Transparency Vs. Translucency
What does this mean for management? As an executive coach, I have seen firsthand the importance of transparency in organizations. The phrase "the success of an organization is inversely proportional to the number of secrets it keeps" may sound like a cliché, but it holds a lot of truth.
Much is written about ‘transparent’ business operations. I think that word creates the absolute wrong impression. An organization, even in its best efforts, will likely not post (say, on the bulletin board in the employees break room) potential law suits against them, potential trade secrets, individual employee compensation, employee write-ups, etc. There is some information that is simply not be shared, so why use the word ‘transparent’ which implies you do share? Of course, there are some things that cannot be shared with employees due to confidentiality or legal reasons. In these cases, it is important to be transparent about why certain information cannot be shared. This can help to build trust and prevent rumors and speculation from spreading.
I prefer instead the word ‘translucent,’ that is, being transparent on all those things that matter and are not trade secrets, legal issues, etc. So, for the rest of this blog (and in keeping with my belief that some business vernacular is just wrong [see: https://www.highcountrypg.net/blog/language-of-business], I’ll use ‘translucent.’
Back to the theme, when an organization’s leadership keeps secrets, even among leadership members (think, silos), it creates a culture of mistrust and suspicion. Other leaders and employees may feel like they are not being told the whole truth, which can lead to low morale and decreased productivity.
On the other hand, when an organization is translucent, it creates a culture of trust and openness. Employees feel like they are part of the decision-making process and are more likely to buy into the company's mission and vision. This can lead to increased engagement, higher productivity, and better overall performance.
But that does this mean for management? It means that leaders need to be translucent with themselves and with their employees, vendors, suppliers, and customers. They need to communicate openly and honestly, even when the news is not good. They need to be willing to admit when they have made a mistake and take responsibility for their actions. This can be a difficult thing to do, but it is essential for building trust and creating a positive organizational culture. Besides, it is the right thing to do and it feels good.
Translucency also means being open about the company's goals, strategies, and finances. When all constituents including employees understand the company's direction and how it plans to get there, they are more likely to feel like they are part of something bigger than themselves. This can lead to increased motivation and a sense of purpose.
In conclusion, the success of an organization is indeed inversely proportional to the number of secrets it keeps. Management needs to prioritize transparency and openness in order to build a culture of trust and engagement. This can lead to increased productivity, better performance, and a more positive work environment for everyone involved.
