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1 – 10 of over 18000
Article
Publication date: 28 December 2023

Mohammah Hossein Khasmafkan-Nezam

This study aims to explore how an organization’s ethical climate determines the type and effectiveness of entrepreneurial marketing activities. Also, this study seeks to identify…

Abstract

Purpose

This study aims to explore how an organization’s ethical climate determines the type and effectiveness of entrepreneurial marketing activities. Also, this study seeks to identify the most critical intra-organizational capabilities related to entrepreneurial marketing components and explain their role in the path of ethical climate to entrepreneurial marketing, which means moving from the intra- to the extra-organizational environment.

Design/methodology/approach

Data were collected from managers working in 100 scientific and research companies in Iran through survey questionnaires. Latent variable structural equation modeling was used to test the hypothesized relationships.

Findings

The findings reveal that the linkage between the ethical climate of the organization and entrepreneurial marketing is partially mediated by work engagement. In addition, the mediating role of knowledge transfer was not confirmed. These results imply that the ethical climate of the organization fosters entrepreneurial marketing by enabling employees with absorption, vigor and dedication.

Research limitations/implications

Scientific and research companies in this research are different in size, resources, knowledge management system, organizational structure and products offered to the market; they have different emphasis on innovation and entrepreneurship as well. This issue increases the variety of data and the ability to generalize the results. Still, on the other hand, it reduces the ability to categorize data and increases the amount of outlier data. Future research in a comparative manner between different industries is needed.

Practical implications

This study indicates that an organization’s ethical climate can be a critical predictor of its entrepreneurial marketing as well as effective knowledge transfer and work engagement. In this regard, organizations should pay attention to employee’s perception of the organization’s ethical climate and create an environment that supports productive behaviors, commitment, trust, communication, work dedication, etc., to facilitate knowledge transfer effectively so that the organization can identify market opportunities and turn it into customer-oriented innovation, cocreate value for their customers and increase market share.

Originality/value

In turbulent markets, companies need to introduce quality and reliable products. Still, because the life cycle of products has shortened and the speed of introducing new products has increased, the supply of products will fail if companies are not equipped with new marketing methods. In this regard, the current research will seek to provide a mechanism for organizational capabilities on the road to entrepreneurial marketing by expressing entrepreneurial marketing as an innovative approach and trying to identify factors affecting it.

Details

VINE Journal of Information and Knowledge Management Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2059-5891

Keywords

Article
Publication date: 7 January 2014

Hyoung Koo Moon and Byoung Kwon Choi

Researchers in the field of business ethics have posited that an organization's ethical climate can benefit for employees as well as organizations. However, most of the prior…

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Abstract

Purpose

Researchers in the field of business ethics have posited that an organization's ethical climate can benefit for employees as well as organizations. However, most of the prior research has been conducted at the level of the individual, not organization. Thus, the purpose of this paper is to examine how an organization's ethical climate has a positive influence on two its performance indicators – customer satisfaction and financial performance – with a perspective of organizational innovation.

Design/methodology/approach

The data were collected from 29 subsidiaries of a conglomerate in South Korea. Hypotheses were tested using the partial least squares (PLS).

Findings

The result showed that an organization's ethical climate was positively related to customer satisfaction as well as financial performance, and this relationship was mediated by perceived organizational innovation. Additionally, the positive influence of an ethical climate on employees’ perceived organizational innovation was mediated by their organizational commitment and the climate for innovation.

Originality/value

With a focus on innovation, the study explained how an organization's ethical climate influences customer satisfaction and financial performance. Furthermore, as was the case in studies conducted in other developed countries, the results derived from South Korea sample demonstrated that an ethical climate is critical for organizational performances in developing countries.

Details

European Journal of Innovation Management, vol. 17 no. 1
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 9 February 2015

Aditya Simha and Agata Stachowicz-Stanusch

– The purpose of this paper is to explore the effects of ethical climate types on two components of organizational trust, i.e. trust in supervisor and trust in organization.

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Abstract

Purpose

The purpose of this paper is to explore the effects of ethical climate types on two components of organizational trust, i.e. trust in supervisor and trust in organization.

Design/methodology/approach

A sample of 178 managerial employees from seven hospitals in Poland was used to investigate the specific relationships between ethical climates (i.e. egoistic, benevolent, and principled) and trust in supervisor and trust in organization. Structural equation modeling was used to explore the relationship between ethical climates and the two trust components.

