BBA 3651, Leadership 1

Course Learning Outcomes for Unit VII Upon completion of this unit, students should be able to:

4. Illustrate the role of ethics in guiding leadership behavior and motivations. 4.1 Examine leadership styles that promote social responsibility.

6. Analyze methods to lead groups/teams effectively.

6.1 Distinguish between a group and a team. 6.2 Discuss ethical decision-making for team leadership.

Course/Unit Learning Outcomes

Learning Activity

4.1

Unit Lesson All required readings Unit VII Videos Unit VII Research Paper

6.1

Unit Lesson All required readings Unit VII Videos Unit VII Research Paper

6.2

Unit Lesson All required readings Unit VII Videos Unit VII Research Paper

Reading Assignment In order to access the following resources, click the links below. Click here to access the Unit VII Ethical Leadership video. Click here to access the transcript for the Unit VII Ethical Leadership video. Esenyel, V. (2019). The Influence of Corporate Reputation on Affective Organizational Commitment: The Role

of Value Congruence as Mediator. International Journal of Organizational Leadership, 8(3), 60–70. https://libraryresources.columbiasouthern.edu/login?url=https://search.ebscohost.com/login.aspx?dire ct=true&db=bsu&AN=143353236&site=eds-live&scope=site

Godbless, E. E. (2021). Moral Leadership, Shared Values, Employee Engagement, and Staff Job

Performance in the University Value Chain. International Journal of Organizational Leadership, 10(1), 15–38. https://libraryresources.columbiasouthern.edu/login?url=https://search.ebscohost.com/login.aspx?dire ct=true&db=bsu&AN=149566547&site=eds-live&scope=site

Jurkiewicz, C. L., & Giacalone, R. A. (2016). How will we know it when we see it? Conceptualizing the ethical

organization. Public Organization Review, 16(3), 409–420. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=bth&AN=117066150&site=ehost-live&scope=site

Meixner, T., Pospisil, R., & Zufan, P. (2021). Moderating the Relationship between Leadership and

Commitment: An Empirical Study on Personality and Values. International Journal of Organizational Leadership, 10(2).

UNIT VII STUDY GUIDE

High Performance Versus Big Mistakes

BBA 3651, Leadership 2

UNIT x STUDY GUIDE

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https://libraryresources.columbiasouthern.edu/login?url=https://search.ebscohost.com/login.aspx?dire ct=true&db=edsbig&AN=edsbig.A663687503&site=eds-live&scope=site

Unit Lesson Ethical Leadership Previously, we discussed in detail different aspects of leading individuals and teams with a vision for organizational leadership and performance while at a distance. We also focused on what leaders can do to better provide assistance, connectivity, and support for those who work in a remote fashion. In this unit, we will explore the role of ethics in guiding leadership behavior and motivations. Moreover, we will discuss how leaders can perform successfully at a high level and how they could make mistakes that are quite costly for an organization. Click here to access the Unit VII Ethical Leadership video. Click here to access the transcript for the Unit VII Ethical Leadership video. In regards to corporate social responsibility, the question remains: who is responsible for what? Businesses today are faced with dilemmas such as political divisions, immigration, discrimination, and nationalism. Therefore, leaders’ characteristics and behaviors play a pivotal part in the creation of social responsibility within a business. One flaw in respect to leadership in organizations is the fact that many people do not pay much attention to a leader until he or she does something really great or really bad. Therefore, it is highly important that leaders opt to do what is best for both their organization and society whether they are a leader by title or one who has guided others and found a safe harbor for dealing with fear, anger, greed, distrust, and indifference (De Ruiter, Schaveling, Ciulla, & Nijhof, 2018). One of the toughest battles a leader can face is a financial crisis. If a leader’s main purpose is to serve the greater good of bringing people together and providing resources to create value, choices must be made that affect the well-being of all members both today and in the future. Decisions must be made in an ethical manner. The interests of co-workers and stakeholders must be safeguarded to ensure business is operating in good faith (Amiridis, 2018). Organizational leadership and subordinates should be held accountable for their actions, and economic as well as social prosperity must be sustainable. If moral principles are not upheld, potential consequences could result in a negative fashion (Amiridis, 2018). Ethics in leadership basically means that leaders behave in a morally justified manner. Can this really be measured? Does this pertain to the fairness, trustworthiness, and honesty of a leader? According to Frisch and Huppenbauer (2014), an ethical leader purposively displays honest and fair conduct to his or her employees by sharing ethical decision-making, demonstrating positive moral behavior, and rewarding and punishing those who perform and act on the side of good versus bad. Moreover, a history of ethical leadership has been shown to add to the attraction of an organization for job candidates seeking a new place of employment. Ethical Teams Building ethical teams is not really a trivial task. The key is to make your partners and your investors outsource anyone who appears corrupt. Hire people who fit the culture from top to bottom. Build sustainability and remain socially responsible. Mullins and Rhodes (2011) explain how there is evidence to show that corrupt international business practices, including bribery, will be responsible for much of the future economic growth. Therefore, it is imperative that leaders understand how to navigate in a positive direction and become and remain ethical leaders, not only for their own well-being but for the future of business.

