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Hello.
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Today, I'm really excited to speak with Marcos Aguiar,
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the lead author on BCG's first Global Trust Index Report,
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which is entitled "What AI Reveals
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About Trust in the World's Largest Companies."
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I'm sure Marcos has a lot to say,
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so maybe we begin with Marcos.
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What would you say that this report contributes
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to the global conversation that everyone's having
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about trust?
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Well Vaishali, business leaders are already aware
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of how important trust is in today's age
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of stakeholder capitalism.
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However, trust is elusive.
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It is a highly dynamic psychological state.
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So it's really hard to measure, let alone decode
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and understand it deeply
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so we can practically use it for business decisions.
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BCG's Trust Index seeks to address exactly that challenge
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by using AI to comb through millions of articles, posts,
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and tweets on the web to identify trust-specific mentions
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and score the 1,000 largest public companies in the world
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based on their perceived trustworthiness.
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And as importantly, uncover the specific themes
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that drove those scores.
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The answer to the why question:
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Why is trust high, low, or changing?
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We did that
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by dissecting the data across years, regions, sectors,
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and contrasted the top 100 most trusted companies
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against the bottom least trusted
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to identify patterns that can be relevant
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to improve trust in business.
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Fantastic, Marcos. I like the decoding.
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I like the why, right?
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Because that's what matters in the end.
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There must be so many more findings that are noteworthy.
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Which would be a few that you would highlight?
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And secondly, any implications for business leaders as well
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that you would point to?
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You're right.
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I mean, this report is filled
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with interesting analysis and findings.
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So let me pick three of my favorites.
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First, we found that trust pays off.
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The 100 most trusted companies generated 2.5 times
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as much value as comparable businesses.
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They also had 47% higher PE multiples.
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The link to value highlights the need
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to really take trust very seriously.
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Second, we found that trust is highly dynamic.
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Fewer than half of the top 100 companies
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from any given year remain in the top 100
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the following year.
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So business leaders really need to be measuring
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and managing trust on an ongoing basis.
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Finally, we are able - on the wide question you mentioned -
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we are able to identify three clusters of trust themes,
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namely trust foundations, trust destroyers,
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and trust enhancers,
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that can help guide leaders to devise strategies
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to improve trust in their companies.
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What we found is that strategies vary markedly,
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depending on the company's starting position.
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As an example,
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while crises unsurprisingly impact trust scores,
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their impact is measurably different for low trust
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versus high trust companies.
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For low trust companies,
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crisis can be a major trust destroyer.
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While high trust companies are not immune to crises,
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they can cope with them in such a way that, actually,
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they can maintain or even strengthen
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their perceived trustworthiness.
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So many insights Marcos, and I'm sure that's
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just a fraction on the tip of the iceberg.
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So beyond encouraging people to read the report
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also do reach out to Marcos to find out specifics
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to your situation.
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As well as, you know, the whole link
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that you mentioned Marcos between trust and value.
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I think that's really fascinating as well.
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So thank you very much for these interesting insights.
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Thank you, Vaishali, it's a pleasure.
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I hope our contribution will be helpful
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to many business leaders in today's world.
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