What is Radical Transparency
Radical Transparency is an approach that’s adopted by many progressive organisations around the globe. Adopters of radical transparency believe the outdated traditional ‘command and control’ style of leaderships needs to change.
Put simply, the practice of radical transparency means removing barriers, creating an open culture, and most importantly, providing internal visibility amongst employees.
In traditional companies, information surrounding financials, salaries, individual bonuses etc would only be available to the leadership team. Now however, many companies are providing visibility to all sorts of important information accompanied with basic financial coaching to enable financial acumen across the workforce.
Today’s citizens also expect companies to be transparent with important information like gender and ethnicity pay gaps. Significant work still needs to be done in these areas, so being transparency allows for meaningful discussions, which ultimately brings positive change.
How can Radical Transparency benefit my company?
Being radically transparent comes with many benefits including: highlighting trust and fairness in the workplace, showing people they are valued and it can even help to combat the gender + ethnicity pay gap; resulting in an engaged workforce, which will lead to a happier, more dynamic and enriched team!
The Proof’s in the Pudding
UK company, GrantTree – which offers advice on government funding, allows each team member to decide their own salary. Following a process of research, review and advice the decision ultimately lies with the person making the application.
Similarly, to the studies that tell us having unlimited holidays usually ends up with people taking less time off, (though this isn’t a good thing) there have been instances at GrantTree where people have also volunteered to reduce their pay.
Likewise, Makers Academy, who offer intense computer coding courses have upheld salary transparency since they were founded in 2013. Supporting their mission to create an open and honest culture by making information accessible to all.
The benefit in having information available (and transparent) means people can make better and fairer business choices, not just regarding salaries, but also general day-to-day business decisions too.
Data transparency not only boosts decision-making, results and accuracy, it also emphasises fairness too.
We’d say that’s a big cost, wouldn’t you?
At HappyHQ we have designed a Culture Audit made up of over 30 culture-essential topics. This includes making sure there’s a culture of open and honest communication and ensuring people feel there is enough transparency.
Get in touch if you want to find out more.
