Three Magic Words

“I don’t know.” Those three words can do more to build trust in an organization than all the expensive offsite events in the world. Unfortunately, most executives are reluctant to use them.

Picture everyone gathered to hear the latest announcement from the executive suite. A hand shoots up in the back of the room. “Does this mean we’ll have layoffs this year?” (I cringe when I hear the inevitable response from top management.) “We, uh, certainly have no intention . . . this is, this announcement is not meant to imply future layoffs. We’ll do everything in our power to assure continued employment.”

What did the employee hear? “No layoffs.” What happens six months hence when people are actually laid off? Trust is broken. Assurances were given, then ignored. Cynicism grows. No one believes anything coming from the corner office anymore. A difficult situation is made even worse by broken trust. Why does this happen?

Some executives have learned the hard way that they have little or no influence over their employees’ future. Arthur Andersen partners who couldn’t spell Enron suddenly discovered that one client could take down a global accounting firm.

Even so, most managers stubbornly believe that they are in control of their own destiny, and the destiny of their subordinates. Subordinates are more than happy to cling to this comforting illusion. Managers make predictions that employees confuse for promises.

Fortunately, this trap can be avoided by changing the way you respond to inquiries from subordinates.

1. Practice saying those three magic words “I don’t know.” While making informed predictions may reassure employees in the short term, if you’re proven wrong, no one will trust your answers in the long run.



2. Tell them only what you know for certain. As an example, suppose everyone wants to know the new organization structure. You have some ideas, but can’t be certain. Let them know the makeup of the design committee, and when the committee expects to make recommendations to top management. If you expect it to take two months, tell them four months. (No, you’re not lying, you’re being realistic. “Double the initial estimate” is a project management rule of thumb, whether you’re talking about kitchen renovations or department reorganizations.)



3. Discuss variables that may affect outcomes. If an employee wants to know if they’ll get a raise this year, don’t make promises or predictions. Instead make sure they understand the factors that influence the size of any raise they may get. For example, their performance, the department’s performance, and the company’s stock price.

Instead of providing answers, educate subordinates on leading indicators to monitor that will help them predict the future. Help them learn to predict their own future. You’ll build trust and confidence in your management abilities, and help individual employees to become more proactive.