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Leading by Example: Values-Based Strategy to Instill Ethical Conduct

Author

Listed:
  • Arne Nygaard

    (Oslo School of Management)

  • Harald Biong

    (BI Norwegian Business School)

  • Ragnhild Silkoset

    (BI Norwegian Business School)

  • Roland E. Kidwell

    (Florida Atlantic University, College of Business)

Abstract

Years of research clearly shows that relying on traditional organizational power bases is not effective when companies want to promote business ethics and performance. It is not only that the use of legitimate power to establish ethics codes and coercive power to punish employees who do not comply does not work; this study—based on a multi-method research approach in the retail industry—indicates that the classic iron fist leads to unethical business values and lower service performance. But there is a light at the end of the tunnel for forward-looking managers. The ethical attitudes and behaviors of employees within international organizations is a dynamic variable that is possible to change by the use of values-based leadership. Our extensive study of a large grocery store chain owned by a multinational corporation indicates that managers who lead by example will boost team values and commitment.

Suggested Citation

  • Arne Nygaard & Harald Biong & Ragnhild Silkoset & Roland E. Kidwell, 2017. "Leading by Example: Values-Based Strategy to Instill Ethical Conduct," Journal of Business Ethics, Springer, vol. 145(1), pages 133-139, September.
    • Handle: RePEc:kap:jbuset:v:145:y:2017:i:1:d:10.1007_s10551-015-2885-9
    DOI: 10.1007/s10551-015-2885-9
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    References listed on IDEAS

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    Cited by:

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    2. Kristin Lee Sotak & Andra Serban & Barry A. Friedman & Michael Palanski, 2024. "Perceptions of Ethicality: The Role of Attire Style, Attire Appropriateness, and Context," Journal of Business Ethics, Springer, vol. 189(1), pages 149-175, January.
    3. Anna M. Rose & Jacob M. Rose & Ikseon Suh & Jay Thibodeau & Kristina Linke & Carolyn Strand Norman, 2021. "Why Financial Executives Do Bad Things: The Effects of the Slippery Slope and Tone at the Top on Misreporting Behavior," Journal of Business Ethics, Springer, vol. 174(2), pages 291-309, November.
    4. Nelson Oly Ndubisi & Arne Nygaard & Celine Capel, 2019. "Mindfulness‐based business strategies and the environment," Business Strategy and the Environment, Wiley Blackwell, vol. 28(3), pages 433-435, March.
    5. Esther Pagán-Castaño & Javier Sánchez-García & Fernando J. Garrigos-Simon & María Guijarro-García, 2021. "The Influence of Management on Teacher Well-Being and the Development of Sustainable Schools," Sustainability, MDPI, vol. 13(5), pages 1-23, March.

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