What Steve Jobs Understood About Trust

The companies that talk most about trust are not necessarily the ones that have earned it.

At some point, every important business idea becomes a slogan.

Once that happens, the word begins to separate from the work that originally gave it meaning. Companies repeat it in advertisements, executives add it to presentations, and marketing departments place it prominently on websites. Eventually, everyone is saying the same thing, even though they are not all doing the same work.

By the early 1990s, that had happened to the word quality.

In a December 1991 interview at NeXT, Steve Jobs was asked about Joseph Juran, one of the pioneers of modern quality management. The interviewer observed that nearly every American company had started talking about quality. It appeared in advertising, internal communications, corporate initiatives, and executive speeches.

Jobs responded with an observation that has stayed with me:

“Customers don’t form their opinions on quality from marketing.”

Jobs pointed out that Japanese companies generally did not make quality the centerpiece of their advertising. American companies did. Yet when customers were asked which products had the strongest reputation for quality, they frequently named Japanese products. The reputation had been created by the experience of using the products, not by the language used to promote them.

Nowhere was this contrast more visible than in the automobile industry. Joseph Juran later wrote that Japanese automakers had spent decades institutionalizing continuous improvement, involving senior management in quality and studying customer needs rather than relying primarily on inspection after products had already been made. By Juran’s estimate, Japanese automakers had caught and surpassed American automakers in product quality by 1975. The Washington Post

The reputation followed the cars. It did not precede them.

More than three decades later, companies are repeating the same mistake with a different word.

Today, the word is trust.

Trust Has Become the New Quality

Visit the website of almost any cybersecurity provider, auditor, financial institution, insurance company, artificial intelligence platform or enterprise software vendor, and you will encounter remarkably similar language:

A trusted partner.

Uncompromising integrity.

Security you can trust.

A commitment to transparency.

Rigor beyond the checklist.

There is nothing inherently wrong with these ideas. Companies should be trustworthy. Auditors should be rigorous. Security providers should act with integrity. Technology companies should be transparent about how they handle customer information.

The problem is that almost everyone makes these claims.

When every company describes itself as trustworthy, the word stops helping customers distinguish among them. It becomes less of a statement about how a company operates and more of a category convention—a phrase that appears because customers expect it to appear.

Trust, however, is not an attribute a company can assign to itself.

It is a judgment made by someone else.

A company can say that it is experienced, but a customer decides whether its experience is relevant. A company can say that it is responsive, but a customer decides whether it responded when it mattered. A company can say that it is transparent, but transparency is tested only when the company possesses information it would be easier not to disclose.

Calling yourself trustworthy is a little like calling yourself humble. The declaration does not establish the underlying quality. In some cases, the need to repeat it may have the opposite effect.

Trust is what remains after a customer compares what a company promised with what actually happened.

It is produced when a company behaves consistently, keeps its commitments, communicates honestly and acts responsibly when doing so is difficult, inconvenient or expensive. It develops through accumulated experience—particularly the experience of what happens when something goes wrong.

Marketing can communicate the evidence that supports trust. It cannot manufacture the underlying judgment.

The Auditor’s Dilemma

I work in industries that, in a very literal sense, sell trust.

Cybersecurity companies ask customers to trust them with their most sensitive systems. Compliance providers help companies demonstrate that their operations deserve confidence. Auditors issue reports intended to give customers, investors and business partners assurance about what they cannot directly observe.

This creates a peculiar marketing problem.

In a recent Forbes article, I called it the auditor’s dilemma. Forbes

A SOC 2 audit is performed under professional standards promulgated by the American Institute of Certified Public Accountants. The applicable criteria and reporting requirements are established in advance, and accounting firms performing these engagements are generally subject to peer review intended to determine whether their work complies with professional standards.

That standardization is not a weakness. It is the reason an audit opinion has value.

Two qualified auditors examining the same company under the same criteria should not arrive at radically different conclusions simply because one firm has more impressive branding. A customer relying on a SOC 2 report should not need to interpret the report differently depending on which firm’s logo appears on the cover.

In that respect, the core audit deliverable is intentionally close to a commodity. Its meaning is supposed to be standardized.

But if the central deliverable is standardized, what does an audit firm market?

