Richard Bowen

  • Home
  • About
  • Speaking
  • Videos
  • Media/Press
  • Testimonials
  • Blog
  • Contact
  • +1-214-604-5492

August 1, 2019 By Richard Bowen

It’s About Trust, Stupid!

Image of a man walking to the left inside a circle, the word TRUST in a box across his head.
Photo by Bernard Hermant

Leaders in the C-Suite are responsible for setting the strategic path a company must follow to achieve its desired performance and for determining the means by which those goals will be accomplished.

However, achieving those goals and retaining their position and power to get those goals accomplished is not possible if they do not have the trust of the same stakeholders who hired them, as well as their employees and executive team.

As Marc Benioff, owner/ founder and CEO of Salesforce said in an CNBC interview, regarding behaviors, “If trust is not your highest value… your employees and executives are going to walk out.”

A study conducted by Kurt Dirks at Washington University in St. Louis and Donald L. Ferrin at State University of New York at Buffalo revealed that trust in leadership positively affects employees’ job performance, overall job satisfaction, and commitment to their organizations.

People evaluate a leaders’ trustworthiness on competence, motives, the means to accomplish and set directives and the impact, the actions they take in leading the company and taking action in challenging situations and doing the right thing.

While more leaders are let go from their companies because of ethics issues, we forget the other factors that go into building trust. Click To Tweet

I’ve talked often, both in my presentations and posts about trust being the cornerstone of leadership. Establishing trust takes time, losing trust is instantaneous, and regaining it is a remote possibility.

So, what is this trust we keep talking about? And what does it take to establish and keep it? Trust is defined as a firm belief in the reliability, truth, ability, or strength of someone or something. While we emphasize reliability and truth, trust is more complex than just being reliable. According to surveys taken by the Leadership Challenge team, James Kouzes and Barry Posner, a key ingredient in the trust mix which we don’t focus as much on is competence, the ability or strength of someone or something.

Word cloud with hiring words.
Graphic by Maialisa, via Needpix.com

Leaders are often hired because of their competency. They have exhibited the skills needed to take the company to peak performance. If they’ve come up through the ranks their ability to demonstrate the competence needed in their new position puts them under a microscope. If their lack of skills is pronounced, they lose trust. Without the knowledge and skills needed to get the job done better than the last CEO, respect is lost, and trust eroded. The new kid on the block is under constant watch.

In my own career, I’ve observed this time and time again. It results in managers who knock their leaders and employees who find work-arounds. Without the competency to effectively achieve the mission a leader loses ground. Transparency is lost and with-it accountability.

Performance goals are not met, conflicting directives are given, teamwork goes by the ways and productivity and profitability go down. The end result, shareholder and stakeholder revolt – the leader is terminated. According to Daniel Schauber, founder of Exechange, a service that tracks executive departures, more than one in two CEOs stepped down under high pressure to do so.”

The storyline is filled with news of leaders who exhibited incompetence in their directives, to the detriment of the company’s bottom line… Sandy Lerner at Cisco, Rob Kalin of Etsy, David Neeleman of Jet Blue, and the list goes on.

Even leaders like Carly Fiorino, the former CEO of Hewlett Packard, competency comes under scrutiny when what appears to be incompetent decisions are made. While the jury is still out, she is soundly criticized for some of her decisions such as the Compaq merger.

Low angle image of a man with his arms outstretched looking up at a tall glass buildling.
Photo by Razvan Chisu

A competent leader does not have to continually prove him or herself. An empowered team results, which follows, adds to and carries out the directives the leader has laid out. Competency builds trust, the company is in good hands, sound decisions are made because they know their industry and have the vision to lead it to even higher performance and profitability.

What are some key steps a leader can take to build trust?

According to highly respected management/ leadership author and consultant John Maxwell, leading by example and demonstrating that you can be trusted is critical.

He says, “A leader knows the way, goes the way and shows the way.” Nothing speaks more loudly when leaders’ behaviors model their actions. This not only influences your employees’ actions but can also drive employee results. It is also important that you are consistent. Don’t just talk the talk, walk the walk. Do what you say you are going to do, not just sometimes but all the time. This builds trust, not just for today but for years to come.

How to Lose or Gain Productivity and Profitability
Ethics: Speak Up, Lose Your Job!

Tagged With: Leadership, trust

Ethics on your mind? Subscribe to my ezine to get my latest article delivered right to your inbox. Click Here to Subscribe

Richard Bowen is widely known as the Citigroup whistleblower. As Business Chief Underwriter for Citigroup during the housing bubble financial crisis meltdown, he repeatedly warned Citi executive management and the board about fraudulent behavior within the organization. The company certified poor mortgages as quality mortgages and sold them to Fannie Mae, Freddie Mac and other investors.

Related Posts

  • How to Lose or Gain Productivity and ProfitabilityHow to Lose or Gain Productivity and Profitability
  • TRUST Matters! How to Build a Tier One Organization…TRUST Matters! How to Build a Tier One Organization…
  • Ethics: Speak Up, Lose Your Job!Ethics: Speak Up, Lose Your Job!
  • Department of Justice – Encouraging Whistle Blowing or Blowing Smoke?Department of Justice – Encouraging Whistle Blowing or Blowing Smoke?

What People Are Saying About Richard M. Bowen

William D. Cohan"Richard Bowen is one of my heroes. His is a story of human fortitude at its best and Wall Street at its worst."

