Ethical Leadership & Business Ethics: Case Study Analysis & Review

This case study solution delves into ethical leadership and business ethics, addressing issues such as conflicts, whistleblowing, and managerial responsibilities. It examines the importance of senior management's role in resolving conflicts, empowering staff, and implementing ethical policies. The analysis covers the significance of integrity, honesty, and open communication in leadership, highlighting the drawbacks and benefits of whistleblowing for individuals, organizations, and communities. The solution emphasizes the need for organizations to foster a culture of ethical behavior and transparency to maintain a positive image and improve employee morale and performance. Desklib provides a platform for students to access similar solved assignments and past papers.

Business Ethics and Leadership

ETHICAL LEADERSHIP 1
Question1.
Senior management team first need to identify the reason behind this conflict. The later
management team should talk to that whistleblower personally and ask what had happened
actually. After investing with the whistleblower, senior management should make an
investigation by themselves and they should empower each of the staff members to tell the story.
However, allowing people to say everything about the incident would increase the level of
conflict many faces would get disclosed but this is the only option the Leaders must deal. The
senior management team needs to go through such conflicts phase to resolve the issue (Park,
2019). However, the management team also took the right step by hiring the investigation team.
After investing and founding the culprits of this unappropriated incident Leaders has to make
correct actions against them and fire them from the company. Management part also takes
actions against those employees who found little guilty as well. After that, the Management team
makes those policies which could help to reduce such conflicts and create a safe work
environment. Policies such as whistleblower policy and several other policies which could help
such a scenario. Team has to empower their staffs to raise the voice if they see or feel any illegal
behavior or something wrong is near them (Holland, 2019). So that management can take action
immediately.
Management team Asks for help to HR. HR can contribute to creating an ethical culture among
the workforce. HR can give training and encourage staff to raise and share the feedback if they
find any manager’s weird or unethical behavior (De Stefano, 2018).
This incident leads the organization’s image down and spoiled it. This brings staffs morale down
and if employees could not perform well this would decrease the organization’s business

ETHICAL LEADERSHIP 2
performance. HR has to take proper action to recover from the issue. HR can encourage and
motivate employees to forget what has happened and advise them what they should do to
increase performance as a colleague and teammate. The organizations have to be strict for such
behavior and conflict. The management team also shares communication and message through
media that what had happened in the organization and what leader take correct actions and make
a commitment to employee and communities that it would not happen in the future. This is how
the management team takes corrective actions and makes its spoiled image better.
Question2.
The new manager was an accountant rather than an engineer. However, organizations should hire
an engineer, not an accountant. First of all the new manager should not accept the holiday
package by another company. That was a kind of bribe. A good leader must have some
personality traits such as integrity, honesty trustworthiness. Integrity involves honesty ethical
behavior and trustworthiness as well as a thought for the soundness of the whole substance that
one administers just as of the common public where the association is found. Honesty
additionally implies firm adherence to a code, for instance, a moral implicit policy.
Consequently, being an ethical endorses that the individual has respectability and can be trusted
(Duffy, 2018).
Leaders must have that ability to discuss with the employees while decision making. The new
manager should have discussed with the supervisor and with other staff about the situation. As he
was new to the company and has less knowledge about the machines he must talk about the staff
members and other leaders ask about the opinion on the situation and take a machine specialist
along with him while buying the machine. It is essential for a business and a leader as well to

ETHICAL LEADERSHIP 3
discuss with colleagues and encourage the workforce to share an opinion and give feedbacks
while decision making. At some point when choices comprising moral inspections should be
made the ethical individual adheres to her or his guiding principle, attempts to be goal and
reasonable, shows worry for society and the welfare of those in the open eye, and seeks after
good essential authority rules. Nevertheless, being a moral individual is not the primary 1 need
for transforming into a moral pioneer. Moral expert moreover joins being a moral boss, which
incorporates the affirmation that the pioneer or executive fills in as a genuine case for others in
all his or her commitments. It also suggests giving prizes and control around the good and
corrupt decisions made by others, with the objective that an obvious message is sent about what
rehearses are and are not sufficient in the affiliation or situation. Likewise, moral organization
suggests passing on straightforwardly, expressly, and regularly about morals and qualities (Hu,
2018).
In one more scenario states the unethical behavior of the new manager while he left some
employee to handle the overall office and went to the holiday. The manager had to stay at the
office and manage the operations. Absence of manger caused many issues such as litigation,
employees were treating each other. Therefore the new manager should complete his duty first.
A manager is responsible to handle his duty first and manage its workforce.
Question3.
Benefits
There are many benefits of whistleblowing for the organizations, individual and community as
well. Whistleblowing is the activity raising a concern about any unethical behavior. With the
case Whistleblower helps to identify those issues, the higher management was not aware of.