Findings

It was found that egoistic climates were negatively associated with trust in organization and trust in supervisor, whereas benevolent climates were positively associated with trust in supervisor and trust in organization. No support was obtained for any sort of association between principled climates and either of the two trust components.

Research limitations/implications

Future research should examine the role of trust as a mediating variable in the relationship between ethical climates and variables such as commitment or productivity or satisfaction. Future research should also examine different national and work contexts to test out these relationships.

Practical implications

Managers and organizations should try and establish benevolent ethical climates as opposed to egoistic ones, in order to bolster levels of trust among their employees.

Originality/value

The findings of this paper are unique and original because this is the first study to suggest a relationship between ethical climate types and the two trust components. The value of this study is that it provides managers and organizations with a way by which they could potentially increase levels of trust among their employees.

Details

Management Decision, vol. 53 no. 1
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 26 April 2018

Srecko Stamenkovic, Biljana Ratkovic Njegovan and Maja S. Vukadinovic

The purpose of this paper is to investigate the impact of organizational justice on the ethical climate in organizations in Serbia.

Abstract

Purpose

The purpose of this paper is to investigate the impact of organizational justice on the ethical climate in organizations in Serbia.

Design/methodology/approach

In the study, 3,413 employees participated whose task was to assess the dimensions of organizational justice (procedural, distributive and interactional) as well as the dimensions of ethical climate (egoism, benevolence and principle).

Findings

The obtained results show that the dimensions of organizational justice are significant predictors of dimensions of ethical climate. The dimension of distributive justice significantly predicts the dimensions of egoism and principle, while the dimensions of procedural and interactional justice significantly predict the dimensions of benevolence and principle. Concerning the structure of the relationship between dimensions of organizational justice and ethical climate, the results also showed that there is intra-national diversity depending on the region of the Republic of Serbia where the organization operates. Ethical climate based on maximization of personal interest is more connected to economically more developed regions with a larger population, while ethical climate based on duties related to norms, laws, rules and policies characterizes less developed regions with a smaller population.

Originality/value

In the context of contemporary Serbian business surrounding, the obtained results are discussed regarding the possibilities for improvement of ethical climate, which should be accompanied and supported by the positive impact of organizational justice.

Details

Cross Cultural & Strategic Management, vol. 25 no. 3
Type: Research Article
ISSN: 2059-5794

Keywords

Article
Publication date: 1 September 2005

Steven H. Appelbaum, Kyle J. Deguire and Mathieu Lay

The purpose of this article is to perform a literature review of the existing body of empirically‐based studies relating to the causes and implications of how the ethical climate

14453

Abstract

Purpose

The purpose of this article is to perform a literature review of the existing body of empirically‐based studies relating to the causes and implications of how the ethical climate of a company ultimately affects the incidence of workplace deviance.

Design/methodology/approach

The article examines the issue of ethical contexts and climates within organizations, as measured by the Ethical Climate Questionnaire developed in 1987 by Victor and Cullen , and their implications in the daily work lives of participants. The causes of unethical behaviour, including the presence of counter norms, the environment in which a firm operates, and organizational commitment, as well as the manifestation of this behaviour in the form of workplace deviance, are reviewed. Finally, current trends in preventing workplace deviance are investigated, including promoting a strong culture of ethics, and the use of “toxic handlers”, individuals who take it upon themselves to handle the frustrations of fellow employees.

Findings

Clearly, unethical and deviant behaviour problems are of great concern to organizations, which must take steps to solve them, at the same time as fostering strong positive ethical cultures. Feels that further studies are needed using more definitive and qualitative measurements to learn more about these behaviours.

Originality/value

This article would be useful to those who wish to obtain an overview of the current literature, specifically readers who do not specialize in the subject area.

Details

Corporate Governance: The international journal of business in society, vol. 5 no. 4
Type: Research Article
ISSN: 1472-0701

Keywords

Article
Publication date: 11 January 2021

Raheel Yasin

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…

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Abstract

Purpose

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.

Design/methodology/approach

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.

Findings

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.

Research limitations/implications

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.

Practical implications

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.

Originality/value

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.

Details

Journal of Knowledge Management, vol. 25 no. 7
Type: Research Article
ISSN: 1367-3270

Keywords

Article
Publication date: 21 June 2013

Byoung Kwon Choi, Hyoung Koo Moon and Wook Ko

The purpose of this study is to examine how an organization's ethical climate positively relates to its financial performance by considering an organization's innovation, a…

5504

Abstract

Purpose

The purpose of this study is to examine how an organization's ethical climate positively relates to its financial performance by considering an organization's innovation, a support for innovation and performance evaluation.

