Organisational 'Trust' Building - KRA For the CEO!

"If each of us hires people who are smaller than"countervailing power" mechanism as discussed by
we are, we shall become a company of dwarfs,J K Galbraith in his book 'American Capitalism'. No
but if each of us hires people who are bigger thandoubt organizations need performing leaders, but
we are, we shall become a company of giants."not at the cost subduing the rights of other team
- David Ogilvy in 'Ogilvy On Advertising'members. More on the subject of impartiality and
David Ogilvy used to do something interesting.fairness can be read in 'The Idea Of Justice' by
When someone was made the head of an officeAmartya Sen.
in the O&M chain, he sent him a set of MatrioshkaLeader's insecurities
dolls from Gorky. When the recipient opened theA leader is after all human, and is bound to have
doll, and kept opening it until he reached the insidehis/ her share of insecurities. In today's
of the smallest doll, he found the above message.competitive environment, a talented subordinate
There was a powerful message in this small act.can be an easy replacement for the boss. A
Recently, I realized the significance of Ogilvy'sbudding subordinate most times is not in the
action and intention. Interacting with the CEO ofinterest of the leader. At a leadership workshop, I
one of India's finest hospitals I asked him theheard a participant ask the facilitator, "What will I
biggest challenge that he foresees for hisdo if I groom the subordinate to take my place?"
institution. Without a hitch, he replied 'medicalThe facilitator replied: "you should tell the
talent'. I was surprised: what kind of medical talentmanagement to give you a new responsibility. If
challenge does a reputed medical institution like histhey don't have a bigger responsibility, you should
faces? The answer was quite astonishing, and alsoquit the job as the organization is not growing."
an issue to ponder for organizational leaders.Good thought, but how many people will actually
"Our biggest strength is becoming our weakestdo it is a question mark.
spot", he said. The story reads like this:Stephen R Covey in his book 'The 8th Habit'
A few years back, the Hospital managementwrites: "Building strong relationships not only
took a strategic decision to align key specialties asrequires a character foundation of inner security,
'practice areas' under the leadership of aabundance and personal moral authority.... but it
renowned doctor. The leader doctor was assistedalso involves stretching ourselves in developing
by a team of specialist doctors from the field.vital new interpersonal skills that will make us
Today, most of the practice leaders are on theequal to the challenges we will face with others."
verge of retiring or getting good monetary offersThe only viable option seems to be continuous
from newer hospitals. The worry for the CEO isself-development by the leader; constantly raising
that there is no number 2 or 3 in the 'practicethe bar which maintains the gap between their
areas', but perhaps a number 4 and below. Howtalents and the subordinates capabilities.
did this happen? In pursuit of achieving its businessFight for credit
objectives, the hospital overlooked the fact thatAlthough not an openly and frequently discussed
the practice leaders were not grooming leadersissue, yet one of the major reasons for friction
from the team working with them. Realizing thatbetween the leader and the team members is
they were not getting opportunities to grow,the fight for credit. A quote attributed to
many talented doctors left the organizations andNapoleon, reads thus:
the ones left behind were unable to develop"The ideal army would be the one in which every
capabilities to lead a team!officer would know what he ought to do in every
This is a story one repeatedly hears acrosscontingency; the best possible army is the one
sectors. As one enters the management cadre inthat comes closest to this. I give myself only half
an organization, one of the first lessons taught isthe credit for the battles I have won, and a
that people do not leave organizations, they leavegeneral gets enough credit when he is named at
their leaders. Curious to know 'why', I spoke toall, for the fact is that a battle is won by the
people across sectors to know the reasons andarmy."
realised that there may be softer issues at play.Most of the times, this truth is lost on the leaders,
A few identified reasons were as follows:who wish to hog the limelight. The subordinates in
Lack of the idea of justicefrustration either switch off and start performing
It may be the most unstated value in anbelow expectations or leave the organization.
organization, but it is the most important trustWhat can the CEO do about the whole affair?
building factor between people, organizations andCan organizations succeed without trust?
their leaders. When organizations in their pursuit ofAccording to Stephan Covey, "Almost all the
achieving business objectives turn a blind eyework of the world is done through relationships
over the mishaps and misbehavior of leaderswith people and in organizations. But what is
towards their subordinates (as in the case of thecommunication like when there is no trust? It's
hospital), the idea of justice is forsaken. This leadsimpossible." CEO's need to realize the significance
to a loss of trust towards the leader andof trust building in their organizations. A lot of
eventually the organization, which leads to peopleliterature is already available on the subject, there
leaving the organization with a negative impressionneeds to be a conscious effort on the part of the
about the organization. In this whole sequence ofCEO to identify 'touch points' for trust building in
events, the organization is the biggest loser- itthe organization. CEO's need to look not only at
loses talent, reputation and people's falling trust onthe competencies of the their internal leaders but
businesses as the harbinger of social change.also at their characters. Alongwith financial
As Lord Acton's famous quote predicts, "Powerperformance, growth, results, etc. CEO's need to
tends to corrupt, and absolute power corruptskeep trust building as their KRA.
absolutely", organisations need to build internal