The 10 Laws of Trust | Joel Peterson | Talks at Google

TL;DR

Trust is built by aligning words with actions, communicating openly, demonstrating competence, and giving people opportunities to fulfill their promises. Joel Peterson draws on his experience as Trammell Crow Company CEO, JetBlue board chairman, Stanford professor, and backer of about 200 entrepreneurs to explain why high-trust cultures matter. Read on for practical guidance on developing, extending, evaluating, and rebuilding trust.

Transcript

SPEAKER 1: I'm excited to introduce David Kaplan, who is the co-author for this book that Joel Peterson wrote in conjunction with David, which is "The 10 Laws of Trust." We're going to be talking more about it. So David, please introduce Joel. DAVID KAPLAN: Thank you. Showing how old I am, I remember when I showed up a little while ago. I had my fi... Read More

Key Insights

• ❓ Trust is a fundamental element of successful relationships, both personal and professional.
• 🔑 Trust can be learned and developed through aligning words and actions, effective communication, and demonstrating competence.
• 🧑‍🏭 Trust should be based on the character, competence, and authority to act.
• 💌 Rebuilding trust requires apology, understanding, and letting go of blame.
• 🏛️ Leaders can build trust by communicating openly, empowering employees, and embodying the organization's values.

Questions & Answers

Q: How can trust be built and maintained?

Align words with actions, listen well, and communicate regularly with transparency and authenticity. Peterson says that when people receive trust, they generally do not want to disappoint and instead fulfill their promises, creating a virtuous cycle in which they earn greater trust.

Q: Can trust be taught and learned?

Yes. Trust can be developed through consistent behavior, effective communication, attentive listening, and alignment between what a person says and does.

Q: What should trust in an individual be based on?

Trust should be based on the person’s character, competence, and authority to act. Together, these factors help determine whether someone is worthy of confidence in a particular situation.

Q: How can leaders build trust in organizations?

Leaders can communicate openly, empower employees, and align values, objectives, and strategies. They must also embody the organization’s values and hold themselves accountable to them.

Q: Why does extending trust often strengthen a relationship?

Peterson says people generally do not like to disappoint someone who trusts them, so they fulfill what they promise. That successful result allows them to receive greater responsibility, creating a virtuous cycle of trust.

Q: How can trust be rebuilt after a betrayal?

Rebuilding trust requires a sincere apology, an understanding of the level of betrayal, and a willingness to let go of blame. It takes time, effort, and acknowledgment from both parties before they can move forward.

Q: How does trust affect whether companies succeed or fail?

Peterson says he has observed companies succeed or fail based on whether they build a high-trust culture. His observations come from starting companies and backing about 200 entrepreneurs.

Q: How did Joel Peterson develop his views on trust?

Peterson connects his ideas to trusting parents who treated mistakes as preparation for later success and to his own professional relationships. His experience includes serving as CEO of Trammell Crow Company, teaching at Stanford, starting investment ventures, and backing about 200 entrepreneurs.

Summary & Key Takeaways

• Joel Peterson shares his personal journey and experiences in building trust as a CEO, professor, and board member of JetBlue.

• He emphasizes the importance of aligning words and actions, effective communication, and the role of trust in leadership and relationships.

• Peterson highlights the need for trust to be based on character, competence, and the authority to act.