Is your company truly transparent for your employees?

In 2021, the Future Forum Pulse conducted a survey of over 10,000 knowledge workers across the U.S., Australia, France, Germany, Japan and the U.K. One of the key findings shows that executives and employees have a different perception of transparency. For example, 81% of executives think their company’s leadership is “transparent about sharing new developments that affect the company”, while only 58% of employees concur (Future Forum Pulse, 2021).

So, let’s start with a question. What is transparency and why is it important?

Firstly, transparency means trust and trust in organisations has real value. It is a crucial element of a healthy and thriving business. Organisations interested in improving trust within supervisor-subordinate relationships should measure and manage employee trust in their superiors and felt employee trust (Skiba & Wildman, 2019). Transparency also builds trust among team members. When everyone knows what is happening, they are more likely to trust that decisions and actions are fair and well-intentioned. Empirical evidence shows that more transparency among peers makes it easier for the team leader to provide incentives (Winter, 2010). The trust plays a vital role in mitigating uncertainty and improving employee engagement, productivity and retention.

Secondly, transparency is all about communication. However, being transparent goes beyond sharing important information with employees. Transparency is the key to build real connection within the team. Leaders should create an open communication environment where employees feel comfortable sharing their thoughts, ideas, and concerns. Do your workers know what is happening in other teams, about their successes and challenges? Do they share recommendations on online trainings or useful techniques? How many team building events do you have? If once a year, that is not enough, especially if you have teams located across the globe. Transparency becomes especially important in the hybrid workplace, where collaboration and relationships are at risk. Gallup research proves that communication is an integral part of employee engagement (Robison, 2021). It is important to make sure that remote and hybrid employees feel connected.

Thirdly, transparency should become a company culture. Improving transparency is a complex process that involves both leadership and organisational culture. A lack of transparency can have a negative effect on the sense of belonging, interpersonal connections and teamwork.

If you want to improve horizontal ties in your organisation, invest in transparency in the workplace. You can increase your events budget or travel costs to bring your team together, or you can use digital tools, like AlbiCoins, to foster interpersonal communication. Special platform will help you with sharing information, ideas and updates and inspiring personal growth. A good platform should also offer a clear rewarding system that acknowledges professional achievements and allows peer-to-peer recognition.

References

• Future Forum Pulse. (2021). The great executive-employee disconnect. futureforum.com/pulse-survey
• Robison, J. (2021, June 28). Communicate better with employees, regardless of where they work. Gallup.
• Skiba, T., & Wildman, J. L. (2019). Uncertainty reducer, exchange deepener, or self-determination enhancer? Feeling trust versus feeling trusted in supervisor-subordinate relationships. Journal of Business and Psychology, 34(2), 219–235.
• Winter, E. (2010). Transparency and incentives among peers. The RAND Journal of Economics, 41(3), 504–523.