Actions of ethical leaders (Frisch & Huppenbauer, 2014)

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Organizational sustainability is not based solely on the direction of one person or a small team. It involves an abundance of people who work together to meet expected timelines and attain established goals. A group of people could be a collection of members who coordinate their own efforts. However, a team would consist of a group of people who share a common purpose and may tackle a number of challenging goals together. Leaders and those who are considered to be followers are accustomed to facing an array of moral issues on a daily basis. These concerns require immediate decision-making skills by those who are knowledgeable in their field. Employee welfare and tending to the interests of customers and stakeholders is just part of the battle. This is why many businesses operate according to ethics codes, training programs, ombudsmen, and ethics committees (Fudge & Schlacter, 1999). Scenario Imagine you are the leader of a mid-sized clothing store in the southwest region of the United States. Two of your employees, Genny and Susan, have both been employed from two to five years and perform similar jobs. Even though Genny is an inexperienced employee, she believes she can potentially improve her productivity by working harder and, therefore, works diligently. Susan, however, has worked longer in her field and believes productivity varies due to many reasons. She strongly feels it is not just based on her efforts alone. Based on the expectancy theory, which is founded on the virtue that positive influence can play a significant role in respect to motivation, which employee is likely to be more successful? Being that worker expectancy is a measure of the cognitive correlation between one’s effort and one’s performance, Genny has a higher level of expectancy than Susan. According to this thought process, do you agree that expectancy theory suggests Genny will always be more motivated to work harder than Susan? If so, what would be the reasoning? Organizational employees should be taught the principles of ethical reasoning via workshops and other training programs that welcome discussion among team members. Concurrently, organizations should identify both intrinsic and extrinsic rewards, which are known to offer the greatest motivational incentives for

employees. In addition, the organizational culture and environment must also be structured in a fashion that links ethical decisions and performances to the company’s established reward systems. As employees are provided with the appropriate education, tools, and resources, their efforts should warrant desired ethical outcomes. This process should also entail supervisory development and performance reviews. Theoretically, if a member is granted ample exposure to ethical theories and has the ability to apply these theories to specific work roles and responsibilities, he or she should demonstrate ethical decision-making and ethical behavior in conjunction with an encouraging and motivational structure (Fudge & Schlacter, 1999).

Exercising Ethical Leadership Many leaders are known for doing what is in alignment with their values and ideologies. They typically follow the practices of what they were taught to be ethically correct. Ethical leaders do not wish to suffer the consequences of doing what could be viewed as bad or wrong. Ritvo, Ohlsen, and Holland (2004) concur with Aristotle that people often become what they choose to do repeatedly. Does this mean if you yell at employees regularly, you are a mad person or one who does not handle conflict or people very well? Having a positive level of emotional intelligence is necessary for effective leadership practices. Knowing when to speak and when to listen, when to show disappointment and when to regroup is also vital. Leaders are a reflection of their organization, and good business means avoiding bad business at all costs. The core ethical duty of any business is to ensure customers, employees, and stakeholders are treated with value and little to

