Right vs. Right – The
Complexity of Leading Ethically
KRISTINA RICKETTS, PH.D.
JULY 29, 2009
Today’s Objectives
 Define the basics of ethics
 Introduce Kohlberg’s theory of moral development
 Outline ethical leadership behaviors
 Determine why ethical decision-making can be
difficult
 Establish what affect groups/organizations have on
leaders
 Discuss two types of ethical leadership
What do you think?
 Is right and wrong always clear cut and easy to
recognize?
 Do you think we have a problem with ethical
leadership in today’s society? Why or why not?
 Think of a personal example where you were faced
with an ethical decision – what did you do?
What you may perceive as a simple lie…that doesn’t
hurt anybody and protects the company, sooner or
later will come back to bite you… If you can’t be open
and honest at all times, you’re sending a signal to the
organization that you will let them get away with
lying occasionally. And that includes lying to you.
- D. Clare, CEO, Johnson & Johnson
Important Definitions
 Morals: an individual’s determination of right
and wrong
 Ethics: a set of moral principles; the study of
moral obligations
 Moral leadership: to display a commitment to
right action while influencing others
 Values: something (as a principle or quality)
intrinsically valuable

Influence individual morals, ethics
The Basics of Ethics
 Two types of ethics
 Ethics of justice – based on principles of justice, fairness,
equality, and authority
Based on moral principles, laws that should be applied equally
 Style can be cold, inflexible, uncaring


Ethics of care – based on the principle to reduce harm or
suffering to others
Based on equity, appropriateness, and fitting the situation
 Special circumstances considered
 Responsive to suffering and harm – but may seem
arbitrary/subjective

Moral Development
 Three stages (Kohlberg’s theory)
 Preconvential – ages 4 to 10



Something is good because of adult influence, or it satisfies a need
we have
Conventional morality – begin to consider what is good for
others/or the whole
Postconventional (develops as an adult) – develop
appreciation for moral principles, individual ethical thinking
Includes principles of justice, equality of human rights, respect for
dignity of human beings as individuals
 Some individuals never get to this stage

Moral Conduct
 Moral leadership involves…
 Ethical conduct of leaders AND
 Capacity to inspire such conduct in followers
 Moral character
 Fixed character traits – partially responsible for ethical
behavior


Upbringing, background
Moral conduct is highly situational

Heavily influenced by peer pressures/reward structures
Ethical Leadership Behavior
 Being honest & trustworthy – deal with integrity
 Leaders today are often seen as untrustworthy
 Integrity: working under a loyalty to rational principals
 Pay attention to all stakeholders
 Treat everyone involved fairly
 Authentic leadership – perceiving leadership role to
include having an ethical responsibility
Ethical Leadership Behavior
 Build community
 Helping people to achieve a common goal

When people work together towards a common goal,
building community
 Respect the individual
 Keep promises, telling the truth, treating others fairly –
shows respect
 Accomplish silent victories
 Working “quietly” on an ethical agenda
Ethical Decision Making
 Four components of ethical decision making:
 Moral awareness: recognition that a
situation raises ethical issues

Moral reasoning: determining what
course of action is ethically sound

Moral intent: identifying which values
should take priority in the decision

Moral behaviors: acting on ethical
decisions
Guidelines for Ethical Decision-making
 Is it right?
 Is it fair?
 Who gets hurt?
 Would you be comfortable if the details of your
decision or actions were made public in the
media or through email?
 What would you tell your child, sibling, or
young relative to do?
 How does it smell?
Contributing Factors to Ethical Issues
 Individual leaders differ
 Level of greed and gluttony
 Level of moral development




Preconventional, conventional, postconventional
Sense of entitlement
Specific situation – organizational culture
Person’s character
Organizational Influence on Ethics
 Factors contributing to unethical climates
 Elevation of personal interests over moral values
Enron – hypercompetitive, profit-at-any-cost environment
 “Rank and yank” evaluation system – financial performance key
indicator
 Mutual peer rewards
 Key point – Many leaders failed to exercise appropriate moral
oversight and create a climate that would encourage it


Ethical indifference


Moral leadership isn’t made a priority
Difficulty of decision-making in organizations

“Right vs Right” decisions
Values-based Leadership
 Values-based leadership: understanding the
different and conflicting needs of followers, and
energizing followers to pursue a goal than they
had never thought possible



Effectiveness – measuring the achievement of the
objectives
Morality – measuring how change affects concerned
parties, and
Time – measuring the desirability of any goal over the
long term
Social Change Model of Leadership
 Basic premises:
 Values demand a conscious focus
 Leadership out to bring about desirable social change
 Leadership is a process
 Anyone is a potential leader
 Service is a powerful vehicle for leadership development
 Seven core values:

Personal/individual values


Consciousness of self, congruence, commitment
Group values
Collaboration, common
purpose, controversy with civility


Societal/community value

Citizenship
Review
 Define the basics of ethics
 Introduce Kohlberg’s theory of moral development
 Outline ethical leadership behaviors
 Determine why ethical decision-making can be
difficult
 Establish what affect groups/organizations have on
leaders
 Discuss two types of ethical leadership
Questions?