TAILIEUCHUNG - Executive Summary: 2013 Edelman Trust Barometer

The 2013 Edelman Trust Barometer is the firm’s 13th annual trust and credibility survey. The survey was produced by research firm Edelman Berland and consisted of 20-minute online interviews conducted October 16, 2012 – November 29, 2012. The 2013 Edelman Trust Barometer online survey sampled 26,000 general population respondents with an oversample of 5,800 informed publics ages 25-64 across 26 countries. All informed publics met the following criteria: college-educated; household income in the top quartile for their age in their country; read or watch business/news media at least several times a week; follow public policy issues in the news at. | Edelman f Edelman I trustbarometer w 2013 I ANNUAL GLOBAL STUDY 2013 Edelman Trust Barometer Executive Summary Crisis in Leadership The 2013 Edelman Trust Barometer demonstrates a serious crisis of confidence in leaders of both business and government. Less than one fifth of the general public believes business leaders and government officials will tell the truth when confronted with a difficult issue. There also is a growing trust gap between institutions and their leaders - globally trust in business is 32 points higher than trust in business leaders to tell the truth trust in government is 28 points higher than it is for government officials. The continuing lack of faith in traditional leaders was reinforced by a series of highly publicized wrongdoings again last year. Former McKinsey managing partner Rajat Gupta was convicted of passing inside information. Bob Diamond resigned as CEO of Barclays after the revelation of rampant fixing of the Libor rate by traders. Bo Xilai was removed from the highest ranks of the Chinese government after exposure of personal corruption. The research confirms the democratizing trend of recent years -the redistribution of influence from traditional authority figures such as CEOs and prime ministers toward employees peers and people with credentials including academics and technical experts. A professor or person like yourself is now trusted nearly twice as much as a chief executive or government official. The hierarchies of old are being replaced by more trusted peer-to-peer horizontal networks of trust. by treating employees well exhibiting ethical and transparent practices and placing customers ahead of profits while also delivering quality products and services. Business must embrace a new mantra move beyond earning the License to Operate - the minimum required standard - toward earning a License to Lead - in which business serves the needs of shareholders and broader stakeholders by being profitable and acting as a positive .

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