Trust and governance as strategic advantages
Lawyer Benedicta “Dick” Du-Baladad is the founding partner and CEO of Du-Baladad and Associates (BDB Law), a firm specializing in tax and corporate law.
An accountant-lawyer by training, she graduated magna cum laude and earned her Master of Laws and International Tax Program at Harvard University.
She served as president of the Management Association of the Philippines in 2023 and now chairs the Institute of Corporate Directors Philippines.
In this conversation, she shares how trust and good governance can move beyond compliance to become true strategic advantages.
Question: Marketers say trust is today’s business currency. From a governance lens, how do you define trust, and how can boards and management actively build it?
Answer: From a governance standpoint, trust is the product of integrity, transparency and accountability consistently demonstrated in both decisions and actions.
Trust is an important currency. It is earned when stakeholders see that the organization does what it says, even when it’s inconvenient.
Boards and management can actively build trust by ensuring ethical leadership, open disclosure, responsible risk-taking and responsiveness to stakeholder concerns.
In today’s environment, trust is not a soft value—it is a strategic asset that directly influences sustainability and competitiveness.
Q: Governance and brand reputation: Many firms highlight marketing over governance. How can good governance itself strengthen brand reputation and become a real market differentiator?
A: Good governance is the foundation upon which a credible brand is built. Marketing can create visibility, but governance sustains reputation. When investors, regulators, employees and the public recognize that a company upholds fairness, integrity and accountability, the brand naturally stands out. In this sense, governance becomes the strongest form of brand differentiation, because it communicates reliability and long-term value beyond slogans or campaigns.
Q. Alignment of promise and practice: Marketing makes promises; governance ensures delivery. How can organizations align these so the brand reflects reality?
A: Governance ensures that the organization’s actions match its public commitments. The board sets the tone by aligning strategy, risk management and performance metrics with the company’s stated purpose and values. This means marketing’s promises must be grounded in operational realities—supported by measurable policies and consistent behavior at every level. When governance reinforces the same message that marketing promotes, the brand becomes authentic and credible.
Q: From crisis to credibility: When trust on a company is shaken, what governance actions can restore credibility faster than marketing or PR alone?
A: When trust is eroded, credibility cannot be restored through communication alone—it must be earned through governance action. Boards must lead by taking accountability, disclosing facts transparently, addressing root causes and ensuring corrective measures are in place. Demonstrating fairness, consistency and reform through governance processes rebuilds confidence faster than any PR campaign.
Q: Governance as strategy: How can leaders transform governance from mere compliance into a lasting source of strategic and reputational advantage?
A: Governance is not just about compliance—it’s about how you lead and make decisions. When built into strategy, it drives long-term success by ensuring discipline, foresight and integrity.
Simply put, good governance is good business—and it’s one of the strongest sources of reputational strength.
