Business
Ethical Leadership
Ethical leadership in business refers to the practice of leading with integrity, honesty, and fairness while considering the impact of decisions on all stakeholders. Ethical leaders prioritize ethical behavior, transparency, and accountability, setting a positive example for their teams and fostering a culture of trust and respect within the organization.
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11 Key excerpts on "Ethical Leadership"
- eBook - PDF
- Ronald R. Sims(Author)
- 2010(Publication Date)
- Information Age Publishing(Publisher)
177 1. First of all, there is the fundamental understanding that Ethical Leadership is principle based. It is anchored in moral or natural laws that are just as real in their effect as physical laws, such as the law of gravity. Ethical or moral principles of trust, respect, integrity, honesty, fairness, equity, compassion, and others, if honored, will return benefits in many ways; if broken, they will bring negative repercussions that usually affect not only the violator but innocent people as well. 2. Ethics must indeed begin at the top. Leaders cannot shrink from their obligations to set a moral example for their followers; formal ethical codes and ethics education have little chance of success unless the ethical actions and behavior of top leaders are consis- tent with what they teach. Leaders are the key to determine the outcome of organizational goals and to set the tone for employee behavior which may include promotion, appraisal and strategies. Organizational leaders should encourage employees by leading by example; they have the responsibility to define organizational norms and values, live up to expectations and encourage their fol- lowers to adopt the same. 3. Ethical Leadership includes activities on the part of leaders to foster an environment and culture that support ethical practices through- out the organization. Leaders play a critical role in creating, sus- taining, and changing their organization’s culture, through their own behavior and through the programs and activities they support and praise or neglect and criticize. All leaders must undertake behaviors that foster an ethical environment—one that’s conducive to ethical practices and that effectively integrates ethics into the overall organizational culture. 4. Ethical leaders “teach” ethical conduct to employees through their own behavior. Ethical leaders are relevant role models because they oc- cupy powerful and visible positions in organizational hierarchies that - eBook - ePub
Ethics in Public Policy and Management
A global research companion
- Alan Lawton, Zeger van der Wal, Leo Huberts, Alan Lawton, Zeger van der Wal, Leo Huberts(Authors)
- 2015(Publication Date)
- Routledge(Publisher)
2014 ). The chapter concludes with a discussion on the value and implications of broadening our scope from a leader-centered to a stakeholder-based perspective on Ethical Leadership.Ethical Leadership defined
Brown, Treviño and Harrison define Ethical Leadership as “the demonstration of normatively appropriate conduct through personal actions and interpersonal relationships, and the promotion of such conduct to followers through two-way communication, reinforcement, and decision-making” (Brown et al. 2005 , p. 120). This definition suggests ethical leaders are not only moral persons, but moral managers as well (Treviño et al. 2000 ). While this definition is not without its limitations (see Heres 2014 ; Lawton and Páez 2014 ), it is undoubtedly the most widely adopted conceptualization to date.As moral persons, ethical leaders are said to have strong moral character (Jurkiewicz 2006 ; Wright and Quick 2011 ) and a deeply held set of moral values (Storr 2004 ; Treviño et al. 2000 ; Van Wart 2005 ) that they uphold even in the face of significant external pressures or risks (Resick et al. 2011 ; Treviño et al. 2003 ; Yukl et al. 2013 ). Consistent with this, empirical studies associate Ethical Leadership with a multitude of moral traits and virtues such as integrity, trustworthiness, reliability, honesty, transparency, conscientiousness, and a concern for justice and fairness (e.g., Brown et al. 2005 ; Den Hartog and De Hoogh 2009 ; Frisch and Huppenbauer 2014 ; Yukl et al. 2013 - eBook - PDF
- Carole L. Jurkiewicz, Robert A. Giacalone(Authors)
- 2011(Publication Date)
- Information Age Publishing(Publisher)
Ethical Leadership 137 leadership be examined along five interlinked dimensions: (a) the ethics of a leader as a person, (b) the ethics of the leader/follower relationship, (c) the ethics of the process of leadership, (d) the ethics of what a leader does or does not do, and (e) the ethics of leadership in the larger context of the community. Most of these dimensions are reflected in the seminal work on the topic by Brown, Treviño and Harrison (2005, p. 120), who define Ethical Leadership as: “the demonstration of normatively appropri- ate conduct through personal actions and interpersonal relationships, and promotion of such conduct among followers through two-way communica- tion, reinforcement, and decision-making processes.” This definition refers to “ethics,” to “normatively appropriate conduct,” and therefore to “rel- evant moral values and norms.” But what is the meaning of those concepts? In research on “ethical” leadership it is not very common to be very explicit about the meaning of “ethical,” of “normatively appropriate,” or “moral values and norms” (Eisenbeiss, 2012). In addition, a reflection on leadership in different types of decision-mak- ing within a broader governance framework seems to be missing as well. In this paragraph we build on research on the integrity and ethics of gover- nance and on leadership in an attempt to make the conceptual framework somewhat clearer (for more extensive discussions, see also Heres, 2014; Hu- berts, 2014; Lasthuizen, 2008). First, the terms “ethics” and “integrity” require further conceptual de- lineation. Ethics and integrity are about moral values and norms (Huberts, 2014). The moral dimension concerns shared ideas about right or wrong, good or bad. They concern values and norms that people feel rather strong- ly about because fundamental interests are involved and the outcomes af- fect the community they are part of. - No longer available |Learn more
