In today's world, how much trust is enough?
Trust is a lead indicator of future corporate performance. The way in which stakeholders, including investors and customers, trust a company or brand now will affect how they behave towards it in the future.
With society’s trust in business at all-time low, companies are now struggling to articulate to their stakeholders the value they’re building for the long term. This ultimately impacts the future performance of organisations and the way they’re perceived by their stakeholders.
We had the opportunity to test this hypothesis during our participation in the Embankment Project for Inclusive Capitalism (EPIC), where the objective of the project was to find more meaningful ways to articulate how companies create and sustain value.
Listen to Ross Jackson, Associate Partner, talking about the importance of trust:
EY has developed a proprietary methodology for defining and measuring trust in an organisation or brand from different stakeholder perspectives.
Our Trust Analytics methodology is based on decades of academic and operational research and provides:
- predictive insights into the future performance of organisations including companies and brands;
- a metric of intangible value and holistic organisational performance; and
- data-driven insights to support decisions to positively influence stakeholder behaviour.
At the foundation of our Trust Analytics methodology lies a five-pillar model which reflects the complexity and nuance of the factors that define and shape stakeholder trust.
The Embankment Project for Inclusive Capitalism:
This report describes insights from the project, its new open-source methodology, plus a set of metrics to help companies build long-term value.