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Do We Really Andrea Giampetro-Meyer

Timothy Brown, S. J.
Want More M. Neil Browne
Leaders in Business? Nancy Kubasek

ABSTRACT. In this article, we focus on the concept of leaders we might really want in business, we must
of leadership ethics and make observations about consider how much short-run profit we are willing
transformational, transactional and servant leadership. to forego in exchange for more ethical corporate
We consider differences in how each definition of cultures.
leadership outlines what the leader is supposed to
achieve, and how the leader treats people in the
organization while striving to achieve the organiza- A recent issue of Fortune proclaimed that
tion’s goals. We also consider which leadership styles “everyone thinks business needs better leader-
are likely to be more popular in organizations that ship” (1995). Many people both within and
strive to maximize short run profits. Our paper does
outside business are calling for more or better
not tout or degrade any of these leadership theories.
Instead, it points out which theories allow reason to leadership to serve as an antidote to a broad array
play more than a minimal role in ethical decision- of businesses problems. The hope is that by
making, as well as those that are most consistent with turning mangers into leaders, leadership will
a firm’s desire to achieve efficiency in the short run. transform problems into opportunities. Unfor-
We explain our view that the way leadership is tunately, those who write in favor of better
practiced in large, bureaucratic organizations suggests leadership are often unclear about what they
that ethics is often absent from the leader’s decision- want “better” leaders to do, and how they want
making process. Consequently, we suggest that before “better” leaders to treat people. The ambiguity
we engage in a meaningful dialogue about what kind of leadership allows many of us to be in favor of
it, without raising serious questions about
Andrea Giampetro-Meyer and Timothy Brown, S.J., are whether it is possible to turn most managers into
Associate Professors of Law in the Department of leaders. Even if such a development were
Strategic and Organizational Studies at Loyola College possible, it is unclear whether this change will
in Maryland. Giampetro-Meyer has published numerous promote improved decision-making in organi-
articles on the topics of gender-based discrimination and zations, at least from an ethical perspective. This
corporate social responsibility. Brown runs Loyola article suggests that the potential for leadership
College’s Center for Values and Service. He is co-author to promote ethically sound corporate cultures
of a new book entitled Setting Hearts on Fire: A depends on the kind of leadership one advocates
Spirituality for Leaders. or appreciates, as well as the measures a company
M. Neil Browne is Distinguished Teaching Professor in the or individual managers take to correct some
Department of Economics and Nancy Kubasek is harsh consequences of commonly practiced
Professor in the Department of Legal Studies at Bowling
forms of leadership.
Green State University in Ohio. Browne is author or
co-author of several books, including Asking the Right
Questions: A Practical Guide to Critical Thinking
and Striving for Excellence. Kubasek is author of Three kinds of leadership
Environmental Law and co-author of The Legal
Environment of Business: A Critical Thinking JoAnne Ciulla, a professor in the leadership and
Approach. ethics program at the Jepson School of the

Journal of Business Ethics 17: 1727–1736, 1998.


© 1998 Kluwer Academic Publishers. Printed in the Netherlands.
1728 Andrea Giampetro-Meyer et al.

University of Richmond, recently published a achieve the organization’s goals. We also consider
comprehensive review of leadership research which leadership styles are likely to be most
(1995). In that review, Ciulla stimulates interest popular in organizations that strive to maximize
in dissecting the idea of leadership. She points short run profits. The article presents these three
out that most researchers do not disagree about kinds of leadership as dichotomous theories, and
what leadership is. Ciulla explains that most suggests some problems with these leadership
definitions focus on “some kind of process, act, styles. While we present transformational, trans-
or influence that in some way gets people to do actional and servant leadership as three separate
something.” She suggests that instead of consid- theories, it is possible to look a leader and see
ering the question “What is leadership?” we someone who is both charismatic or trans-
should be asking “What is good leadership?” formational, and looks at the leader/follower
When we consider what constitutes good lead- relationship as a transaction. We also present
ership, Ciulla urges us to consider both ethics and problems associated with leadership as dichoto-
competence. She points out that people long for mous problems. For example, we raise the
highly ethical leaders (Ciulla, 1995). problem of conformity under the topic of
In her article, Ciulla presents a brief discussion transactional leadership, but it is possible that
of three kinds of leadership: transformational, transformational leaders can also be associated
transactional, and servant leadership. Transforma- with problems related to conformity. We present
tional or charismatic leaders inspire their followers concepts as dichotomous to enhance clarity. We
to pursue the leaders’s clear vision for the are making an attempt to move the debate about
company (Steers and Black, 1994, p. 420). leadership in a more productive direction. Our
Transformational leaders demonstrate self- point is to show that the idea of leadership
confidence, the ability to articulate a vision, a demands deeper consideration.
