Drawing on social exchange theory and benevolent leadership literature, we show how the largesse associated with benevolent leadership can cause subordinates to feel obliged to undertake illegitimate tasks assignments that go beyond their job duties. The hypotheses are tested in a scenario experimental study and a multisource, time-lagged field survey. Both studies indicate that benevolent leadership evokes indebtedness in subordinates (called felt obligation), which is then indirectly related to their willingness to undertake illegitimate tasks. The second study shows that subordinates (...) who try to avoid actions that damage relationships (called disintegration avoidance) and those who feel job insecurity are most willing to perform illegitimate assignments. Practical implications for curbing workplace exploitation are discussed. (shrink)

We use a lab experiment to examine whether and how leaders influence workers’ (un)ethical behavior through financial reporting choices. We randomly assign the role of leaders or workers to subjects, who can choose to report an outcome via automatic or self-reporting. Self-reporting allows for profitable and undetectable earnings manipulation. We vary the leaders’ ability to choose the reporting method and to punish workers. We show that workers are more likely to choose automatic reporting when their leader voluntarily does so and (...) can assign punishment. Even workers who choose self-reporting tend to cheat less when their leader chooses automatic reporting. Nonetheless, most leaders do not opt for automatic reporting in the first place: they often choose self-reporting and punish workers who rather choose automatic reporting. Collectively, our results reveal a dual effect of leadership on ethical behaviors in organizations: workers behave more ethically if their leader makes ethical choices, but often leaders do not make ethical choices in the first place. Hence, leading by example can backfire. (shrink)

Authentic leadership has appeared as a significant field of research. Building on social exchange theory that explicates how individuals mutually mechanize reciprocation and eventually establish a trust-based relationship, we postulated a positive relationship between authentic leadership and followers' organizational citizenship behaviors (OCB). Based on a two-wave time-lagged design, the data were obtained from 270 employees working in the private banking sector of Pakistan. We found that authentic leadership is positively associated with subordinate’s OCB, as well as, leads to a higher (...) level of both affective and cognitive-based followers' trust. The results also indicated that both affective and cognitive-based trust positively mediated the relationship between authentic leadership and OCB. The implication for theory and practice are discussed. (shrink)

Despite the proliferation of research on ethical leadership, there remains a limited understanding of how specifically the assumingly moral component of this leadership style affects employee behavior. Taking an identity perspective, we integrate the ethical leadership literature with research on the dynamics of the moral self-concept to posit that ethical leadership will foster a sense of moral identity among employees, which then inspires followers to adopt more ethical actions, such as increased organization citizenship behavior. We further argue that these identity (...) effects should be more pronounced when leaders are perceived to be group prototypical, as their actions then speak louder to followers’ sense of identity. Two studies—a scenario experiment with 138 participants and a field study with 225 employees—provided support for our hypothesized moderated mediation model. Perceived ethical leadership positively affected OCB via followers’ moral identity but only under conditions of high perceived leader group prototypicality. We discuss how the identity pathway of ethical leadership can facilitate novel theorizing about moral transference. Our findings also suggest that, when hiring external ethical leaders or training internal managers, practitioners are well advised to consider that these individuals may only be effective in morally transforming followers when they are perceived as prototypical for the group. (shrink)

In this study, we built and tested a theoretical model to determine how ethical leadership affects team creativity among teams composed of different characteristics. Following social learning theory and an antecedent–benefit–cost framework, we conducted analyses of multisource data from 50 team supervisors and 186 employees, which revealed an inverted U-shaped relationship between ethical leadership and team creativity. The teams exhibited more creativity when there was a moderate level of ethical leadership than when there were very low or very high levels. (...) Moreover, from an interactional perspective, we found that team faultlines significantly moderated the curvilinear relationship between ethical leadership and team creativity such that the inverted U-shaped relationship was more significant among teams with weak team faultlines. The theoretical and practical implications of these findings are discussed. (shrink)

Although a number of studies have demonstrated that perceived ethical leadership engenders beneficial follower outcomes, there is a dearth of research on ethical leadership in the sales context. This is surprising given that salespersons constantly face ethical challenges in their work environment and ethical leadership could provide them with appropriate guidelines for navigating such challenges successfully. Focusing on the salesperson’s perspective and responding to calls for investigating underlying processes responsible for the effects of ethical leadership, this study proposes that sales (...) managers’ ethical leadership influences salespersons’ emulation intentions—i.e., their intentions to model or imitate the manager’s ethical behavior—which, in turn, influences both behavior and outcome performance. In addition, salespersons’ perceptions of the manager’s competence and gratitude toward the manager are examined as moderating mechanisms on the relationship between ethical leadership and salespersons’ emulation. Finally, three aspects of the ethical climate prevailing in the organization—ethical responsibility, peers’ unethical behavior, and unethical sales practices—are included as control variables. The proposed relationships are tested by using data from 290 business-to-business salespeople. Based on the findings, implications are offered for theory and practice. (shrink)

Over the past decade, ethical leadership has increasingly become one of the most popular topics in the areas of leadership and business ethics. As a result, there now exists a substantial body of empirical research addressing ethical leadership issues, but the findings reported by this body of research are highly fragmented. The topic has advanced to the stage where a review and synthesis of existing literature can provide great value and help move the scholarly conversation forward. The primary purposes of (...) this article are to review empirical findings from the ethical leadership literature utilizing a framework consisting of the antecedents, mediators, moderators and outcomes of ethical leadership, and suggest a set of interesting research opportunities, thereby facilitating future investigation. We base our synthesis on a review of 62 empirical studies on ethical leadership that were published between 2005 and mid-2015. (shrink)