Leadership
Research Findings, Practice, and Skills
- Andrew DuBrin(Author)
- 2018(Publication Date)
- Cengage Learning EMEA(Publisher)
SUMMARY Principles of ethical and moral leadership all center on the idea that a leader should do the right thing, as per-ceived by a consensus of reasonable people. Key prin-ciples of ethical and moral leadership are as follows: (1) be honest and trustworthy and have integrity in dealing with others, (2) pay attention to all stakehold-ers, (3) build community, and (4) respect the individual. Differences in ethics and morality can be traced to eight factors: (1) leader moral identity; (2) the leader’s level of greed, gluttony, and avarice; (3) rationalization and implied permission to engage in unethical acts; (4) the leader’s level of moral development; (5) a sense of entitlement; (6) situational influences; (7) a person’s character; and (8) motivated blindness. It has been proposed that to stay ethical, a leader must develop an ethical mind focused on good work. Before reaching a decision about an issue that is not obviously ethical or blatantly unethical, a leader or manager should seek answers to questions such as: Is it right? Is it fair? Who gets hurt? Unethical behavior has brought companies into bankruptcy, led to layoffs of thousands of workers, diminished trust in stock invest-ments, and discouraged many talented young people from embarking on a business career. Another way a leader can be ethical and moral is to spearhead the firm, or a unit within it, toward Ethics 144 morals 144 integrity 146 entitlement 148 ethical mind 150 corporate social responsibility 152 social entrepreneurship 157 whistleblower 159 abusive supervision 160 virtuous circle 161 KEY TERMS Copyright 2019 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s). Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. - eBook - PDF
Leadership
Research Findings, Practice, and Skills
- Andrew DuBrin(Author)
- 2022(Publication Date)
- Cengage Learning EMEA(Publisher)
To do otherwise creates winners and losers after many decisions are made. The traditional belief that a CEO’s primary responsibility is to maximize shareholder wealth conflicts with the prin- ciple of paying attention to all stakeholders. A leader in- terested in maximizing shareholder wealth might attempt to cut costs and increase profits in such ways as (1) laying off valuable employees to reduce payroll costs, (2) over- stating profits to impress investors, (3) overcharging customers, and (4) reducing health benefits for retirees. with the ideal behavior of leaders are used so loosely, it is helpful to define what these terms have generally come to mean in the business community. Ethics is the study of moral obligations, or of separating right from wrong. Ethics can also be a plural noun mean- ing the accepted guidelines of behavior for groups or institutions. 2 In this sense, it means much the same as morals, which are an individual’s determination of what is right or wrong; morals are influenced by a per- son’s values. Values are tied closely to ethics because ethics become the vehicle for converting values into ac- tion. A leader who values fairness will evaluate group members on the basis of their performance, not per- sonal friendships. A moral leader will practice good ethics. Moral leadership occurs when a leader takes a moral stance on an issue, and convinces others to do the same. 3 A leader at a vitamin and food supplements company might take the stance that the company will not sell a “memory-improvement supplement” until the com- pany has experimental evidence that people who use this supplement for a reasonable period of time really do develop better short-term memory. Edwin H. Locke, the goal theorist, argues that eth- ics is at the center of leadership because the goal of a rational leader is to merge the interests of all parties so that everyone benefits and the organization prospers. - eBook - PDF
Leadership For Global Citizenship
Building Transnational Community
- Barbara C. Crosby(Author)
- 1999(Publication Date)
- SAGE Publications, Inc(Publisher)
C H A P T E R 8 Ethical Leadership Always do what's right. That will gratify some and surprise the rest. —Mark Twain Mark Twain suggests that human conduct rarely jibes with what's right. Even if we are less cynical than he, we must recognize that it takes more than exhortations and admonitions to persuade large numbers of people to comply with new policies and rules established to remedy a public problem. In the global commons, Ethical Leadership is needed to ensure that people actually act in accordance with policy and implementation decisions designed to remedy a global public problem. Ethical Leadership also may be needed to change policy and implementation decisions that conflict with ethical principles, laws, and norms. Ethical leaders help constituents judge or evaluate policy decisions and conduct in relation to ethical principles, laws, and norms. Ethical leaders focus on