WEBVTT 1 00:00:00.729 --> 00:00:02.479 [intro music playing] 2 00:00:06.507 --> 00:00:07.340 Hello. 3 00:00:07.340 --> 00:00:08.217 Today, I'm really excited to speak with Marcos Aguiar, 4 00:00:10.526 --> 00:00:15.526 the lead author on BCG's first Global Trust Index Report, 5 00:00:15.740 --> 00:00:18.450 which is entitled "What AI Reveals 6 00:00:18.450 --> 00:00:22.090 About Trust in the World's Largest Companies." 7 00:00:22.090 --> 00:00:23.880 I'm sure Marcos has a lot to say, 8 00:00:23.880 --> 00:00:25.930 so maybe we begin with Marcos. 9 00:00:25.930 --> 00:00:28.430 What would you say that this report contributes 10 00:00:28.430 --> 00:00:31.430 to the global conversation that everyone's having 11 00:00:31.430 --> 00:00:32.263 about trust? 12 00:00:33.530 --> 00:00:36.260 Well Vaishali, business leaders are already aware 13 00:00:36.260 --> 00:00:38.670 of how important trust is in today's age 14 00:00:38.670 --> 00:00:40.760 of stakeholder capitalism. 15 00:00:40.760 --> 00:00:43.072 However, trust is elusive. 16 00:00:43.072 --> 00:00:46.470 It is a highly dynamic psychological state. 17 00:00:46.470 --> 00:00:49.210 So it's really hard to measure, let alone decode 18 00:00:49.210 --> 00:00:50.450 and understand it deeply 19 00:00:50.450 --> 00:00:54.350 so we can practically use it for business decisions. 20 00:00:54.350 --> 00:00:58.980 BCG's Trust Index seeks to address exactly that challenge 21 00:00:58.980 --> 00:01:02.790 by using AI to comb through millions of articles, posts, 22 00:01:02.790 --> 00:01:07.630 and tweets on the web to identify trust-specific mentions 23 00:01:07.630 --> 00:01:11.653 and score the 1,000 largest public companies in the world 24 00:01:11.653 --> 00:01:15.070 based on their perceived trustworthiness. 25 00:01:15.070 --> 00:01:18.680 And as importantly, uncover the specific themes 26 00:01:18.680 --> 00:01:20.230 that drove those scores. 27 00:01:20.230 --> 00:01:22.190 The answer to the why question: 28 00:01:22.190 --> 00:01:25.860 Why is trust high, low, or changing? 29 00:01:25.860 --> 00:01:27.350 We did that 30 00:01:27.350 --> 00:01:31.510 by dissecting the data across years, regions, sectors, 31 00:01:31.510 --> 00:01:35.280 and contrasted the top 100 most trusted companies 32 00:01:35.280 --> 00:01:37.570 against the bottom least trusted 33 00:01:37.570 --> 00:01:40.170 to identify patterns that can be relevant 34 00:01:40.170 --> 00:01:42.860 to improve trust in business. 35 00:01:42.860 --> 00:01:45.540 Fantastic, Marcos. I like the decoding. 36 00:01:45.540 --> 00:01:47.510 I like the why, right? 37 00:01:47.510 --> 00:01:49.610 Because that's what matters in the end. 38 00:01:49.610 --> 00:01:53.020 There must be so many more findings that are noteworthy. 39 00:01:53.020 --> 00:01:55.220 Which would be a few that you would highlight? 40 00:01:55.220 --> 00:01:58.570 And secondly, any implications for business leaders as well 41 00:01:58.570 --> 00:01:59.770 that you would point to? 42 00:02:00.700 --> 00:02:01.533 You're right. 43 00:02:01.533 --> 00:02:03.050 I mean, this report is filled 44 00:02:03.050 --> 00:02:05.450 with interesting analysis and findings. 45 00:02:05.450 --> 00:02:07.680 So let me pick three of my favorites. 46 00:02:07.680 --> 00:02:11.260 First, we found that trust pays off. 47 00:02:11.260 --> 00:02:15.930 The 100 most trusted companies generated 2.5 times 48 00:02:15.930 --> 00:02:19.380 as much value as comparable businesses. 49 00:02:19.380 --> 00:02:24.200 They also had 47% higher PE multiples. 50 00:02:24.200 --> 00:02:26.550 The link to value highlights the need 51 00:02:26.550 --> 00:02:28.903 to really take trust very seriously. 52 00:02:29.950 --> 00:02:34.950 Second, we found that trust is highly dynamic. 53 00:02:35.040 --> 00:02:37.580 Fewer than half of the top 100 companies 54 00:02:37.580 --> 00:02:40.250 from any given year remain in the top 100 55 00:02:40.250 --> 00:02:41.890 the following year. 56 00:02:41.890 --> 00:02:45.450 So business leaders really need to be measuring 57 00:02:45.450 --> 00:02:49.380 and managing trust on an ongoing basis. 58 00:02:49.380 --> 00:02:52.750 Finally, we are able - on the wide question you mentioned - 59 00:02:52.750 --> 00:02:57.690 we are able to identify three clusters of trust themes, 60 00:02:57.690 --> 00:03:01.070 namely trust foundations, trust destroyers, 61 00:03:01.070 --> 00:03:03.150 and trust enhancers, 62 00:03:03.150 --> 00:03:06.100 that can help guide leaders to devise strategies 63 00:03:06.100 --> 00:03:08.210 to improve trust in their companies. 64 00:03:08.210 --> 00:03:12.170 What we found is that strategies vary markedly, 65 00:03:12.170 --> 00:03:14.810 depending on the company's starting position. 66 00:03:14.810 --> 00:03:15.780 As an example, 67 00:03:15.780 --> 00:03:19.920 while crises unsurprisingly impact trust scores, 68 00:03:19.920 --> 00:03:23.590 their impact is measurably different for low trust 69 00:03:23.590 --> 00:03:25.684 versus high trust companies. 70 00:03:25.684 --> 00:03:27.130 For low trust companies, 71 00:03:27.130 --> 00:03:30.010 crisis can be a major trust destroyer. 72 00:03:30.010 --> 00:03:33.610 While high trust companies are not immune to crises, 73 00:03:33.610 --> 00:03:37.060 they can cope with them in such a way that, actually, 74 00:03:37.060 --> 00:03:39.420 they can maintain or even strengthen 75 00:03:39.420 --> 00:03:41.700 their perceived trustworthiness. 76 00:03:41.700 --> 00:03:43.730 So many insights Marcos, and I'm sure that's 77 00:03:43.730 --> 00:03:46.830 just a fraction on the tip of the iceberg. 78 00:03:46.830 --> 00:03:49.740 So beyond encouraging people to read the report 79 00:03:49.740 --> 00:03:53.180 also do reach out to Marcos to find out specifics 80 00:03:53.180 --> 00:03:54.784 to your situation. 81 00:03:54.784 --> 00:03:57.370 As well as, you know, the whole link 82 00:03:57.370 --> 00:04:01.040 that you mentioned Marcos between trust and value. 83 00:04:01.040 --> 00:04:03.490 I think that's really fascinating as well. 84 00:04:03.490 --> 00:04:07.153 So thank you very much for these interesting insights. 85 00:04:08.180 --> 00:04:10.180 Thank you, Vaishali, it's a pleasure. 86 00:04:10.180 --> 00:04:12.380 I hope our contribution will be helpful 87 00:04:12.380 --> 00:04:14.793 to many business leaders in today's world. 88 00:04:15.654 --> 00:04:17.321 [exit music playing]