Organization Leadership
Ethical Leadership
Ethical leadership implies leadership that demonstrates and promotes appropriate conduct through personal actions and interpersonal relations. Leadership ethics are crucial elements in the business world today in upholding respect for ethics and values besides others’ rights and dignity.
How Ethical Leadership impacts organizational culture
Organizational culture encompasses a system of shared values and behaviors that contribute to the unique social and psychological environment of a business (Howard,2017). Ethical leadership impacts organizational culture both positively and negatively.
On a positive note, ethical leadership increases satisfaction and commitment and reduces turnover and conflict, thus improving organizational performance. Consequently, ethical leadership negatively influences turnover intentions and work related stress.
Dimensions of ethical leadership
Ethical leadership manifest itself on three dimensions;
The leader’s motive. A leader must have good intentions when engaging in an act; otherwise, an objectively ngood cannot be considered ethical.
The leader’s influence strategies and his leader’s character formation.
Failures in ethical leadership
Money-laundering schemes
Financial misconducts
Shady data privacy practices
An example of unethical leadership is portrayed in Tyco’s international company. Tyco’s global bosses siphoned millions of dollars out of the maker of electrical, healthcare, and safety equipment.
The failure that is depicted from the example is financial misconduct. Financial misconduct entails any material losses through unauthorized, irregular, wasteful expenditure or misapplication of fu
Articulating suitable risk cultures as well as using data analysis to assist in identifying possible drivers of misconduct. Individual responsibility and accountability should be positively encouraged; individuals should be held accountable for misconduct.
References
Howard, T. L., & Ulferts, G. W. (2017). A note on the impact of leadership style on organizational culture. International Journal of Management and Decision Making, 16(2), 97-106.
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