2012 Australian Employee HuTrust® Survey

People Power
The trust effect
on employee engagement
and performance. Australian Employee

Profile 2012
Summary

A Joint Study by
Who Group Australia - Michael Dudley md@whogroup.com
& mext Consulting – Stefan Grafe Stefan.Grafe@mextconsulting.com
September2012 HuTrust and This6publicationtrust are its content&are copyright ifm/mext. Duplication and distribution in by
Who Group.
the facets of
and all
copyright trademark ifm/mext and used under exclusive license

whatever media without express consent by the copyright holders is not permitted.

About this study

This study forms part of the global HuTrust® Profiles.

HuTrust® Profiles track and measure the trust
strengths and weaknesses and analyse the most
potent drivers of trust.

The study furthers all the consulting and research
work done with HuTrust® in employee research,
employer branding, people engagement & culture,
leadership and people performance optimisation.

HuTrust® specialists globally help clients significantly
improve their performance short and long-term by
actively building trust in their organisations, brands,
For further information please contact people and products.
Who Group Australia:
Michael Dudley md@whogroup.com This study was conducted during May/June 2012 in
+61 3 8636 4001
Australia with over 500 white collar employees by
mext Consulting: mext Consulting and Who Group.
Stefan.Grafe@mextconsulting.com
+61 400 575 410

www.hutrust.com
HuTrust and the 6 facets of trust are copyright & trademark ifm/mext and used under exclusive license by Who Group. This publication and its content are copyright
ifm/mext. Duplication and distribution in whatever media without express consent by the copyright holders is not permitted. Net Promoter®, NPS® and Net Promoter
Score® are registered trademarks of Bain & Company, Inc., Fred Reichheld and Satmetrix Systems, Inc. All images are ©iStockphoto.com

Our work is a huge part of our lives.

Directly for our employees,
for their families and social network.

There is no doubt that a
high level of engagement
is an indicator of a high
performing culture.


But what is that engagement?
How do I know what is good and what’s not?
How do I build it?
How do I know the payback?

The answer is as old as civilisation.


Trust


If your people can trust you, they will do a lot for you.

94.5% 67.0% 89.8% 86.0%
Enjoy their work Intend to stay in Recommend to Use the company’s
environment much the organisation others to apply for a products or services
more for the long-term job with the in their private life
organisation

85.4% 91.7% 61.3% 94.0 %
Support the Recommend the Don’t consider Go the extra mile
decisions their organisation’s products salary as an to do their job
manager makes or services to others important factor


Trust drives engagement. NPS Question Trust Question
NPS=23 TS=24

Trust is the root cause
of your engagement measures.

Trust is the cause
of your Net Promoter Score (NPS).


Trust separates the more
successful organisations from
the less successful.
The successful manager from Trust in CEOs
fell 12% to just
the less successful. The leader 38% from 2011
from those that fail to lead. to 2012.
Edelman 2012 Trust
Barometer

Trust divides those that can
develop and transform rapidly
and effectively from those that
are plagued by delays, cost
overruns and
underachievement.


The critical importance of trust in the workplace is well acknowledged

“Leadership requires five
ingredients – brains, energy,
determination, trust and ethics.
The key challenges today are in
terms of the last two – trust and “Trust is the lubrication
“The right people will feel far ethics.” that makes it possible for
more pressure to perform well organisations to work.”
when they are trusted.” Fred Hilmer, Australian Institute of
Management Prof. Warren Bemis, named
Hector Ruiz, CEO of AMD in the top-10 thought leaders
in business, Business Week

“The most powerful features
of an organizational culture “The glue that holds all
are trust and respect.” relationships together -
including the relationship
Dr. Samuel Chand, between; the leader and
named in the top-30 Global the led is trust, and trust is
Leadership Gurus lists based on integrity.”

Brian Tracy, Speaker and
Author


Employee HuTrust® Profile 2012

How do the Australian employees score their employers?


What is your level of Trust?

Assuming that a score above mid-point constitutes Trust, the typical interpretation below could be
misleading and possibly give a false indicator. When employees tick 5 or 6 on a 0-10 point scale, they are
merely impartial. They neither distrust nor trust you.

Typically organisations consider
everything above the midpoint as
„trust‟ or „satisfaction‟.
Typical interpretation:
This is in reality incorrect as it
Distrust Neutral Trust insufficiently accounts for the
inbetweeners that neither trust nor
0 1 2 3 4 5 6 7 8 9 10 distrust.