The common answer is trust.

Audit firms promise greater rigor, deeper integrity, higher quality, and a willingness to go beyond the checklist. The difficulty is that none of these claims can be inspected at the point of sale.

A buyer cannot place two proposals next to each other and objectively determine which firm possesses more integrity. They cannot measure rigor in a spreadsheet. They cannot know whether an auditor will truly go beyond the checklist until the engagement is already underway.

When every firm makes the same unverifiable promise, the promise communicates very little.

The buyer therefore turns to the differences that are visible.

Price is visible.

The proposed timeline is visible.

The number at the bottom of the contract is visible.

This is why price often becomes the decisive factor, even when the buyer genuinely cares about quality. The buyer is not necessarily choosing price over quality. The buyer may simply have no reliable way to see the quality difference before purchasing.

When quality is invisible, price becomes decisive.

This is the modern version of the problem Jobs identified. American companies advertised quality while Japanese companies developed systems that caused customers to experience it. Auditors advertise trust while frequently giving buyers little concrete evidence with which to distinguish one firm from another.

Claims Are Cheap. Signals Are Not.

There is a difference between a trust claim and a trust signal.

A trust claim describes the conclusion the company wants the customer to reach.

A trust signal exposes something observable about how the company operates.

“Highly responsive” is a claim. A defined response-time commitment, a named escalation path and a visible communication cadence are signals.

“Experienced professionals” is a claim. Identifying the people who will actually perform the work, showing their relevant credentials and explaining how senior reviewers participate in the engagement are signals.

“Transparent pricing” is a claim. Publishing prices, defining the circumstances under which they can change and eliminating unexpected charges are signals.

“Rigorous security” is a claim. Describing the controls protecting customer data, disclosing where those controls do not apply and explaining how incidents are escalated are signals.

“Human-centered AI” is a claim. Identifying where human review occurs, how customer data is handled, which decisions are automated and where the system is known to fail are signals.

The strongest signals tend to share three characteristics.

First, they are specific. They tell the customer what the company will actually do.

Second, they are observable. The customer can determine whether the company followed through.

Third, they create exposure. The company can be proven wrong, held accountable or forced to absorb a cost if it fails to meet its commitment.

That third characteristic is particularly important.

It costs almost nothing to put the word trust on a website. It costs something to commit to a service level, disclose a limitation, provide a remedy, publish performance data or allow customers to see how work is actually being performed.

That cost is what makes the signal credible.

A company that voluntarily makes itself accountable is communicating more than a company that merely describes itself with favorable adjectives.

Trust Is Often Decided When Something Goes Wrong

Companies naturally want customers to associate trust with consistency and reliability. But trust is not built only through flawless performance.

It is often decided through the handling of failure.

Every company eventually makes a mistake. A deadline slips. An employee provides incorrect information. A system becomes unavailable. A security event occurs. An audit encounters an unexpected delay. A product does not perform as promised.

The trust question begins at that moment.

Does the company disclose the problem quickly, or wait for the customer to discover it?

Does it explain what happened clearly, or hide behind vague language?

Does it take responsibility, or search for someone else to blame?

Does it provide a practical remedy?

Does it change the process that allowed the problem to occur?

A company that handles a failure honestly can sometimes create more trust than a company whose customer has never seen it tested. The customer has now observed how the organization behaves when its incentives are under pressure.

This is another reason trust cannot be reduced to branding. A marketing department cannot know in advance how every difficult situation will unfold. The answer depends on the company’s incentives, leadership, processes and culture.

Trust is not merely a communications strategy.

It is an operating model.

Marketing Is Not the Enemy

Jobs was not arguing that marketing was unimportant.

In the same interview, he explained that quality extended beyond how a product was manufactured. It included selecting the right product, understanding where the market was going, responding to customer needs and connecting the processes that ran from the customer all the way through the organization. In his view, leading companies integrated quality into sales and marketing rather than treating it as the isolated responsibility of a quality-control department. Lean Blog by Mark Graban

The lesson is not that companies should stop talking about trust.

The lesson is that marketing must be downstream of reality.

Good marketing makes the truth legible.

