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What People Are Saying About The Trust Edge “Trust is the most important fundamental between leaders and among people. It is the cornerstone for building lasting relationships and growing successful business enterprises. This book shows you exactly how to build the eight pillars of trust and how to apply them for maximum effectiveness.”—Dr. Nido Qubein, chairman, Great Harvest Bread Co.; and president, High Point University “Gripping and insightful! Anyone wanting to take his or her ­leadership to the next level must read this book! It will become the authoritative guide on building trust!”—Alex Lopes, CEO, Progora “Horsager hits the mark in delivering his important message about the critical nature of trust in all relationships—whether between family, friends, business associates, or governments. Especially in these uncertain times we live in, David’s insights should be embraced by everyone.”—Jim Hamilton, director, National League of Cities, Risk Information Sharing Consortium “A breach of confidence in the aviation industry can have a catastrophic outcome. Horsager’s book provides practical application of critical trust principles in a manner that will enhance the business relationships and bottom line in any industry.”—Steve Wareham, airport director, Minneapolis–Saint Paul International Airport

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“This book is great for the soul—not to mention business. Horsager’s eight pillars of trust supply the nourishment we need to be successful in life and business. It’s a book to read and reread to keep us fortified.”—Carol Odell, CEO, Better Business Bureau– Southern Colorado “David is right on the money. Trust is the lubricant of highperforming working relationships. The Trust Edge provides a comprehensive behavioral blueprint to integrate the eight essential pillars of trust into your organization. This is a must-read book for organizational leaders and their supervisors.”—Larry Cole, PhD, CEO, TeamMax®, and author of People-$mart Leaders “David Horsager’s book, The Trust Edge, is a powerful resource for leaders. As I read it, I kept thinking: We need to do this! This would make us more effective! This well-written, well-conceived, well-documented book demonstrates the importance of trust. Horsager’s practical tips and illustrations will help any organization increase its effectiveness if it is willing to build on the foundational pillars he describes. The Trust Edge will pay dividends for smart companies!”—Jay Barnes, president, Bethel University “I wholeheartedly support the lessons that David outlines in The Trust Edge. I am a big believer in authenticity. The more people get to know and see the real person, the more likely they are to extend their trust.”—Mike Tattersfield, president and CEO, Caribou Coffee Company “I found The Trust Edge to be tangible, extremely practical, and relevant. I will personally hand this out to every leader in my organization.” —Mike Cylkowski, operating partner, Keller Williams Integrity

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“The Trust Edge has valuable lessons, not only for business professionals, but also for individuals looking for guidance in their own personal development. Trust—that’s what it’s all about!”—Larry N. Swenson, president, Noel International “David Horsager gets it right when he says, ‘Trust is not a soft skill. It is a measurable competency that affects outcomes more than anything else.’ You simply cannot put a price on the kind of trust Horsager talks about. Trust is our competitive advantage.” —Anthony Diekemper, CEO, Earth Security Electronics “At a time when our confidence in political, economic, and social institutions is at its lowest level in recent history, David Horsager shows us the path to rebuilding both trust and success.” —Matt Kinne, administrator, Walker Methodist Health Center “Riveting and insightful! Horsager concisely reveals The Trust Edge road map that will take you and your team to a whole new level! Jam-packed with hard-hitting real-world examples, this book is a must-read for anyone who wants to grow as a leader! You really owe it to your team to buy and read this book!”—Ed Clark, president and CEO, ServiceMaster Clean, Midwest Region “The Trust Edge is full of insight into not only why the right things remain fundamental, but also how to go about them in daily life and in business. Trust must be earned and habits must be formed. Anyone with an interest in improving personal relationships will not be able to put this book down. Readers will also find an amazingly quick impact in their business life. They will be changed and people will notice.”—Steven Grandchamp, president and CEO, OpenLogic

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“The Trust Edge is not a quick fix but an investment—a legacy of wisdom. It should be leather-bound for life’s journey. David has tapped into a rich reservoir of personal experiences as a master educator, parent, and husband.”—Jeff Edson, CFO, Lyle Signs “David has nailed the trust issue. His book shines a bright light on the impact trust has on every aspect of our lives. We can all gain valuable insight from The Trust Edge.”—Bill Schult, CEO, Maximum Potential “Based on research but written for practical use by real-life leaders, The Trust Edge takes a fresh look at the foundation of genuine success— trust. At Kemps, we believe that building trust creates a sustainable competitive advantage.”—Jim Green, president and CEO, Kemps “David Horsager shows you the process to develop and build trust in any situation. If you don’t have trust, you have nothing. In spite of what some people say, making your way in the world is all about trust.”—Thomas J. Winninger, chairman, Winninger Companies and Ascendancy Research “The Trust Edge clearly lays out the eight pillars of trust that are foundational for the starting point of all working relationships.” —Dr. Dennis S. Reina, PhD, coauthor, Trust & Betrayal in the Workplace: Building Effective Relationships in Your Organization “David Horsager takes a broad look at trust as a business success measure and offers practical suggestions that will resonate with people across all industries.”—Philomena Morrissey Satre, VP Diversity & Inclusion, Wells Fargo

