Trust forms the foundation of any successful relationship – whether in business or our personal lives. As Stephen Covey states in his book, Smart Trust: The Defining Skill that Transforms Managers Into Leaders, “Those who live in blind trust eventually get burned; those who live with distrust eventually experience financial, social and emotional losses.”
Corporate Governance is a medium to deliver the results which show to the world you care about them and you deserve their trust.
A business can gain trust from its stakeholders (shareholders, employees, customers/clients, community, creditors and prospective investors) by setting up monitoring systems and policies to ensure and enhance ethical behaviour. This forms part of corporate governance. When you behave ethically, you build trust.
No matter the size of your business, corporate governance provides a framework that helps you achieve your organisation’s goals. It guides you to do the “right things” in the “right way”.