Expert Advice: CHRIS - Ethical Management & Leadership

Summary

In this Expert Advice Series session, Dr. D. Christopher Kayes from George Washington University discusses ethical management and leadership. He emphasizes the importance of understanding ethical considerations in leadership and identifies sources of ethics, such as religious teachings, family values, and admired leaders like Nelson Mandela. The session highlights the necessity of a personal code of ethics for leaders to navigate difficult decisions. Using a case study of a retail manager faced with a hiring dilemma, Kayes illustrates how a code of ethics can guide leaders to make decisions that align with rules, fairness, self-perception, and community values.

Takeaways

• 📚 **Importance of Ethics in Leadership**: Leaders must understand the importance of ethical considerations in their decision-making processes.
• 🔍 **Identifying Ethical Sources**: Leaders often draw from religious, spiritual teachings, family values, or admired leaders to shape their ethical framework.
• 🤔 **Four Essential Ethical Questions**: Every code of ethics should address whether actions break rules or laws, are fair, align with personal feelings, and match family/community values.
• 🧭 **Navigating Tough Situations**: A personal code of ethics acts as a compass, guiding leaders through complex and challenging decisions.
• 🚫 **Consequences of Unethical Actions**: Unethical decisions can erode trust, leading to a loss of motivation and potentially threatening initiatives or organizations.
• 💡 **Developing a Personal Code**: Having a personal code of ethics provides leaders with a moral framework, helping them make decisions that are not only legal but also ethical.
• 🌐 **Cultural Considerations in Ethics**: Ethical decisions can be influenced by cultural norms, such as the preference for hiring family members in some cultures.
• 👥 **Impact on Others**: Leaders must consider how their actions will be perceived by others and the potential impact on trust and motivation within a team or organization.
• 💼 **Real-World Ethical Dilemmas**: The script presents a scenario involving a hiring decision that illustrates the practical application of ethical considerations in a business context.
• 🤝 **Balancing Qualifications and Relationships**: Leaders sometimes face the challenge of balancing the need to hire qualified individuals with the expectations of maintaining good relationships, especially within family businesses.

Q & A

What is the main focus of the session with Chris Kayes?

The main focus is on ethical management and leadership, emphasizing the importance of ethical considerations in leadership roles.

What are the three learning objectives outlined in the session?

The learning objectives are to understand the importance of ethical considerations when leading and managing, to identify the sources of ethics, and to discuss the four questions every code of ethics should address.

Why is it crucial for leaders to consider their actions in the context of others?

Leaders need to consider their actions in the context of others because understanding how others will react or perceive those actions is important for guiding behavior and maintaining trust.

What is the significance of trust in leadership?

Trust is significant in leadership because when others perceive a leader's actions as ethical, it maintains their trust. A loss of trust can lead to a loss of motivation and can threaten initiatives or organizations.

How does a personal code of ethics assist leaders in making decisions?

A personal code of ethics guides leaders in making ethical decisions, even when they are unpopular, by providing a framework for navigating difficult choices and building confidence in the decision-making process.

What are some sources leaders turn to when creating a code of ethics?

Leaders may turn to religious or spiritual teachings, family values, or other admired leaders like Nelson Mandela, Mahatma Gandhi, and Mother Teresa for inspiration when creating a code of ethics.

What ethical dilemma did Brian face as a store manager?

Brian faced the dilemma of whether to hire a well-qualified candidate with outstanding references or to hire a less qualified family member of his boss, David.

What are the four questions Brian's code of ethics should answer?

The four questions are: (1) Am I breaking any rules or laws? (2) Is the action I am taking seen as fair by others? (3) How would I feel about myself if I took this action? (4) Is my action consistent with my values and community?

How did Brian apply the first question of his code of ethics to his hiring decision?

Brian applied the first question by checking if hiring a family member was illegal in his country, and since it was not, he concluded that he was not breaking any established rules or laws.

What was Brian's consideration for the second question of his code of ethics?

For the second question, Brian considered whether hiring the boss's relative would be seen as fair by others, acknowledging that it might be perceived as inconsistent and unfair despite being legal.

How did Brian's personal feelings influence his response to the third question of his code?

Brian felt that hiring the boss's family member was acceptable because he believed the job was easy to learn and the family member was motivated, even though a more qualified candidate was available.

What was Brian's reasoning for the fourth question regarding his values and community?

Brian reasoned that hiring the family member was consistent with his values and community norms, as many organizations, especially small family-run businesses, often hire family members.

Outlines

00:00

📜 Developing a Personal Code of Ethics

This segment of the Expert Advice Series focuses on ethical management and leadership. It emphasizes the significance of ethical considerations in leadership roles and the importance of developing a personal code of ethics. The session's learning objectives include understanding ethical considerations, identifying sources of ethics, and addressing the four key questions that every code of ethics should answer. The discussion highlights the importance of trust and the potential consequences of unethical actions, such as loss of trust and motivation. It suggests that without a personal code of ethics, leaders may struggle to make ethical decisions in challenging situations. The segment also explores various sources that leaders can draw upon when creating their code of ethics, including religious teachings, family values, and the values of admired leaders like Nelson Mandela, Mahatma Gandhi, and Mother Teresa.