Distrust Neutral Low Trust High Trust However, mext/IFM studies have
shown, customers only express the
slightest level of trust by ticking 7
What people really mean:
and above.

The wrong scale gives managers a
In companies with over 5000 employees you false sense of what the actual
would be counting 10 % of employees wrong employee trust score is– and thus a
(10.2 % of employees ticked 6, companies wrong starting point for
5000+). – That means an error reading of 10 engagement.
% or more.


It’s also not just about being trusted or not. The strength of trust makes
all the difference to your people carrying your success.
A shift from neutral to low trust improves employee behaviours and attitudes by 400%. A shift from
low trust to high trust improves this again by 300%.

If I trust my organisation and manager I will...

35.0%

30.0% go the extra mile to do my job.

25.0%
stay with the organization in the
long term.

20.0%
recommend our products or
services to others.

15.0%
be inclined to support the
decisions my manager makes.

10.0%

5.0%

0.0%
0 1 2 3 4 5 6 7 8 9 10
Distrust Neutral Low Trust High Trust


What do your distrusting employees
say?

‘Often I am asked to do
something urgently, but ‘They cut costs with
often it turns out it us, but spend huge on ‘My manager is only
wasn’t that urgent or is their conferences.’ worried about how
not used at all. I do as they make career.’ ‘I just lie low.
little as possible then.’ They do what
they want
anyway without
regard for me.’
‘Not sure about it.
They introduce these
things, but I don’t
think they ever asked
any of us.’


What do your neutral trusting
employees say?

‘Unless they
‘It’s a means to show me that
earn money.’ they do more
than looking after
themselves, I
have no reason to ‘My boss is good
‘I just can’t see what as a buffer to the
do more for
they achieve. May ‘We seem to stupid politics
‘Every time is like them.’
make more money for restructure constantly. above. That’s it.
sitting in the theatre. the shareholders, but I don’t care anymore. Good if otherwise
The top guys ‘Why would I put I don’t get anything It doesn’t achieve they leave me
change, make all this more in, they don’t back. For us they just anything for me alone.’
booha and I watch appreciate it anyway come up with these
the comedy with anyway.’
and it makes no phoney programs I
amusement as a difference.’ am not interested in.
spectator.’ Lets see.’


What do your low trusting employees
say?

‘I give them the
benefit of the doubt. I
‘My manager is ok. She am supportive, but I
is nice and we get along wouldn’t call myself
well. But I am not sure enthusiastic.’ ‘Happy to do a bit
how good she is and ‘I always go in with more occasionally. But
where it takes me.’ a positive mindset. there are clear limits.’
‘There has to be
But I am not sure if work/life balance. I like
it is warranted.’ my work, but it is work
‘I am not sure. I think I nevertheless.’
trust them and they are
overall good, but some
things I don’t like.’


What do your high trusting employees
say?

‘My managers are great.
They know what to do
and where it needs to go
and empower us to
succeed.’ ‘You are asked so
many times where
you work. People are ‘I love working here. The
atmosphere is great. I ‘My company is
often surprised how good. I give my
much I like my job enjoy my job and coming
here.’ best and I know
and that I don’t mind ‘When our new CEO came
my bosses do. I
working longer than in, at first I thought he was
feel we do
I have to. I can’t another revolver. But he
something good
understand how really has made a difference.
for the company
they can work for a He has a clear vision and I
and I can
company they don’t enjoy helping with that.’
develop with it.’
really believe in.’


Average white collar employee trust in Australia

Despite working in one of the Only 1 in 5 fully trust their
world’s best performing organisation and 1 in 4 trust
economies, almost 1 in 3 of their manager, giving their
your staff do not trust their very best.
organisation and manager.

Every second employee
has only low trust.

Distrusting Neutral Low trust High trust

Trust the Organisation 12% 16% 49% 22%

Trust the Manager 10% 19% 46% 26%

HuTrust® Employee Profile 2012 – Australia, from companies with over 1000 employees


For manager and organisational trust
employees rate their employers at

7.2 average low trust

Overall employers would get a negative Net Promoter Score.
Only 1 in 4 would be considered a Promoter.

Manager NPS -3
Organisational NPS -6
Companies 1000+ employees


If your organisation was a 4 cylinder engine,
you’d be only fully firing on 1 cylinder.