sanctioning conduct and resolving residual conflicts in formal and informal courts. The main tasks of Ethical Leadership are • Educating others about ethics, laws, and norms • Promoting awareness of how ethical principles, laws, and norms apply to specific cases • Adapting principles, laws, and norms to changing times • Resolving conflicts among principles, laws, and norms • Attending to the design and use of formal and informal courts 155 156 LEADERSHIP FOR GLOBAL CITIZENSHIP There are, of course, ethical aspects to all the types of leadership w e have considered up to this point. I identify Ethical Leadership with the sanctioning of conduct and resolution of residual conflicts in courts, however, because in this process, questions of what is ethical and legitimate are fundamental, whereas in organizational leadership, for example, the fundamental question is how w e build effective and humane organizational structures. - eBook - PDF
Life Skills for All Learners
How to Teach, Assess, and Report Education's New Essentials
- Antarina S. F. Amir, Thomas R. Guskey(Authors)
- 2024(Publication Date)
- ASCD(Publisher)
Students have opportunities, tailored to their developmental levels, to discuss and create their own insights regarding these values. Ethical Leadership 183 Our students begin to practice self-respect and responsibility in pre- school. Teachers use concrete examples, such as being responsible by clean- ing up materials we have used. Then the concept moves to a broader realm, away from self and into the community. In leadership roles, students prac- tice respecting their team members’ opinions and ideas and fulfilling their responsibilities as a leader. We instill the mindset of “I am responsible for helping my team to succeed.” The recent acceleration of the climate change crisis, with its global impact, places an even greater importance on the need for future leaders to be respectful of the environment and responsible in creating a sustainable future. At our school, we instill a love of the earth at every grade level, from early childhood through high school. We encourage students to use found materials from nature or recycled items to create their products. Elementary students are given the choice to create a sustainable project for their Making Good Choices project, and middle school students are required to create a project as a solution for one of their chosen Sustainable Development Goals. High school students create projects that have a wider impact, such as creat- ing an online source of learning materials for children in remote areas. Key Elements of Ethical Leadership As shown in Figure 8.2 (see p. 184), the essential skill of Ethical Leadership has three elements: (1) sound decision making, (2) personal integrity , and (3) developing oneself and others with a growth mindset. Let’s examine each of these in turn. Sound Decision Making Essentially, all decisions made by leaders must focus on problem solv- ing. For this reason, it is crucial for leaders to have analytical and systematic thinking skills, as well as conceptual knowledge. - eBook - PDF
Ethical Business Practice and Regulation
A Behavioural and Values-Based Approach to Compliance and Enforcement
- Christopher Hodges, Ruth Steinholtz(Authors)
- 2018(Publication Date)
- Hart/Beck(Publisher)
Dealings between all staff, supervisors, stakeholders and the public should be fair, honest and open. Information should be appropriately shared, on a continuous feedback basis, with the objective of constant learning rather than blame. When things go wrong, one should not be afraid to apologise, share all relevant information and make redress when harm is caused to others. 200 The Cultural and Leadership Framework In a values-driven organisation, it is not unusual to hear employees ask each other: ‘Is that in accordance with our values?’ Leaders influence culture and they often do so unconsciously, without think-ing about the wider ramifications of their actions. Too much emphasis on results, profit and targets without reminders about ethics can inadvertently drive misbe-haviour. Insight into the values that senior leaders consciously and unconsciously communicate is necessary. In an effectively ethical business, leaders are highly self-aware and know they are being watched and their example followed. They balance their messages regarding the achievement of financial goals with ethical messages and consistent action. And they are more likely to think carefully about how they respond in a difficult situation, based upon what behaviour they are trying to pro-mote. Therefore, leadership is a key element of EBP. All systems and messages from any part of the organisation should be consistent with the organisation’s values. This will require a hard look at current systems and communications strategies as part of a commitment to EBP. The problem of making decisions against a complex matrix of potentially inconsistent messages and imperatives may be one of the major causes of unethi-cal behaviour. It is one thing to have a Code of Ethical Practice, but if the real mes-sage that a salesperson or manager feels is being imposed on him or her is ‘make the numbers this month’, then the Code may as well not exist. - eBook - PDF
Ethical Leadership
Global Challenges and Perspectives
- C. Millar, Eve Poole, C. Millar, Eve Poole(Authors)
- 2010(Publication Date)
- Palgrave Macmillan(Publisher)
