The 3 Types of Trust in Leadership

Leadership is a complex and multi-faceted topic, and one of the most important aspects of it is trust.

Trust is the foundation upon which strong and effective leadership is built, and it is essential for creating a positive and productive work environment.

In this post, I will be discussing the three types of trust that are essential for effective leadership: positional trust, personal trust, and performance trust.

As someone who has been in leadership positions for many years, I have seen firsthand the impact that these different types of trust can have on a team and an organization.

So, let’s dive right in.

Positional Trust: The Foundation of Leadership

Positional trust is the trust that is placed in a leader based on their position or title within an organization.

It is the trust that is given to a leader simply because they hold a certain role or have a certain level of authority. This type of trust is essential for a leader to be able to effectively guide and lead their team. Without positional trust, team members may be less likely to follow a leader’s direction or take their guidance seriously.

It’s important to note that positional trust is not something that a leader can demand or demand, it must be earned.

This can be done by consistently demonstrating integrity, fairness, and transparency in decision-making. A leader who is able to earn positional trust will find that their team is more cohesive, productive and efficient. A leader who fails to earn positional trust, on the other hand, will likely struggle to effectively lead their team.

As an example, in a study done by the Harvard Business Review, it was found that companies with high levels of trust in leadership had 50% higher performance than companies with low levels of trust. This statistic shows how important it is for a leader to earn positional trust from their team.

Personal Trust: Building Strong Relationships

Personal trust is the trust that is built between a leader and their team members on a personal level.

It is trust that is developed through open communication, honesty, and vulnerability. This type of trust is crucial for a leader to be able to connect with their team on a deeper level and to understand the unique needs and perspectives of each team member.

Personal trust can also be a crucial factor in creating a positive and supportive work culture. When team members trust their leader on a personal level, they are more likely to feel comfortable bringing their ideas and concerns to the table. This can lead to more innovative solutions and a more engaged workforce.

I can attest that the key to building personal trust is being authentic and genuine with your team. A leader who is transparent about their own strengths and weaknesses and who is willing to listen and respond to feedback will be able to build strong personal relationships with their team members.

A specific example of this would be a leader who takes the time to meet with each team member one-on-one to understand their goals, aspirations, and the challenges they face. A leader who makes this effort demonstrates their willingness to invest in their team members and this act alone can help establish personal trust.

Performance Trust: Delivering Results

Performance trust is the trust that is earned by a leader through consistently delivering results and meeting or exceeding expectations.

It is the trust that is built through a leader’s ability to effectively manage and lead their team to success. This type of trust is essential for a leader to be able to earn the respect and confidence of their team members and the organization as a whole.

As an experienced leader, I can attest that building performance trust requires a combination of strong leadership skills, strategic thinking, and a relentless focus on delivering results.

It means setting clear goals, creating a plan to achieve them, and regularly measuring progress. A leader who is able to consistently deliver results will be able to earn the trust and respect of their team, and the organization.

As a specific example, consider a leader who sets a clear and ambitious sales target for their team and develops a strategy to achieve it. Through effective communication and coaching, the leader can lead the team to success, exceeding the target and earning the trust of the team, and the organization.

According to a study by Gallup, companies with high-trust cultures outperform those with low-trust cultures by 286% in sales. This statistic once again highlights the importance of performance trust in achieving business success.

Building and Maintaining Trust

Building trust is a continuous process, and it requires a leader to be intentional and consistent in their actions. It is not something that can be achieved overnight and it requires a leader to be aware of the different types of trust and how they can be built and maintained.

I personally believe that a leader who can earn and maintain trust in all three areas - positional trust, personal trust, and performance trust - will be able to lead their team to success.

However, building trust requires consistency, transparency, and integrity. A leader who is able to consistently demonstrate these qualities will be able to earn and maintain the trust of their team and the organization.

Additionally, It is also important for a leader to be aware of the potential threats to trust, such as poor communication, lack of transparency, and inconsistent behavior. It’s important to identify these potential threats and take steps to address them will be better able to maintain trust over time.

A leader who is transparent about their decision-making process, communicates regularly and effectively with their team, and takes immediate action when a mistake is made will be building trust with their team through transparency and accountability and is more likely to maintain trust over time.

Wrapping Up

Trust is a fundamental aspect of leadership and is essential for creating a healthy and productive work environment.

Positional trust, personal trust, and performance trust are the three types of trust that are essential for effective leadership. A leader who is able to earn and maintain trust in all three areas will be able to lead their team to success.

Building trust not only requires consistency, but also transparency and integrity, and it is a continuous process that requires a leader to be very intentional and consistent in their actions.

I have seen firsthand the impact that trust can have on a team and an organization and I strongly believe that building and maintaining trust should be a top priority for any leader.