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“When we are intentional about striving to conduct ourselves in a manner that makes us worthy of trust, the natural by-product is that people will want to associate with us and do business with us. David Horsager’s book will give you the tools needed to live such a life.”—Bill Forbes, general manager, A1 Automotive Services “Any enterprise seeking to improve its financial and operational performance will benefit from the principles in Horsager’s work on trust. The Trust Edge is a principle-centered yet practical approach to sustained individual and organizational success.”—Ken Morris, JD, former VP, Boston Scientific; current president, Apercu Group “David Horsager is on target—leadership begins from within and fundamentally depends on trust. If you aspire to leadership, park your ego at the door, cultivate a quiet mind, and study the road ahead. Trust and humility are fundamental.”—Dr. Massoud Amin, distinguished professor and director, Technological Leadership Institute, University of Minnesota “Wow—The Trust Edge is based on the number one principle that I use when I go in to turn around a company! There is nothing more important than trust. When established in the proper framework, it becomes the path for increased profits, productivity, morale, output, and—most important—customer and employee retention. I love the book. You have placed in print the very essence of my leadership success—thank you! ”—Ronald E. Lentz, CEO, WLG, USA Group, and CEO, World Commerce Services “David Horsager is right on target, giving leaders the tools they need to build cultures of trust—and successful organizations.” —Bill Morgenstern, CEO, Opportunity International

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“In today’s environment, trust has become a rare character trait. Horsager’s The Trust Edge is timely and a must-read!”—Famous Dave Anderson, founder of Famous Dave’s of America, Inc.

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THE

TRUST EDGE How Top Leaders Gain Faster Results, Deeper Relationships, and a Stronger Bottom Line

David Horsager FREE PRESS New York窶キondon窶サoronto窶ゴydney窶クew Delhi

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FREE PRESS A Division of Simon & Schuster, Inc. 1230 Avenue of the Americas New York, NY 10020 Copyright © 2009 by David Horsager All rights reserved, including the right to reproduce this book or portions thereof in any form whatsoever. For information address Free Press Subsidiary Rights Department, 1230 Avenue of the Americas, New York, NY 10020 First Free Press hardcover edition October 2012 FREE PRESS and colophon are trademarks of Simon & Schuster, Inc. For information about special discounts for bulk purchases, please contact Simon & Schuster Special Sales at 1-866-506-1949 or business@simonandschuster.com The Simon & Schuster Speakers Bureau can bring authors to your live event. For more information or to book an event contact the Simon & Schuster Speakers Bureau at 1-866-248-3049 or visit our website at www.simonspeakers.com. Designed by Purpose Design Manufactured in the United States of America 10 9 8 7 6 5 4 3 2 1 Library of Congress Cataloging-in-Publication Data Horsager, David.   The trust edge : how top leaders gain faster results, deeper relationships, and a stronger bottom line / David Horsager. — 1st Free Press Hardcover ed.   p. cm.  Reprint. Includes bibliographical references and index. 1. Leadership.  2. Trust.  I. Title. HD57.7.H679 2012 658.4'092—dc23 2012030616 ISBN 978-1-4767-1137-9 ISBN 978-1-4767-1138-6 (ebook)

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Dedication To my wife, Lisa, my most trusted partner.

To my parents, Clarence and Mary, who taught me more about trust than any amount of research ever would.

To my four precious children, Vanessa, Isaiah, Maria Claire, and Micah. One of my greatest hopes is that you will earn and enjoy The Trust Edge.

To God, who is worthy of my trust.

