Ethical Leadership - Dissertation Example

?Running head: Ethical Leadership Table of contents page Table of contents ………………………………………………………………………. 2 Abstract ………………………………………………………………………………… 3 Introduction ……………………………………………………………………………. 4 Literature review ……………………………………………………………………… Methodology …………………………………………………………………………... Discussion of results …………………………………………………........................... Implications to leadership for further research ………………………………………… Conclusion ……………………………………………………………………………… References ……………………………………………………………………………… Abstract Leadership can be assumed to be management, but management cannot be effective without leadership skills. Managers have to posses’ leadership skills to be able to adequately run an organization. This paper highlights the origination of ethical standards. Basically, ethics are accepted codes of conduct within an organization, industry or profession. It argues that ethics in an organization are basically determined by the leaders in the respective organization. It also reveals that there are certain factors that are considered immoral or unethical and are determined by organizational leadership too. The paper tackles these areas through review of an article and text documents analysis. It also includes a personal understanding and analysis of the situation. Secondly, it highlights an example of code of ethics for an organization through five ethical leadership attributes. Introduction In the operation of an organization, it requires good and effective management. However, managers ought to be good leaders too so as to effectively manage and run affairs of the organization. For effective operation, the managers need to be good leaders too. This will enable them to coordinate and direct the employees towards achievement of a common goal. Due to changes in the business environment, different leaders apply different types of styles in leading their juniors. There are several leadership styles which are widely used by managers in running affairs of an organization or business entity. Adoption of theses styles depends with requirements of an individual organization or business. Secondly, ethics are the accepted codes of conduct. Different organizations have different ethical standards. However, different people have different understanding on the origination of the ethical standards. Literature review Leadership is considered a core aspect in the functioning and success of n organization. Basically, ethics assists an organization in fostering good relations with the public and maintaining sales and good returns. Furthermore, ethics ensures that an organization operates according to the expectations of the public and maintains quality productions. In the past, organizations were basically faced with management problems due to the theoretical belief on the practice (Amis, and Slack, 2002, 13). However, due to the rising concern over leadership and its effectiveness, need for ethics arose. This led to the need for regulations of employees’ behaviors and decision within an organization. Level of competition has also increased and this led to emergence of unethical practices. This is because organizations were working towards gaining of competitive advantage unfairly (Brown, and Trevino, 2006, p 8). Intense competition in the market also led to emergence of technology in operation. This required organizations to effectively evaluate their operation system and transform it to suit changes in operation so as to avoid losses and increase their market share and level of income in the long-run. However, ethical leadership is traced way back from Plato. This is because ethics emphasize on reputation and Plato was so much concerned with reputation (Trevino, Brown, and Hartman, 2003, p 12). Furthermore, Chester Bernard traces the source of ethics to executive. This is because he spoke of executive responsibility which conforms code of morals. They are presently known as the code of conduct. He also addressed the issue of creation of codes of conduct for others. He basically recognized management as the source of ethical standard. This is because management is assumed to be the most influential unit of an organization (Ethics resource center, 2001, p 2). In organizations, it is believed that the executive are charged with the responsibility of toning up ethical practices in an organization. The executive are suppose to set ethical standards for an organization. Furthermore, ethical codes are important for success of an organization irrespective of nature of the business or operation (Baucus, and Dudley, 2005, p 20). Methodology Method Research on ethical leadership was conducted. Data was obtained through both secondary and primary sources. Secondary sources of data collection included review of articles and books while primary data was obtained through observation and interview and questionnaires. After collection of data from questionnaires, the data were analyzed and evaluated. However, thereafter, the collected data was compared with existing information from printed sources such as books among others. This was to compare conclusions of the study and past research study on the same topic. It was also to ensure that results and conclusion of the study are valid and reliable. Participants The research was comprised of 20 participants who were provided with questionnaires to fill and return later. The were to answer questions on ethical leadership Design Questionnaires provided to participants in this research study were designed to obtain different information. However, major focus of the designed questionnaires was to determine origination of ethical standards and ethical codes in organizations. Materials Data collection in this study was obtained from both primary and secondary sources. Primary data was obtained from questionnaires provided to the participants. Furthermore, primary data was obtained through observation of different aspects in different organizations. On the other hand, secondary data was obtained from texts and literature sources such as books and article journals. Procedure The research involved 20 participants who were provided with questionnaires to fill. Thereafter, results were analyzed using the data and compared with secondary sources. Secondary sources were got from books and literature sources. Information from these sources was compared with results achieved from the questionnaires and comparison made. Data collected was analyzed and each task evaluated that origination of ethical standards and ethical codes. The research questionnaire aimed at determining honesty, trust, integrity, personal ethics, and role model through visible actions, among other ethical factors in organizations. Discussion of research results Participants in the study were 20 and were provided with questionnaires so as to answer questions on various aspects of the study. However, only six