Welcome to Spotlight on Search, CarterBaldwin's quarterly e-newsletter.

In this edition, we explore a model for creating trust and the importance of creating a truly global Board of Directors.

We're also featuring some exciting news about CarterBaldwin in this edition, including:

• CarterBaldwin Ranks No. 455 on the 2006 Inc. 500 with a Three-Year Sales Growth of 327%
• Atlanta Business Chronicle Names CarterBaldwin one of Atlanta's Top 10 Executive Search Firms

Thanks for reading.

The Decision to Trust

Roughly half of all managers don’t trust their leaders. That’s what the Robert F. Hurley, Harvard Business Review found when he recently surveyed 450 executives of 30 companies from around the world. And even more alarmingly, a 2003 University of Chicago survey of 800 Americans discovered that more than four out of five had “only some” or “hardly any” confidence in the people running major corporations. It seems that today mergers, downsizing, and globalization have accelerated the pace of change in organizations, creating a crisis of trust that didn't exist a generation ago.

This article presents a model that sheds light on how the decision to trust is made. By understanding the mental calculations behind the decision whether or not to trust, managers can create an environment in which trust flourishes. Leaders who understand how trust is built can actively influence its development, resulting in a more supportive and productive work environment and, not incidentally, a competitive advantage in the war for talent.

Winning at the Board Game

We are constantly being bombarded with the message that the business world is shrinking. One of the growing terms for this change is that the world is becoming flat. With the continued enhancements in technology and information availability, the ability for a company to isolate itself geographically is quickly disappearing. Additionally, addressing major global markets is increasingly becoming a mandate for those companies looking to achieve growth.

The practice of developing client-facing teams with in-country executives and employees is today well recognized and widely adapted by the majority of companies looking to achieve global expansion. Success at this endeavor often leads the business world to classify a company as "truly global". Unfortunately, while many companies are extremely focused at developing local presences, they tend to totally overlook the composition of their governing Board of Directors. In fact, a very small percentage of "global" companies have Boards that reflect their true geographical makeup.

When approaching international markets today in this "flattening world," it is now essential to make globalization of Boards a much higher priority.

The 2006 Inc. 500, as revealed in the September issue of Inc., reported the most robust bunch of companies the magazine has ever compiled, with aggregate revenue of $19.7 billion, up from $16.5 billion last year and $12.9 billion in 2000. The 2006 Inc. 500 companies were engines of job growth, having created more than 90,000 jobs since being founded. Only 20 companies headquartered in Atlanta, GA were included on this year’s list and only 40% of the honorees made the list two years in a row. CarterBaldwin is pleased to announce that our company has once again been included on Inc.’s annual list of America’s 500 Fastest-Growing Private Companies.

On a local level, CarterBaldwin has also been recognized once again by the Atlanta Business Chronicle as one of Atlanta’s Top 10 Executive Search Firms.