Ethical Leadership In Organizational Behavior

Ethical leadership is related to employee job satisfaction by impacting a positive influence on employee performance (Resick et al., 2011). The ethical leadership also found to increase the intrinsic motivation and job responses (Piccolo, et al., 2010). The willingness of the employee to report any concern and problem also depends on the organization culture and leadership behavior (Brown et al., 2005). It is also studied that a leader with strong ethical traits can affect positively to task significance and autonomy of the employee job (Ruiz, Ruiz & Martinez, 2011). According to them, the followers have willingly perceived the good traits of their leaders and thus good moral, values are practiced in an organization that can shape the overall

It is the responsibility of leadership to decide what culture is ethically acceptable and what is not. Good culture is promoted by shared ethical values. Ethical leadership recognizes the behavior which is inconsistent with the desired organization cultural values. The management of ethical behavior in corporate culture is also a practice of ethical leadership. A company’s leadership is also involved training to handle the unethical dilemmas. An environment that practices ethical leadership, must have written codes of ethics on which an organization’s culture get to develop. Ethical compliances are also involved in the development of corporate social responsibility.

Recommendations

Although L’Oreal is ranked as one of the top ethical organization, there is always a placed to improvement. Here are some recommendations for the company that can improve the ethical leadership practice in the company.

Build ethics awareness program that works through steady communication and sharing the values, operating principles and the implementation of ethical standards.

Lead by example, all the leader within a company must demonstrate his commitment to the ethics.

Accountability for ethical

A reward for ethical behavior

The ethical behavior must be recognized and appreciated and at the time it must be awarded. So it can promote ethics in other employees.

Conclusion

Ethics in business and in corporate culture has become a critical issue for many companies. There is need to pay more attention to an analysis of unethical behavior in leadership and its relation to corporate culture. Ethical leadership is a growing concept and many large companies are promoting business ethics as their corporate social responsibility. The behavior and the individual values of the leader provide the direction to the business. Leader’s actions in term of ethical behavior and unethical behavior gives ideas to the employee and other stakeholders that what need to follow and what values are aspired in an organization. The position of the leader with moral and ethical values is most important to provide the solutions to ethical issues in a workplace. This also evident from above discussion that ethical leadership is also crucial in developing the ethical culture within an organization. The employee performance can also incredibly increased by ethical and moral behavior in a workplace that practice good ethics. Finally, the overall performance of an organization in term of its financial outcomes is also benefited from the ethic practice. The case study of L’Oreal also provides a good example of all