accountability
Consistency
Openness
Care
Mentorship
Transparency
Competency
Collaboration
Teamwork
Confidence
Engagement
Tenure
Learning-in-
action
Functional-
Competency
Integrity &
Sincerity
Integrity &
Sincerity
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13. POA to build trust
Create a Plan of Action (POA) to build trust:
 Sincere self-reflection on trust-relationships (Transparency, Competency, Reliability, Consistency, Fairness,
Etc.)
 Trust assessment (360 surveys)
 Employees who report directly to you
 Other employees in your business
 Community leaders
 Non-Profit organizations
 Your leaders
 Business Partners
 Peers
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