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First, it is not full disclosure. In other words, transparency does not mean you have to share absolutely everything about your organization. The idea that transparency could mean this is absurd. After all, most companies are prohibited by law from disclosing certain information. For example, companies agreeing to merge must maintain a mandated quiet period during which “no comment” is the only acceptable answer. Another example: a company that released its employees’ health records would violate the Health Insurance Portability and Accountability Act.
Philip Morris changed its company name to Altria to conceal the fact that Kraft food products (acquired in an acquisition of Kraft) come from the same company that sells Benson & Hedges cigarettes. Corporate social responsibility, when taken seriously as a core company value, is a symbol of ethical behavior. If You’re Not There Yet . . • Revisit your corporate values and determine if they need updating or revisiting. • Implement reward and recognition programs to reinforce the values. indd 41 9/8/08 7:23:08 PM 42 TACTICAL TRANSPARENCY • Downplay success achieved through actions that contradict the company’s values.
Dell, however, began respecting the issues people raised and making their employees accessible to customers. Dell talked openly about problems and engaged customers in conversation about how to fix them. And Dell was rewarded with increased customer loyalty and a reinvigorated reputation. The Transparency Debate Raise the issue of transparency among businesspeople, and you are likely to spark instant and heartfelt disagreement. Transparency means different things to different people. Scholars tend to identify two categories: • Financial transparency.