Design/methodology/approach

Data were collected from employees and managers of 41 subsidiaries of a conglomerate in South Korea through survey questionnaires.

Findings

The results indicate that an organization's ethical climate is positively related to financial performance, and its positive relationship is mediated by an organization's innovation. The result also shows that a support for innovation has the moderating effect, such that the positive influence of an organization's ethical climate on its innovation increases when a support for innovation is high. However, this study fails to find the moderating effect of performance evaluation.

Research limitations/implications

There might be the issue of generalizability, because the sample of this study is on the sample of a conglomerate in South Korea. Future research with different types of organizations in other nations is needed.

Practical implications

This study indicates that an organization's ethical climate can be a critical predictor of its innovation as well as financial performance. In this regard, organizations should pay attention to employees' perceptions of the organization's ethical climate.

Originality/value

This study explains the mechanisms on how an organization's ethical climate is related to its financial performance, and provides implications for organizations strivings for ethics in developing countries such as South Korea.

Article
Publication date: 13 June 2020

Hussam Al Halbusi, Kent A. Williams, Thurasamy Ramayah, Luigi Aldieri and Concetto Paolo Vinci

With the growing demand for ethical standards in the prevailing business environment, ethical leadership has been under increasingly more focus. Based on the social exchange…

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Abstract

Purpose

With the growing demand for ethical standards in the prevailing business environment, ethical leadership has been under increasingly more focus. Based on the social exchange theory and social learning theory, this study scrutinized the impact of ethical leadership on the presentation of ethical conduct by employees through the ethical climate. Notably, this study scrutinised the moderating function of the person-organisation fit (P-O fit) in relation of ethical climate and the ethical conduct of employees.

Design/methodology/approach

To evaluate the research hypotheses, two-wave data were collected from 295 individuals who are currently employed in various Iraqi organizations (i.e. manufacturing, medical and insurance industries).

Findings

In line with the hypotheses, the outcomes from a sample of 295 workers working in different Iraqi entities exhibited a positive relation between the ethical behaviour of leaders and the ethical conduct of employees in the ethical climate. Moreover, it was observed that the P-O fit of employees moderated the relationship between ethical climate and the ethical conduct of employees such that the relationship was more robust for those with a high P-O fit in comparison to those with a low P-O fit.

Research limitations/implications

The primary limitation of this study is in the data, which was obtained from a single source. Although the study conducted two surveys and utilised a mediation and moderation variables model that was less likely to be influenced by common method bias (CMB) (Podsakoff et al., 2012), one cannot completely rule out CMB. Apart from the potential effects of the CMB, the consistency of the empirical findings could have also been compromised since self-reported data were utilised in measuring ethical behaviour, which can be a very complex and sensitive issue. For this reason, the social desirability response bias cannot be ruled out completely. When possible, future studies must gather data from multiple sources. Furthermore, supervisors must evaluate the ethical behaviour of employees. Another limitation was that the findings of this study were based on a sample in a Middle Eastern cultural context such as in Iraq. Perhaps, the particular cultural features of this context, which encompassed, among other things, a strong adherence to religious values (Moaddel, 2010), could have influenced the findings of this study. It is true that the effects of differences (P–O fit) are highly likely to replicate across cultural contexts (Triandis et al., 1988). However, it can be seen that further studies are needed to evaluate the context-sensitivity of these findings (Whetten, 2009) by analysing other cultures, where the importance of religiosity is on the decline (i.e. in Western countries, Ribberink et al., 2018) or where the cultural features are very much different from those that apply to Iraq. Lastly, other external factors were not taken into account by this study as it tried to explain ethical behaviour. Ethics is a highly complex subject and is influenced by numerous variables at the organisational, individual and external environment levels. Thus, caution must be observed when making inferences from the present study which, to a certain degree, offered a simplified version of ethical behaviour by concentrating on a few variables such as the Arab culture's traditional ideology, which dominates even science (Abu Khalil, 1992). In addition, there are the political conflicts in the Middle Eastern cultural context such as what is happening in Iraq (Harff, 2018). Thus, it is important to include such aspects in future researches.