Keywords

💡Ethical Management

Ethical management refers to the practice of making decisions and taking actions that are morally and ethically sound within an organization. It is about ensuring that the conduct of the business aligns with principles of integrity, fairness, and respect for all stakeholders. In the video, ethical management is central to the discussion on leadership, as it emphasizes the importance of ethical considerations in leading and managing others. The script mentions that leaders need to understand the consequences of their actions and how others will perceive them, which is crucial for maintaining trust and avoiding unethical decisions.

💡Personal Code of Ethics

A personal code of ethics is a set of moral principles that guide an individual's behavior and decision-making. It serves as a compass for navigating complex situations and making choices that are consistent with one's values. The video underscores the significance of having a personal code of ethics for leaders, as it provides a framework for ethical decision-making, especially in challenging circumstances. The script illustrates this with the example of a leader needing guidance when faced with difficult choices, comparing it to a ship lost at sea without a compass.

💡Trust

Trust is a fundamental aspect of leadership, as it is the belief that a leader will act in a manner that is consistent with their words and promises. When leaders are perceived as ethical, they foster trust among their followers. Conversely, unethical actions can quickly erode trust, leading to a loss of motivation and potentially threatening the success of an initiative or organization. The video script highlights the importance of trust in leadership and how it is tied to the ethical actions and decisions of the leader.

💡Consequences

Consequences refer to the outcomes or results that follow an action or decision. In the context of the video, understanding the potential consequences of one's actions is crucial for ethical leadership. Leaders must consider how their decisions will impact others and the organization as a whole. The script mentions that leaders should be aware of how their actions will be perceived and reacted to by others, as this awareness can guide their actions and help them make ethical decisions.

💡Ethical Decisions

Ethical decisions are choices made based on principles of right and wrong, with consideration for the impact on all parties involved. The video emphasizes the importance of making ethical decisions, even when they may not be popular. It suggests that leaders often develop a personal code of ethics to guide them in making such decisions. The script provides an example of a leader facing a difficult ethical decision regarding hiring, which demonstrates the complexity and importance of ethical decision-making in leadership.

💡Sources of Ethics

Sources of ethics refer to the various influences that shape an individual's ethical beliefs and values. These can include religious or spiritual teachings, family values, or the values exemplified by other leaders. The video script mentions that leaders turn to these sources when creating their personal code of ethics. For instance, individuals might look to the teachings of religious figures or draw inspiration from the values upheld by admired leaders like Nelson Mandela, Mahatma Gandhi, or Mother Teresa.

💡Leadership

Leadership is the act of guiding, directing, and influencing others towards achieving a common goal. It involves setting a vision, making strategic decisions, and inspiring and motivating team members. In the video, leadership is discussed in the context of ethical management, highlighting the role of leaders in setting the tone for ethical behavior within an organization. The script suggests that leaders must understand the importance of ethical considerations in their actions and words, as these significantly influence the trust and motivation of their followers.

💡Unethical Decision

An unethical decision is one that violates moral principles or standards of conduct. In the video, the script discusses the potential consequences of making unethical decisions, such as the loss of trust and motivation among team members. The example of Brian, the store manager, illustrates the challenges of making an ethical decision when faced with pressure to hire someone less qualified due to personal connections. The video emphasizes the importance of adhering to a personal code of ethics to avoid such unethical decisions.

💡Family Values

Family values are the moral and ethical principles that are passed down within a family and guide the behavior of its members. In the context of the video, family values are mentioned as one of the sources that individuals might rely on when developing their personal code of ethics. These values can influence how a leader makes decisions, especially in situations where cultural norms or family expectations come into play, as seen in the hiring dilemma faced by Brian in the script.

💡Rules and Laws

Rules and laws are the established guidelines and regulations that govern behavior within a society or organization. The video script discusses the importance of considering whether one's actions are in compliance with established rules and laws when making ethical decisions. In Brian's case, he had to determine if hiring his boss's family member broke any rules or laws, which was one of the questions his personal code of ethics needed to answer.

💡Fairness

Fairness refers to the state of being just, equitable, and impartial. It is a key consideration in ethical decision-making, as actions that are perceived as unfair can lead to a loss of trust and credibility. The video script highlights the importance of fairness by discussing how Brian, the store manager, had to consider whether hiring his boss's family member would be seen as fair by his other employees. The concept of fairness is integral to maintaining a positive work environment and ensuring that all team members feel valued and respected.

Highlights

Ethical management and leadership are discussed, emphasizing the importance of ethical considerations in leadership roles.

Learning objectives include understanding the importance of ethical considerations when leading and managing.

Identifying the sources of ethics is crucial for developing a personal code of ethics.

Every code of ethics should address four key questions to guide ethical decision-making.

Leaders must consider the context of others when making decisions, as their actions have consequences.

Maintaining trust is vital, as unethical actions can quickly erode trust in a leader.

Developing a personal code of ethics provides guidance for leaders facing difficult choices.

Without a personal code of ethics, leaders may be lost when facing tough situations.

A code of ethics helps leaders navigate difficult situations and build confidence in their decisions.

