It has been argued that ethical leadership is manifested by the long-run sustain- able success of an organization.1 According to this argument it is the ethical respon- sibility of an ethical leader to undertake actions that will provide sufficient profits and strength so that a company can weather difficult times when they come. Long-range sustainability is provided by leaders who manifest five ethical leadership qualities: ethical communication, ethical quality, ethical collaboration, ethical succession planning, and ethical tenure.
Laura Haughey, "Five Standards of Excellence Practiced by Ethical Leaders," appearing in Marlene, Carosoli, The Business Ethics Activity Book: 50 Exercises for Promoting Integrity at Work, AMACOM Books, New York, NY and as an online article at https://www.workforce.com/section/09/article/23/55/60.html; accessed May 14, 2006.
Ethical communication means that leaders communicate information accurately and truthfully. Open communication is vital for long-run sustainability. Ethical quality has to do with producing quality products, quality delivery of those products, and quality customer service. Cutting waste is an essential element of this component of ethical leadership. Ethical collaboration means that ethical leaders surround them- selves with sound advisors who can help identify best practices, solve problems, and resolve difficult issues that may surface. Ethical succession planning is the art of fos- tering and developing leadership talent within the organization so that others are available to take over the organization and run it well. Ethical tenure has to do with how long a leader should lead. Essentially, leaders should lead as long as they wish provided they are trustworthy. The goal should be serving and building the organiza- tion and not themselves.
Required
1. Long-run sustainability and ethical quality are directly associated with lean manufacturing. Do you think that it is unethical for management not to pursue lean manufacturing?
2. Evaluate each of the five qualities of ethical leadership using the standards of ethical conduct for management accountants. Identify the standards that you feel are most relevant for each leadership quality.
3. Are there any other ethical qualities that you might add to the five already identified? You may also wish to elaborate on any of the five, adding to their definition.