Ethical Integrity in Leadership and Organizational Moral Culture

Abstract

Ethical integrity and moral culture are defined, and ethical integrity in leadership, ethical dilemmas and failures, and organizational moral culture are examined. These views are measured against a number of case studies to determine whether there are linkages between organizational moral culture and the ethical or unethical integrity of leadership. A number of conclusions are drawn from the case studies. There appears to be a direct link between ethical leadership and organizational moral culture, although in some cases, considerable time may be needed to change the moral culture of an organization. Shareholders and the public appreciate and reward organizations with high ethical principles and moral culture whereas regulators are increasingly taking legal action against companies which flout share-holders' and the public's trust. The article questions whether codes of conduct, regular performance and audit reviews or other mechanisms to maintain ethics inhibit employees' right to moral autonomy. Finally, it is noted that inconsistencies exist in correlating private standards and behaviour as important predictors or determinants of ethical business conduct.