participants submitted their questionnaires. This limited sources of data available for analysis. Furthermore, it affected validity of the data. There were several results obtained from the study concerning the two tasks, for instance, there are five most important attributes in ethical leadership. They contribute to the ethical behavior in organizations (Ethics resource center, 2001, p 3). It was discovered that ethics comprises of five important elements according to participants. For instance, employees and subordinates are to be treated with respect and dignity. This creates trust among employees and administration or top management. This leads to integrity. It also allows for incorporation of views of others and this greatly improves performance of an organization. It also leads to effective decision making because employees’ ideas are accepted and incorporated in the decision making process. It also increases employees’ motivation and they work effortlessly towards achievement of the organizational goals because they are motivated. This also increases chances of an organization achieving their goals within specified time (Ethics resource center, 2001, p 5). Secondly, honesty is also important in ethical leadership in an organization. Basically, ethics involved practicing of aspects that are widely accepted in the business environment and by the society the organization serve or its customers. Honesty may greatly inspire employees because they trust the organization. It also leads to creation of forward looking organization with broad minded employees and subordinates. It also promotes fairness which is one of the important aspects in ethical practices. Honesty also leads to fair advertising and competition with other companies or organizations. It also increases customer satisfaction and trust to the organization. Honesty also allows for creation of large pool of loyal customer and employee to an organization (Ethics resource center, 2001, p 9). Ethics is important for development of good reputation by an organization. Similarly, ethical leadership is important for an organization in the business environment. Ethical leadership ensures that an organization not only operate as per the industry or business environment requirement, but also as per the organizational requirement. An organization is comprised of different departments and each have to work towards achievement of the long-term objectives of the organization. Individual employee has to ethically handle each aspect of the organization. Existence of unethical leadership can lead to collapse by an organization, for instance, Enron. However, ethical leadership calls for individual incentive to work towards ethical practice. This is because though ethical standards have been laid down and regulated by law or organizational management, there are certain ethics that require personal willingness. Ethical leadership by an organization is also greatly determined by the character of the individual employee or leader. Ethical practice in leadership requires that decisions made by an individual in personal life should conform those made in the business environment or life (Baucus, and Dudley, 2005, p 28). This should be compelled by need for excellence achievement in individual practices in an organization. Basically, ethical leadership requires high levels of integrity and honesty to any situation in the organizational affair management. Leaders are more likely to incorporate ethical practices if they are honest and value integrity in their daily undertakings. However, it is the duty of an individual employee or leader to instill honesty and integrity in operation of an organization. This is because these are developed through personal initiative and willingness (Morris, Brotheridge and Urbanski, 2005, p 21). Businesses are formed with an aim of profit maximization. However, it requires effective management team which has to incorporate ethical practices so as to effectively respond to critical situations in an organization and make ethical decisions. Organizations also aim at maintaining good performance and relation with its customers. Moreover, principles of ethical leadership have to match the performance objective of an organization so as to effectively perform and deliver. There are certain performance objectives of organizations that are universal and applicable in all organizations. Basically, the principles require incorporation of ethical leadership principles for effective implementation. They include; value driven decision making, leadership by example, willingness to provide values driven education, values accountability and high value awareness. Generally, employees in an organization have to possess ethical values and be accountable for them. This increases and promotes ethical practices in an organization. Leaders also have to lead by example so as to foster ethical practice in an organization (Brown, and Trevino, 2006, p 14). Decision made in an organization by employees should be ethical and consider impact of the decision to the survival of the organization and the employee himself. Ethical decision making improves performance and relations with customers. Value driven decisions are also likely to positively contribute to development of an organization. Furthermore, leaders should be willing to provide values driven education to foster ethics among employees in an organization. This also increases accountability by employees for their actions and decisions in an organization (Amis, and Slack, 2002, 18). Ethical leadership is essential for an organization because it leads to creation of supportive work environment. Additionally, it leads to making of employee centric decisions. It also improves accountability and openness and fosters open communication. It also leads to honesty and integrity. This supports employees personally and professionally. Work environment has to support development of both the employee personal life and professional life. This is because professional performance by an employee may be influenced by his or her personal life. Persona life may be supported through remuneration and provision of favorable working conditions for employees that enables them to develop in all aspects of their lives. Satisfaction of employees in personal life also motivates employees and to some extent acts as security to them because the future is not speculated, but definite (Trevino, Brown, and Hartman, 2003, p 8). Moreover, ethical leadership requires certain basic principles that may enable the organization to adequately operate and respond to any changes in the business environment. For instance, humility, in the business environment, nobody is perfect irrespective of the position an individual hold in an organization. Furthermore, there are certain employees in an organization that may be highly qualified and experienced than others