Trust Under Pressure
Tony Capuano, CEO of Marriott International
Leading Change by James O’Toole has been a classic since it was published in 1995. Which is why it always seems freshly relevant to whatever situation we find ourselves in. And right now, we’re in quite a situation.
Take, for example, the executive order targeting private-sector DEI programs that was issued shortly after the new administration took office. Responses from corporate and academic leaders, and professional services firm partners, have ranged all the way from “whatever you say, boss” to “no thanks, not for us.”
Leaders who fall into neither of those camps have been trying to thread the needle in part by adjusting mission statements. They do so chiefly by softening or vague-ifying their language, downshifting their formerly fierce commitment to inclusion. The goal is avoiding scrutiny while maintaining credibility in the marketplace and among their people.
O’Toole suggests this kind of straddling is usually doomed to fail. Once you’ve declared your passionate commitment– say, to putting people first– reversing course suggests you were never serious in the first place. Altering clearly stated beliefs to align with shifting trends makes it hard for anyone to trust you.
O’Toole defines those who shift under pressure as “situational leaders,” and contrasts them with leaders whose beliefs are rooted in enduring values. Of course, tactics, strategy, and initiatives need to evolve as the environment changes. But backing off from commitments you’ve declared to be bedrock undermines your integrity and puts your reputation at risk.
This is an especially grievous loss if your brand has been built up over time, enshrined in practices, playbooks, and oral wisdom handed down. Which is why leaders of established organizations can benefit from looking to history and tradition.
Take, for example, Anthony Capuano, CEO of the 800,000 employee Marriott Corporation. Speaking last month at the Great Place to Work Summit in Las Vegas, Capuano addressed recent attacks on DEI in the context of the company’s historic culture. “The political winds blow, but there are some fundamental truths that have held throughout our 98 years,” he declared. “We welcome all to our hotels, and we create opportunities for all. And fundamentally, this will never change. The words might change, but this is who we are as a company.”
Capuano got a big hand, but as he returned to his hotel room, he wondered if he’d been wise to make such an unequivocal public statement. The answer came quickly. Within 24 hours, he received over 40,000 emails from employees, thanking him for supporting values they believed in, and that were key to the pride they took in their company.
Interviewed afterwards by Forbes, which puts Marriott as number eight on its list of the 100 Best Companies to Work For, Capuano noted that he doesn’t view DEI as a social program, as the White House and its allies are trying to frame it. Rather, he sees it as part of the company's "essential operational infrastructure... assuring consistency between what the organization says and what it does." Which, he adds, is the only way to create the kind of "culture of coherence” that secures employee, and customer, trust.
Given that Marriott has built its business by providing dependably excellent customer service in nearly 10,000 hotels in 142 different countries at varying price points, it must rely upon a virtual army of well-trained people sufficiently invested in their jobs to know and represent its culture. This requires the company to hire well, incentivize people to stick around, and make them feel they are part of something bigger than themselves. And there’s no way this can happen if leadership is unable to earn and retain employee trust.
Trust also translates into the kind of sustained profitability that has enabled Marriott to stay in business for nearly a century. Recent research from the data and certification program Great Place to Work shows that high-trust cultures typically outperform their competition nearly fourfold, and report triple the stock price results of their peers.
As O’Toole would surely agree, a culture that has endured and prospered for nearly a century and whose employees trust their leaders doesn’t need to be retrofitted under pressure. Even when, as now, the pressure is intense.
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