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Case study: Trust, risk and corporate behaviour

In this case study, Douglas links trust, risk and corporate behaviour and asks us to think how this can affect the way we manage our projects.

‘Our view is that businesses should rethink their entire approach to risk and compliance, and seek to cultivate behaviours that are based not on following rules, but living by principles.’

Read through PwC’s paper ‘Trust: the behavioural challenge’. This paper is available from the UK’s PwC website in PDF format - you may need to scroll down the web page to find it. The quotation above is from p10 of the paper.

Contracts created and operated under the preferred situations described in the paper would be quite different to the too adversarial, short term opportunity maximising approach which is too often in evidence in the current business world.

None of this is easy to do and individuals are often unable to make the needed changes on their own but as more people think about these things and share experiences then perhaps we can make a difference.

The paper covers Corporate Purpose, Leadership, Behaviour, Authenticity, Less Regulation but More Responsibility and wraps all of this up in the need to operate in a more Trustworthy way.

A crucial message comes near the end (on p14) …

‘People trust – or, alternatively, distrust – organisations because of their personal experience of how the people in those organisations behave. So businesses must seek to identify, develop and embed the right culture and behavioural norms that will earn both public trust and business success.’

How do you think we can build behavioural principles into our contracts rather than input details for measurement and control?

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This article is from the free online course:

Contract Management: Building Relationships in Business

University of Southampton