Let’s think of it as your team
Lets


Some segment insights


Women trust their managers more than men

Males Females

Organisational trust 71% Organisational trust 74%
Manager trust 64% Manager trust 76%


Small or big:
Manager trust is the same,
but larger organisations loose their people’s trust

Big Companies
5000+ employees
Organisational trust 65% SMEs
Manager trust 68% <1000 employees
Organisational trust 74%
Manager trust 69%


Who says Gen Y is distrusting
and unwilling to commit?

Over 35
Gen Y
Organisational trust 70%
Manager trust 69% Organisational trust 74%
Manager trust 75%


But how is trust defined and
measured?


Introducing HuTrust®

HuTrust® is the only scientifically sound and
practically proven tool to asses and build trust.

It breaks the amorphous concept of trust into its
six clear facets.

Even statistically over 70% of trust can
be attributed to the six HuTrust®
Facets (statistically 65% is already very high).
HuTrust® is the correct trust equation.

Stability + Development + Relationship +
Benefit + Vision + Competence
= Trust
6

Knowing what trust is made of, we can analyze, build
and manage it!

HuTrust® has helped organisations from Airlines to Telcos and from
Australia to Qatar to improve their performance in all areas of business.


For which HuTrust® Facets do
employees trust employers the most?


Relationship: Vision:

This is the second worst performing The third biggest inhibitor of your
HuTrust® Facet. trust.

Stability: Development:

8 out of 10 employees feel their 1 in 4 don't trust their
organisation organisation
has built a strong foundation. to develop well.

This is likely to do with the time
the organisation has been
around or products offered.

Benefit: Competence:

The worst performing HuTrust ® Facet Every third employee doesn’t trust
and the strongest inhibitor. you to have what it takes. Ouch! Do
we know what we actually need to
Only 6% highly trust you for delivering be competent in?
an adequate benefit in their lives
besides being paid!


The “Trust” Effect – an exponential improvement

Trust score 6 Trust score 7
‘Happy to do a bit more
‘Why would I put
occasionally. But there
more in, they don’t
appreciate it anyway are clear limits.’
and it makes no
difference.’

Trust is the root cause of your people’s behaviour and attitudes.
Trust is the root cause of your KPIs.

Currently organsations and managers miss out on at least
1/3 of possible performance.


Now that we know our strengths and weaknesses
-
How do we best build that trust that is so valuable
to our people to better drive our performance?


With HuTrust® you can:
Analyse your trust
Determine and qualify the biggest drivers of trust
Operationalise across the organisation and in specific segments, divisions
and teams

HuTrust® is applied in:
Leadership trust
Organisational performance and engagement
Transformation readiness
Inter departmental cohesion
Departmental performance
Manager Performance

www.hutrust.com


The full
Australian Employee

Profile 2012
Report is available now

For details contact Who Group.


About mext

Who we are:
Mext help clients grow • Founded in 2004

with vision, precision • Partners in Australia, Singapore , Germany, North America and
The Netherlands
• Local native speaking staff and market intelligence
and certainty
by helping them What we do:
• Research
build trust in their • Consulting
organisations, • At mext we are experts in driving customer engagement based
on trust. With our unique HuTrust® approach we have helped
brands, customers in many industries improve ROI by up to 36%.
products and
people Who we work with:
• FMCG
www.mextconsulting.com
• Financial Services
• Telco & Media
• Travel
• Industry
• NGO

About Who Group
Who Group are Human Capital service and Recruitment delivery specialists who create solutions
that make a difference.

Who Group Human Capital services is ideally positioned to be your strategic business partner. Our www.whogroup.com
core focus is to assist organisations to improve their performance through their people. We use a
combination of best practice tools, interventions and methodologies that deliver results. We have built Contact Us
a consulting firm able to deliver the most immediate but sustaining improvements to the way you do
business. Telephone: 03 8636 4000
Fax: 03 8636 4099
Our consulting approach provides customised solutions for every client and we focus on those things
that drive your success. Head Office
Level 2, 1 Southbank Blvd
Our expertise spans the entire employee life cycle from “hire to retire” and we are able to assist with Southbank VIC 3006
the entire process from attraction through to retention. We have experience across the HR value chain
and we partner with our clients to design solutions that are a best fit for their environment. We also
place a great emphasis on creating sufficient knowledge and capability transfer back to our clients to
ensure lasting and sustainable solutions.

Who knows you.

2012 Australian Employee HuTrust® Survey

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