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Contents Acknowledgments. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xv Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Part I: The Case for Trust 1 | The Trust Edge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 2 | Impact of Trust. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 3 | Barriers to Overcome. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33

Part II: The Eight Pillars of Trust 4 | Pillar 1: Clarity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47 People trust the clear and mistrust the ambiguous. 5 | Pillar 2: Compassion. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73 People put faith in those who care beyond themselves. 6 | Pillar 3: Character. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .99 People notice those who do what is right over what is easy. 7 | Pillar 4: Competency . . . . . . . . . . . . . . . . . . . . . . . . . . . . 123 People have confidence in those who stay fresh, relevant, and capable. 8 | Pillar 5: Commitment. . . . . . . . . . . . . . . . . . . . . . . . . . . . 149 People believe in those who stand through adversity. 9 | Pillar 6: Connection. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 169 People want to follow, buy from, and be around friends.

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10 | Pillar 7: Contribution. . . . . . . . . . . . . . . . . . . . . . . . . . . . 187 People immediately respond to results. 11 | Pillar 8: Consistency. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 219 People love to see the little things done consistently.

Part III: Transforming Trust 12 | Extending Trust. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 237 13 | Rebuilding Trust . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 255

Part IV: Deep Trust in a Flat World 14 | Globalization and Trust. . . . . . . . . . . . . . . . . . . . . . . . . . 277 15 | Trust in the Online Age. . . . . . . . . . . . . . . . . . . . . . . . . . 293

Part V: Courageous Trust 16 | A Sharp and Lasting Edge . . . . . . . . . . . . . . . . . . . . . . . . 309 Five Ways to Sharpen Your Trust Edge . . . . . . . . . . . . . . . . . . 315 Notes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 317 Index. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 331

xiv | Contents

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Part I The Case for Trust

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Everything of value is built on trust, from financial systems to relationships.

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Chapter 1

The Trust Edge

To be trusted is a greater compliment than being loved. —George MacDonald, Scottish author, poet, and theologian

W

hen I come home from work, my kids often greet me at the door. It is my young son who runs up to me and pulls on

my pants leg. He has excited eyes and a great big smile. He shouts, “Daddy, Daddy, throw me up in the air really high.” He loves to get tossed up in the air. “Daddy, throw me up in the air really high!” And so I do. And, most of the time . . . ​I catch him. No. He trusts his daddy to catch him every single time—and I do! This is trust in its purest form. It is similar to the transactions of business and life. Without trust, the transactions cannot occur. Without trust, influence is destroyed. Without trust, leaders lose teams. Without trust, people lose sales. Without trust, organizations lose productivity, relation-

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ships, ­ reputation, talented people, customer loyalty, creativity, morale, revenue, and results. They lose in their brand and in their bottom line. John O. Whitney, director of the Deming Center for Quality Management at the Columbia Business School, found,

“Mistrust doubles the cost of doing business.” 1

In one of the largest and most extensive surveys of its kind, Watson Wyatt studied 12,750 U.S. workers in all major industries and at all levels. According to the study, “Companies with high trust levels generated total returns to shareholders at almost three times that of companies with low levels of trust.” 2 Whether you are a student or a CEO, a teacher or a parent, a politician or a nurse,

multiplies influence and impact.

trust

Before we go much

further, let’s define the trust edge. In my business, there is nothing more important than trust. 3 —Harvey Mackay, CEO, Mackay Envelope Company

Trust Defined Trust is a confident belief in someone or something. It is the confident belief in an entity: • To do what is right • To deliver what is promised • To be the same every time, whatever the circumstances Trust implies being reliable, dependable, and capable. Think of the chair you are sitting on as an example. You have a confident belief that it can and will hold you. You don’t need to waste time checking its capacity. You don’t worry that it will take advantage of

8 | THE TRUST EDGE

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PART I

speed, consistency, and loyalty of your doing “business” with it.

consistency, your integrity, and your commitment to deliver. Do people believe in you? To the degree that they do, you are trusted.

Why the “Edge” some clearly had a competitive edge over others. Those leaders or organizations that could weather storms, charge higher prices, growth were special. The greatest leaders and organizations of all time have had the same competitive edge. They were the most trusted. Robert F. Hurley, the founding director of the Fordham who understand how trust is built can actively influence its development, resulting in a more supportive and productive work environment and, not incidentally, a competitive advantage.” 4 The

trust edge is the competitive advantage gained when others confidently believe in you. Like a Forest

Have you seen the magnificent forest at Redwood National Park in northern California? The oldest recorded redwood is over 2,200 more than twenty feet in diameter.5 A lush and beautiful redwood

PART III

years old! Redwoods can be well over a hundred yards high and

CONNECTION CONTRIBUTION CONSISTENCY

Center for Entrepreneurship, was right when he wrote, “Leaders

COMMITMENT

maintain respect with customers and clients, and foster long-term

COMPETENCY

When I was studying top organizations and leaders, I found that

CHARACTER

Trust: A confident belief in a person, product, or organization.

