Search results

This study examines the effect of delegation of decision rights, moral justification (MJ), and ethical climate (EC) on managers’ misreporting in the financial services sector. We employed an online research panel called Qualtrics, to collect data based on a sample of 127 middle-level managers from various US financial services firms. We find that MJ mediates the relation between delegation and misreporting, suggesting delegation of decision rights increases employees’ misreporting indirectly by increasing MJ. We also find that EC significantly moderates the relationship between MJ and misreporting. Furthermore, our test of the moderated-mediation effect reveals that the indirect effect of the delegation of decision rights on misreporting through MJ is stronger when there is a higher level of instrumental climate (IC) and a lower level of principle climate (PC).

This study seeks to find an interactive effect between ethical leadership (EL) and corporate governance (CG) variables and investigate whether they would affect employee organizational citizenship behavior (EOCB) in a Malaysian organizational setting. The collected data from the 300 accounting/finance department employees were analyzed using Statistical Package for Social Sciences (SPSS) and Partial Least Square–Structural Equation Modeling (PLS-SEM; SmartPLS 3.0). Several primary results confirmed a coherent significant relationship between EL and ethical climate (EC), EL and EOCB, EL and CG, and CG and organizational success. Theoretically, it implies a more enhanced EOCB literature on how it can be infused in an organization. It also offers valuable knowledge by providing organizations with several insights concerning the improvement of EOCB, enabling the organization to achieve its desired success and, more importantly, how the findings could contribute directly and indirectly to emerging markets in terms of their industrial and financial performance.

The purpose of this paper is to investigate the impact of formal [ethics training (ET)] and informal [psychological ethical climate (EC)] controls in reducing service sabotage (SS) and increasing employee commitment to service quality.

Data were electronically collected from a national survey of hotel/motel customer contact employees leading to a usable sample of 316 employees. Structural equation modeling was used to analyze the data.

The findings indicate that ET can be used to positively influence the EC of customer contact service employees, which, in turn, reduces their SS behavior and increases their commitment to service quality.

Management should incorporate both formal (ET) and informal (EC) controls to bring about less SS and greater commitment to service quality among customer contact employees in service settings.

This research furthers the understanding of SS by finding an important variable, EC that may be used to reduce its incidence in service settings. Further, it shows that EC is an important contributor to improving ECSQ. As such, this research gives important direction for companies wishing to improve the customer service experience.

This study investigates the relationship between responsible leadership (RL) and employee sustainable performance (ESP), utilizing the CSR theory as a theoretical framework. Furthermore, this study aims to examine the role of ethical climate as a potential mediator in the relationship between RL and ESP.

A sample of 415 employees from the healthcare sector of India was collected through a questionnaire-based survey by using the convenience sampling technique. The data were analyzed using partial least squares structural equation modeling (PLS-SEM) with the help of SmartPLS 4.

The study's findings demonstrated a significant, positive association between RL and ESP [employee well-being (EWB) and employee performance (EP)]. Additionally, the findings show that ethical climate partially mediates the link between RL and ESP (EWB and EP).

The generalizability of the study's data collection is limited because it is based on the responses of Indian healthcare sector employees to an online and offline survey. The authors propose that the healthcare industry implement an intensive leadership training program in light of the findings of this study, which will aid human resource (HR) managers in comprehending the significance of RL and fostering related behaviors, such as encouraging employees to maintain ethical behavior and positive attitudes.

To the authors' understanding, this study is among the earliest attempts to present an integrative model that examines the relationship between RL, ethical climate and ESP in the context of Indian healthcare employees, incorporating the theory of corporate social responsibility (CSR). Moreover, the novelty of this research study examines the relationship between RL and ESP, with an ethical climate serving as a mediator. The focus is specifically on employees working in the Indian healthcare sector.

As the tourism industry emerges from full or partial closure caused by the COVID-19 crisis, it is imperative to understand the internal conditions that assisted organizations to maintain positive employee attitudes despite the adverse effects of unpopular cost–retrenchment strategies. Therefore, this study aims to understand the impacts of transformational leadership (TFL), human resource management (HRM) crisis cost–retrenchment and ethical climate (EC) on employee job outcomes affected by COVID-19 pandemic.

Mid-level managers of service organizations from a travel destination heavily reliant on the tourism participated in an online self-administered survey one month after the state eased its COVID-19 travel restrictions. Partial least square structural equation modeling (PLS-SEM) examined how TFL and EC influenced cost–retrenchment crisis–management HRM, satisfaction and trust in the organization, followed by PLS multi-group analysis (PLS-MGA) to understand differences between hospitality and non-hospitality employees.

Results revealed an overall positive effect of TFL that diminished the negative affect of HRM cost-retrenchment on employee satisfaction. PLS-MGA showed a significant positive role of other-focused EC on employee outcomes, especially for hospitality organizations, whereas self-focused EC had a negative impact for non-hospitality firms.

This study contributes to contingency theory of leadership by demonstrating that TFL in combination with EC mitigates or overpowers the negative effects of cost–retrenchment crisis management strategies on employees. The study advances knowledge of self-focused and other-focused moral reasoning climate impacts under COVID-19 conditions for hospitality organizations. The industry comparison results highlight the important positive characteristics of hospitality crisis management.

The purpose of this paper is to investigate the influence of human resource management (HRM) practices, (recruitment and selection) and organizational performance (OP) through mediation role of ethical climates (ECs) in Nigerian educational agencies.

Quantitative data were collected from 181 educational agencies represented by director of administration; SmartPLS-SEM was used in testing the relationship, as well as testing the mediating effect of ECs.

The results revealed strong support for the mediating role of ECs on the relationship between HRM practice (recruitment and selection) and OP.

