The Business Case for Prioritizing Trust

While everyone will agree that trust is important to the success of an organization, not many executives will prioritize it ahead of strategy, operations, or financial performance. This blog proves that trust is not about theory - it’s a proven operating reality inside high‑performing companies.

Michael Rabinowitz

2/24/20264 min read

Trust: It Just Makes Business Sense

While everyone will agree that trust is important to the success of an organization, not many executives will prioritize it ahead of strategy, operations, or financial performance. Yet, perhaps they should, as 93% of business executives agree that the ability to build and maintain trust improves the bottom line.1 The more research you do, the more you appreciate that trust is one of the most powerful, measurable drivers of organizational success.

Trust strengthens financial performance, accelerates growth, and improves operational resilience. It shapes how employees perform, customers behave, deals get done, and leaders make decisions. In fact, companies that intentionally build and maintain trust outperform those that treat it as an afterthought, returning 286% more to shareholders.2

Trust is not about theory - it’s a proven operating reality inside high‑performing companies.

Trust Inspires Higher Employee Performance

Employees in high‑trust cultures are more likely to focus on business objectives, go above and beyond, and innovate. It is amazing what can be accomplished when energy shifts from skepticism and self‑protection to performance. When trust is present:

  • Employees speak up sooner,

  • Teams align faster,

  • Leaders receive better information, and

  • Organizations adapt more effectively.

Need evidence to support these claims? It has been shown that high-trust workplaces generate 8.5 times more revenue per employee compared to the U.S. public market average.3

It is not only about working more efficiently, but also about innovating through new ideas and technologies. You may be currently wrestling with the adoption of AI at your company. Keep in mind that only 26% of employees reject implementing new technologies in companies with high-trust compared to 43% who reject it when trust is low.4

Trust is not a feel‑good cultural attribute—it is a strategic asset with measurable ROI.

Trust Enhances Customer Loyalty and Market Advantage

Customers gravitate toward businesses they trust.

In a marketplace where products and services are increasingly commoditized, trust becomes a differentiator. It signals reliability, integrity, and consistency—qualities that reduce perceived risk and increase willingness to buy, renew, and recommend.

Trust is not optional. Data shows that 81% of consumers say that "I must be able to trust the brand to do what is right" is a deciding factor in a consumer’s buying decision.5

Can trust create brand loyalty? People who highly trust a brand are 2.1x more likely to buy that brand's new products and 2.0x more likely to stay with the brand even if things go wrong.6 Consumers want to be associated with trustworthy companies and brands and will go out of their way to buy them.

Trust is not a nice-to-have brand quality – it may be the most critical consumer requirement.

Trust Reduces Costs and Operational Friction

Low‑trust environments drive waste and expense. They require more oversight, more controls, more approvals, and more layers of management. Decision‑making slows. Collaboration breaks down. Innovation stalls.

High‑trust organizations, by contrast, operate with lower friction. Friction causes delays and stress. Compared to low-trust companies, employees at high-trust companies report 74% less stress, 106% more energy at work, and 40% less burnout.7 They move faster because people rely on one another, share information openly, and focus on outcomes rather than politics.

Not surprisingly, employees prefer working at companies where people are collaborative based on mutual trust. One of the most cited reasons for leaving a company is due to trust - 22% of employees report having left a company specifically due to trust issues.8

While operational efficiency and Six Sigma efforts are quite worthwhile, such initiatives struggle to compare to the benefits of having a trustworthy workplace.

Trust is not the only factor to improve operational efficiency and employee engagement – but not being trustworthy will surely drive-up costs and employee turnover.

Trust Enables Deal-Making and Strategic Relationships

Partnerships, alliances, and customer relationships all depend on trust. In closing deals, trust is often the deciding factor in choosing one company over comparable alternatives. It is hard even to get a seat at the table if you do not have a strong reputation, negotiate fairly, and deliver on the promises made in completed deals.

Not surprisingly, a large meta‑analytic review of many studies concluded that trust is a reliably positive predictor of negotiation success, influencing both behaviors and outcomes.9 In other words, if you are trustworthy, you are more likely to close deals and reap benefits from the agreements.

People want to make deals with trustworthy people, not only because the process is smoother and evenhanded but the shared valued generated by the partnership is often higher than anticipated. Research indicates that in high-trust negotiations, "joint gains" (the total value created for both parties) can increase by over 40%.10 Why would anyone not want to partner with trustworthy companies?

Trust is not a luxury - it leads to more deals and greater returns from those partnerships.

Takeaways

Trust is not a soft skill. It is a hard driver of performance. Organizations that prioritize trust:

  • Deliver better returns,

  • Have higher performing, better engaged, and more loyal employees,

  • Innovate more effectively and with lower costs,

  • Create higher brand loyalty and customer retention, and

  • Make more deals and generate higher value from those agreements.

While this list may not be surprising, it reinforces the need to prioritize building and maintaining trust in your organization.

So What?

In a business environment defined by uncertainty and rapid change, trust is not optional. It is the operating system that enables leaders, teams, and organizations to perform at their highest level. The business case is so strong that trust can be justified through every major organizational lever—finance, operations, marketing, talent, and business development. The question is no longer whether trust is worth prioritizing, but how an organization could afford not to.

Best Practices

  • Assess whether your organization is truly prioritizing trust—and, if not, articulate the business case for doing so.

  • Align the major company functions around trust by demonstrating the distinct advantages it delivers to each of them.

  • Equip leaders with a clear, evidence‑based case for trust to ensure commitment holds even when short‑term pressures arise.

Sources: 1. PWC, 2. Watson Wyatt, 3. Great Place to Work, 4. Edelman Trust Barometer,

5. Edelman Trust Barometer, 6. Deloitte, 7. Paul Zak /Harvard Business Review,

8. PWC, 9. Academy of Management Journal, 10. Harvard Business Review

100 US dollar banknotes
100 US dollar banknotes