willingness to pursue the vision even if they must We start with transformational leadership
assume high personal risks, and an ability to because this is leadership style most people
promote change (Steers and Black, 1994). envision when they say they want more or better
Transactional leaders look at leadership as a social leaders. Then, we consider transactional leader-
exchange process among leaders and followers ship as the primary alternative to transformational
(Steers and Black, 1994). An effective transac- leadership. Finally, we consider servant leadership
tional leader is one who makes it clear that those because it holds special promise as a way to
who give something to the organization get improve organizations from an ethical perspec-
something in return. The transactional leader says tive. We are not touting or degrading any of
to her followers, “I will look out for your these theories. We will, however, point out
interests if you look out for mine (and the which theories allow reason to play more than a
company’s).” (Steers and Black, 1994). Servant minimal role in the ethical decision-making, as
leaders make serving employees, customers and well as those that are most consistent with a firm’s
the community their number one priority desire to achieve efficiency in the short run.
(Spears, 1995, p. 3). A servant leader asks
whether those the leader serves grow as persons.
The servant leader asks, “Do those I serve Transformational leadership: absolutist
become wiser, healthier, freer, more autonomous, behavior and the problem of narcissism
more likely themselves to become servants?”
(Spears, 1995). Do we want more leaders who can make their
This article makes a few basic observations vision a reality by inspiring their followers to
about these three kinds of leadership. These work toward the leader’s vision? Our answer is,
observations focus on differences about how each it depends. Our primary point in this section is
definition of leadership outlines what the leader that transformational or charismatic leaders tend
is supposed to achieve, and how the leader treats to inspire followers more when they demonstrate
people in the organization while striving to absolutist behavior. Inspirational leaders are certain
Do We Really Want More Leaders in Business? 1729

a particular action is right or wrong from an strate self-confidence about an ethical decision
ethical perspective. They rarely admit that the if this decision came about after the leader and
moral issues individuals and business face are followers went through an analytical, reflective
often “tangled webs of frequently subtle, ill- reasoning process. Often, leaders and followers
defined problems.” (Shaw and Barry, 1995). We make decisions much more simply. A good
also point out that transformational leaders are example is Iacocca’s decision to manufacture and
probably more likely than others to demonstrate market the Ford Pinto. In this situation, Lee
problems created by narcissism. Finally, we will Iacocca demonstrated a clear vision, and his
explain how the transformational leader’s leaders followed his inspiring vision. This vision
behavior is often rewarded by financial markets was to manufacture and market a car that
(Korten, 1996). weighed no more than 2000 pounds and cost no
A good example of a transformational leader more than 2000 dollars. In their rush to achieve
is Lee Iacocca. Iacocca turned the Chrysler the $2000/2000 pound goal, Lee Iacocca’s
Corporation around, manufactured and marketed followers designed and manufactured a car they
the popular Ford Mustang, and restored the knew would lead to many burn deaths. The
Statue of Liberty. At one point, he was a poten- company’s notorious cost-benefit analysis allowed
tial candidate for the presidency of the United Iacocca’s followers to conclude they should not
States. Iacocca demonstrates many characteris- correct the Pinto’s design because it was cheaper
tics of a transformational or charismatic leader. to pay for burn injuries and deaths than to
He shows self-confidence and an ability to change the car’s design (Strobel, 1980). Ford’s
articulate a vision; he can promote change. David decision to manufacture and market the Pinto
Pincus, in his book about leadership and the occurred after the company determined (perhaps
importance of strong communication skills, incorrectly) how it could maximize its short-run
describes Iacocca as a corporate top dog – a man profits, not after it engaged in analytical decision-
with a “powerful, engaging personal style” who making based upon principles rooted in moral
articulated a vision and made that vision a reality philosophy. The Pinto case shows that it is not
(1994). Iacocca could speak in a way that inspired clear that transformational leaders engage in
many people to rally to help him achieve his behavior that moves organizations toward
important goals. becoming more morally courageous, democratic
Can we count on transformational leaders like or reasonable.