Requirements for ethical leadership

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no conflict of interest exists. Leaders are also known for having to make difficult decisions and, therefore, conflicts of interest must be clearly understood. Scenario Suppose this long-standing chair of your company board is Mrs. Jane Whitefield. She has been a chair for more than ten years, in conjunction with her husband, who served as chair for the previous 12 years. However, Jane’s husband recently died of a heart attack. Not only has Mrs. Whitefield increased the degree of donations over the past several years, she has also been quite productive in streamlining board committee meetings and activities. She consciously devoted much of her time to educating herself more and more to acquire the knowledge needed to perform her job well. Ironically, two years ago, the hospital hired a new chief executive officer (CEO). Not long after his acceptance of the new position, his wife became ill and then died. Recently, the new CEO and Mrs. Whitefield announced their decision to marry. Should this decision be addressed by the board? Is it considered a conflict of interest? If so, what could the board do to provide a policy in place that would guide the organization in dealing with such instances in the future? Ethical Culture Is it true that people cannot be successful leaders if they do not behave ethically? Does scandalous activity occur in the business community regarding religion, military, education, sports, and government? Pictures can provide evidence of unethical behavior for some people who normally would abide by ethical standards, such as prisoner treatment in Iraq. Most people tend to look to their peers and their selected leaders for mentoring or guidance on how to act ethically in difficult situations. Who do you look to for this type of advice? Senior leadership is crucial to the structure and systems that are created for an organization’s culture. As a moral leader, traits such as honesty, integrity, and trustworthiness are commonly portrayed. Moral leaders focus heavily on doing the right thing, showing empathy and concern for others, and listening intently while treating others with respect. In addition, moral leaders tend to demonstrate their ethical behavior by modeling ethical conduct, communicating openly and regularly, and using a reward and punishment system for good and bad performance measures. On the other hand, unethical leaders can influence the development of an organization’s culture just as effectively as those who aim to do well and right by their people and their line of business (Shriberg & Shriberg, 2011).

References Amiridis, K. (2018). The shadow of Sophocles: Tragedy and the ethics of leadership. Business Ethics

Quarterly, 28(1), 15–29. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=edb&AN=127105348&site=eds-live&scope=site

De Ruiter, M., Schaveling, J., Ciulla, J. B., & Nijhof, A. (2018). Leadership and the creation of corporate social

responsibility: An introduction to the special issue. Journal of Business Ethics, 151(4), 871–874. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=bsu&AN=131640607&site=ehost-live&scope=site

Frisch, C., & Huppenbauer, M. (2014). New insights into ethical leadership: A qualitative investigation of the

experiences of executive ethical leaders. Journal of Business Ethics, 123(1), 23–43. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=bth&AN=97411905&site=ehost-live&scope=site

Wedding ceremony (Maffboy, 2013)

BBA 3651, Leadership 5

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Fudge, R. S., & Schlacter, J. L. (1999). Motivating employees to act ethically: An expectancy theory approach. Journal of Business Ethics, 18(3), 295–304. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=bsu&AN=12130922&site=ehost-live&scope=site

Maffboy. (2013). Wedding rings (ID 40920002) [Photograph]. Dreamstime.

https://www.dreamstime.com/stock-photo-wedding-rings-being-exchanged-ceremony- image40920002

Mullins, J., & Rhodes, T. (2011). Managing ethically in corrupt environments. Business Strategy Review,

22(4), 50–55. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=bsu&AN=67365923&site=ehost-live&scope=site

Ritvo, R. A., Ohlsen, J. D., & Holland, T. P. (2004). Exercising ethical leadership: Conflicts of interest.

Trustee, 57(9), 27–30. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=bsu&AN=14702579&site=ehost-live&scope=site

Shriberg, D., & Shriberg, A. (2011). Practicing leadership: Principles and applications (4th ed.). Wiley.

