Ethics & Leadership

Abstract A business needs someone who has strong moral leadership skills and is guided by clearly defined business ethics. Ethical standards have an important role not only in business decisions but also in a person’s everyday life. If a person is making unethical decisions people tend to not want to follow that person and the level of respect and trust are diminished. Even though there is not a published set of ethics to follow the Institute of Management Accountants (IMA) has a code of ethical principles that include honesty, fairness, objectivity, and responsibility. The following responsibilities are standards in which all members should comply: Competence, Confidentiality, Integrity, Objectivity, and Resolution of Ethical Conflict. An effective leader should maintain a high level of confidence, integrity, and credibility by upholding his/her ethical responsibilities to the shareholders, customers, employees, and society. In order to be an effective leader one must foster positive relationships at all levels. One can achieve this by being honest and disclosing fully any and all information pertaining to the subject matter, and not being afraid to ask questions. Leaders know what they value and they also recognize the importance of ethical behavior. A leader must choose their leadership values and live by those values. Business leaders must consider the ethical implications of conducting certain behaviors. Ethical decisions are the basis of ethical organizations, corporate social responsibility, and sustainability. Leaders must routinely evaluate the ethics of their decisions to steer the business in the right direction.

In today’s business world being a good leader is not only about satisfying others it is also about having a strong personal ethical structure. Businesses need someone who has strong moral leadership skills and is guided by clearly defined business ethics. A person who is in a leadership role should understand the

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