Lee Iacocca to promote good organizational Transformational or charismatic leaders also
decision-making from an ethical perspective? present the problem of narcissism, which some-
This question is difficult to answer. From an times encourages the leader to inspire her
ethical perspective, strength in decision-making followers to pursue questionable goals. Some
comes from reflection, as well as the ability to provocative work on the behavior of leaders has
recognize the ambiguity of ethical dilemmas. been conducted by Manfred Ket de Vries, an
Strong decision-making also shows respect for economist and psychoanalyst who has considered
analytical decision-making based upon principles the dark side of leadership (1993). What makes
rooted in moral philosophy. A serious limitation his work compelling is that he sees and explains
to the transformational leader’s ability to promote how traits we typically associate with leaders
improved ethical decision-making is that fol- (especially transformational leaders) can drive
lowers tend to be more inspired by assertions organizations toward a wide range of outcomes,
expressed with certainty rather than uncertainty. some of which are disastrous. The trait Ket de
It is more powerful for leaders to say “I’m sure Vries considers that deserves the most attention
I’m right” than to say “this situation is confusing is narcissism. In Ket de Vries’ most recent book,
and difficult to resolve.” Unfortunately, a leader he states that most leaders are narcissistic. He
who sees situations as tangled webs can look limp explains that the consequences of this trait are
rather than wise to followers. complex. He writes that “[n]arcissism is a strange
It would be all right for the leader to demon- thing, a double-edged sword. Having either too
1730 Andrea Giampetro-Meyer et al.

much or too little of it can throw a person off an acceptance of policies or thought processes
balance” (1995). Narcissism drives leaders to that encourage empathy in decision-making, we
achieve, which obviously helps organizations might want more transformational leaders. One
thrive. Narcissism is especially helpful when strategy is that managers can engage in what
combined with positive leadership traits such as Christopher Stone calls “responsible reflection”
competence, vision, humor, and determination (1982). Responsible reflection is important
(1993). However, narcissistic leaders are not because it fills the need of the corporation to
always constructive. Sometimes, leaders use their act as if it has a conscience. Responsible reflec-
power toward ends that show a lack of empathy. tion requires managers to not only obey laws, but
Some leaders develop what Ket de Vries calls a also to engage in a cognitive process that allows
“grandiose sense of self-importance.” This them to engage in intellectual, analytical rea-
grandiosity sometimes leads to disastrous conse- soning. When faced with a decision within the
quences in the end. organization, the manager who engages in
Lee Iacocca is a good example of a transfor- responsible reflection does not act on impulse,
mational leader who used his talents toward both takes full measure of his or her accountability,
constructive and destructive ends. With the Pinto considers the needs and interests of others, and
decision, we see the dark side of leadership. The acts with a sense of duty. (Stone, 1982). Some
self confidence that allows leaders like Lee transformational leaders do appear to engage in
Iacocca to change the world also blinds them to responsible reflection.
the real, human consequences of their decisions. More recently, this idea of responsible reflec-
In his best-selling autobiography, Iacocca reflects tion has taken the form of value-based ethics
briefly about the Pinto decision. His reflection training. Some transformational or charismatic
omits a discussion about how his leadership leaders advocate ethics programs that take a
allowed the company to make the decision to comparative, pragmatic approach to ethics.
