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Blackman (2018) states that companies can face scandal, ruin a company's names and people

will remember it for a long time when unethical choices are made. "Even when ethical lapses
don't lead to such a spectacular collapse, they still affect a company's reputation" (Blackman,
2018). Companies such as Cambridge Analytica and Volkswagen are trying to live down their
scandals from 2015. Being an ethical leader is more than trying to avoid a scandal, it is about
being a role model that can assist your employees in doing the right thing.
Ethical leadership is applying your moral principles in your day to day business life and
decision making. There is always the possibility that ethics and leadership may not always go
together. "According to a study by the Institute of Leadership & Management: 63% of
managers have been asked to do something contrary to their ethical code, 43% have been told
to behave in direct violation of their organization's own values statements and 9% have been
asked to break the law" (Blackman, 2018).
The positive side of ethical leadership is that is can help increase employee's performance and
will keep turnover rates down. Ethical leadership is about creating a culture where people will
make the right choices. Organizations can focus on creating an ethical culture by defining
personal and organization values, conduct an ethics audit by examining the current state of the
organization, develop a code of conduct, be a role model to other, providing training,
comminute the important of ethics, distinguish between ethics and rules, provide ethics and
leadership in goals and performance reviews, hire the right people, encourage participation
and take accountability.
"But even if you've created an ethical culture, ethical leadership is still a full-time job"
(Blackman, 2018). An organization will continue to deal with an ethical dilemma where an
organization will have to enforce its code of conduct. Each dilemma will be different and not
clear on what the right choice may be and it those situations it is best not to decide on your
own. Leaders need to involve others in the best outcome as well as making employees feel
valued. Not everyone will agree on the decision is made, but it is important to be true to
yourself and follow what you believe in which will lead to others to respect you and the decision
that was made.
Kuligowski (2019) explains the difference between being a boss and being a leader. He
describes a boss as giving orders, managers whereas a leader will guide and inspire their
employees and the difference is how a person view's their relationship with them. "A good
leader sees it as their responsibility to inspire, guide, and nurture their employees to help them
improve; they lead by example" (Kuligowski, 2019). In today's business world many leaders will
be faced with a task that will test their ethics and how they will conduct business. 
Ethics in the workplace was considered on the organization and today the emphasis is placed
on the leadership. Many businesses and leaders are being watched on how they act and
interact around others which can impact the organization by attracting new customers,
business, employees and their bottom line. 
Kuligowski defines tips that can help the success of being an ethical leader. 
Defining and aligning your values which are treating others as you would like to be treated.
This is one of the biggest challenges that we face in culture and work because what we
thought was right is now up to considerable debate because reality makes it difficult for value-
based leaders. We need to ask yourself what matters and align that into our leadership role.
"Defining your values not only expresses your authenticity, but it also encourages your team to
do the same, creating a shared vision for all workers" (Kuligowski, 2019).
Hire people with similar values of the organization that starts with the hiring process and
coincides with the company's vision statement. Not everyone will share the same values, but
organizations need to do better in finding employees that are similar to their values. "It's
valuable to hire employees who have different experiences and perspectives, because they
each offer their own solutions to challenges" (Kuligowski, 2019). A person will not have respect
for the company they work for if they do not share the same values. 
Promote open communication by a leader that creates an environment where employees feel
comfortable talking to them about any issues. Leaders need to learn how to listen and provide
feedback which can help improve leadership skills and move the business forward. 
Beware of bias in the workplace is becoming more popular. Leaders need to be aware of their
actions and that it can make another person feel uncomfortable in the workplace. 
Lead by example is a way for a leader to understand that their employees will follow their
behavior, choices, and value in the workplace. Leading by example will instill respect from your
employees and is the best way to have an ethical business.

Lakshmi, B. (2014) defines the meaning of ethics and morals as both relating to right and
wrong conduct. "However, ethics refer to the series of rules provided to an individual by an
external source, e.g. their profession or religion. Morals refer to an individual's own principles
regarding right and wrong (Lakshmi, 2014). He details how there are different approaches in
leadership ethics. The Confucian approach is based upon equally from moral principle and an
ethical vision of a good life. The Utilitarian approach that is ethical choices are based on
consequences. The Kantian approach is that a person should do what is morally correct
regardless of the consequences.
"Leadership Ethics is derived from value-based moral principles and include principles such as
justice, fairness, non-coercion, trust, integrity, honesty and transparency (Lakshmi, 2014). With
unethical practices taking in organizations and leaders being questions on the role of
leadership it is important for organizations to put in place ethical practices. When it comes to
the organizations performance it is becoming clear that is not just being based on growth rates
and profits, but to the understand of a value-based trust they have.
The actions and decisions that leaders make will involve different areas that will allow them to
make ethical and moral choices. A leader's vision will also play a role in the decision-making
process that will place an ethical choice of what is good. When facing ethical situations that
need to be resolved it will require a making the choice between right and wrong. The
relationship between leader and employee should be based on trust and respect. Leaders
need to practice workplace ethics to be a role model for their employs and to help increase
motivation levels. "Self-knowledge and self-control are stated to be the most important factors
in leadership development" (Lakshmi, 2014). Self-knowledge can be looked upon as having
the skills of emotional intelligence, communication, ability to understand and how to respond to
others which some leaders may have challenges with this process.
Raghupathy (2011) talks about how the role of ethics is becoming important in the business
world to decrease the level of failures. Organizations have developed a code of ethics and
conduct policed into their employee training and orientation. "Business leaders want to
establish a practice of positive workplace ethics within their organizations and this is adding a
new moral dimension to leadership" (Raghupathy, 2011). With organizations facing scandal the
need for moral leadership has taken on a new role in decision making.
Ethics is known to have a set of principles of right conduct while moral leadership is known for
making an ethical decision with the right moral values. For this reason, the development of
their ethical policy should contain principles, values, and standards in decision making,
developing procedures and systems. In today's world organizations also need to consider the
cultural background of their employees their ethical policy needs to cover the difference in
values, beliefs and to provide insight on making the right choice.
Leadership has also been important, but now moral leadership is just as important in an
organization and becoming a key when an ethical decision needs to be made. "Moral
leadership involves leading people and organizations to accomplish a higher order of moral
purpose, and because different cultures and countries have different moral values, it is difficult
to clearly outline global moral leadership (Raghupathy, 2011). The 4-major characteristic of a
moral leader is a person who is committed to values that exceed a single nation, to have the
desire for a moral value that is not being used, having the courage to promote the value and
the need to have communication skills to share those values. There is a need for moral values
and leaders will have to be more adaptable to make an impact within their organization.

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