Trust and Legitimacy

An essential element for every leader is to create a trusted relationship with his/her followers.

But what gives to the leader the license to lead? Is the Legitimacy which is the extent to which others are willing to follow or defer his/her authority. Legitimacy creates Trust. So, if people trust their leader, they will try to do their best to accomplish their goals because they feel confident that others will do the same.  How a leader gain and keep legitimacy?

√ Formal Authority: Leader has a legitimacy by his/her formal role & position.

√ Competence: If people will feel that his/her CEO has a competence (technical knowledge, skills, analytical experience) will follow. 

√ Results: Good results typically increase legitimacy. But poor results don’t mean that CEO will lose his/her legitimacy. 

√ Fairness: Being fare will increase legitimacy as leader will be fair and equal to all people

√ Integrity: A leader gets more legitimacy when is committed to his values and keeps his red lines according to his purpose by not influencing from external aspects. (“Choose the Hard Right from the Easy Wrong”)

√ Putting the company first: He/she gains legitimacy when they put the company interest over their own interest. People need to know that the leader is serving a higher purpose and not his/her own agenda.

√ Staying Grounded: Understand the reality that is leaving and be authentic, humble, and human. Always try to not being someone else and to manage the power that he/she has on his/her hands. Listen, show empathy, be humble and respect his values.

Trust is like our valuable currency and if treated well with our stakeholders can have a positive result.  As a Leader you develop trust by:

• Being transparent
• Reliable
• Capable 
• Authentic
• Act by Integrity, Courage, and Vulnerability
• Communicate the “why” to any big decision.

Without Trust you cannot lead in our days. When people are having trust & respect between them, they can move on & feel comfortable about that. A culture with Psychological Safety can enhance trust that will reinforce motivation & commitment of people to the goals & purpose of the organization.

But for building trust, first you have to realize if your trust your-self, as if you don’t trust you self why anybody to trust you? The results from research that HBR have made in 1.096 adults in 2016 in a variety of organizations shows that: 

√ 60% of people that work for a high trusted organization enjoy their jobs more.

√ 70% were more aligned with organization purpose.

√ 66% were closer & more supportive to their colleagues.

Recent Deloitte research revealed that trustworthy companies outperform their peers in market value by up to four times, and that 88% of customers will return to buy from a brand they trust. We found that 79% of employees who highly trust their employer feel motivated to work.

Thus, Trust is built and nurtured when a company demonstrates a high degree of competence and the right intent; meets capability expectations; reliably delivers on promises made; transparently shares information and motives; and displays humanity in caring for the experience and well-being of others.