ethical CH 11

is the ability or authority to guide and direct others toward a goal.

• Leadership 

• Ethical leadership

is not simply allowing employees to follow their own moral codes.

• Leadership

• Ethical leadership

Ethical leaders generally adopt one of two approaches to leadership: 

(a)  

emphasize obedience to rules and regulations and set processes in place to ensure compliance. Such an approach deters illegal conduct and stresses a culture of avoidance.

• compliance-based approach 

• integrity-based approach 

take responsibility for the firm’s ethical culture and hold employees accountable for practicing ethical behaviors and core practices

• compliance-based approach

• integrity-based approach

Another way to classify leader types includes the following categories:

(a)  

is usually egocentric and often does whatever it takes to achieve personal and organizational objectives.

• unethical leader

• Apathetic leaders

• Ethical leaders

re not necessarily unethical, but they care little for ethics within the company. 

• unethical leader

• Apathetic leaders

• Ethical leaders

include ethics at every operational level and stage of the decision making process. 

• unethical leader

• Apathetic leaders

• Ethical leaders

occur when there are two or more positions on a decision that conflicts with organizational goals.

(a)