manufacture and market the car, or about how Robert D. Haas, Chairman of the Board and
his employees were willing to follow his direc- Chief Executive Officer of Levi Strauss & Co.,
tion no matter the consequences (Iacocca, 1984). is a proponent of value-based organizational
In a recent interview in Fortune, he reflects on approaches to ethics. Haas says that “high ethical
his life in the auto industry. Iacocca reminds us standards can be maintained only if they are
he is a “bottom line guy.” He says that in his life modeled by management and woven into the
he got some notoriety, and made some money fabric of the company.” (Mitchell, 1994) He
in the car business. Iacocca says, “I made some challenges managers to “do the right thing” by
mistakes, but it averaged out pretty good. Now adhering to an approach to ethics based upon
that chapter has closed, and I don’t think much six ethical principles: Honesty, promise-keeping,
about cars anymore.” (Taylor, 1996). His lack of fairness, respect for others, compassion, and
empathy for the families who suffered as a integrity. Haas’ approach recognizes the com-
consequence of his leadership demonstrates the plexity of ethical decision-making in organiza-
narcissistic side of his personality. tions. The company addresses ethical issues by
Under what circumstances do we want more identifying which ethical principles are relevant
transformational leaders? Generally, we do not in a specific situation. Then, the company con-
need transformational leaders who view the siders the needs and interests of not only those
world in absolute terms, or whose narcissism the company has a clear financial interest in
promotes questionable behavior, if our goal is pleasing (shareholders, employees, business
to improve corporate cultures from an ethical partners), but also those affected by their deci-
perspective. One important way transformational sions (customers, members of local communities,
leaders could promote improved ethical decision- and public interest groups) (Mitchell, 1994). This
making is if the leader recognizes and models for approach to ethics allows the company to trust
followers a comparative, pragmatic approach to the judgment of their workers, and shows appre-
ethics. If the transformational leader demonstrates ciation for the competing interests of various
Do We Really Want More Leaders in Business? 1731

groups the company’s decisions affect. Values believes would be moral; instead, there is a
based ethical decision-making is an example of looking outward for what those in the craft say
responsible reflection and is consistent with is right and wrong. This craft ethic is followed
improved corporate cultures from an ethical per- on the job, even when its principles directly
spective. conflict with those the moral agent abides by
Not everyone benefits from cultures that outside the firm. This form of ethics often
implement policies that encourage responsible inspires ethically questionable behavior from
reflection to counteract the harsh consequences both leaders and followers. We also explain the
of transformational leadership. It is not clear problem of conformity, which makes it more
financial markets reward responsible reflection. likely that individuals in organizations will follow
David Korten, author of When Corporations Rule craft ethics. Finally, we explain that transactional
the World, explains that financial markets reward leaders, like transformational leaders, can provide
CEOs of companies that “abandon accountability an important outcome: they can help firms
to all stakeholders but one: the global financial maximize short-term financial returns to share-
market.” (1996) These CEOs are “hellbent on holders. For that reason, some people want
maximizing short-run financial returns to share- “better” leaders to develop the skills that will
holders.” As long as corporate managers are make them strong transactional leaders.
“captives of the system,” their individual will- A good example of a transactional leader is
ingness to pursue responsible reflection is Daniel E. Gill, chairman and chief executive of
undermined by a capitalistic system that rewards Bausch and Lomb. In fall of 1995, Business Week
something else. Do we want more transforma- reported on questionable practices at Bausch and
tional leaders? Employees and communities Lomb. Specifically, the article described how Gill
might be better off with more transformational pressured executives to maintain double digit
leaders if these leaders are not too narcissistic, sales and earnings growth, which stimulated
engage in responsible reflection, and resist the unethical behavior throughout the organization.