It identifies the parts of a company that are meaningfully different. It translates complicated operating processes into evidence a customer can understand. It helps buyers recognize value that might otherwise remain invisible. It gives language to a reputation that the company’s behavior is already producing.

Bad marketing tries to replace those things with adjectives.

The proper job of trust marketing is to reduce uncertainty. It should answer the questions a rational buyer would ask before relying on the company:

Who will actually do the work?

What standards will govern it?

What commitments can be measured?

What information will the customer receive?

How will the company behave when it finds something the customer does not want to hear?

What happens when the company misses a deadline or makes a mistake?

Where does automation end and human judgment begin?

What does the company disclose that a less transparent competitor would prefer to keep hidden?

These answers are marketing material, but they must originate in operations.

A marketing team cannot credibly promise a two-day response time if the service team has no system for delivering one. It cannot advertise transparency if leadership discourages employees from communicating bad news. It cannot promise senior attention if the engagement is sold by a partner and immediately transferred to an understaffed junior team.

Before a company improves the language it uses to market trust, it may need to improve the processes that produce it.

Trust Should Be Designed Into the Experience

The companies that earn the greatest trust do not treat it as a campaign.

They design it into the customer experience.

The sales process accurately represents what the company can deliver. The contract reflects what was discussed. The people introduced during the sale remain involved after the agreement is signed. Timelines are realistic. Problems are communicated before the customer has to ask. Responsibilities are clear. Limitations are acknowledged rather than hidden.

None of these actions is individually dramatic.

Trust is rarely produced by a single grand gesture. It compounds through dozens of small moments in which the company does what it said it would do.

That is particularly important in industries where much of the product is difficult for the customer to inspect.

A customer cannot personally retest every procedure performed during an audit. They cannot continuously inspect every security control protecting their information. They cannot independently verify every decision made by an artificial intelligence system or every safeguard maintained by a financial institution.

The customer must rely on signals.

The more opaque the underlying service, the more important it becomes for the company to make its processes, commitments and accountability visible.

This is where marketing can create genuine value. It can show the mechanisms behind the promise.

Do not merely say that the audit is rigorous. Explain how evidence is tested, how exceptions are evaluated, how much senior review occurs and how professional judgment is protected when automation is used.

Do not merely say that the security service provides peace of mind. Explain how alerts are investigated, how responsibilities are divided, how incidents are escalated and what the customer can expect during an emergency.

Do not merely say that the company values transparency. Publish information that creates the possibility of uncomfortable questions.

Do not merely say that customers come first. Show where your company has accepted a cost, constraint or inconvenience in order to protect them.

The mechanism is more persuasive than the adjective.

Let the Customer Reach the Conclusion

Japanese manufacturers did not win the quality argument by making a more persuasive argument.

They made better products. They developed better processes. They involved management in quality. They improved repeatedly. Customers experienced the results, and the reputation followed.

The same principle applies to trust.

Companies will not win the trust argument by saying trust more frequently, finding a better synonym or placing another certification badge on a homepage.

They will win by building organizations whose behavior makes the conclusion increasingly difficult to avoid.

The strongest trust brands may ultimately be the ones that need to use the word least. Their responsiveness, transparency, consistency and accountability make the case for them.

There is nothing wrong with putting trust in a headline. But by the time the company does, the word should feel almost redundant.

Steve Jobs understood that customers did not believe Japanese products were better because Japanese companies repeatedly told them so. Customers believed it because the products gave them repeated reasons to reach that conclusion.

Trust works the same way.

Trust should not be the claim your marketing begins with. It should be the conclusion your customer reaches at the end of the experience.

The CrowdStrike Outage Is a Wake-Up Call for IT Modernization

Over the last week, many people have asked me my thoughts about the CrowdStrike incident and its potential to impact the broader tech industry significantly.

I see this as a wake-up call for IT modernization underscored by the issues caused by outdated systems across sectors. Large enterprises will take this prime opportunity to invest in overhauling their technology and operations.

Companies will invest in new and updated technology for Out of Bounds Management (OOB), IT automation, and other remote orchestration and management tools more closely aligned with hardware.

This will create enormous opportunities for both startups and existing players.

