If you think about the issues weighing leading executives and managers today, two consistently rise to the top of surveys on critical organizational challenges—improving customer service and product quality. But even if "perfection" is reached in these areas, it's a fleeting victory as over time, customers continually raise the bar on expectations. For this reason, we turn to our leaders to direct us in anticipating needs and setting the right course in meeting rising demands.
What this means is that organizations need to become the kind of place where people choose to stay, supported by leaders who have the capacity to effectively enlist others in supporting an inspired vision. But who decides if a product or service is up to quality standards? The customer. Who decides if a leader has qualities worth following? The customer (or in leadership jargon—the constituent). Constituents take an active role in the process of getting things done, and who delegate authority to another to act on his or her behalf. A constituent gives authority to a leader, not vice-versa. Constituents could be employees, or customers, suppliers, shareholders, business partners, and community members. Leaders take note: you are not a leader without followers.
According to surveys of more than 15,000 people worldwide and over 400 case studies, the top four qualities people expect from their leaders are (in order of frequency), honesty, forward-looking, inspiring, and competent. These qualities are what communication researchers refer to as source credibility. In measuring the believability of a source of information, be it a CEO, the President of the United States, or a used car salesman, researchers generally use the qualities of trustworthiness, expertise, and dynamism—strikingly similar qualities to three of the top four in other studies. Credibility then, is the foundation upon which leaders and their constituents will build their tomorrows.
Credibility is the ability to inspire belief or trust that you have what it takes to get the job done--that you are competent. Without it, don't expect people to follow. Competence is therefore one of the key elements in developing credibility. To agree to do something in which you are incapable of performing is, in plain English, idiotic. There's nothing heroic about saying you can turn around a department when you lack the skills to do it.
Credibility is not only worth having, it's essential if organizations are to develop effective leaders who engage in meaningful work. Having a credible leading manager promotes positive work attitudes, organizational pride, stronger teamwork, increased sense of ownership, personal responsibility, and closer alignment between personal and organizational values.
Leadership is a means to an end. Effective leaders believe in a vision and encourage constituents towards that vision while providing interesting and challenging work. It's not the money people ultimately work for however; it's being engaged in meaningful work that contributes to a larger purpose. The money is a buy-product of hard work, a sense of ownership, and being connected to community. Studies now show that feeling connected to others is what makes most people happiest.I f leaders can connect into the hearts and souls of their constituents, they can create a loyal following. They can begin to do that by working on developing credibility.
What is Credibility?
Credibility is the ability to inspire belief. It inspires two dimensions: 1) that your words are truthful and 2) that you are competent at what you do. With customers it inspires belief in a track record of quality. With organizations it inspires belief in a highly skilled management team, a strong set of partners, a competent board of directors, and media coverage.
1. Trustworthiness
The first dimension of credibility is trustworthiness. When used as a subjective judgment, it's based purely on feelings or intuition. Someone may "look" trustworthy but in fact, be untrustworthy. When used objectively, it's based on evidence or a validated track record of solid results.
2. Expertise
The second dimension is expertise. Do you have the knowledge, skills, and experience required to do the job? Expertise can also be evaluated subjectively but is generally based on more objective qualities such as observation or credentials. To establish credibility expertise, leaders must answer the question, Am I qualified?
Why Credibility is Critical
If you think credibility isn't important, try leading without it. It's not uncommon for a new manager to inherit a skeptical team of employees waiting for the new-hire to prove credible, especially if he or she doesn't look the part. Constituents need proof of performance, despite what's on paper, before willingly aligning with a leader. Having a credible leader promotes positive work attitudes, strong teamwork, increased ownership, personal responsibility, and alignment between personal and organizational values.
Costs of Credibility Failures
The dot com bubble of the late 1990s demonstrated how the lack of credibility, namely trustworthiness and expertise, can cost billions in a game of chance. Hordes of investors poured millions into emerging web-based companies without so much as a web site, let alone a customer. The intoxicating motive of getting rich quick through an initial public offering eclipsed theneed to validate the credibility of an idea or the people behind it. Investors made a few people very rich very fast, but were left holding an empty bag when the bubble burst.
Six Steps to Building Credibility
What are the steps needed to build leadership credibility? Here's a six-step plan:
1. Have a Plan
It's rare for people to follow someone without a plan. In leaderless groups, often the one with a plan organically becomes the leader. Right or wrong, people will subjectively evaluate the trustworthiness and expertise of someone who steps out of the pack to the front.
2. Train to Gain
Once you have direction and a plan, build credibility from the moment stakeholders join your mission with appropriate training. First, get good at what you do! Orient others to their roles and responsibilities to set the framework. Then schedule on-going training so that stakeholders, including yourself, can continuously hone skills and stay engaged.
3. Listen, then Listen Some More
Encourage others to speak out of their own hearts and minds and then listen with objectivity. True feelings will come out in either positive or negative ways, publicly or privately through the rumor mill. Listen to the buzz with your ears, and listen for changes in behavior with your eyes.
4. Trust Others
If you want to earn credibility, give credibility to others by demonstrating that you trust them to do their responsibilities. Avoid micromanaging, nit-picking, and indifference. If leaders dictate a culture of secretiveness, distrust, and paranoia, they are not leading, but blocking the release of human energy and talent.
5. Build Democracy
Build a Democracy where constituents take an active role in getting things done, but delegate authority to another to act on his or her behalf. In successful businesses, constituents give authority to a leader, not visa versa. Constituents could be employees, customers, suppliers, shareholders, business partners, and community members.
6. Build Community
Leaders share their credibility with their organizations by enabling their constituents to feel part of it. They eliminate cliques that suppress initiative or make other employees feel like outsiders. They provide opportunities for employees to interact as part of a community and witness how the function of each leads to the success of the whole.