Cost of silence: Transparency’s role in building or breaking trust

Transparency does not require that you disclose every internal detail, it involves sharing relevant, timely and accurate information with a lens of empathy and responsibility. 

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In recent years, there has been an increasing trend in the region of consumers, employees (both current and former), and civic organisations protesting or advocating boycotts against certain products or services, resulting in financial repercussions for the associated brands or institutions.

These actions often seek financial accountability, ethical conduct, respect for labour rights, environmental awareness and privacy protection from major companies and organisations in the region.

For instance, in 2024, drivers working for digital taxis paused work in Nairobi and other cities to demand fair commission rates, security and protection from the ever-rising cost of fuel.

They blocked roads, disrupted traffic in the city, and asked passengers to disembark from rides by non-participating drivers. Similar protests have been witnessed in other countries, such as Nigeria, Brazil, Indonesia and the UK.

These protests may have been prevented had the organisations demonstrated better transparency. In the case of the discontent among digital taxi drivers, there was a sense that the companies continuously altered pricing structures and policies without prior notice, influencing drivers' pay and their employment conditions.

The perceived lack of transparent communication with their employees created frustrations and deepened mistrusts. The public also bore the brunt of the disruption, as they could no longer rely on taxis for their daily commutes.

Many faced extended wait times, inflated fares and in some instances, were forced to disembark mid-journey due to safety concerns.

This not only tarnished the reputation of digital taxi services but also led to a noticeable decline in their revenue.

Loss of public trust from customers or employees, and reputational damage can happen in any industry. When you fail to communicate with speed, empathy and transparency, your stakeholders feel ignored leading to frustration.

In today’s world, silence is costly. It can be misinterpreted as guilt, indifference or incompetence. Therefore, an organisation’s manner of communicating, or failure to do so, during critical moments determines whether the public will trust you or not.

To prevent such outcomes, effective reputation management requires organisational transparency. Being transparent means enabling the public and all relevant stakeholders to understand the full scope of the issues at hand.

This approach helps to curb misinformation, speculation, and rumours. Crucially, it is advisable to respond within the first 24 hours of an incident, before public sentiment begins to shift unfavourably. Timely communication allows you to take control of the narrative by presenting the facts, acknowledging any missteps where appropriate and outlining clear, actionable steps being taken.

Transparency is not weakness; it is a strategic tool. Transparency does not require that you disclose every internal detail. Instead, it involves sharing relevant, timely and accurate information with a lens of empathy and responsibility.

When you communicate transparently, you not only gain goodwill among your stakeholders but also long-term loyalty.

The taxi driver’s protest of 2024 demonstrates how quickly silence can spiral into a full-blown crisis. For several days, the platforms remained unresponsive to the growing disconnect, opting for behind-closed-doors boardroom solutions instead of engaging in open dialogue with key stakeholders.

This lack of transparency and communication severely damaged their reputation. What began as a concern limited to drivers, soon drew criticism from customers, the wider public and the media, thus amplifying the crisis far beyond its original scope.

Eventually, the companies were forced to engage amidst the negative pressure, by issuing a public statement acknowledging the grievances and committing to addressing the issues raised. While these mitigation steps did not end the noise overnight, they were a right step towards owning their mistakes and taking accountability.

In contrast, last year, when East African Breweries Limited's Walker Town Festival faced technical failures due to rain leading to performance delays and cancellations, they did not stay silent.

Instead, they issued a public apology, gave a full account of the cancellation and offered a refund of ticket costs. This not only demonstrated accountability and respect for the affected but also helped preserve good will and trust amid disappointment.

In South Africa, when Sasol employees staged a protest in 2023 over a controversial restructuring of the Black Economic Empowerment share scheme, the company responded immediately. It reassured them of their commitment to addressing issues raised, instituted open dialogue sessions with affected employees, and conducted a media campaign highlighting their long-term goals on diversity and inclusion.

These examples show that successfully navigating a crisis depends heavily on your readiness, your willingness to act, and your ability to respond swiftly and decisively.

Nikita Bernardi is the Director of Reputation Management and Crisis PR at Adili Group
Abel Muhatia is a senior consultant in strategic communications, crisis PR, and reputation management

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