A Culture of Trust for Effective Feedback

Credit union leaders know that exceptional levels of employee engagement mean exceptional member service and strong financial performance. Engagement arises from a culture of trust. Feedback conversations performed well foster trust. The art of providing feedback is an essential communication skill that can and must be developed. Done well, it will improve morale, build skills and take the organization to higher levels of effectiveness. Done poorly, it will do the opposite. Effective feedback interactions involve a complex dynamic that includes the relationship between the two individuals, the mindset of the recipient and their generational attitudes, the frequency of the interaction and the type of conversation. It’s not easy.

A relationship of trust between two people gives feedback the best chance of working well. A good place to start is self-awareness on the part of the manager, which makes them better able to be in tune with the feedback recipient. Managers should keep their eyes and ears open to assess and understand the employee’s situation. They should not be afraid to hear what’s on someone’s mind or to receive constructive feedback themselves in a productive way. With trust, employees recognize that leaders want them to grow and develop to their potential to deliver results and provide value.

Managers must plan and prepare for these feedback conversations. Having a sense of the mindset of the recipient is critical. The work of Stanford psychologist, Carol Dweck, illuminates the subject. People who have a “growth mindset” believe that their success results from hard work and learning. These employees are most receptive to feedback, and they will even seek it out to hasten their growth. They particularly see developmental feedback (a.k.a. negative feedback) as a means to strengthen areas of weakness.

Failure is a chance to discover what’s not working and an opportunity to improve performance. Conversely, a “fixed mindset” describes those who feel that their capabilities are innate and fixed. They do not see the same potential for personal growth. They often view developmental feedback as a negative statement on their basic abilities, so they try to avoid what they see as criticism. Feeling threatened, they also may avoid interaction with the person delivering the feedback. When that person is their boss, it sets the stage for an unhealthy dynamic.

Trust builds through authentic and specific acknowledgement of achievements, identification of strengths and behaviors that support a person’s success, and affirmation of the person’s ability to learn and flourish. The manager focuses much less on mistakes and much more on having faith in the person’s growth capacity. This can be especially helpful when encountering a fixed mindset, as consistently employing this approach maximizes the chance the mindset will shift from fixed to one that leads to growth.

There are studies that analyze the balance of positive and developmental feedback, and, although they put the “magic” ratio of positive to developmental interactions at differing levels, they all recommend a strong overweight toward positive feedback. An effective rule of thumb is about three measures of positive to one of developmental. Moreover, an overweight of positive feedback helps the recipient to be more receptive to any necessary developmental feedback when it occurs. Trust supports the employee in wanting to seek and capture through feedback any gems of learning for their personal improvement.

Millennials deserve particular attention given their significant impact on the workforce now and going forward. They currently make up the largest generational segment of the workforce, and by 2020 will constitute 50% of all workers. Their relationship to feedback is different from other generations. More than the others, they grew up having the opportunity to ask frequent questions, provide their opinions and engage in constant feedback with parents, teachers, coaches and others. Although millennials desire and are accustomed to feedback, managers must take the initiative to provide it, give more of it and deliver it more effectively.

Gallop’s 2016 millennial survey reported only 15% strongly agree that they ask for feedback. Only 19% receive routine feedback at work, and just 17% find that it’s meaningful. Yet, those who meet with their manager on a regular basis are more than twice as likely to be engaged at work as their generational peers who do not.

In fact, employees who meet with their manager at least once each week, showed the highest engagement. Even more frequent quality interactions (think daily) cause engagement to rise further. Relationships matter, mindset matters, the frequency of and focus of your interactions matter, and trust matters in fostering engagement in your employees.

Stuart R. Levine is Chairman and CEO for Stuart Levine & Associates and EduLeader LLC. He can be reached at 516-465-0800 or slevine@stuartlevine.com.