So, what does something like Out of Bounds Management do, and how could it have helped? It’s been around for a long time, but most people have never heard of it. Take Intel’s VPro Active Management Technology, for example. It allows monitoring, maintenance, and repair of systems even when the operating system is entirely out of commission. A system like that would have helped recover systems easily and quickly.

Embracing the Self: 4 Parallels Between David Goggins and Michael A. Singer

David Goggins, a retired Navy SEAL and ultra-endurance athlete, and Michael A. Singer, the spiritual author behind “The Untethered Soul,” may seem like they exist in different realms. On the surface, the two couldn’t seem more different. However, a closer inspection reveals striking parallels in their perspectives on transcending personal limitations and fostering inner growth.

1. Inner Resistance and Transformation

Goggins is renowned for his “40% rule,” which suggests that when we think we’re done, we’ve only tapped into about 40% of our potential. Similarly, Singer emphasizes moving past our comfort zones, stating that personal growth is a result of facing and overcoming internal resistance.

Goggins and Singer underscore the power of the mind. Goggins proposes the concept of “mental toughness,” pushing oneself to physical extremes to conquer mental barriers. Singer, conversely, illuminates how the mind can be our greatest friend or foe, based on how we manage our thoughts and emotions.

2. Living in the Present: Presence in Action and Spirit

For David Goggins, presence is a practical tool for achieving goals. In his endurance races and intense physical feats, being present and focusing on the task at hand has been a survival strategy. When faced with overwhelming challenges, he advocates breaking the task into manageable pieces and focusing only on the immediate hurdle. This technique, often referred to as “micro-goaling,” keeps one grounded in the present moment, enabling one to handle immense challenges without being overwhelmed by the magnitude of the whole task. It’s about surviving the moment, making it through the current mile, and not worrying about the dozens to come. This practice of mindfulness under extreme conditions has repeatedly proven effective for him.

In contrast, Michael A. Singer’s perspective on living in the present takes a more spiritual approach. In “The Untethered Soul,” he suggests that we can fully experience life in the present moment by releasing our past regrets and future anxieties. For Singer, living in the present is less about overcoming physical challenges and more about achieving spiritual liberation. He teaches that our thoughts and emotions often tether us to the past or future, preventing us from fully experiencing and engaging with the present. By observing and releasing these thoughts and emotions, we can achieve a state of presence that enables us to experience life more fully and deeply.

In essence, both Goggins and Singer advocate for a deep engagement with the present moment, albeit in different contexts. Goggins’ concept of living in the present serves as a tactical strategy for overcoming monumental tasks, while Singer’s perspective offers a path to spiritual liberation and inner peace.

3.Pain as a Pathway to Growth

David Goggins’ perspective on pain is grounded in physical endurance. He believes that we discover our true strength when we push our bodies to their limits, and in doing so, we also stretch our mental barriers. Goggins often refers to the idea of “callousing the mind,” which he developed through his extreme physical training. By regularly exposing himself to discomfort and pain, he built resilience, not only physically but mentally. For Goggins, pain isn’t something to avoid; instead, it’s a valuable teacher that pushes us beyond our perceived limits and opens doors to personal growth.

Michael A. Singer, on the other hand, views pain from an emotional and spiritual lens. In “The Untethered Soul,” Singer discusses how emotional pain, such as fear, trauma, or heartbreak, can serve as barriers to our personal and spiritual growth. But, rather than avoiding this pain, he encourages us to face it head-on. By confronting and observing our internal pain without judgment, we can understand its roots and eventually release it. This process, while uncomfortable, ultimately leads to self-discovery, inner peace, and personal growth.

Despite their different approaches, both Goggins and Singer see pain as a catalyst for growth. Goggins views pain as a physical test that builds mental toughness and resilience, while Singer perceives it as an emotional challenge that, when faced, can lead to spiritual growth and inner peace. Both perspectives highlight the importance of not shying away from discomfort but embracing it as a vital part of the journey toward personal growth.

4. The Inner Roommate and Self-Talk

The most interesting parallel is their views on self-talk. Singer’s “inner roommate” metaphor represents the ceaseless chatter of our minds constantly complaining and questioning us. It’s the “I’m hungry, I’m tired, I don’t want to do that” background narration all our minds do. He suggests observing this chatter without judgment, can lead to overcoming it and is part of the path to inner peace.