Religious or spiritual teachings are one source leaders turn to when creating a code of ethics.

Family values are another source that can influence the development of a personal code of ethics.

Admiring other leaders and adopting their values is a strategy some use to form their ethical code.

Examples of leaders with strong ethical codes include Nelson Mandela, Mahatma Gandhi, and Mother Teresa.

A real-life ethical dilemma in a retail company illustrates the challenges of making ethical decisions.

Brian, a store manager, faces a decision between hiring a qualified candidate or his boss's family member.

Brian's dilemma highlights the tension between legal actions and perceived fairness in hiring decisions.

Ethical decision-making involves considering personal feelings about the action being taken.

Consistency with family and community values is a final consideration in ethical decision-making.

The case of Brian raises the question of what one would do when faced with a similar ethical challenge.

Transcripts

[TEXT: Expert Advice Series]

[LEADERSHIP DEVELOPING A PERSONAL CODE OF ETHICS] Chris Kayes: In this session we are going to talk about ethical management and leadership.

[1. UNDERSTAND THE IMPORTANCE OF ETHICAL CONSIDERATIONS WHEN LEADING AND MANAGING.] Learning objectives include understand the importance of ethical considerations when leading and managing.

[2. IDENTIFY THE SOURCES OF ETHICS.] Identify the sources of ethics.

[3. WHAT ARE THE FOUR QUESTIONS EVERY CODE OF ETHICS SHOULD ADDRESS?] The four questions every code of ethics should address.

[ACTIONS IN THE CONTEXT OF OTHERS] Leaders need to consider their actions in the context of others.

[Dr. D. Christopher Kayes Professor of Management, George Washington University] Leaders understand that words and actions have consequences.

Understanding how others will react or perceive actions is important

because a better understanding of others helps to guide actions.

[TRUST] It’s important that others continue to have trust

[ETHICAL] and that others perceive your actions and words as ethical.

When others perceive that a leader has made an unethical decision, people will quickly lose trust in the leader,

and that can lead to other consequences such as a loss of motivation.

In extreme cases, a loss of trust can threaten an initiative or an organization.

In order to make ethical decisions, even when those decisions aren’t popular,

many leaders develop and follow a personal code of ethics.

Without a personal code of ethics, leaders are often left with little guidance

on how to act in the face of difficult choices.

One way to think about ethics is to think of a ship lost at sea without a compass to guide the captain.

[WITHOUT A PERSONAL CODE OF ETHICS LEADERS WOULD BE LOST] Without a code of ethics, leaders will be lost when they face tough situations.

Developing a code of ethics will help leaders navigate difficult situations

and will help the leader build confidence that he or she is making the best, most ethical decisions.

Leaders turn to several sources when creating a code of ethics.

[RELIGIOUS OR SPIRITUAL] Many individuals rely on religious or spiritual teachings,

[VALUES FROM THEIR FAMILY] others rely on the values offered by their family. Some individuals turn to other leaders,

[OTHER LEADERS] leaders for whom they have admiration, and try to adopt the values of those leaders.

Nelson Mandela, Mahatma Gandhi, and Mother Teresa of Calcutta are often cited

as examples of leaders who held strong codes of ethics.

One example of a difficult ethical decision occurred in a retail company.

This situation, faced by a former student of mine,

shows the challenges that a person encounters when trying to do the right thing.

Brian was the manager of a store, and he had a job opening for a new sales associate.

His top choice was a young woman who had previously worked in sales.

She had outstanding references.

Brian’s boss, David, asked Brian to hire one of David's family members.

This person did not have the same credentials as Brian’s top candidate.

Brian understood that the other employees would be disappointed if Brian hired someone who was unqualified

but simply because they were the friend of David.

Brian was worried that if he did not do as his boss suggested, Brian might be fired.

However, Brian also knew that in some cultures,

hiring someone you trust personally is more important than

hiring someone who has higher qualifications.

Leaders like Brian often rely on a code of ethics that answer four different questions:

[AM I BREAKING ANY RULES OR LAWS?] First, am I breaking any established rules or laws?

In Brian’s home country, it was not illegal to hire family members, so Brian was ok on that question.

[IS THE ACTION FAIR?] Two, is the action I am taking seen as fair by others?

Here Brian was on shakier ground because he knew, though it was legal to hire family members,

hiring the boss’ relative would be seen as inconsistent and unfair.

[HOW WOULD I FEEL ABOUT MYSELF?] Three, how would I feel about myself if I took an action?

Brian felt that it was ok to hire the boss’ family member, even though he knew he could hire someone more qualified

because he knew that the job was easy to learn and that the family member seemed motivated to do the job well.

[IS MY ACTIONS CONSISTENT WITH MY VALUES?] Last, is the action I take consistent with the values of my family and community?

Brian felt that he could hire the family member because,

although it may be perceived as unfair by many, many organizations hired family members,

especially small family-run stores like the store where Brian worked.

As you can see, making ethical decisions guided by a code of conduct is difficult.

What would you have done if you were Brian? 00:04:16.667,00:00:00.000 [TEXT: Expert Advice Series Produced by the U.S. Department of State]