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The modern world has changed in many ways over the past few years. People have become more open, with details of their personal lives made available to millions of other people on the Internet. It’s safe to say that transparency is now a big part of our everyday lives. What’s more, transparency allowed people to build deeper and more meaningful relationships. It’s only natural that it would affect businesses people deal with everyday, sooner or later.
Nowadays, transparency is expected from businesses almost the same way good customer service is. However, the same transparency isn’t only beneficial for building trust with customers, but it’s also beneficial for building trust and collaboration within an organization. Therefore, the “need to know basis” business model is no longer viable in the business world. Today, having a transparent hierarchy is essential for all businesses. Here are a few ways transparency can boost your business.
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Transparency builds trust with customers
As mentioned before, people are more open nowadays. The fact of the matter is that people are more eligible to share details of their personal lives with others over social media. As a matter of fact, people will share almost anything, ranging from photos of their meals to their opinions regarding religion, politics and social matters. This can sometimes lead to fierce discussions and debates, but it also connects people on a more personal level nonetheless.
Simply put, people on social media are more likely to connect with others who are more transparent. The same goes for businesses that are trying to engage their online consumers. If you’re trying to build more meaningful and long-lasting relationships with your customers, as well as build trust with them, you have to be transparent. Your customers will be drawn toward your business if you’re open, honest and apparent with them. Moreover, they’re more likely to trust you if they know what your business is all about and how it operates.
Improves relations with other businesses
It’s no secret that businesses cooperate in order to achieve common goals and give their customers the best experience possible. B2B partnerships and integrations are quite frequent these days, especially because the online market is highly competitive. That’s why businesses will join forces to outrun their competitors and combine their efforts to win over customers. These relationships with businesses need to be nourished and the best ways to do so is to be transparent and upfront about everything.
For instance, if your business is acquiring a startup or purchasing shares of another company, it’s a good idea to design a shareholder agreement that will clearly outline the details of the arrangement and help everyone understand their new roles. That way, there’s no hidden agenda or foundation for mistrust. Furthermore, transparency can also help maintain good relations with other business in your industry. After all, business associates can help you out in many ways when you need it the most.
Increases collaboration within an organization
The transparent culture is more important for businesses than ever before. The main reason is that businesses today establish relationships with their employees, in order to improve their efficiency and productivity, as well as encourage trust and loyalty. Transparency within a workplace helps build these relationships by enabling employees to understand the company goals and mission, as well as the role they play in it all.
Moreover, transparent culture means more involvement for employees, such as decision making, opinions about future endeavors, innovative ideas to reach business goals and so on. In addition, it helps employees determine their roles and growth opportunities. More importantly, employees will know how the company they work for operates and what it strives for. This environment builds engagement within a workplace and encourages everyone to cooperate more efficiently. Furthermore, transparency boosts productivity, because employees feel like a more important part of the organization.
Improves your publicity
Maintaining an online presence and a good image is crucial for modern businesses. Due to high availability of information today, nothing can stay hidden for too long. Businesses that leverage transparency favor more positive reputation and publicity. Simply put, transparent businesses have nothing to hide and they allow online consumers to take a look at their operations.
Moreover, transparency showcases your company’s mission and what you do to achieve your goals. Even though some people may disagree with what or how you do something, they still have to respect the fact that you’re honest about it. Being transparent is more beneficial than hiding facts that may easily turn into a scandal in the online world. As mentioned before, nothing stays hidden for too long, and transparency is always better than having to publicly defend or justify your actions and behavior.
In a world where people are more open and where lines of privacy are blurring out, transparency has become a norm. Businesses that wish to improve their relations with both their customers and their employees will have to become more transparent. That way, not only will business be able to improve their operations, but also gain more favor from audiences who expect transparency from them.
