What is transparency in business? It is when a company discloses relevant information such as business values, pricing, performance, and revenue, among other things. When a problem arises, companies that are transparent are upfront about the issue instead of covering up the problem.
Transparency in business requires long-term effort. It is something that needs to be worked on every day by all. It is not always easy, especially when you do not know what the response will be. Let’s explore the benefits of transparency and top things transparent companies do.
The Benefits of Transparency in Business
- Increased Employee Retention Just like a business owner, employees also want to trust the company. When your employees trust your company and what it stands for, it increases their engagement, commitment, and loyalty.
- Consumer LoyaltyA recent study discovered that 94% of consumers would be loyal to a brand or company that is transparent. This transparency leads to trust, and most consumers want to work with companies that they can trust. In today’s high-tech environment, consumers demand transparency from companies.
- Boosting SalesWhen you gain consumer trust, the loyalty funnels into higher and continued sales.
Top 3 Things Transparent Companies Are Doing
Define The Business’s Core Values
Share Information With Their Employees
The best transparency is when you share ALL information with your employees. This includes the bad as well as the good information about your business. You can encourage this type of workplace transparency with a monthly newsletter, regular meetings, or by asking your managers to relay all information to their direct reports.
Be Up Front About Pricing
The days of “bait-and-switch” are long over in business. If a business tries to manipulate its prices for goods or services, it can seriously damage that company’s reputation. When dealing with customers, try not to use confusing language or tactics to withhold price information. Explain in detail what is included in your price, and why your prices may be higher than others in your industry.
Inner Works Pro can help you reach your business goals with advice on competitive intelligence and transparency that will give your company an edge. Contact us today to grow your business.