Rebuilding trust: Why Australia’s banks should welcome a public inquiry
Rebuilding customer trust after a crisis is a long-term exercise for any organisation. After decades of trust erosion at the hands of Australia’s banks, a Royal Commission could be the only way forward, writes Peter Wilkinson.
Criticism imposes confronting choices on an organisation. And repeated criticism, particularly in the media, starts a downward spiral, eroding trust, inspiring more criticism, further eroding trust and so on.
The most visible illustration of that is what is happening with slow-learning politicians globally, who repeatedly demonstrate an inability to respond to voters’ concerns.
But the same applies elsewhere. It used to be that trust was automatically bestowed on company executives including bankers, as well as lawyers and medical professionals: “I trusted my doctor”.
Well said Peter; “If the banks want to be trusted, the smart advice is to ask for a Royal Commission to allow a deep-dive into the cultural issues – the chance to comprehensively reboot the trust-factor”
I’ve said the same in the past. You can only rebuild trust by owning the problem, not running away.
http://www.melbournebranding.c.....y-damaged/
Wishful thinking and akin to turkeys voting for christmas.
Since the GFC (2008) all the research has shown that people don’t trust banks. However, after a dip during the GFC, profits, dividends and the shareprice for the Australian banks has gone up (significantly). For as long as this continues, lack of trust will continue to be irrelevant to banks.