Leaders who are fully committed to these ideals are the gold standard for the rest of their industry, both reputationally and innovatively. When you share everything about your business (how your processes work, where you source materials, your commitment to customer service, etc.), you inspire trust and respect. This is what leads to success.
Transparency is your greatest competitive advantage, especially during times of turmoil. It reduces unnecessary risk and improves the quality and efficacy of the products and services you provide. This is even more critical for companies in the construction industry, as transparency promotes safety, accuracy, and keeps clients top-of-mind.
Below are some of the biggest benefits of making transparency a central part of your company mission.
Transparency builds trust
Studies have found that there’s a strong correlation between management transparency and employee happiness. In one particular study of 40,000 workers across the United States, job satisfaction was directly tied to how open and honest a company’s leaders were. In other words, if you want to attract and maintain top talent, you must prioritize transparency. Keep your employees involved in all decisions, changes, and updates. This demands consistent communication and accountability. Promoting trust within your team is an ongoing effort, not just a one-off tactic.
This is also true of your customers as well. Is one of your projects running behind? Will you have to charge more for the project than you initially quoted? These situations, and thousands more, are bound to arise, especially as you continue to build your client base. What’s important isn’t that they happened, but more so how you handled them. When you build strong relationships with your customers, you instill higher levels of trust across the industry, which will set your company apart from the rest of your competitors.
Transparency promotes a greater respect of leaders
Respected leaders aren’t ones who hide behind the veil of their operations, they earn that reputation by putting themselves in front of their industries. Rather than attempting to conceal mistakes or attribute errors and obstacles to external forces, these leaders own up to the roles they play in difficult situations. Mistakes are inevitable, and leaders who are upfront about these hardships and their plans to remedy the situation prove that they are people worth working with.
Leaders who are dedicated to transparency will have better relationships with employees and customers; because they refrain from secrecy and are willing to admit their mistakes, these leaders earn more respect by presenting themselves in a professional, honest manner. Leaders are the faces of their companies, so a business’ reputation should be judged by how their leaders carry themselves in both internal and external circumstances.
Transparency reduces risk
Transparent communication efforts not only improve the perspective that employees and customers have of your company, they also aid in improving the safety and security of your business and its practices.
In construction, every project you tackle must be approached with caution and care. Because there are so many moving pieces, there will be situations that end up delaying timelines and inflating costs. These are frustrating for everyone involved, of course, but when you’re transparent about the process, as well as any potential hindrances, obstacles, challenges, and updates, you reduce the risk of shareholders and customers feeling excluded or misinformed. All in all, transparency can help your company remain secure, safe, and stable.
Studies show that more than two-thirds of customers are inclined to support businesses that are transparent about their operations, even if this support costs more. Transparency is quickly establishing itself as a key factor in business success, making it more important than ever to embrace transparency in a consistent and sincere manner. In highly competitive markets, transparency may be the deciding factor between your company and a competitor.