Suggested Reading In order to access the following resources, click the links below. Thiel, C. E., Hardy, J. H., III, Peterson, D. R., Welsh, D. T., & Bonner, J. M. (2018). Too many sheep in the

flock? Span of control attenuates the influence of ethical leadership. Journal of Applied Psychology, 103(12), 1324–1334. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=pdh&AN=2018-34844-001&site=ehost-live&scope=site

Wang, Z., Xu, H., & Liu, Y. (2018). How does ethical leadership trickle down? Test of an integrative dual-

process model. Journal of Business Ethics, 153(3), 691–705. https://libraryresources.columbiasouthern.edu/login?url=http://search.ebscohost.com/login.aspx?direc t=true&db=bsu&AN=133452719&site=ehost-live&scope=site

Window to the World Communications (Producer). (2001). CEO integrity and qualities (Segment 3 of 12)

[Video]. In Jack Welch: Icon of leadership. Films on Demand. https://libraryresources.columbiasouthern.edu/login?auth=CAS&url=http://fod.infobase.com/PortalPla ylists.aspx?wID=273866&xtid=30248&loid=10013

The transcript for this video can be found by clicking the “Transcript” tab to the right of the video in the Films on Demand database.

Learning Activities (Nongraded) Nongraded Learning Activities are provided to aid students in their course of study. You do not have to submit them. If you have questions, contact your instructor for further guidance and information. To complete the following nongraded learning activity, click on the link below, and consider how you would respond to the different scenarios. There are no right answers. Click here to access the interactive activity. Click here to access the transcript for this activity.

Unit VII Ethical Leadership Transcript

(0:00-1:00)

Dr. Sonya Rogers: In this unit, we will discuss leadership styles and how

that relates to social responsibility as well as decision-making for team

leadership. So, we know that leaders often face moral dilemmas, sometimes

on a daily basis. Dr. Hargadon, what do you think unethical behavior in an

organization is like and how could that negatively affect the business and the

workers who work within?

Dr. John Hargadon: Well, unethical behavior certainly is not something that

needs to be promoted or celebrated within an organization. There are

multiple examples of how unethical behavior has actually ended companies,

right?

Sonya: Mm-hm.

John: The Enron, WorldCom, all those sort of classic examples of individuals

who put the profit margins and their own personal gain and satisfaction

ahead of the individuals within the organization. And really utilizing unethical

behavior

(1:00-2:00)

created significant problems for the organizations that have in fact caused

those organizations to just no longer exist, to be quite frank with you.

Sonya: Mm-hm.

John: And so the ultimate negative repercussions of unethical behavior

could, in fact, be the end of businesses depending upon what kind of

business you're in, that there could be regulatory problems if you're in some

sort of finance banking, something like that, certainly those are highly

regulated.

Unethical behavior is almost always going to be figured out eventually, if

you're doing something like that. But even on a smaller scale, right?

Unethical behavior might not necessarily be quite that extreme or quite that

dramatic, so that it ends up on TV and the end of these billion dollar

corporations and people going to jail and such. Unethical behavior can be

something as simple as someone who doesn't necessarily deserve a

promotion gets the promotion.

(2:00-3:00)

It can be taking office supplies home with you because you just don't feel

like going and buying them yourselves.

Sonya: Mm-hm.

John: And so when other people see unethical behavior going on, first of all,

it kind of provides a license for others to do it, but then it can, for those who

aren't interested in participating in that kind of behavior, really creates

morale problems.

Sonya: Mm-hm.

John: So unethical behavior can be significant, it can be severe, it can create

major, legal, regulatory problems for organizations. But even if it doesn't

reach quite that level, it still creates significant problems and can create

significant problems within the organization. Lack of trust, those types of

things can certainly be a result of unethical behavior.

Sonya: Do you think if members are able to get away with doing some

things inappropriately over a period of time that they continue to do it until

they're caught?

John: Well, I think that's sort of human nature, right? So whatever behaviors

we’re

(3:00-4:00)

allowed to engage in, those behaviors are likely going to continue.

Sonya: Mm-hm.

John: So anyone who’s in a leadership position, first of all, needs to be

setting an example.

Sonya: Mm-hm.

John: Some of the other units that we've talked about, the humility and

wanting to establish and instill trust between the leader and the followers-

Sonya: Mm-hm.

John: Unethical behavior is going to erode that extremely quickly.

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