CEE

"Ethics and Business Leadership"

Wednesday March 15, 1995

Featuring::

David C. Smith
Executive Vice President
Council for Ethics in Economics


Michael Distelhorst
Director
Ethics Consulting Services
Council for Ethics in Economics
Co-Director
Ethics Institute
Law Graduate Center
Capital University

In the last decade over 300 major books on leadership have been published and over 500 colleges have developed curricula on leadership. According to Dr. Smith, underlying this movement is the revolution of "management by values: and our expectations that powerful leaders are worthy of our trust. Critical analysis of leadership has evolved from studying the character of individual leaders, through the compilation of the traits of leaders and study of situational dynamics to the current model of leadership as a relationship.

Dr. Smith developed for the group a model of the distinctions between a "Mere" Manager and the Leader-Manager, which participants followed on a provided handout. The relationship between the "Mere" Manager and employees is one of legitimized power or authority over the subordinate and involves a transactional level of work with "Good Corporate Citizens", and uses influence to motivate others by articulating value-laden goals and purposes. Discussion by the group expanded on this presentation to include distinctions between the "Mere" Manager as one who works towards goals on a short-term time horizon vs. The Leader-Manager who uses a long-term vision to attain purposes. In addition it was observed that the Leader-Manager who uses a long-term vision to attain purposes. In addition it was observed that the Leader-Manager is often operating out of a creative mode, and has gained respect from colleagues as opposed to the deference the "Mere" Manager expects.

Quoting John W. Gardner, Smith cited as a goal of leadership "the release of human possibilities." Smith also provided the participants with materials listing the Tasks of Leadership and the Attributes of Leaders as outlined by John W. Gardner. In addition, a handout outlining Kouzes and Posner’s Five Practices of Leadership was shared. Smith also outlined several keys to effective and ethical leadership: be a good role model, develop a strong organizational culture, and encourage the development of leadership and ethical reasoning skills in others.

Discussion centered around Machiavellian tactics (the end justifies the means) Smith responded that good leadership is the ability to anticipate and avoid situations where a question of unethical behavior in the name of "the common good" arises. Another question concerned manipulation. Smith observed that, in exercising influence )as opposed to power), leaders may have to appeal to narrow wants, needs or desires of constituents in order to engage them in advancing a more elusive "common good" which they may not fully grasp or affirm. If this appeal is what we mean by "manipulating," then it may well be a part of leading. Manipulation becomes unethical, however, when it involves lying to others or using them merely to achieve the leader’s purpose, without regard to their freedom of choice or intrinsic human dignity.

Michael Distelhorst introduced the question of the difference in leadership styles between the sexes. Dr. Smith talked briefly about two current studies that point to the use of different scales by men and women in assessments of moral development. Women tend to rate moral development in terms of a person’s capacity to care, whereas men look at moral development in terms of an increasing sense of justice. The implications of these orientations for leadership styles is a lively topic in contemporary leadership research. Gender and ethics was also suggested as a topic for future discussion.

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