2025 Final Examination (Updated
2025/2026) HBSMBA 1825 BUILDING
TRUSTED ORGANISATION~ A+
Part A – Leadership and Trust Foundations
1.
Define organizational trust and explain why it
is considered the foundation of modern
leadership.
Answer: Organizational trust is the
confidence stakeholders place in an
institution’s integrity, competence, and
,intentions. It underpins cooperation,
performance, and ethical alignment.
Rationale: Without trust, even competent
systems fail to mobilize people or sustain
engagement.
2.
Describe how ethical leadership differs from
transactional leadership in building long-
term trust.
Answer: Ethical leadership centers on
shared values and moral example;
transactional leadership relies on
compliance and reward systems.
, Rationale: Ethical leadership generates
intrinsic trust, while transactional methods
create conditional, short-term loyalty.
3.
Explain the “Trust Triangle” model and its
three components.
Answer: The model includes Motives
(intentions), Means (ethical processes), and
Impact (results).
Rationale: Trust arises when motives are
pure, means are fair, and impact aligns with
stakeholder expectations.