Abstract:
Organizational trust is characterized by merit, good faith, transparency and experience, which in turn enhances the credibility of the company. Trust creates an opportunity to deal with the complexity and duties of businesses, which thus represents the amount of risk that one is willing to accept in exchange for benefiting from the interactions with others. The purpose of this study is the identification of the effect and relationship between the top management's trust, direct supervisor's trust, and colleague's trust as well as the organizational performance; which can create and lead to a sustainable competitive advantage. A quantitative approach was adopted in the research. This research was carried out and data were gathered at IBM Malaysia and Armada Inovasi in Cyberjaya City in Malaysia. Quantitative Survey Methodology was used to evaluate survey responses via the use of correlation tests. The research revealed a positive and strong correlation between the variables of trust and organizational performance; thus, the study shows that there is a large positive significant relationship between trust and organizational performance. It also shows that there are large positive significant relationships between top management, direct supervisors, and colleagues, and the organizational performance. The study revealed the findings of the multiple deviation for the whole model. The variation in the organizational performance was explained by the variables of trust. F-value attained a level of significance, and the general regression model was appropriately fit and good. The three variables of trust enjoyed by the staff of the investigated organization are a significant and positive indicator of organizational performance. Direct supervisor had a stronger contribution and is the only variable that attained a statistically significant level of organizational performance. This helps direct managers and supervisors to earn useful experiences that will help in productive and positive relations with the staff within organizations.
