As a leader, one of your fundamental desires is to foster a culture of transparency. However, you may grapple with a common dilemma: how much should you share with your team? This question can feel like walking a tightrope, delicately balancing the need to build trust without overwhelming or compromising your team’s focus and morale. In this post, we’ll explore some essential concepts drawn from Herb Baum’s book, The Transparent Leader, to help you navigate this complex landscape.

Defining Transparency

Baum describes transparency as “being honest and open in everything you do.  It means making values-based decisions, and fessing up when you make a mistake.”¹ Let’s unpack this statement to gain some insights on effective transparency.

Values-Based Decision Making

The first step towards transparency is understanding your core values. This clarity enables leaders to make decisions that align with both personal beliefs and the organization’s mission. When values are clearly defined and upheld, you gain confidence in your decisions, creating consistency in your leadership, which is one of the greatest contributors to trust. If you find yourself sharing information that doesn’t align with these values, it’s critical to reassess what you communicate.

Consider conducting an activity within your organization to clarify these values. By establishing a common foundation, you can decide what needs to be shared more confidently and consistently.

The Power of Humility

Another vital aspect of transparency is the ability to admit mistakes. Acknowledging errors indicates humility, which can significantly strengthen team trust. While it may be uncomfortable to admit when we’ve faltered, it’s often more damaging to try to hide it.

There are a couple variations of this story, but the principle is the same.  Years ago an employee in IBM made a million dollar mistake or even multi-million.  They came into Watson’s office with their resignation in hand.  After apologizing and explaining what they did wrong the individual gives his resignation.  Watson refused it saying he invested that money in his education so why would he let the individual go?  This individual had the humility to own his mistake and was rewarded with freedom to learn and grow.  This creates a culture where people feel safe to risk and make mistakes.  This is only possible when humility is present.

The Timing of Transparency

Perhaps one of the most challenging aspects is knowing when to share information. This leads us to three critical questions to consider before pulling back the curtain:

– Is this information in the best interest of both the person and the company? Evaluate whether sharing will help or hinder your organization’s performance. Sometimes, what benefits one stakeholder may not benefit the organization as a whole.

– Will being transparent endanger anyone? Transparency can sometimes lead to unhealthy conflict or emotional distress. Gauge whether sharing information may create unnecessary worry or create discord among team members.

– Is it the right time? Timing can make or break how your message is received. Phrases like, “As of right now, I can share this much…” can instill cautious optimism, reassuring your team that you’re looking out for their best interests.

Which of these do you need to apply in order to create a culture of transparency on your team?  Need help thinking into your leadership and getting an outside perspective?  Go here to schedule a powerful coaching session at no cost to you.  Lead well!

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1. Baum, Herb. The Transparent Leader:  How to Build a Great Company, Through Straight Talk, Openness, and Accountability.  Harper Collins, NY, 2004.