hence have more knowledge and experience in the working environment. Therefore, such individuals ought to greatly contribute to the projects of an organization. Secondly, organizations should be able to courageously stand for their employees through the management. This ensures that employees’ voices are heard and their demands and needs met. It also increases employees’ confidence in working environment (Socrates, 1998, p 13). Honesty, employees have to be honest in all their undertakings in the organization. Similarly, the organization ought to be honest with its employees and this increase trust and confidence in both the employees and employers or management. Honesty should also ensure that the employees honestly serve the customers which are a basic requirement for ethical leadership and operation. Compassion, a leader should always be compassionate to employees. This is by putting themselves into the shoes of employees and experiencing what they are likely to experience if exposed to certain working conditions in the organization. This increases leaders’ knowledge of the most appropriate conditions under which employees can effectively work and produce good results. Commitment, leaders should always maintain commitment with employees as an active liaison between them and the corporate of respective organization. Employees need to be committed to the organization they serve. This is only possible if the respective organization is also committed to them. This is only achieved through the leadership of the respective organization. Leaders are directly in contact with employees and act on behalf of the entire organization. Sincerity, leaders should always maintain high sense of sincerity. This is because employees rely on leaders for information concerning the organization or corporate. Leaders have to maintain high levels of sincerity whether they disagree or not. This is because leaders are the source of information to all employees in an organization. Furthermore, there are different types of people. Employees also have different backgrounds hence different qualities. This requires the leader to be able to embrace all employees as they are and work towards improving in all they undertake (Donaldson and Dunfee, 1999, p 26). Ethical standards are geared towards regulation of decision by employees in an organization. There are several concepts that have been developed to assist in explaining origination of ethical standards. However, according to my personal view, I agree with the theory that ethical standard was developed by Plato. This is with regards to Plato’s idea of reputation. Ethical standards basically apply that organizations should work in line with certain principles which are generally compelled by reputation. Ethical standards are also meant to regulate behavior and actions of individuals in the business operation. Therefore, ethical standards may be assumed to originate from Plato. This was compelled by need to improve reputation of an organization and increasing good relation with the customers and employees in general (Trevino, Brown and Hartman, 2000, p 68). Implications to leadership and for further research The research on ethical leadership has revealed several important aspects of leadership that are geared towards improvement of the reputation of an organization. The results obtained from this study is important I improvement of understanding of ethical leadership and how to apply it in the operation and management of an organization. The research adds several importances to the ethical leadership understanding, for instance, it improves better understanding of the origin of the practice hence enabling leaders to trace its origin and learn how to effectively incorporate it in their daily management and leading functions in organizations. Ethical leadership is essentially important in improvement of results in organizations. However, not all organizational leaders effectively practice ethical leadership skills. If a leader incorporates the five important elements of leadership identified in the research, then the quality of leadership are bound to improve because they promote adoption of effective leadership qualities. Furthermore, the qualities are ethical. The research was carried out among 20 participants. However, only six submitted their questionnaires. This implies that the data collection method from primary sources was not effective and therefore requires improvement. Quality of the primary data could be improved in future by incorporation of interviews as a data collection method. This is because may be the participants in the study were not able to complete the questionnaires due to unavoidable circumstance while interview leads to obtaining of instant data from participants. Therefore, data collection through questionnaires proved ineffective in this research study (Patten, 2004, p 56). Conclusion In the business environment there are several organizations competing towards success. On the other hand, individual employees are also working towards self-actualization which is not easily acceptable in the business scenario. This has led to unethical practices so as to gain unfair success. This calls for ethical leadership. This ensures that organizations are ethically operated and employees incorporate ethics in their daily activities. There are several qualities for effective ethical leadership, but the most important qualities are honesty, integrity, trust, personal ethics and sincerity. References Amis, J. and Slack, T. (2002). Values and organizational change. Memphis: Alberta University. Brown, M and Trevino, L. (2006). Ethical leadership: a review and future directions. Pennsylvania: Sam and Irene Black School of Business. Baucus, M and Dudley, C. (2005). Designing ethical organizations: Avoiding the long-term Negative effects of rewards and punishments. Springer: journal of business Ethics. Donaldson, T and Dunfee, T. (1999). When ethics travel: the promise and peril of global Business ethics. Harvard business school press. Ethics resource center. (2001). A guide to developing your organization’s code of ethics. Ethics Resource Center. Morris, J, Brotheridge, C and Urbanski, J. (2005). Bringing humility to leadership: Antecedent and consequences of leader humility. London: SAGE Publications. Patten, R. (2004). From implicit to explicit: Putting corporate values and personal Accountability front and centre. Ivey Business Journal Online. Socrates, P. (1998). What is Morality? Attached file. Trevino, L, Brown, M and Hartman, L. (2000). Moral person and moral manager: how Executives develop a reputation for ethical leadership. California management Review. Trevino, L, Brown, M and Hartman, P. (2003). A quantitative investigation of perceived Executive ethical leadership: perceptions from inside and outside the executive suite. 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