ETHICAL LEADERSHIP 4
After blowing the whistle by one of the employee management team identified the problem and
took necessary action. It exposed the illegal and unethical behavior of some employee at the
workplace. Now organization individual and communities will be aware of these issues and will
take action against such behavior (Kenny, 2019).
Individual: One advantage to be a whistleblower is government and organizations provide legal
protection to whistleblowers. Organizations recognize the whistleblowers are acting
courageously against illegal activity. Therefore Whistleblowers get high financial rewards
(Berger, 2019) .
Communities: This will help other individuals by fighting corruption. This activity makes sure
that wrongdoers are not rewarded and disclosed their wrongdoings. Governments and
organizations make many whistleblower policies yet some people are afraid to raise the voice
and if someone raises voice against this sets an example for the society and encourage others to
fight against such behavior (Latan, 2019).
Organizations: Whistleblowing in the organization is very important sometimes people
manipulate things and get rewards. If someone aware and know the actual situation he or she can
raise the voice and ensures that wrongdoers should not get rewarded. With this policy, leaders
can create politics and discrimination-free work culture. If someone raised voice against
unethical behavior there is a law that no one can blame on whistleblower in return.
Drawbacks
There are also many drawbacks to being a whistleblower for the individual organizations and
community as well.

ETHICAL LEADERSHIP 5
Individual: Being a whistleblower is a tough task for an individual. Some people do not mind
called as a whistleblower and they proud to be a whistleblower however that label can hurt a
career within an organization or outside the company. An individual who blows the whistle
might face the retaliation in return. However there is a law for retaliation against whistleblowers
and it is illegal but still, it happens and it cannot be changed (Oswald, 2013).
Community: In the wake of being an informant relationship would be tried. A fight in court is
only that: A fight. At the organization a whistle blower blamed, individuals will favor one side
— and whistle blower might be crushed to find that his or her associates, whom they viewed as
companions, are presently "against" them. The break room that was previously their joint may
wind up cold and unwelcoming. Everybody will have reasons, positive or negative. What's
pertinent is the outcome: whistle blower, on occasion, feel deserted. What is more, a similar
pressure may saturate their life. Their relatives may feel like they're blow-back in this fight —
they face indistinguishable mental and money related weights, however without whistle blower
dimension of control. I'm dismal to state that I've seen a few informants' relational unions self-
destruct (Kölbel, 2019).
Organization: Being a whistle blower is like empower other employees and people who are
honest but afraid to raise voice. By winning or settling a striking back body of evidence against a
business, an informant secures every single future worker who report bad behavior at that
organization. The losing organization for the most part will rebuff or expel the miscreants, and
regularly will make it simpler for genuine workers to talk up.
Bibliography

ETHICAL LEADERSHIP 6
Berger, L. F. J. a. T. L., 2019. Paying for Altruism: An Investigation of Deontic Justice and
Financial Rewards on Taxpayers’ Whistleblowing. [Online]
Available at: SSRN 3318272.
[Accessed 22 05 2019].
De Stefano, F. B. S. a. C. A., 2018. The HR role in corporate social responsibility and
sustainability: A boundary‐shifting literature review. Human Resource Management, 57(2), pp.
549-566..
Duffy, J., 2018. Quality caring in nursing and health systems: Implications for clinicians,
educators, and leaders. s.l.:Springer Publishing Company..
Holland, P., 2019. Workplace Bullying and the Role of Voice and Ethical Leadership. In
Employee Voice at Work. Singapore: Springer.
Hu, J. E. B. J. K. B. T. a. L. S., 2018. Leader humility and team creativity: The role of team
information sharing, psychological safety, and power distance.. Journal of Applied Psychology,
103(3), p. 313.
Kenny, K., 2019. Whistleblowing: Toward a new theory.. s.l.:Harvard University Press..
Kölbel, R. a. H. N., 2019. Whistle-Blowing from the Perspective of General Strain Theory..
Deviant Behavior, 40(2), pp. 139-155.
Latan, H. J. C. a. d. S. J. A., 2019. Ethical awareness, ethical judgment and whistleblowing: a
moderated mediation analysis.. Journal of Business Ethics, 155(1), pp. 289-304.
Oswald, R. s., 2013. 5 Rewards — and Drawbacks — of Being a Whistleblower. [Online]
Available at: https://www.corporatecomplianceinsights.com/5-rewards-and-drawbacks-of-being-

ETHICAL LEADERSHIP 7
a-whistleblower/
[Accessed 22 5 2019].
Park, H. a. L. D. 2., 2019. The motivations of external whistleblowers and their impact on the
intention to blow the whistle again.. Business ethics: a European review..