temptation to engage in absolutist behavior. Driven to “make the numbers,” in large part by
Shareholders are probably better off with trans- a compensation system relying heavily on
formational leaders who inspire their followers in attaining these goals, corporate managers did
a certain, absolute style. Although leading the what was expedient, even when such behaviors
corporate charge toward the bottom line finan- were unlawful or unethical, including giving
cial position of the company is not consistent customers extraordinarily long payment terms,
with an improved ethical climate, it is crucial to knowingly feeding grey markets, threatening to
most companies to maximize short-run financial cut off distributors if they didn’t take huge
returns to shareholders. quantities of unwanted goods, and shipping
goods before they were ordered and reporting
these shipments as sales (Maremont, 1995). Gill
Transactional leaders: relativistic behavior created a culture that was “tenacious, demanding
and the problem of conformity – and very numbers-oriented” (Maremont,
1995). The behavior of these Bausch and Lomb
Do we want more leaders who look at their managers is consistent with earlier research
relationship with followers as a social exchange arguing that a company’s reward structure can
process based upon self-interest? Our answer is, “influence the ethical/unethical behavior of its
it depends. Our primary point in this section is members through specific rewards and punish-
that transactional leaders tend to follow what we ment” (Trevino, 1990). Gill’s behavior suggests
call craft ethics. Craft ethics is a form of ethical he believed the leader/follower relationship is
relativism by which the moral agent discovers based upon the notion that “I will look out for
what his craft mandates in particular situations your interests in you look out for mine (and the
and follows that mandate. This form of relativism company’s)” (Steers and Black, 1994).
omits reflection about what the agent personally Astra U.S.A., Inc.’s President and Chief
1732 Andrea Giampetro-Meyer et al.

Executive Officer, Lars Bildman, is another up as “What is right in the corporation is what
example of a transactional leader. In May of the guy above you wants from you.” ( Jackall,
1996, Business Week reported on the corporate 1988, p. 6) In this kind of culture, it is crucial
culture at Astra. This article described a company to be a team player. When Jackall describes what
led by a man who is a “very disciplined, goal- it takes to survive in the corporate culture, his
oriented guy.” (Maremont, 1996). His drive led description sounds almost exactly like the defi-
the company to a position of financial strength nition of transactional leadership. To survive,
in the pharmaceutical industry. He was a Jackall explains that the manager must identify
powerful leader who inspired fear and action what his superior wants, and then do whatever
from followers by establishing a controlling, is necessary to attain the superior’s objectives as
domineering atmosphere at Astra. The company’s expediently as possible. The problem with this
culture generated much financial success, but also kind of decision-making is that when followers
allowed an environment that perpetuated a are faced with a moral dilemma, they attempt to
sexually hostile environment toward women. strip the dilemma of anything like the commit-
Both male and female employees accepted the ments that define the reflective moral self and ask
company’s norms, which included widespread instead what outcome would be most congruent
sexual harassment by Bildman and several senior with the objectives of one’s institution ( Jackall,
managers. Employees condoned the sexual 1988, p. 124). By transforming personal decisions
harassment because Bildman and other managers into team decisions, and thus keeping managers
made it clear it was in their best interests to from feeling individually responsible for the con-
conform. Those who failed to conform left the sequences of their decisions, the firm further
company; some filed lawsuits. turns moral questions into questions of what is
Can we count on transactional leaders like Gill in the best interests of the firm. Thus, the good
and Bildman to promote good organizational corporate manager identifies the goals of his
decision-making from an ethical perspective? CEO and does whatever is necessary to meet
Both Astra U.S.A. and Bausch & Lomb estab- those goals. One may thus undertake actions that
lished corporate cultures that were relativistic. one would consider wrong, even immoral,
The kind of corporate relativism accepted by outside the firm, but these actions are accept-
employees at both organizations is not able within the firm because what is moral is
uncommon in firms today, and is encouraged by what one’s boss desires. Transactional leadership
transactional leadership styles. It is a relativism encourages this behavior. Both Bildman and Gills
whereby what is right and wrong is determined created corporate cultures that inspired managers
by what those at the upper reaches of the cor- to follow craft ethics. The managers at Bausch
porate hierarchy say is right or wrong. And in & Lomb wanted to make their numbers no
most corporations, it could be summed up by the matter what or how, while managers at Astra
phrase, “whatever it takes to get the job done.” U.S.A. wanted to get ahead even if it meant they
As an ethical moral agent, the manager’s over- were the perpetrators or victims of sexual harass-
riding responsibility is to interpret and follow the ment.
