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Article
Publication date: 23 June 2022

Nichanal Lamsam and Peerayuth Charoensukmongkol

The purpose of this study is to adopt the upper echelon theory to analyze the effect of chief executive officer (CEO) transformational leadership on organizational ethical

Abstract

Purpose

The purpose of this study is to adopt the upper echelon theory to analyze the effect of chief executive officer (CEO) transformational leadership on organizational ethical culture and its subsequent impact on firm performance. The study also integrates the knowledge from the structure–conduct–performance paradigm to test whether the high degree of competitive intensity that firms experience could weaken the effect of organizational ethical culture on firm performance.

Design/methodology/approach

Online survey data were obtained from firms in Thailand that were randomly selected from the directory provided by the Department of Business Development (n = 200). Partial least squares structural equation modeling was used to analyze the data.

Findings

Organizational ethical culture significantly meditates the effect of CEO transformational leadership on firm performance. Moreover, the moderating effect analysis illustrates that the positive effect of organizational ethical culture on firm performance tends to be lower when firms have a high level of competitive intensity in the market.

Originality/value

Overall, this study adds new knowledge to the literature by showing that, although ethical culture created by transformational leaders can lead to high firm performance, the market environment in terms of competitive intensity could mitigate this benefit.

Details

Journal of Asia Business Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1558-7894

Keywords

Article
Publication date: 10 June 2022

Aya Musbahi, Alex McCulla and Jason Ramsingh

The COVID 19 pandemic has brought into sharp focus the importance of leadership and the ethics of health-care leadership. The purpose of this study is to investigate the…

Abstract

Purpose

The COVID 19 pandemic has brought into sharp focus the importance of leadership and the ethics of health-care leadership. The purpose of this study is to investigate the impact of COVID 19 on ethical leadership principles using a validated quantitative survey of NHS leaders to compare pre- and post-pandemic ethical leadership principles.

Design/methodology/approach

This study involved a quantitative survey of NHS “leaders”. Inclusion criteria included consultants and registrars leading clinical teams, or NHS managers, senior nurses and matrons. The survey was designed as a modification of the Ethical Leadership Questionnaire proposed by Langlois et al. (2013). A modification was made to ask questions from the questionnaire pertaining to before the pandemic and presently. This allowed a comparison of responses and measures of ethical leadership qualities before and after the pandemic. Twenty-three questions were on attitudes pre-pandemic, and 23 were post-pandemic.

Findings

A total of 79 responses were received. Responses were divided for analysis into those related to an ethics of care dimension, those related to ethics of justice and those related to the ethics of critique. This study has found significant changes in attitudes of health-care leaders with regards to the ethics of critique. Leaders were more likely post-pandemic to speak out against injustice and unfair practices. Leaders were also more concerned with matters of human dignity as well as understanding how some groups may be privileged. Other ethical principles showed no statistical difference.

Originality/value

This paper highlights the changes the COVID-19 pandemic has had on leaders’ attitudes to ethics.

Details

Leadership in Health Services, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1751-1879

Keywords

Article
Publication date: 1 June 2022

Hao Zhou, Song Liu, Yuling He and Xiaoye Qian

Drawing upon conservation of resources theory, this study aims to explore how ethical leadership relates to subordinates' emotional exhaustion through the chain mediating…

Abstract

Purpose

Drawing upon conservation of resources theory, this study aims to explore how ethical leadership relates to subordinates' emotional exhaustion through the chain mediating effects of organizational networking behavior and organizational embeddedness.

Design/methodology/approach

Data were collected from 447 airport employees in China. PROCESS macro in SPSS was used to test the hypotheses.

Findings

Results indicated that ethical leadership is negatively correlated with emotional exhaustion; organizational networking behavior and organizational embeddedness play a chain mediating role in the negative relationship between ethical leadership and emotional exhaustion.

Originality/value

This study provides new insights into the association between ethical leadership and emotional exhaustion, and enriches the antecedents and consequences of organizational networking behavior.

Details

Leadership & Organization Development Journal, vol. 43 no. 5
Type: Research Article
ISSN: 0143-7739

Keywords

Article
Publication date: 9 May 2022

Dedy Eryanto, Iris van Eeden Jones and Karin Lasthuizen

This study investigates the impact of political interference on the capacity to combat corruption within Indonesian public sector institutions. It analyses the troubling…

Abstract

Purpose

This study investigates the impact of political interference on the capacity to combat corruption within Indonesian public sector institutions. It analyses the troubling impact of politicians in strategic leadership positions in public institutions and the impact this has on its ethical leadership credibility.

