Concept of Trust and Its Effect on Performance in an Organisation

Abstract

Every organisation exists to effectively work towards the achievement of greater organisational goals with high performance through the consistent action of trust while working together on the work that relies on each individual contribution. This shows why and how it is to have a good atmosphere of trust in an organisation. The organisation consist of people from different background who work together to achieve a common goal. So to effectively perform and achieve the set mission, vision and overall goal requires effective human resource practices, Cooperative behaviours, interdependency on each individual support and effort which can only be effective on a driver called Trust which increases group performance, the problem today in businesses is lack of trust. The objectives of the study were to examine the drivers of trust in the organisation, to identify the Human resources practices that create trust in the organisation, and to examine the effects of trust on employees' performance in the organisation. It was found out that the level of trust employees has for the organisation is low due to the fact that they are not highly involve in decision making, also it was known that there is no fairness in performance appraisal evaluation, managers do not give much delegation of responsibilities to the employees. It was suggested that, mmanagers must build confidence in the people by encouraging, delegating shared responsibilities, limiting criticism on their performance standard.