Policy makers and executives in educational agencies need to consider making appropriate decision in terms of effectively adopt and implement performance-based HRM practices that can encourage and create ethical behavior of employees’ and within organization. Through the adoption and utilization of these practices, educational agencies can enhance OP.

This study contributes to the understanding of the relationship between HRM and OP by clarifying a pathway between these variables. This study also generalizes consistent findings on the HRM practices and OP relationship to a different discipline and context, i.e. educational agencies.

This study adds to the domain of resource-based view by incorporating EC as a mediator between HRM practices and OP.

The purpose of this paper is to explore the mediating effect authentic leadership (AL) has on professional identity (PI), ethical climate (EC) and organizational citizenship behaviors (OCB) and political behavior (PB) among elementary school principals in Israel.

Four hundred and ten elementary principals from various Israeli districts participated in the study. The research is based on principals' self-report questionnaires. The analysis focused on SEM using AMOS software.

Results indicated that AL fully mediates the relationships between PI and OCB and PB while partially mediates the relationships between EC and OCB and PB.

This study could contribute to the design of an integrative model not previously researched, while exploring relationships between behaviors perceived as mutually opposite. This study suggested that to increase OCB and decrease PB, authentic leadership among elementary school principals should be enhanced by educational leaders.

The new model is likely to help school principals to deal with political behaviors while fostering citizenship behaviors during their work. Educational leaders may design professional training for principals in order to encourage the development of the positive aspects of OCB and PB.

The purpose of this study is to examine the impact of ethics training (ET) on workplace behaviors. The study also aims to test the mediating effect of ethical culture (EC), on the relationship between ET and workplace behaviors.

An experimental model has been developed to address the problem statement. The success of ET intervention has been measured in terms of workplace behavior, which is evaluated by job satisfaction, employee commitment and intention to stay. The proposed research model is empirically tested by data collected from 175 mid-level managers in 30 Indian construction firms.

The results obtained from process macro showed partial mediation. Stronger perceptions of ET were associated with stronger perceptions of EC. EC is related to positive workplace behavior.

The partial mediation suggests that there is a need for exploring other potential mediating variables through which ET interventions can succeed. Future research can investigate group-level variables such as team psychological safety, which can potentially explain the complete mediation.

The results suggest that ET interventions can be used to strengthen the EC in the firms. If the ET intervention is designed purely on the compliance orientation, it will impede the opportunities for long-term development. The focus should not be with the intent to observe ethical conduct. It should be more inclusive and value-oriented. Firms need to sensitize employees and train them on how to deal with ethical dilemmas. Employees are inclined to study in the firms exhibiting a strong EC. In the construction sector, where multiple projects are handled by employees with unique and niche skill sets, retainment of employees is very important. The human resource departments need to think of introducing ET interventions not only from the study of compliance adherence but also with the motive of retaining employees.

The ET literature seldom discussed long term benefits related to creating an EC. The study critiques the intent of human resource (HR) departments while designing an ET intervention. The ethics intervention is often designed with an intent to fulfill the compliance requirements. This study contrasts this intention and shows the importance of ET intervention to create the EC in the firm, which not only includes compliance requirements like code of conduct but also has a significant focus on sensitizing employees about ethical dilemmas and grey areas.

Research about ethical governance and corporate social responsibility (CSR) in the United Arab Emirates is still in its infancy. This study aims to explore the public sector employee’s perception toward ethical climate, codes of ethics and CSR and its impact on organizational performance. This research sheds light on the link between formalized ethical procedures and employee responses including CSR, organizational engagement and organizational performance.

Data were collected from 426 middle-level public sector employees in Abu Dhabi, the capital of the United Arab Emirates, using structural equation modeling to test the proposed hypotheses.

The findings of this study suggest that an ethical climate is an important organizational component, and that the incorporation of effective codes of ethics and CSR initiatives is desired. Perceptions of public sector employees are positively influenced by the organization’s ethical climate and CSR activities, which in turn affect organizational performance.

The study provides managerial insights for improving the ethical climate and CSR within the public sector context in the United Arab Emirates.

The study offers implications for public sector employers and points out that public sector employers should formulate policies to boost the ethics and CSR environment at workplace to attain competitive advantage.

The paper contributes to the literature by being one of the first to study organizational ethical climate and CSR within a Middle Eastern public sector context and offers implications for theory and practice.

Employee turnover, building a positive corporate image and ethical lapses in the corporate world demand business leaders to perform their jobs with a higher sense of responsibility. This study aims to investigate the mediating effect of ethical climate and corporate image by using the corporate social responsibility theory and social identity theory.

A sample of 280 employees from the banking sector of Pakistan was collected through a questionnaire-based survey by using the convenience sampling technique. The structural equation modeling technique using Smart partial least square was used to test the hypothesized model.

The findings of the study affirmed a significant positive correlation between responsible leadership and ethical climate and ethical climate is significantly positively correlated with corporate image. Meanwhile, the corporate image is negatively correlated with employees’ turnover intention. Results further corroborate ethical climate mediating effect between responsible leadership and corporate image and corporate image likewise mediates between ethical climate and employee turnover intention.

This study enriches the present literature on the subject of responsible leadership, ethical climate, corporate image and turnover intention from the employee’s point of view. Elucidating from previous studies, most of the investigations about the corporate image was conducted from the customers’ perspective and there has been a scarcity of studies focusing on employees’ perspective.

This study guides a value proposition that is concerned with the turnover of employees for human resource professionals from the banking industry. It explores a new dimension of the debate on employee turnover intention.

This study marks the first step toward corporate image as an organizational behavior construct by demonstrating that corporate image impact turnover intention. This study tests a model that demonstrates the role of ethical climate and corporate image in the linkage between responsible leadership and employees’ turnover intention.