Organizations seek to develop stronger levels of
ethical business practices in order to limit negative employee behaviors that can
damage public image, lessen investor confidence, and improve upon contractual
relationships with stakeholders. The first step in developing an ethical
organization is to hire an ethical leader. Through proper leadership modeling
in moral courage and ethical behaviors employees develop standards that apply
to their own behaviors.
Developing ethical organizations, and meeting the
needs of people, requires strength of character (Hunter, 2003). It is difficult
for leaders to deal with the multiple issues that often face them from
competing interests. When leaders use an ethical value system they have an
anchored value point that allows them to judge the validity of these competing
interests.
Strong leaders should have an impetus to act with
moral purpose. Such conation requires
moral courage, moral efficacy and psychological ownership over one’s behavior
(Hannah, Avolio, & May, 2011). Positive behaviors require an ownership over
one’s life and responsibilities toward others. Such concepts need to be embedded
in the way leaders view themselves and their purpose in leading.
Moral courage is “the ability to use inner principles to do what is good for others,
regardless of threat to self, as a matter of practice” (Sekerka and
Bagozzi, 2007, pp. 135). It is a willingness
to do what is in the best interest of others and the group even if one were to
lose something of value. It can be further understood as, “a commitment to moral principles, an awareness of the danger involved
in supporting those principles, and a willing endurance of that danger”
(Kidder, 2005, pp. 7).
Ethics and moral courage are associated but not
exactly the same concept. Ethics is a minimal standard of behavior that avoids
engaging in immoral actions (Treviño et al., 2006). It is more defined by
compliance with the law, telling basic truths, and conducting business within
standard societal constraints. It is a much lower level of investment in one’s
decisions than moral courage.
Ethical behavior also has a pro-social component.
Moral courage is associated with the desire to use inner standards that
encourage actions that help others (Sekerka & Bagozzi, 2007). It is this
wider understanding of the needs of the group that creates a higher standards
of existence. Through this moral courage one acts with effort to help others
live happy and free lives based upon underlining principles of inherent value.
Leadership has a huge impact on the moral and
ethical actions of their organizations. Leaders impose significant influence on
followers’ thoughts and behaviors related to ethical and moral expectations
(Lester et. Al., 2010). It is through watching leaders that employees come to
understand appropriate actions.
Ethical and moral leadership is not easy when
competing interests are pushing for certain results. However, such leadership
can improve upon the overall financial and public image of the organization
overtime. Furthermore, it creates workplace expectations and guiding behaviors
that impact the habits employees use to
solve their own issues. Such ethical approaches require the focus on others
beyond their own needs and the courage to follow through on guiding principles
to make it happen despite the competing interests.
Hannah,
S. T., Avolio, B. J., & May, D. R. 2011. Moral maturation and moral
conation: A
capacity
approach to explaining moral thought and action. Academy of Management
Review, 36.
Hunter,
J. D. 2003. The death of character.
New York: Basic Books.
Lester,
P., Vogelgesang, G., Hannah, S., & Kimmey, T. (2010). Developing courage in
followers: Theoretical and applied perspectives. In C. Pury & S. Lopez
(Eds.), The psychology of courage: Modern
research on an ancient virtue: 210-45. Washington, DC: American
Psychological Association.
Sekerka,
L. E., & Bagozzi, R. P. 2007. Moral courage in the workplace: Moving to and
from
the desire and decision to act. Business Ethics: A European Review, 16,
pp.
132.
Treviño,
L. K., Weaver, G. R., & Reynolds, S. J. 2006. Behavioral ethics in
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