Transparency is a gamble, especially when we talk about transparency in business or in the corporate sector. Transparency can excel and escalate your business prospects and the same transparency can also make your business touch the sea bed after it drowns under transparency.
So to be transparent or not and if be transparent then how much transparency is good and what magnitude is bad is an imperative decision to make.
So we bring you the pros and cons of transparency in business.
When we talk about the pros and cons of transparency in business or in the corporate culture transparency might assume many connotations with the basics staying the same.
There’s pay transparency to deal with, transparency in communication, transparency in public relations, transparency in recruitments or in decision making. Hence this transparency being talked about is an umbrella term which covers all the possible connotations. Let us try to decode this by
Hence this transparency being talked about is an umbrella term which covers all the possible connotations. Let us try to decode this by analysing the pros and cons of transparency in business.
The pros of transparency in business include
A proper channel of information:
When there is transparency in business the channel of communication stays healthy. Employs are able to access all the information that is needed to enhance their work efficiency.
Information is a valuable asset and when this asset is put to right use, both the individual efficiency and the corporate efficiency escalate to higher levels.
Many a time it happens that employees are unable to carry forward growth and have swift decision making because of lack of information and when there is transparency in terms of information things only get better.
Trust builds up is secured:
Not just professionally but even in personal life trust is directly proportional to transparency and vice versa. So when there is transparency in an organization there is a proper nexus of trust between employees at different hierarchical levels and this enhanced coordination and the spirit of team work reflects on the performance of the business as a whole.
Hence to keep your team well intact and their efficiency as a unit high it makes sense to inculcate transparency.
Enhances customer build up:
If your customers are high on values than adopting transparency of values enables you to win their trust and make your customer broader. The logic is simple, the more trust you offer the more customers you fetch and this is no rocket science.
Cons of transparency in business include
Now like every other thing that has pros there is a con face of it too and transparency is no different. So here is how this same transparency takes a cons side!
When it takes extremes:
The ‘all or nothing’ approach to transparency is dangerous. Transparency needs to be calculated and must flow along a channel. Both, no transparency and comprehensive transparency are bad and dents the performance.
So when you take the transparency to extremes and reveal all the information to all the people you might just be axing your foot.
When you get the timing wrong:
If your company is going through a crisis and has big challenges to face or greater targets to meet this might not just be the right time to imply transparency.
You must be smart enough as to when you should inject it and how much of it otherwise you would only have regrets to deal with!
So there were the pros and cons of transparency in business and we hope you would learn the art of perfecting transparency well after reading this.