Design/methodology/approach

A qualitative multi-method approach was followed. Firstly, media publications were analysed to describe typical cases of corruption by political and public leaders and to evaluate the current state of the country. Secondly, the authors studied the selection and appointment processes for strategic leadership in two types of leading Indonesian public sector institutions based on laws and regulations and critical (media) publications to assess the problem of political interference. Lastly, the authors used insights from 42 face-to-face interviews within one leading public institution to understand the problem of political interference and its impact on ethical leadership credibility in Indonesia.

Findings

When politicians are appointed in strategic leadership positions of public institutions, including CEOs, the board of directors and commissioners, the downside is that such political support causes a conflict of interest that seriously threatens the independent functioning of public institutions and the ethical reputation of the public sector as a whole. The influence of specific Indonesian cultural values and norms only reinforces these ethical challenges in building public sector integrity.

Originality/value

Most empirical studies on ethical leadership focus on middle managers and the impact of ethical leadership on organisational outcomes. In addition, little is yet known about the effectiveness of ethical leadership in developing countries. This study attempts to address this gap and analyses the troubling role of politicians in strategic leadership positions in Indonesia's public institutions and the impact this has on its ethical leadership credibility.

Details

International Journal of Public Leadership, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2056-4929

Keywords

Article
Publication date: 1 February 1994

Douglas E. Ziegenfuss, Anusorn Singhapakdi and Otto B. Martinson

Examines whether internal auditors and management accountants havedifferent personal ethical philosophies. Also examines the possiblepresence of intervening variables such…

1848

Abstract

Examines whether internal auditors and management accountants have different personal ethical philosophies. Also examines the possible presence of intervening variables such as personal (i.e. age, gender, experience, education, professional certification and salary) or environmental factors (i.e. industry and corporate ethical environment). Data were obtained from questionnaires returned by 474 internal auditors (47.4 per cent response rate) and 558 management accountants (37.2 per cent response rate) located in the southeastern United States. The results indicate that significant differences exist between the ethical philosophies of internal auditors and management accountants. Of the other factors tested, only corporate ethical environment was found to be related to the ethical philosophies of the respondents.

Details

Managerial Auditing Journal, vol. 9 no. 1
Type: Research Article
ISSN: 0268-6902

Keywords

Article
Publication date: 1 January 1990

Gael M. McDonald and Raymond A. Zepp

The decision‐making process in businessfrequently involves ethical considerations.Although ethics often come down to personaldecisions, those decisions ultimately affect…

1999

Abstract

The decision‐making process in business frequently involves ethical considerations. Although ethics often come down to personal decisions, those decisions ultimately affect the corporate image of an organisation. It has been shown that sound ethics are good for business, and therefore it is important that managers encourage their staff to recognise and to implement the company′s ethical priorities. This article looks at practical ways for managers to establish ethical priorities at three levels: an individual level, a group level and an organisational level. Each of these levels is explored, and the benefits and disadvantages of different action‐related strategies for encouraging an ethical awareness will vary among companies, industries and cultures – no single method is universally appropriate. However, all managers should consider how ethical standards can best be introduced and communicated throughout their organisation. Ethics is not just a “flavour of the month” – it is here to stay, and presents a challenge to all managers.

Details

Management Decision, vol. 28 no. 1
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 4 September 2019

Chuck Huff

This viewpoint aims to highlight the necessarily technical nature of ethics in software development, propose a label (ethical bypassing) for ethical analysis that does not…

131

Abstract

Purpose

This viewpoint aims to highlight the necessarily technical nature of ethics in software development, propose a label (ethical bypassing) for ethical analysis that does not lead to ethical action and introduce a philosophical foundation for technical analysis that leads to ethical software development.

Design/methodology/approach

The methodological approach is one of technical analysis that is aware of social science and philosophical knowledge bases.

Findings

The findings establish a clear technical foundation that is crucial to ethical analysis that will actually inform software development.

Research limitations/implications

The idea that beginning with technical expertise is the best way to begin ethical reflection on a technical implementation has been often suggested, but not really empircally tested. Research using cases or other qualitative approaches would need to be done to add credibility to the claim.

Practical implications

This approach suggests that collaboration between technically informed ethicists and ethically informed technical experts should begin with the exploration of the technical questions rather than with ethical speculation.

Social implications

A common approach to ethical education is to concentrate on ethical theory and its application in technical contexts. This approach suggests that this may lead to ethical bypassing by the student, the avoidance of the making technical decisions by extensive ethical reflection.

