Politicians and corporate executives have done little to foster trust within the Australian public over the last two years or so.
An April 2010 Benchmark Research survey (as part of a larger international study) of 5,000 Australian respondents aged 16-70 years has revealed a dramatic fall in confidence for government and corporate leadership since 2007 - with very few exceptions.
Trust
Trust is really just confidence. The opposite is distrust, or rather suspicion.
When you trust people you have confidence in their abilities and integrity. When you distrust them you are suspicious of their integrity,, their agenda, their capabilities.
Broken Promises and Perceived Greed
Trust is really just confidence. The opposite is distrust, or rather suspicion.
When you trust people you have confidence in their abilities and integrity. When you distrust them you are suspicious of their integrity,, their agenda, their capabilities.
Broken Promises and Perceived Greed
Of the 5,000 Australians surveyed, using online databases, the number of respondents claiming to have lower trust in government leaders has risen from 29% in April 2007 to 42% in April 2010.
The number of respondents claiming to have lower trust in corporate leaders has also risen from 22% in April 2007 to a massive 53% in April 2010.
Of those surveyed 22% trust the media, 27% trust governments and only 12% trust large companies.
In companies, 51% of employees trust senior management; only 36% believe their leaders act with honesty and integrity, and 76% have observed illegal or unethical conduct by management.
Of those surveyed 22% trust the media, 27% trust governments and only 12% trust large companies.
In companies, 51% of employees trust senior management; only 36% believe their leaders act with honesty and integrity, and 76% have observed illegal or unethical conduct by management.
There is a genuine disappointment that regulators have failed to "control" politicians or corporate leaders. There was a belief that governments and corporations were regulated in Australia, thus ensuring that these leaders did not make ruinous decisions.
That belief has all but vanished in 2010 - and has vanished in less than a decade.
The hangover from Britain and America resulting from the global financial crises has tarnished Australians' beliefs so much that they are now more mistrustful of leaders than they are trustful - for the first time since we have been measuring this - which was in April 2003.
Australians under the age of 30 years are generally convinced that they can change all this, that they can bring some order to what they regard as corporate thuggery and governmental idiocy.
Older Australians are generally fed up with the lies, the cheating, the politics and the greed they witness daily in governments and corporates.
Corporate Leadership Affects Brands
There are now several examples from this research where it is clearly indicated that the style of corporate leadership has negatively affected perception of brands. For instance, the style of management of a CEO, as seen in news clips or news commentary, has seen a downrating of a major national/ international airline by consumers, because they perceived the leadership as arrogant, out-of-touch and greedy.
Shareholders rejoiced because their dividends rose, but travelling consumers believed the airline was degraded and losing all its lustre.
A major telecommunications corporation in Australia was seen as bungling, blundering and outmoded because of the actions by many of its senior executives and some of its Board members.
At least three major financial institutions were regarded as overly greedy, out-of-touch with Australian consumers, financially irresponsible and morally corrupt - all because their senior executives were seen as highly overpaid but inept managers.
The list goes on. Our surveys reveal that more and more Australians are coming to doubt the values of corporate leaders, and this doubt bleeds into their brands.
Treading A Wary Path
The recent polls showing a sudden fall in confidence and voting intention for the relatively new Federal labor Government and its leadership reveal just how quixotic and volatile Australians' attitudes are today.
It appears from all the research data we have amassed, that Australians are wary of corporations, governments and supposed leaders - public and private.
There appear to be very few leaders who have covered themselves in glory. Levels of cynicism about leadership were at an all time high in April this year.
Comments such as: "You can't trust any of them" or "They're all crooks" or "They haven't given us any reason to believe what they tell us" are repeated frequently in surveys and focus groups when we ask about government or corporate leaders.
Comments such as: "You can't trust any of them" or "They're all crooks" or "They haven't given us any reason to believe what they tell us" are repeated frequently in surveys and focus groups when we ask about government or corporate leaders.
So much has happened over the last few years to erode trust - collapsing of major companies; senior executives being paid large sums for apparent failure; bail-outs by governments; losses of personal wealth or value amongst investors; the failure of economists to predict looming financial disasters, and so on - all leading to what people regard as "The little man being hit hard while the big guys get away with blue murder, money and power".
In the Daily Telegraph this week, there was an article about the richest people in Australia. Directly beneath this article is an advertisement for meals for a whole family at under $10 cost. The irony was not lost a group of stay-at-home mums I was interviewing that day.
Their thoughts on the juxtaposition: "The rich just keep on getting richer at our expense" and "..we're struggling to feed our family for ten bucks a meal, and they make billions a year... where's the justice in that?"
The Need for Leadership Is Paramount
In the main, politicians and corporate bosses "...just can't be trusted anymore...".
They are frequently perceived as liars and cheats. Where, once upon a time, Australians had faith that all sorts of institutions were under strict controls, today they see them often as loose cannons; as being run by people who have no greater idea about what to do than does the man-on-the-street.
The need to find leaders is critical to most Australians. Leaders who really know where to go and what to do to get there. Leaders who have the intelligence to plan for success and to prepare for pitfalls and failures along the way. Leaders who can cogently argue their way along a path to what is good and right, without crushing the little men along the way.
Our research shows that Australians are desperate for leaders in politics, government and business.
Sadly, the media is filled with negative stories about the failures of governments and corporations, and with very little good news about leadership.
In following reports I will discuss ways that have been successfully deployed to regain trust.
The need to find leaders is critical to most Australians. Leaders who really know where to go and what to do to get there. Leaders who have the intelligence to plan for success and to prepare for pitfalls and failures along the way. Leaders who can cogently argue their way along a path to what is good and right, without crushing the little men along the way.
Our research shows that Australians are desperate for leaders in politics, government and business.
Sadly, the media is filled with negative stories about the failures of governments and corporations, and with very little good news about leadership.
In following reports I will discuss ways that have been successfully deployed to regain trust.