corporate culture. Jackall’s work demonstrated that managers tend
Probably the most important work on the to refrain from making their own judgments in
topic of ethics in bureaucratic organizations was situations in which the leader is clear and certain
done by Robert Jackall in the late 1980’s. His about the “right” or “wrong” course of action.
work shows how transactional leadership leads to His observations are not surprising to those who
questionable corporate decision-making. Jackall have studied problems created by conformity.
went into a number of organizations to study the Many studies have documented the strength of
ways through which the organizational bureau- individuals’ propensity to comply with authority
cracy shaped managers’ moral consciousness, and figures (Milgram, 1974). Strong transactional
the occupational ethics of these managers leaders would expect their workers to comply
( Jackall, 1988). What he found could be summed with their wishes. It would be in the follower’s
Do We Really Want More Leaders in Business? 1733

best interests to do so. Sometimes, conformity perhaps we do want more transactional leaders.
is good for an organization, and society. Most If these values are foremost in the leader’s mind,
organizations count on conformity to get their their behavior might be consistent with the
employees to help the company achieve its behavior Robert Haas of Levi Strauss envisions.
mission. However, sometimes conformity In fact, it is possible we could describe Haas as
presents significant problems. Occasionally, fol- a transactional leader whose beliefs are value-
lowers lack the conviction to refrain from based. However, we must be cautious. It is likely
following the authority figure’s command, even that many of the managers and leaders Jackall
when they know they are hurting others described in his book believe in all those values
(Milgram, 1974). Even when no one’s life is at – responsibility, fairness, honest and promise-
stake, conformity presents serious problems. keeping. Within the context of corporate
Studies of organizational dynamics show that cultures it is difficult to act on the basis of these
employees in the corporate world are reluctant values. Self interest discourages managers from
to speak up when they see something happening following these values.
in the organization that troubles them. Most Transactional leadership styles do, however,
people are not willing to bring bad news to the benefit shareholders, even if the transactional
attention of powerful people in their organiza- leader does not embrace values-based ethical
tions ( Jackall, 1988). The idea of conformity decision-making. Shareholders in both Astra and
helps us understand why most managers are Bausch & Lomb benefitted form the behavior
willing to comply with craft ethics. Most their corporate leaders inspired. In the short run,
managers are willing to act upon the belief that both corporations enjoyed tremendous financial
“what is right in the corporation is what the guy success. Bausch & Lomb’s focus on the bottom
above you wants from you.” ( Jackall, 1988) This line and quarterly results made the company a
would be especially true when “the guy above financial success. Under Gill’s leadership, Bausch
you” is a strong transactional leader who expects & Lomb’s sales and earnings tripled within a
self interest to guide corporate behavior. decade (Maremont, 1995). Bildman similarly
Managers at both Astra and Bausch & Lomb led Astra to a strong financial position. If
demonstrated incredible conformity to powerful organizations strive to maximize short run profit
leaders who appealed to the employees’ and positions, transactional leaders have much to
company’s self interests. offer.
Under what circumstances do we want more
transactional leaders? Definitions of transactional
leaders are not all the same. Some writers who Servant leadership: reflective behavior
describe transactional leaders add a discussion of and the problem of efficiency
certain values to the description. Ciulla, for
instance, explains that transactional leaders are Do we want more leaders who lead because they
interested in values that are consistent with want to serve others? (Greenleaf, 1977). Our
improving the “means of an act” (Ciulla). She answer is, it depends. Our primary point in this
explains that transactional leadership rests on section is that the idea of servant leadership holds
values such as responsibility, fairness, honesty, and the most promise for ethically improved corpo-
promise-keeping. Her explanation is more rate cultures because it is the form of leadership
positive. She explains that transactional leader- most likely to promote reflective behavior. We
ship is a “form of leadership [that] helps leaders also explain the limited usefulness of servant lead-
and followers reach their own goals by supplying ership in business. We explain why scholars must
lower level wants and needs so that they can be cautions about thinking servant leadership is
move up to higher needs.” THE solution to the problem of how to harness
If transactional leaders make the values of the best in corporations. Although servant lead-
responsibility, fairness, honesty, and promise ership is consistent with improved corporate
keeping an important part of their analysis, cultures, it is not consistent with short-run profit
