Leadership Ethics Leadership Theory and Practice, 3/e Peter G. Northouse, Ph.D.

Overview Leadership Ethics Perspective Ethical Theories Principles of Ethical Leadership Diverse Ethical Perspectives How Does the Leadership Ethical Perspective Work?

Leadership Ethics Description Definition & Theory Ethics & Leadership Ethics Is a derivative of the Greek word ethos, meaning customs, conduct, or character Is concerned with the kinds of values and morals an individual or society ascribes as desirable or appropriate Focuses on the virtuousness of individuals and their motives Ethical Theory Provides a system of rules or principles as a guide in making decisions about what is right/wrong and good/bad in a specific situation What leaders do and who leaders are is determined by the nature of the leaders’ behavior and their virtuousness. What choices leaders make and how they respond in a particular circumstance are informed and directed by their ethics.

Ethical Theories CHARACTER Moral Values DOMAINS CONDUCT Consequences Teleological Theories Ethical Egoism Utilitarianism Altruism Duty Deontological Moral Values Virtue - Based

Ethical Theories Conduct Domain Character Domain Deontological Focus on the actions of the leader and his/her moral obligations and responsibilities to do the right thing Teleological Theories Attempt to answer questions about right and wrong by focusing on whether an individual’s conduct will produce desirable consequences Ethical egoism - An individual should act so as to create the greatest good for herself/himself Utilitarianism - An individual should behave so as to create the greatest good for the greatest number Altruism - An individual should act in the interest of others even when it runs contrary to his/her own interests Virtue-Based Theories Character Domain Approach ethics from the viewpoint of a leader’s character; virtues are rooted in the heart and disposition of the individual

Concern for the Interests Grid of Ethical Theories Based on Self-Interest vs. Interest for Others Concern for Self-Interest Dogmatic Authoritarian Low Medium High Concern for the Interests of Others Ethical Egotism Utilitarianism Altruism

Principles of Ethical Leadership Respects Others Builds Community Serves Others Ethical Leadership Ethics is central to leadership because of : The process of influence The need to engage followers to achieve mutual goals The impact of leaders on values of the organization Manifests Honesty Shows Justice

Principles of Ethical Leadership Treat others as ends in themselves and never as a means to ends Treat other people’s values and decisions with respect Allow others to be themselves with creative wants and desires Approach others with a sense of unconditional worth and value individual differences Leader behaviors Listens closely to subordinates Is empathic Is tolerant of opposing viewpoints Respects Others

Principles of Ethical Leadership Follower-centered - Based on the altruistic principle of placing followers foremost in the leader’s plans Beneficence - Leaders have a duty to help others pursue their own legitimate interests and goals Leaders are stewards of the organization’s vision; in serving others they: clarify, nurture, and integrate the vision with, not for, organization members Leaders have an ethical responsibility to make decisions that are beneficial to their followers’ welfare Leader behaviors Mentoring behaviors Empowerment behaviors Team building behaviors citizenship behaviors Serves Others

Principles of Ethical Leadership Ethical leaders are concerned with issues of fairness; they place issues of fairness at the center of their decision making They adhere to principles of distributive justice Leader behaviors All subordinates are treated in an equal manner In special treatment/special consideration situations, grounds for differential treatment are clear, reasonable, and based on sound moral values Shows Justice

Principles of Distributive Justice These principles are applied in different situations To each person An equal share According to individual need According to that person’s rights According to individual effort According to societal contribution According to merit

Principles of Ethical Leadership Honest leaders are authentic but also sensitive to the feelings and attitudes of others They are not deceptive They tell the truth with a balance of openness and candor while monitoring what is appropriate to disclose in a particular situation Leader behaviors Don’t promise what you can’t deliver Don’t suppress obligations Don’t evade accountability Don’t accept “survival of the fittest” pressures Acknowledge and reward honest behavior in the organization Manifests Honesty

Principles of Ethical Leadership Concern for the common good means leaders cannot impose their will on others; they search for goals that are compatible with everyone. Concern for others - Is the distinctive feature that delineates authentic transformational leaders from pseudo-transformational leaders Transformational leaders and followers reach out beyond their own mutually defined goals to the wider community Leader behaviors Takes into account the purposes of everyone in the group Is attentive to interests of the community and the culture Does not force others or ignore the intentions of others Builds Community

Diverse Perspectives of Leadership Heifetz’s Perspective Values Values of workers Values of organization Values of community Leaders help followers confront conflict & effect change Authority Get people focused on issues Act as a reality test regarding information Manage and frame issues Orchestrate conflicting perspectives Facilitate the decision-making process Environment Trust Nurturance Empathy

Diverse Perspectives of Leadership Burn’s Perspective Values Liberty Justice Equality Leaders help followers in their personal struggles concerning conflicting values Connection Relationship between leader & follower - Raises level of morality of both Leader’s Role Assist followers in assessing their values & needs Help followers to rise to a higher level of functioning

Diverse Perspectives of Leadership Greenleaf’s Perspective Values Involvement Respect Trust Individual strength Listening Empathy Unconditional acceptance Leaders focus on needs of followers Social Responsibility Uses less institutional power Uses less control Shifts authority to followers Follower Needs Become more knowledgeable More autonomous Become more like servants

How Does the Ethical Leadership Perspective Work? Strengths Criticisms Application

Strengths Provides a body of timely research on ethical issues Provides direction on how to think about ethical leadership and how to practice it Suggests that leadership is not an amoral phenomenon and that ethics should be considered as integral to the broader domain of leadership Highlights principles and virtues that are important in ethical leadership development

Criticisms Lacks a strong body of traditional research findings to substantiate the theoretical foundations Relies heavily on writings of just a few individuals that are primarily descriptive and anecdotal in nature, and are strongly influenced by personal opinion and a particular worldview

Application Can be applied to individuals at all levels of the organization and in all walks of life Because leadership has a moral dimension, being a leader demands awareness on our part of the way our ethics defines our leadership Managers and leaders can use the information on ethics to understand themselves and strengthen their own leadership Leaders can use the ethical principles as benchmarks for their own behavior Leaders can learn that the leader-follower relationship is central to ethical leadership