Moving from techlash to competing on trust

By Emmanuelle Rivet

Never have people been more alert—nor in a more deeply personal way—to matters of trust in the technology they use. The COVID-19 pandemic necessitated a greater reliance on technology than ever before, and over the past two years consumers have become more deeply aware and concerned about possible biases of algorithms, invasions of privacy, and cybersecurity threats.

Whether a loss of trust in technology will create deeper financial worries is still unclear. Over the past several years, quick assertions have been made about the fact that any backlash against the tech industry’s largest companies has actually had little effect on profits and that it has been a powerful force against investing in trust. But in the course of our work with clients around the world, we have seen contravening evidence.

A number of leading organizations—digital natives as well as established companies—are making responsibility and trust a fundamental feature of their tech offerings. From digital app creators choosing not to collect user data, platforms doubling down on moderation efforts to hardware suppliers opting for rigorous, end-to-end transparency, companies are weaving trust into their innovation strategies and turning trustworthiness into operational reality. In doing so, they’ve made trust a competitive differentiator.

Based on our research into these companies and the work of PwC’s Trust Leadership Institute, we’ve identified four main areas to help build trust. We’ve kept these guidelines broad, since trust is a dynamic and fluid concept. What you need today won’t be the same as what you need tomorrow.

The most well-intended efforts will also likely do little good unless a broader purpose guides them and you clearly and consistently communicate your progress—and honestly admit the work that remains to be done. That requires connecting purpose to all your actions. It also requires you to be intentional about creating a culture of transparency that addresses your stakeholders’ top concerns.

1. Be deliberate
   Since companies are at different stages of their trust journey, start by evaluating where you are. Have you defined what trust means to your organization? Is your trust strategy tied to your business strategy? Consider, too, how your senior leaders should work together to build trust. Even though every executive (and every employee too) bears the responsibility to build trust with stakeholders, top leadership—most likely the CEO in close collaboration with the chief financial officer, chief product officer, chief human resources officer, chief information officer, chief technology officer, and general counsel’s office—will have to take the lead and ensure a coordinated approach. With this foundation in place, you can better evaluate your customers’ and employees’ top priorities, focus your efforts on initiatives that will really move the needle and back up your words with action.
   
   
2. Consider all stakeholders
   It’s not enough to focus trust-building efforts on employees, consumers and other stakeholders. You have to develop a plan from the start that addresses their sometimes conflicting needs. When done right, this multi-stakeholder approach creates a positive feedback loop that can be a true force multiplier. If you build trust in your employees, for example, they can become your trust ambassadors to customers and local communities. As customers see you do right by your people, they’ll be more likely to give you credit for your work on accountability, communications and a consistent customer experience. When customers and employees trust you more, you’re more likely to strengthen trust with other key stakeholders such as shareholders and regulators as well.
   
   Key components of this process include bridging the gap between employee trust and employee loyalty by listening to what they want: a reimagined workplace, digital upskilling and chances for employees from every background to improve their lot in life. You’ll also want to deliver a customer experience that makes your customers feel heard and inspires them to trust you with their data.
   
   To get multiple stakeholders to own where the company is headed, reassure them of their importance in shaping the company’s—and society’s—future. Once people understand their role, engage them more meaningfully. Connect their purpose to a greater purpose; make sure they can contribute and be part of the solution; offer them a sense of community; help them develop the skills and experiences they need; and give them the time and resources required to build the company’s differentiating capabilities.
   
   
3. Deliver on actions
   Trust can be earned when you commit to a finite set of actions that align to your purpose and values and then deliver on them, over and over. Trust is built with consistency and reliability. Examine your commitments and goals on everything from taxes to financial reporting to the communities you serve. For example, be deliberate as you approach ESG initiatives. Weigh and take action on those areas (and only those areas) that are important to your stakeholders, be it climate change, diversity and inclusion or effective oversight. Make sure too that you tell your ESG story in a credible and comprehensive way.
   
   
4. Weigh technology risks
   Consider trust aspects in all the ways you use and develop technology—with employees, customers, business partners, and other stakeholders. If you don’t provide top-notch cybersecurity and data privacy that meets your customers’ and employees’ unique needs, or if you fail to mitigate bias in artificial intelligence (AI) or address common risks of cloud initiatives, your technology could quickly become a liability. It’s vital to ask the following questions:

• How are your customers using your digital products and services? Are they using them in ways that align with your values or for the purpose they were designed for?
• How do regulators perceive your products or services in an unregulated environment?
• Have you created a scorecard of risks (regulatory, safety, security, privacy, brand reputation, sustainability) and graded yourself? What are your mitigation strategies for addressing these risks through better tech design?
• Have you communicated these risk considerations and your levels of risk tolerance as an organization to key stakeholders?
• Have you future-proofed your technology risk-assessment? How ready are you to react to changes in sentiment from regulators and consumers?

When used strategically and responsibly, technology can power growth, innovation, more efficient operations and better experiences—all while increasing trust. One of the promises of blockchain, for example, is trust through the enhanced transparency and traceability of data. Responsible AI can help you make more trustworthy decisions. The right technology can also make nearly every part of your operations more trusted—if you weave in trust at the start.