Goggins, similarly, confronts this chatter, turning negative self-talk into a motivational tool for overcoming physical and mental barriers. The “inner bitch” represents the self-doubting, comfort-seeking voice within us all. It is the voice that tells us to quit when things get tough, that urges us to seek ease and avoid discomfort. Goggins believes this voice is a barrier to reaching our full potential and must be silenced and controlled to achieve extraordinary results.

Goggins has continuously defied this inner voice in his journey, pushing past physical and mental limits through rigorous training and intense determination. His strategy for overcoming this self-doubt involves intentionally placing himself in uncomfortable situations to build mental toughness, thereby proving to his “inner bitch” that he can indeed overcome adversity.

David Goggins and Michael A. Singer may appear different at first glance, but they share profound similarities in their philosophies of personal growth, mind mastery, and authenticity. Both figures guide us in recognizing that our most significant limits are self-imposed, and only by confronting these barriers can we truly grow and find our authentic selves.

How to Protect Your App-Based Financial Accounts

In the fall of 2020, Robinhood, an investing and stock trading application, experienced a security breach in which over 2,000 accounts were hacked when their email addresses were comprised outside of the app. An issue of security on the end of both the application and the individual customers. Its not the first time something like this has happened, and it certainly won’t be the last.

So how can you best protect yourself and your financial investments when an inevitable attack happens to a third party services company or bank that you utilize? The good news is, you can achieve additional protection for your investment funds, confidence and peace of mind – in just a few steps.

Step 1: Dark Web Scan

Your email is your key to all of your digital accounts, so its important to know if any of your accounts where it is used and their corresponding passwords have been compromised . Do a quick, free, dark web scan  of your email address to find any account passwords that have been breached. For any that are, change the password by choosing a strong, unique password, and most importantly – never use your old password anywhere, ever again.

Step 2: Setup MFA for Email

MFA or multi-factor authentication, not to be confused with MMA or mixed martial arts (though both are technically an individual form of protection) is incredibly important to activate for your email. 

Why? It helps protect from brute force attacks and phishing attempts. And since email is your main identifier for all of your personal accounts, including your financial accounts, you want to make sure it has maximum security.

How? Here are step-by-step guides for Gmail, ProtonMail and Yahoo accounts. There are a few of options to set it up – via SMS, an authenticator app, or with a physical security key. Each option has pros and cons, so be sure choose the one that is most convenient for you. 

Recommendation: If you have a substantial sum of money in your accounts, or are at a higher risk for being attacked, choose the physical key. (Yubikey

Step 3: Setup MFA for Financial Accounts

Next you’ll want to set up two-factor authentication for the financial accounts that you want to protect. This information is typically available right on the site or within the app of the bank or financial services company your account is with. Below are direct links to enable MFA for the follow accounts:

Step 4: Lock your Phone Number

No not locking your phone, locking your phone number. This prevents attackers from transferring your phone number to a different carrier, also known as an unauthorized port out.  This is done in an attempt to gain access to your private accounts. And since your phone number is directly tied to most of your online accounts and identity, this is an important step. Especially for instances in which text message-based two-factor authentication is used as the primary security method or when your number is used as a backup access method. Every major US phone carrier allows you to create a PIN or passcode to lock your account.

Verizon lets you do this online here, AT&T also allows you to do it online here, and TMobile requires you to do it over the phone by calling 1-800-937-8997.

Step 5: Theft Protection & Cyber Insurance

Finally, you need to purchase some type of cyber insurance or identity theft protection that covers loss of funds for investment accounts. It’s important to be careful when shopping around for this. Many insurers will say they provide $1M of protection but in  actuality only have $25K of loss of funds coverage. So take your time and shop around for the best price from a reputable company.

Following the breach at Robinhood in 2020, I wrote an article on medium (here) about the steps to take to protect your account.

At Agency, our focus is on cybersecurity and privacy technology, so we have partnered with a major insurance company to offer our member’s coverage at no additional cost, including a full $1M in loss of funds coverage. 

Stay safe. Invest your money with confidence! Learn more about protecting yourself and financial accounts with Agency.