Chapter 11 Flashcards
Leadership
The ability or authority to guide and direct others toward a goal. Most people agree that effective leadership is essential for any organization
Normative Myopia
When managers overlook or stifle the importance of core values in their business decisions
Normative Myopia can occur for 3 reasons
1) the belief that normative values do not apply to managerial decisions
2) the belief that facts and values can be separated in decision making
3) the belief that normative values are outside the realm of business
Ethical Blindness
The natural tendency to rationalize an unethical action or turn a blind eye to it
Normative Myopia leads to
Ethical Blindness
Seven Habits of Strong Ethical Leaders
- Have strong personal character.
- Have a passion to do right.
- Are proactive.
- Consider all stakeholders’ interests.
- Are role models for the organization’s values.
- Are transparent and actively involved in decision making.
- Take a holistic view of the firm’s ethical culture.
There is a positive association between the ethical commitment of employees and …
A firm’s valuation on the stock market
Corporate social responsibility is negatively related to:
Ethical risks in the long term
How does a manager taking an integrity-based approach view ethics?
Views ethics as an opportunity to implement core values
What are three characteristics of an Unethical Leader?
- A leader that is usually egocentric
- Often does whatever it takes to achieve personal and organizational objectives.
- This leader looks at laws as minimum guidelines and searches for loopholes
5 Characteristics of a Psychopathic Leader
1) Having superficial charm
2) Having no conscience
3) Having grandiose self-worth
4) Having little or no empathy
5) Enjoys flouting the rules
Companies with Psychopathic Leader usually experience increases in the following 7 problems:
- Heightened level of conflict
- Lower employee commitment
- Higher organizational constraints
- Heavier workloads
- Poor levels of training
- Lower job satisfaction
- An increase in employee absenteeism
Three Characteristics of Apathetic leaders
- Are not necessarily unethical, but they care little for ethics within the company
- Often view ethics as relative and optional in a business context.
- Often display no passion for the firm or the mission of the organization.
Above all, ethical leaders must
Model the ethical values they promote
When do Ethical Business Conflicts occur?
Occur when there are two or more positions on a decision that conflicts with organizational goals
One benefit of ethical conflict
It helps pinpoint ethical issues
What is involved when Leaders take an authentic, proactive approach to communication?
This not only involves listening to employee input but attempts to identify ethical issues before they lead to conflict
The 2 Dimensions of Conflict Management Styles
Assertiveness and Cooperativeness
Assertiveness
Acting in one’s own best interests
Cooperativeness
Working toward the best interests of the other person
The 5 Styles of Conflict Management
1) competing
2) avoiding
3) accommodating
4) collaborating
5) compromising
Competing conflict style of management
Competing leaders believe in winning at any cost and measure success by how much the other side loses
Avoiding style of conflict management
Leaders with this approach are not effective because they avoid conflict at any costs—even if it leads to misconduct
Accommodating style of conflict management
Individuals with this approach to conflict give in to the other side even if it means sacrificing their own interests and values.
Compromising style of conflict management
Believe the best approach to resolving conflicts is for each side to give something up in order to gain something of value
Difference between Compromising Style and Accommodating Style
Compromising leaders are still able to receive part of what they want
Difference between Compromising Style and Competiting Style
Compromising leaders allow the other side a partial victory that prevents them from assuming a competing style
Collaborating style of conflict management
Most advantageous.
Collaborate with others to find a creative way to obtain a beneficial solution
At the heart of Ethical Leadership, leaders must have what kind of understanding?
Understanding how other stakeholders manage conflicts can help ethical leaders determine whether their own style should be adapted
Employee empowerment is an essential component of:
A values-based organizational culture
A values-based organizational culture encourages what 3 things?
1) Employees to express concerns
2) Bring up ethical issues
3) Take a proactive approach toward resolving conflicts
Employee empowerment is important in creating what?
Employee-centered ethical leadership
What are two major dimensions of ethical communication?
Transparency and reporting
Ethical leaders create transparency by?
By developing a culture where ethics is frequently discussed.
What kind of process is the reporting dimension of ethical communication?
Is a two-way process in which the communicator communicates with superiors and subordinates
Formal reporting
Happens in environments such as meetings and conferences.