COMPASSION

You are trusted to the degree that people believe in your ability, your

CLARITY

you or drop you. The trust your chair has earned has affected the

PART IV

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PART V

The Trust Edge | 9

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forest takes many years to deepen roots, grow branches, and flourish. And yet one poor decision with one little match can take it all down in a small fraction of the time it took to mature. Trust is like that.

trust is more like a forest—a long time growing, but easily burned down with a touch of carelessness. Trust requires time, effort, While it may appear to be static, in reality

diligence, and character. Inspiring trust is not slick or easy to fake. If you were looking for instant gratification or a quick fix, you might be disappointed by the truths in this book. If, however, you are interested in following the only way to genuine, lasting success in relationships, work, or life, this book is for you! The trust edge: build it, protect it, and ultimately enjoy the benefits of a strong trust forest with rooted relationships and high-yield results. It took an average of seven months for employees to build their trust in a leader but less than half that time for them to lose it.6 —Manchester Consulting

Dimensions of Trust There are two dimensions of trust. First, there is the dimension of time. This dimension goes from short to long. As I mentioned in the forest analogy, it generally takes a long time to grow; yet

Fig. 1-1  Dimensions of Trust

it can be lost in a short time.

time

Another aspect of time is that most trust starts to be established very quickly. It is almost a gut

depth

feeling. Most people can talk to someone for two minutes and decide if they are going to start to trust that person or not.

10 | THE TRUST EDGE

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A

B

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PART I

shallow to deep. Deep trust is generally established over time. It can

CLARITY

Another dimension of trust is depth. This dimension goes from withstand adversity and is often born of personal experience. Deep time are trustworthy. I call this transferred trust. Because A trusts B, and depth B trusts C, then A trusts C. Transferred trust can happen with less with the first person. Fig. 1-2  Transferred Trust

B

C

withstand many storms and challenges. These thoughts are not contradictory, but rather proof of the great scope of this concept we call trust. When trust is deeply established, you will often be given the benefit of the doubt instead of having every action judged with skepticism. So the dimensions of trust, “depth” and “time,” are in constant interplay and have a huge influence on the strength of your trustworthiness. A musical score provides an analogy to simplify this concept. Have you ever listened to an orchestra and found yourself moved by the are masters at combining notes with the dimensions of time and

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PART V

The Trust Edge | 11

PART IV

depth to create powerful music. Types of trust, when influenced by

PART III

power of the music? Bach, Beethoven, and other famous composers

CONNECTION CONTRIBUTION CONSISTENCY

in a moment, once trust is deeply rooted and strong, it can often

COMMITMENT

Time and depth interact in several ways. While it might be lost

COMPETENCY

A

CHARACTER

effort on your part, but it still depends on the depth of trust gained

COMPASSION

trust often sprouts up quickly if a trusted source testifies that you

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the right dimensions of time and depth, can also produce powerful results. Although there are two dimensions and several types of trust, there is only one way to earn it! Establish it by personally building the eight pillars of trust discussed in this book. When they are part of your character, you exude trustworthiness in all interactions.

Not Just a “Soft Skill”

Trust is not simply a dish in your leadership buffet. It is the table holding up the smorgasbord of talent demon-

Trust is tangible, learnable, and measurable.

strated by your team every day. The exciting part is that when your buffet table increases, others both inside and outside your organization will begin bringing their skills and abilities to add to the table. It is surprising to me that so many managers search for so-called “hard” skills instead of looking for the most important skills. For example, salespeople get caught up in seeking the newest sales tip or closing technique, but without trust, they won’t even get in the door. With trust there is no need for the newest tactic. When organizations acquire the trust edge, it shows in every relationship and eventually is proved by a growing bottom line. Trust gives a concrete and critical advantage. Companies with high trust levels outperform companies with low trust levels by 186%.7—Watson Wyatt, WorkUSA

12 | THE TRUST EDGE

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Chapter 1 Highlights

The Trust Edge In the twenty-first century, trust has become the world’s most precious resource. Costs are high when trust is low. Trust is a confident belief in a person, product, or organization. While it may appear to be static, trust is more like a forest—a long time growing, but easily burned down with a touch of carelessness. Being talented is valuable, but being trusted is the fundamental key to anyone’s genuine success.

