Navigating Trust in Leadership Dynamics

1. The Dilemmas of Rationality & Freedom Trust

2. Orientation • Importance of trust for leadership • Leader needs to be trusted for open communication • Managing individual vulnerability • Trust is a social necessity to overcome limitations of rationality • Trust relationships present dilemmas of ‘uncontrolled’ empowerment of followers and leader

3. The Trust Challenge The trust relationship between leader and followers • How important would you consider trust to be for successful leadership? Why do you reach the conclusion you have reached? • Can you think of situations in which the level of trust in a leader is particularly important? • Can you think for situations in which the level of trust in a leader is relatively less important? • Have you noticed something surprising about the way trust is dealt with in the maps of leadership that you have come across?

4. Dirks & Ferrin’s Meta-analysis • Examined 40 years of published research on trust in leadership • Trust definition: A psychological state comprising the intention to accept vulnerability based upon positive expectations of the intentions or behaviour of another • Referent (focus) of trust process • Trust in direct leader • Trust in organizational leader

5. Theoretical perspectives of trust in leadership Two theoretical perspectives of trust in leadership • Relationship-based perspective (more social) • Character-based perspective (more analytical) • Trust in leader influenced by ‘mapping’ and its ‘reading’ of the significance of social and analytical territories • Transformational leadership associated more with relationships and issues of empathy and benevolence • Transactional leadership associated more on character-based issues (e.g. integrity and fairness)

6. Dirks & Ferrin Conclude • Their study supports thinking of leadership ‘gurus’ in linking trust to organizational effectiveness • Direct leadership mapping implies trust relationships at all levels of an organization • Indirect leadership focusses on ‘the top level’ • Much research has ignored the possibility that the maps differ in nature (conceptually distinct readings) • Direct leadership mapping permits leadership processes and leaders at all organizational levels

7. Giddens on Trust & Identity • Giddens written extensively about trust in the social world. • Trust a social necessity in world dominated by rational thought and rationally-informed behaviour • Trust related to lack of full information &derives from faith (belief) in individual, e.g. a leader • Difference between moral basis of trust in people and functional basis of trust in systems

8. Trust and Reflexivity • Giddens suggests trust in leader places responsibility on individual who trusts • Trust involves psychological risk • Trust a fragile condition linked to theoretical explanations of other’s actions • Follower’s sense of identity and security important for development of trust • Learning to trust others important part of learning to trust oneself

9. Permanence of Trust Relationship • Leader helps develop trust and containment of uncertainties and anxieties • Openness and self-disclosure of leader vital for developing trust and mutual understanding • Giddens’ analysis suggests trust is a (‘fragile’) process constantly under reflective review by individuals • For Giddens charismatic style weakens follower’s reflective processes and the shaping of social beliefs • Suspension of reflexivity important feature in charismatic influence processes

10. Tjosvold’s - trust, conflict & collaboration • Criticises studies of trust for disregarding consequences of lack of trust • Cooperative groups more productive, yet group interaction can be source of lower productivity (a dilemma) • Avoidance of conflict likely to reduce team’s effectiveness • Conflict resolution model proposes development of shared perspective through action learning processes • Map implies trust development through leadership actions which support conflict management

11. Creative and trust-based leadership • Trust-based leadership facilitates development of cooperative behaviours through recognition of individual’s belonging needs • Creative leadership – “process that shifts behaviours to outstanding levels by by introducing helpful structures for creative actions” • Leader introduces helpful processes that emphasize cooperation not coercion • Creative leader establishes warm, supportive climate • Trust based leader establishes non-threatening space

12. Psychology of Trust • Dirks & Ferrin’s develop map of rational expectations focused on rational beliefs • Trust develops or deteriorates through changes in psychological states • Creation, maintenance and loss of trust associated with transformational leadership • Perceived lack of integrity in leader risks negative vulnerability and loss of trust • Remote leader forced towards character-based approach – fairness • Direct leaders should favour relationship approach

13. Dilemmas of rationality & compulsion • Giddens represents trust as fundamental characteristic of person’s identity • Trust influenced through contexts of increasing complexity and ambiguities • Trust emerges within rationalistic culture as having a non-rational grounding • Dilemmas arises as behaviours cannot always be explained as rational actions

14. Summary • Trust as key feature of leadership maps is highlighted • Charismatic leaders provides way for followers to suspend freedom of thought • Trust in leader is protection from anxieties of identity and existence • Trust depends on process of reflection and is fragile (open to ‘tipping point’ reversals) • Trust-based maps emphasize empowerment (trust relationships) over control (An important dilemma)