Formal processes of reporting also include anonymous reporting systems
Informal reporting
Occurs when leaders interact among employees, keeping them informed about company decisions, policies, and ethical expectations
4 Categories of Communication
1) Interpersonal
2) Small Group
3) Listening
4) Non-Verbal
Interpersonal Communication
The most well-known form of communication and occurs when two or more people interact with one another
Small Group Communication Advantages
- increase collaboration
- generate a variety of different perspectives and opinions on a particular issue
Small Group Communication Disadvantages
- Groupthink
- Group Polarization
Groupthink
Occurs when one or more group members feel pressured to conform to the group’s decision even if they personally disagree
Group Polarization
Refers to the fact that a group is more likely to move toward a more extreme position than the group members might have done individually
As a result, groups have been known to make riskier decisions than an average individual member from the group would have made.
7 Ways to Avoid Groupthink
- Understand it and how it can occur.
- Allow open and honest discussions
- Criticism should be welcomed
- Create group tension by assigning a “devil’s advocate”
- On important matters, bring in the appropriate subject matter experts
- Document the situation, options, recommendations, etc
- Have another team review your output.
Nonverbal communication
Expressed through actions, body language, expressions, or other forms of communication not written or oral
Nonverbal communication provides major clues of what?
Major clues about an individual’s emotional state
Examples of Nonverbal Communication
- gestures
- facial expressions
- proximity
- time
- dress
- paralanguage
Paralanguage
The way we talk, such as volume, inflection, tone, and rhythm
Listening
Involves paying attention to both verbal and nonverbal behavior
When does Leader–Follower Congruence occur?
Occurs when leaders and followers share the same vision, ethical expectations, and objectives for the company
What does the Leader-Exchange Theory claim?
Claims that leaders form unique relationships with followers through social interactions
A leader who is socially isolated from employees will have what kind of relationship with employees?
A tenuous relationship because employees are left to make their own decisions
Micromanaged employees often have what three things?
1) Lower morale
2) Lower Productivity
3) Greater willingness to leave the company
What are two reasons for frequent communication with workers?
1) To create more beneficial relationships with employees
2) To reduce perceived power differences between these groups
Ethical leaders with good political skills are able to do what three things?
- Navigate difficult situations
- Reduce uncertainty
- Advocate for positive change
What are 4 ways that employee feedback can be generated?
- Interviews
- Anonymous surveys
- Ethics audits
- Websites
Three elemental ingredients for leadership include:
- Character
- Stewardship
- Experience
Stewardship
- Involves managing the responsibilities and duties of being a leader
- A leader must assume his or her responsibilities to lead effectively.
Leaders with Emotional Intelligence possess what ability?
The most effective ethical leaders possess the ability to manage themselves and their relationships with others effectively
Emotionally intelligent leaders are skilled in what three areas?
- Self-awareness
- Self-control
- Relationship building
Coercive leader
Demands instantaneous obedience and focuses on achievement, initiative, and self-control.
Although this style can be very effective during times of crisis or during a turnaround, it otherwise creates a negative climate for organizational performance
Authoritative leader
Inspires employees to follow a vision, facilitates change, and creates a strongly positive performance climate
Considered to be one of the most effective styles
Affiliative leader
A leader who:
- values people, their emotions, and their needs
- relies on friendship and trust to promote flexibility, innovation, and risk taking
Democratic leader
Relies on participation and teamwork to reach collaborative decisions.
This style focuses on communication and creates a positive climate for achieving results
Pacesetting leader
Can create a negative climate because of the high standards that he or she sets.
This style works best for attaining quick results from highly motivated individuals who value achievement and take the initiative
Coaching leader
Builds a positive climate by developing skills to foster long-term success, delegating responsibility, and skillfully issuing challenging assignments
Resonant leaders demonstrate what three things?
Demonstrate:
- mindfulness of themselves and their own emotions
- a belief that goals can be met
- a caring attitude toward others within the organization
“Latte” Method
L - Listen A - Acknowledge T - Take action to solve the problem T - Thanking them E - Explaining why the problem occurred
Transactional Leaders
Attempt to create employee satisfaction through negotiating, or “bartering,” for desired behaviors or levels of performance
Transformational Leaders are leaders who strive to do what two things?
Strives:
- to raise employees’ level of commitment
- to foster trust and motivation
Transformational ethical leadership is best suited for what kind of organizations?
Organizations that have higher levels of ethical commitment among employees and strong stakeholder support for an ethical culture
Transactional leadership is best suited for?
Transactional leadership is best suited for
Three Characteristics of Authentic Leaders
1) Are passionate about the company
2) Live out corporate values daily in their behavior in the workplace
3) Form long-term relationships with employees and other stakeholders
The RADAR Model
Recognize Avoid Discover Answer Recover
Recovery involves a four-step process:
1) take corrective action
2) compensate stakeholders harmed by the misconduct
3) express regret for the misconduct
4) reinforce the firm’s reputation with positive messages