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Ask Yourself . . . 1. How does trust affect you or your role? ____________________________________ ____________________________________ ____________________________________ 2. How would you define the trust edge? ____________________________________ ____________________________________ ____________________________________ 3. What are the two dimensions of trust? ____________________________________ ____________________________________ 4. How do the dimensions influence each other? ____________________________________ ____________________________________ 5. Whom do you trust? Why? ____________________________________ ____________________________________ ____________________________________ ____________________________________

14 | THE TRUST EDGE

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© BRIT TANY L AEGER, BEAUTIFUL ERA PHOTOGRAPHY

“The Pillars of Trust that Horsager outlines in this book were integral in helping our organization lay a foundation for a culture change.” —Lisa Stokes, president, Executive Women International

AUDIO AND EBOOK EDITIONS ALSO AVAIL ABLE MEET THE AUTHORS, WATCH VIDEOS AND MORE AT

“Trust is the most important fundamental between leaders and among people. This book shows you exactly how to build the 8 Pillars of Trust and how to apply them for maximum effectiveness.” —Dr. Nido Qubein, chairman, Great Harvest Bread Company, and president, High Point University “I wholeheartedly support the lessons that David outlines in The Trust Edge.” —Mike Tattersfield, president and CEO, Caribou Coffee Company “In all my years of coaching, I learned that leadership starts with trust. David Horsager has a winning formula in this book.” —Lou Holtz , ESPN analyst and legendary coach

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ISBN 978-1-4767-1137-9 $25.99 U.S./$29.99 Can.

David Horsager

Dav i d Hor s ag e r , M.A., C.S.P., is a business strategist, entrepreneur, professor, and author who researches and speaks on the bottom-line impact of trust. He has taken the platform across the United States and on four continents. His clients range from Wells Fargo, ING, and the Better Business Bureau to the U.S. Coast Guard Academy, Mercy Medical Center, and the U.S. Department of Homeland Security. David and his wife, Lisa, have four children and live in Minnesota. You can read more at www.DavidHorsager.com.

“Read The Trust Edge and get some great strategies for building trust with the important people in your life.” —Ken Blanchard, coauthor of The One Minute Manager® and Great Leaders Grow

THE

TRUST EDGE

“David Horsager offers brilliant advice for today’s leaders.” —H a rv ey M ack ay, author of the #1 New York Times bestseller Swim with the Sharks Without Being Eaten Alive

How Top Leaders Gain Faster Results, Deeper Relationships, and a Stronger Bottom Line

trust

In the twenty-first century, has become the world’s most precious resource.

“Incredibly vital message for today!”—Zig Ziglar, author | motivational teacher

Can. $29.99

In The Trust Edge, David Horsager reveals the foundation of genuine success—trust. Based on research but made practical for today’s leader, The Trust Edge shows that trust is quantifiable and brings dramatic results to businesses and leaders. In this book, Horsager teaches readers how to build the 8 Pillars of Trust: 1. C l a r i t y: People trust the clear and mistrust the ambiguous. 2. Compa ssion: People put faith in those who care beyond themselves. 3. Ch a r acter: People notice those who do what is right over what is easy. 4. Competenc y: People have confidence in those who stay fresh, relevant, and capable.

How Top Leaders Gain Faster Results, Deeper Relationships, and a Stronger Bottom Line

5. Commitment: People believe in those who stand through adversity. 6. Con nection: People want to follow, buy from, and be around friends. 7. Contr ibution: People immediately respond to results. 8. Consistenc y: People love to see the little things done consistently.

David Horsager

ISBN 978-1-4767-1137-9 552599 2599

P RI N T E D I N T H E U. S . A . C O P Y RI G H T © 2012 S I M O N & S CH U S T E R

U.S. $25.99

9 781476 711379 authors.simonandschuster.com/David-Horsager

Finish: Matte Film Effects: spot gloss PDF file name: trust_edge.pdf Printer: Phoenix # of colors: CMYK

When leaders learn how to implement these pillars, they enjoy better relationships, reputations, retention, revenue, and results. Fascinating and timely, The Trust Edge unveils how trust has the ability to accelerate or destroy any business, organization, or relationship. The lower the trust, the more time everything takes, the more everything costs, and the lower the loyalty of everyone involved. Conversely, an environment of trust leads to greater innovation, morale, and productivity. The trusted leader is followed. From the trusted salesperson, people will buy. For the trusted brand, people will pay more, come back, and tell others. Trust, not money, is the currency of business and life!

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The Trust Edge excerpt  

In The Trust Edge, David Horsager reveals the foundation of genuine success—trust. Based on research but made practical for today’s leader,...

The Trust Edge excerpt  

In The Trust Edge, David Horsager reveals the foundation of genuine success—trust. Based on research but made practical for today’s leader,...

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