Group items tagged

Management gurus have long preached the value of ethical leadership. In the presence of ethical leadership - but the absence of ethical co-workers - what happens to people's honesty?

"Managers tend to pick higher-risk options when forced to choose between competing alternatives to complex situations, according to researchers from the University of Guelph and University of Waterloo whose study was published recently in the Journal of Business Ethics. But when they're not forced to choose, managers tend to reflect more and solve problems with fewer negative consequences, says the study."

Aguinis noted that the power-law approach has applications in groups of all types and sizes, including governments, nonprofits, education systems and corporations. However, changing theory and practice will be challenging, due partly to deeply entrenched notions of fairness and equality in society and business. Further, it could pose difficult ethical dilemmas, because it requires taking care of the "superstars" first in the context of treating everyone fairly.

If your organization fails to invest in socially responsible measures, or even if anything about your business - such as a faked viral marketing campaign - is perceived to be phony, you will be found out. You will be tweeted about, and a Facebook Causes group will be created against you. As many corporate casualties have discovered, the result of such a campaign can be catastrophic to your firm's reputation and ultimately to its bottom line. Therefore, to avoid a public relations or financial disaster, integrity needs to be part of the DNA of every organization - not just to secure a healthy business environment, but for the organization's own sustainability and competitive advantage. It's worth noting here that I believe the word "integrity" is preferable to the expression "corporate social responsibility," as the latter puts too much emphasis on the notion that corporations should do "good" in the world and be "good" citizens out of some moral or ethical imperative. Of course, that is absolutely true. But what's new - and what organizations need to focus on - is the idea of integrity, as driven by transparency. Without it you cannot build trust, and trust is essential for competitiveness in this new environment. To put it bluntly, regardless of the moral arguments, there are now some hard, bottom-line business reasons for baking integrity into every company.

A full hour before the formal announcement of Bin-Laden's death, Keith Urbahn posted his speculation on the emergency presidential address. Little did he know that this Tweet would trigger an avalanche of reactions, Retweets and conversations that would beat mainstream media as well as the White House announcement. Keith Urbahn wasn't the first to speculate Bin Laden's death, but he was the one who gained the most trust from the network. Why did this happen?