Practical implications

In terms of management, the findings send a clear signal to those in the upper echelon that, without ignoring the issue of ethics in organizations, employees are a critical aspect to be taken into account to encourage ethical behaviour at the workplace. This study has important practical implications. First, this study determined that ethical leadership (here, of the supervisors) positively influences the behaviour of subordinates (refers to the supervisors here); this in turn further improves the ethical behaviour of employees. It is vital that managers or supervisors are motivated to practice ethical leadership because they directly influence the employees. It has been suggested that top managers, especially chief executive officers, have the ability to shape the ethical climate, which also influences the ethical behaviour of employees further. This study offered several feasible ways that managers can apply to achieve that. In particular, top managers may utilise the ethical climate as a way of communicating the ethical values that they have to their subordinates, thereby serving as a motivation for the subordinates to adopt an ethical behaviour. It was also suggested by this study that ethical climate and the P–O fit may, to some degree, substitute each other as they influence the ethical behaviour of employees. Therefore, firms that were identified to have a low level of ethical standards, practices, and policies, at least from the employees' perspective, are better poised to conduct ethical issues in order to construct the ethical behaviour of their subordinates. More importantly, it is highly essential that the value congruence between an organization and its followers be considered.

Social implications

This study highlighted the notion of ethics and how it’s essential for society. Ethics refer to the norms, standards, and values that direct the behavior of an individual. Ethical behaviour is vital in society because we need to be treated with respect as human beings.

Originality/value

This study responds to recent calls for more research to identify factors which may strengthen or mitigate the influence ethical behavior in the workplace such as ethical leadership, ethical climate and Person–Organization.

Article
Publication date: 6 July 2015

Koustab Ghosh

The purpose of this paper is to explore the relationships among the welfare constituents of benevolent leadership, ethical climate, and organizational citizenship behaviour (OCB…

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Abstract

Purpose

The purpose of this paper is to explore the relationships among the welfare constituents of benevolent leadership, ethical climate, and organizational citizenship behaviour (OCB) by examining the direct as well as the indirect impacts of benevolent leadership constructs on OCB mediated through the ethical work climate (EWC).

Design/methodology/approach

The data analysis for managerial responses obtained from eight not-for-profit organizations established that ethical sensitivity, spiritual wisdom, positive engagement, and community responsiveness as the welfare elements of benevolent leadership significantly influenced OCB both as proximal and distal outcome through the mediating effect of EWC found in the organizations.

Findings

This study substantiated the point that the welfare orientation exhibited by top and senior management as the core of benevolent leadership behaviour in not-for-profit organizations influenced the EWC and OCB among the organizational members that in turn would enable them to meaningfully engage themselves with the socially relevant projects and community development activities.

Originality/value

The application of benevolent leadership scale in not-for-profit organizations established its predictive validity in relation to ethical climate and OCB.

Details

Leadership & Organization Development Journal, vol. 36 no. 5
Type: Research Article
ISSN: 0143-7739

Keywords

Article
Publication date: 18 May 2023

Abubakar Tabiu

The increasing number of ethical scandals reported in many public organizations all over the world, highlighted the need for more in-depth studies on the influence of ethical

Abstract

Purpose

The increasing number of ethical scandals reported in many public organizations all over the world, highlighted the need for more in-depth studies on the influence of ethical leadership and management practices in the public sector organizations. This study examines the link (direct and indirect) between ethical leadership, HRM practices, ethical climate and organizational citizenship behaviors (OCBs) within the context of Nigerian local governments.

Design/methodology/approach

A cross-sectional design was adopted and data for the study was collected quantitatively by administering questionnaires to supervisors/leaders and their respective employees/subordinates. A total of 270 participants comprising 135 leaders/supervisors who are head of departments and another 135 employee/subordinates participated in the study. Partial Least Square Structural Equation Modeling (PLS-SEM) was used in testing the hypotheses.

Findings

The findings show that ethical leadership, HRM practices and ethical climate significantly affect OCBs. Also, the study shows that ethical climate mediated both the relationships between ethical leadership and OCBs, and HRM practices and OCBs respectively. Thus, the study concluded that both ethical leadership and HRM practices can influence OCBs directly and also indirectly through ethical climate.

Practical implications

The study empirically delineates the importance of ethical leadership, HRM practices and ethical climate in promoting more OCBs within the context of Nigerian local governments. Therefore, managers/administrators should encourage ethical leadership style, and implement good HRM practices and promote ethical climate within their organization so as to boost their employees' OCBs.

Originality/value

The findings of this study will contribute to the understanding of the relationships between ethical leadership, HRM practices, ethical climate and OCBs in the public sector organizations within Nigeria. The findings will also provide additional support that ethical climate is an important mechanism on the relationship between ethical leadership and HRM practices on OCBs.

Details

International Journal of Public Leadership, vol. 19 no. 3
Type: Research Article
ISSN: 2056-4929

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