~ William D. Cohan, NY Times Best Selling Author
2017-06-30T10:08:59+00:00
"Richard Bowen is one of my heroes. His is a story of human fortitude at its best and Wall Street at its worst." ~ William D. Cohan, NY Times Best Selling Author
https://www.richardmbowen.com/testimonials/2556/

Eileen McDonnell"Richard Bowen reinforced my motto that "there is no right way to do a wrong thing.” Long after his presentation, the conversation has continued about personal responsibility and the courage to challenge things that appear to be wrong. We encourage this dialog and rely on it to help make our business stronger."

~ Eileen McDonnell, Chairman, CEO, & President, Penn Mutual
2015-02-13T19:51:19+00:00
"Richard Bowen reinforced my motto that "there is no right way to do a wrong thing.” Long after his presentation, the conversation has continued about personal responsibility and the courage to challenge things that appear to be wrong. We encourage this dialog and rely on it to help make our business stronger." ~ Eileen McDonnell, Chairman, CEO, & President, Penn Mutual
https://www.richardmbowen.com/testimonials/711/

Ben Stein"Richard Bowen, you are a star and a hero."

~ Ben Stein, Economist and Political Commentator
2015-02-13T19:50:26+00:00
"Richard Bowen, you are a star and a hero." ~ Ben Stein, Economist and Political Commentator
https://www.richardmbowen.com/testimonials/712/

Jim Farrell"Richard's speech at the April Financial Executives International dinner was informative, interesting, riveting, and fast moving.  The feedback from members was overwhelming positive, and Richard received one of the few standing ovations given by our membership."

~ Jim Farrell, Program Chairman, Dallas Chapter, Financial Executives International
2014-12-28T19:48:17+00:00
"Richard's speech at the April Financial Executives International dinner was informative, interesting, riveting, and fast moving.  The feedback from members was overwhelming positive, and Richard received one of the few standing ovations given by our membership." ~ Jim Farrell, Program Chairman, Dallas Chapter, Financial Executives International
https://www.richardmbowen.com/testimonials/532/

Dennis McCuistion"Richard Bowen has been there, done that, and has the scars to prove it, and his message of corruption at the highest levels of industry and government needs to be heard. I only wish that more bankers had the courage that Bowen exhibits. He is not only one of the most talented bankers I have ever met, he has more integrity than all the bankers on Wall Street put together. If his former employer had listened to him taxpayers would not have had to bail out Citi for the third time in the last 30 years."

~ Dennis McCuistion, Host of the McCuistion TV program
2014-12-28T19:48:06+00:00
"Richard Bowen has been there, done that, and has the scars to prove it, and his message of corruption at the highest levels of industry and government needs to be heard. I only wish that more bankers had the courage that Bowen exhibits. He is not only one of the most talented bankers I have ever met, he has more integrity than all the bankers on Wall Street put together. If his former employer had listened to him taxpayers would not have had to bail out Citi for the third time in the last 30 years." ~ Dennis McCuistion, Host of the McCuistion TV program
https://www.richardmbowen.com/testimonials/533/

Betty Garrett"Richard Bowen is a dynamic, entertaining speaker and story-teller - a CPA with a great personality!"

~ Betty Garrett, Garrett Speakers International
2014-12-28T19:47:50+00:00
"Richard Bowen is a dynamic, entertaining speaker and story-teller - a CPA with a great personality!" ~ Betty Garrett, Garrett Speakers International
https://www.richardmbowen.com/testimonials/531/

fred-timmons"I believe Richard Bowen is the only keynote speaker to ever receive a standing ovation from the Texas Society of CPA’s at any of its annual conferences."

~ Fred Timmons, Chairman of The Texas Society of CPA's
2014-12-28T19:47:22+00:00
"I believe Richard Bowen is the only keynote speaker to ever receive a standing ovation from the Texas Society of CPA’s at any of its annual conferences." ~ Fred Timmons, Chairman of The Texas Society of CPA's
https://www.richardmbowen.com/testimonials/530/

Presentation Topics

Playing for High Stakes: The Principles and Practice of Ethical Leadership

Dark Citi: The Story of a Whistleblower

Want to Hire Richard?

Watch Richard

See What Clients are Saying

About Richard

Recent Posts

  • Warmest thoughts and best wishes for a wonderful and safe holiday
  • Thanksgiving 2020
  • Pausing For A While
  • The world is in crisis
  • Relationships Count

Categories

  • Business Ethics
  • Congress
  • Corporate Debt
  • Corruption
  • Ethical Leadership
  • Financial Crime
  • Financial Crisis
  • Financial Crisis of 2008
  • Holiday
  • International
  • Mortgage Lending
  • Mortgage Meltdown
  • Relationships
  • Texas Politics
  • The Fed
  • Too Big To Fail
  • Uncategorized
  • Updates
  • Wall Street
  • Whistle Blowers

About Richard

Now an ethical leadership speaker, Richard Bowen was Citigroup's Business Chief Underwriter during the housing bubble.

Read more

Connect with Richard

  Facebook   Twitter   Linked   Google Plus   YouTube

Contact Us

Phone: +1-214-604-5492

Email: Richard@RichardMBowen.com

Contact Richard
Google+

Copyright 2019© 2021 · Richard M. Bowen | ALL RIGHTS RESERVED.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Cookie settingsACCEPT
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are as essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are as essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.

Necessary Always Enabled

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Non-necessary

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.

X
Sign up to receive my blog posts via email!
Subscribe >>