This provides an opportunity for genuine reform that we are anxious for the world not to miss. While Ethical Leadership is a mysterious, somewhat magical intan- gible for many academics and executives, it urgently needs to be grasped and understood in this new global millennium. For so many people, uncertainties seem to be piling up, familiar anchors are disappearing, and the importance of leadership (and a multiplicity of recipes for its success) is proclaimed by ever-increasing numbers of populist manage- ment books. In contrast, in this book we do not offer prescriptions, but an open discussion and varied analyses of the issue of Ethical Leadership, its drivers, scope, and obstacles – particularly in a global context. We offer three perspectives in three parts of the book: theoretical challenges, practice from around the world, and a visionary look at the future. Looking to the future, as we do in the final chapter, many issues arise. Is there a need to balance the leader’s personal ethical values with the potentially manipulative task of aligning others in the organisa- tion with such values? What underlies the ability to balance corporate responsibility obligations with more immediately pressing matters that, for instance, would argue for cost-cutting in the face of a global slowdown? And what is the influence of national institutional and cul- tural contexts on leadership ethics and corporate responsibility? Such quandaries emphasise that even the identification of a personal moral Ethical Leadership in a Global World 3 compass cannot guarantee that an executive’s values will guide the actions of their colleagues, or that these values are the most appropri- ate or effective in achieving the intended results. This issue becomes particularly complex in the context of globalisation, where value sys- tems collide and the complexity of decision-making creates new ethical dilemmas faster than the old ones can be solved. - eBook - PDF
- Alan Bryman, David Collinson, Keith Grint, Brad Jackson, Mary Uhl-Bien, Alan Bryman, David Collinson, Keith Grint, Brad Jackson, Mary Uhl-Bien(Authors)
- 2011(Publication Date)
- SAGE Publications Ltd(Publisher)
LEADERSHIP ETHICS 229 17 Leadership Ethics J o a n n e B . C i u l l a a n d D o n e l s o n R . F o r s y t h INTRODUCTION A CEO bankrupts the company he is supposed to be leading. A retiree donates thousands of hours to her community. A company’s leadership decides not to relocate a factory overseas, for the sake of the residents of an economically challenged town. A president of a club on a college campus encourages members to cheat on their examinations so that the group’s members can earn academic honors. An elected public official arranges a tryst with a lover and abandons his duties for days on end. These behaviors raise questions about motivation, rationality, and intent, but with a dif-ference; these actions cannot only be judged as correct or incorrect in terms of effectiveness or competence, but as ethically right or wrong. Probably for as long as human societies have included individuals who take on extra responsi-bility for coordinating the actions and outcomes of others – leaders – people have questioned their motivations, fairness, and integrity. Why do indi-viduals who seem to be fair-minded and virtuous change into something less once they gain a posi-tion of authority within the group? How can fol-lowers distinguish between leaders who have the group’s best interests in mind and those who are seeking personal gain at the group’s expense? Why would someone who is already respected by others and likely afforded a larger share of the collective’s resources undermine the group’s good will by seeking even more than their allotted share? The moral goodness of leaders has been a topic of analysis for centuries (see Grint, Chapter 1, this volume). From ancient times, historians such as Herodotus (1987), Plutarch (1998, 1999), and Suetonius (2007) have described the character strengths that distinguish leaders from their followers, as well as the consequences that follow when leaders fail to control their emotions and impulses. - eBook - PDF
- Aida Alvinius(Author)
- 2017(Publication Date)
- IntechOpen(Publisher)
The VW crisis and the myriad of others similar to it point to a dire need not only for producing leaders with the necessary ethical acumen to lead important national and multinational organizations but also those who are strategically able to deal with crises effectively. These two aspects are, of course, not mutually exclusive. Ethical Leadership is necessary to make crisis management effective. Only Ethical Leadership has the ability to build reputational capital, consumer, and public confidence through its demonstrable honesty and trustworthiness. Generalized prescriptive remedial steps can be provided to deal with many business crises [2]; however, these need to be guided and implemented by strong ethical executive leadership. Many studies skirt round the issue of generating ethical leaders per se by concentrating on descriptions of the positive effects such Ethical Leadership has in particular organizational outcomes. The real issue is not so much the show what ethical leaders are capable of, there is already a suffice of formal and informal data available to demonstrate this; the real issue, which so far has remained largely unattended, is to develop resources to generate/create ethical leaders and to ensure, where possible, that only such leaders are selected for senior leadership positions. There is little doubt that this is a very wide-ranging issue that begins with early socialization processes, which remain beyond the control or development of later educa-tional influences. Nevertheless, educational attainment and intelligence have been shown to be associated with higher levels of moral development [3].
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