Originality/value

This paper introduces a new term, ethical bypassing, to the literature on the ethics of software development.

Details

Journal of Information, Communication and Ethics in Society, vol. 17 no. 3
Type: Research Article
ISSN: 1477-996X

Keywords

Article
Publication date: 11 July 2008

Charles Holme

The purpose of this paper is to provide an overview for senior managers of the strategic importance of ethical values in organisations working in the profit‐making and

18838

Abstract

Purpose

The purpose of this paper is to provide an overview for senior managers of the strategic importance of ethical values in organisations working in the profit‐making and not‐for‐profit sectors.

Design/methodology/approach

The paper examines the principles involved and contrasts them with examples of unethical behaviour in the news at present. The paper presents the practical application of ethical business values through case studies from different organisations where ethical values are part of a positive strategy to achieve competitive advantage. There is an analysis of the case against and for ethical values, a discussion of how business ethics can be part of an organisation's strategy, the evidence that non‐executive directors and others may find of ethical behaviour in business decisions, a discussion of ethics in an international context and a short checklist of questions to provide readers with a guide to the “ethical health” of the organisation.

Findings

The arguments in favour of defining ethical values within business are persuasive.

Practical implications

There are examples from experience together with clear guidance about how to manage ethical values in business. Readers could start with the ethical health checklist of questions, decide how their ethical values statement, if any, compares with the examples in the papers, conduct an audit of an existing ethical strategy to identify if their values statement is being translated into behaviours throughout the organization, and test the impact of the ethical values strategy on the competitive position of the business.

Originality/value

The paper is educational and therefore provides value to senior managers and directors in a concise but comprehensive overview of the topic that is of current concern in the business world. It points to practical actions they can take in this respect. It could be a thought starter to managers discussing the topic at an away day for example, or for strategic leaders to discuss how to use ethical values to develop a competitive position.

Details

Industrial and Commercial Training, vol. 40 no. 5
Type: Research Article
ISSN: 0019-7858

Keywords

Article
Publication date: 24 May 2011

Maruf Hossan Chowdhury

Ethics have always played a crucial role in the realm of business and commerce. This paper aims to extract the principle factors of ethical practices to develop a model…

3636

Abstract

Purpose

Ethics have always played a crucial role in the realm of business and commerce. This paper aims to extract the principle factors of ethical practices to develop a model for competitive advantage in banking and to show the relation between ethical practice and customer satisfaction and the linked reason for satisfaction as a tool for competitive advantage.

Design/methodology/approach

Based on the literature review, ethical issues in banking have been identified as a foundation work. Then an empirical study using survey research has been completed. The survey questionnaire has been designed using the literature and pilot survey input. Factor analysis has been conducted to derive ethical factors for competitive advantage from the survey data, which included 186 responses. χ2 tests were also carried out to show the linked relationship between ethical practice, customer satisfaction and reason for satisfaction.

Findings

From the analysis, two principle factors have been extracted: the cost leveraging factor; and the value leveraging factor which lead to competitive advantage. More over, it also revealed that high ethical practice results in high customer satisfaction and performance.

Practical implications

This study develops a guideline of competitive advantage for bank management through ethical practice.

Originality/value

The paper extracts how ethical factors create competitive advantage in banking and the linked reason of ethical practice and performance of banks which has not often received much focus from previous studies.

Details

Humanomics, vol. 27 no. 2
Type: Research Article
ISSN: 0828-8666

Keywords

Article
Publication date: 1 December 2003

Peter A. Stanwick and Sarah D. Stanwick

This study examines the relationship between ethical reputation, CEO compensation and firm performance for the top corporate citizens as rated by Business Ethics magazine…

2959

Abstract

This study examines the relationship between ethical reputation, CEO compensation and firm performance for the top corporate citizens as rated by Business Ethics magazine. The results show that there was not a direct relationship between CEO compensation and firm performance, that a high level of CEO compensation combined with a high ethical reputation did not impact the financial performance of the firm, and firms with a high ethical reputation had only average financial results, while firms with low ethical reputations displayed both high and low financial performance. Furthermore, CEOs of unfirms had, on average, higher compensation levels than firms that were profitable. These findings bring useful inputs for CEO on how they can justify high levels of compensation even during periods when the firm is not profitable or has a low level of profitability. An interesting sidelight of the study is that three CEOs in the sample whose firms were profitable did not accept any compensation during 2002, probably because the financial performance was below expectations.

Details

Management Decision, vol. 41 no. 10
Type: Research Article
ISSN: 0025-1747

Keywords

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