1734 Andrea Giampetro-Meyer et al.

maximization. If global competitiveness requires ership is most consistent with the idea of respon-
short-run efficiency, servant leaders will hinder sible reflection. Note, for instance, how Max
corporate financial success. DePree, author of Leadership Jazz, describes lead-
When people write about servant leadership, ership. He says, “[a]bove all else, leadership is a
they do not tell stories about corporate top dogs position of servant hood. Leadership is a
who achieved great things. They usually do not forfeiture of rights.” He lists twelve traits of
start with a story about any businessperson. successful leadership. These characteristics are the
Instead, they tell the story from Herman Hesse’s keys to becoming a successful leader: Integrity,
Journey to the East (Spears, 1995). Robert vulnerability, discernment, awareness of the
Greenleaf originally used this story to demon- human spirit, courage in relationships, sense of
strate what servant leadership means. In Hesse’s humor, intellectual energy and curiosity, respect
story, a servant, Leo, carries bags and does chores for the future, regard for the present, under-
for a group on a spiritual journey to the East. He standing of the past, predictability, breadth,
solidifies the group through songs and just by comfort with ambiguity, presence.” (Spears,
his presence. At one point, Leo disappears. The 1995, p. 111). Certainly, leaders who demon-
group loses its way. As Hesse’s story progresses, strate these characteristics are likely to engage in
the book’s main character, HH, discovers that responsible reflection. Responsible reflection
Leo was actually the leader. This story shows leads organizations toward goals that show respect
Greenleaf ’s main point, that leaders serve followers. for many stakeholders, including employees, con-
Servant leadership is not rooted in a quest for sumers and members of the community.
power, fame, or any self-centered goal. It is Under what circumstances do we want more
something a person discovers, not a leadership servant leaders? Initially, servant leadership is
style one leader can teach another. A servant exciting to those who are discouraged by the
leader is a genius; the servant leader is truly behavior of leaders like Bildman, Gill, and
human. He or she listens well and feels the Iacocca. It is hard to imagine who would be
human condition. Servant leaders are concerned discouraged by leaders who promise behavior
with the least privileged in society and strive to based upon ideas like integrity, empathy and
help others grow as persons. Servant leaders want awareness. One stakeholder in particular would
to help those they serve become “healthier, be hurt by better leadership in the form of the
wiser, freer, more autonomous, and more likely servant leader. Shareholders would be impatient
themselves to become leaders.” (Greenleaf, with the servant leader; the leader who is not
1977). Servant leaders show awareness of how the aggressive, can not or will not articulate a vision,
decisions they inspire affect others. and does not strive to maximize short-run profits.
Although books about leadership give Servant leadership clashes with the idea of
examples from the business world of servant efficiency.
leadership in action, the stories are not of famous Perhaps servant leadership is more promising
people like Lee Iacocca (Spears, 1995). Instead, to nonprofit organizations or organizations that
the stories focus on unknown managers who are such market leaders they can afford to engage
treat others well on a daily basis. Servant leaders in responsible reflection even if they give up
are most likely to be managers who do not strive some measure of short run profits. For instance,
to be leaders. Instead, those the leader serves Johnson & Johnson can afford to have servant
discover that a particular person is leading them leaders. Even if some of their corporate managers
by serving. consider needs other than short run efficiency,
Can we count on servant leaders like Leo (in the corporate bottom line will not suffer signif-
the form of a corporate manager) to promote icantly. Additionally it is possible for individual
good organizational decision-making from an managers within large, competitive companies to
ethical perspective? Compared to transforma- admire servant leaders and strive to demonstrate
tional and transactional leadership, servant lead- the traits of servant leaders even if their organi-
Do We Really Want More Leaders in Business? 1735

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