Organizational transparency drives company performance

Purpose - To explain the logic of value creation through increased organizational transparency of human capital. Design/methodology/approach - The authors compare the status of today's organizations with other areas of life where transparency has been a fundamental driver of efficiency. Further, the authors break transparency down into logical steps of value creation. Insight is based on hands-on experience working with several companies on these issues as well as designing software to support the logic. Findings - Modern companies are taking steps to drive company performance through increased efficiency delivered by increased transparency but few take it all the way. No universal model is prescribed but a clear sequence of foundations that need to be in place is discovered. Research limitations/implications - The paper is based on the authors' research and learning from working in this field. Further research in the field of organizational transparency as a means to drive company performance is suggested. Originality/value - This paper takes a different angle than the traditional view.