Management

In general, trust is essential for building strong relationships between individuals. Although trust does not come easily it is important if strong foundations are to be built between individuals. Therefore, without trust, close relationships cannot be formed. In the business world, it is often argued that managers must create a relationship based on trust if they are to achieve organization performance. This literature review will analyse the relevance of trust in building strong relationships between managers and workers, in order to enhance organizational performance. This will be achieved by defining trust and discussing how trust can be built between managers and workers within organizations. Furthermore, the literature review will look at why trust is important to if managers are to build a strong relationship with workers and enhance organizational performance. Finally the literature review will examine arguments that state trust is not important in organization.

Surrounding ourselves with people we trust usually creates a safe environment that enables us to share our feelings and emotions with others. Therefore, for humans it is difficult to develope feelings and emotions without trust. Trust refers to the “faith in the trustworthy intentions of others” (Politis, 2003). Trust also refers to the “confidence in the ability of others, yielding ascriptions of capability and realibility” (Politis, 2003). This indicates that relationships cannot be initiated, formed and fostered without trust, hence it is argued that trust plays a significant role in most business relationships (Mouzas & Ford, 2007). Furthermore, Hakansson, Harrison & Waluszewski (2004) argues that trust is a necessary requirement and determinant for sound business relationships. Therefore, it is evident that trust is a necessary element if long term relationships are to be formed. In organizations, individuals seek to work together and compromise to achieve trust (Toth, 2000...