This study examined the relationships of perceived ethical leadership, workplace jealousy, and organizational citizenship behaviors directed at individuals and organizations. Survey responses were collected from 491 employee-coworker pairs from 33 hospitals in Taiwan. The employees provided assessments of their perceived ethical leadership and the workplace jealousy they experienced, while the coworkers provided information about the employees’ OCBI and OCBO. In the hypotheses testing, perceived ethical leadership was found to be negatively related to employees’ workplace jealousy and jealousy was negatively related (...) to their OCBI and OCBO. Workplace jealousy partially mediated the effect of ethical leadership on OCBI and OCBO. In addition, perceived ethical leadership was found to have a moderation effect on the jealousy-OCBI/ocbo relationship. This study contributes to the literature of ethical leadership as well as to the literature of OCB by relating workplace jealousy to OCB and by making sense of the effects of ethical leadership on OCB through the mediation of jealousy and through the moderation of ethical leadership on the jealousy-OCB relationship. (shrink)

A growing body of research suggests that follower perceptions of ethical leadership are associated with beneficial follower outcomes. However, some empirical researchers have found contradictory results. In this study, we use social learning and social exchange theories to test the relationship between ethical leadership and follower work outcomes. Our results suggest that ethical leadership is related positively to numerous follower outcomes such as perceptions of leader interactional fairness and follower ethical behavior. Furthermore, we explore how ethical leadership relates to and (...) is different from other leadership styles such as transformational and transactional leadership. Results suggest that ethical leadership is positively associated with transformational leadership and the contingent reward dimension of transactional leadership. With respect to the moderators, our results show mixed evidence for publication bias. Finally, geographical locations of study samples moderated some of the relationships between ethical leadership and follower outcomes, and employee samples from public sector organizations showed stronger mean corrected correlations for ethical leadership–follower outcome relationships. (shrink)

While previous research has established that employees who have a more conscientious leader are more likely to perceive that their leader is ethical, the underlying mechanisms and boundary conditions of this linkage remain unknown. In order to better understand the relationship between leader conscientiousness and ethical leadership, we examine the potential mediating role of leader moral reflectiveness, as well as the potential moderating role of decision-making autonomy. Drawing from social cognitive theory, results from two samples of workgroup leaders and their (...) immediate reports situated in Africa and Asia show that leader conscientiousness is positively related to leader moral reflectiveness, which in turn, is positively associated with employees’ assessment of ethical leadership. Furthermore, and consistent with our hypothesis, results from the two samples show that leader decision-making autonomy moderates the indirect path from leader conscientiousness to ethical leadership through moral reflectiveness, such that only morally reflective leaders who have high decision-making autonomy at work engage in ethical leadership behaviors. In our discussion, we highlight the theoretical and practical implications of our findings and suggest ways in which organizations can better foster ethical leadership. (shrink)

Drawing from the group engagement model and the moral conviction literature, we propose that perceived leader ethical conviction moderates the relationship between ethical leadership and employee OCB as well as deviance. In a field study of employees from various industries and a scenario-based experiment, we revealed that both the positive relation between ethical leadership and employee OCB and the negative relation between ethical leadership and employee deviance are more pronounced when leaders are perceived to have weak rather than strong ethical (...) convictions. Further, we argued and showed that employees’ feelings of personal control and perceived voice opportunity mediated the interactive effect of ethical leadership and perceived leader ethical conviction on OCB and deviance. Implications of these findings for theory and practice are discussed. (shrink)

We sought to expand on the concept of the moral self to include not just the duty to develop the moral self but the moral duty to develop the self in both moral and non-moral ways. To do this, we focused on how leaders can promote a climate in which individuals feel a sense of duty to develop themselves for the betterment of the team and organization. In our theoretical model, duty orientation plays a key role in determining whether followers (...) will seek performance feedback to develop their work selves. We hypothesized that followers with ethical leaders would experience a greater sense of duty to improve themselves and would therefore be more likely to seek and less likely to avoid leader feedback. Drawing on social learning theory, we hypothesized that duty orientation would mediate the relationship between ethical leadership and feedback-seeking/feedback-avoiding behavior, expert power would moderate the relationship between ethical leadership and duty orientation such that duty orientation would be higher when followers perceived their leader to be both highly ethical and competent, and expert power would moderate the indirect effect of ethical leadership on feedback-seeking/feedback-avoiding behavior through duty orientation. We tested our hypotheses using a sample of 249 followers across two waves of data collection. Results suggest that ethical leadership and leader competence interact to drive followers’ duty orientation, thereby reducing followers’ feedback-avoiding behaviors. Further, ethical leadership had a direct positive relationship with followers’ feedback-seeking behaviors. (shrink)

This study explores how and when ethical leadership predicts three forms of team-level creativity, namely team creativity, average of member creativity, and dispersion of member creativity. The results, based on 230 members of 44 knowledge work teams from Chinese organizations, showed that ethical leadership was positively related to team creativity and average of member creativity but was negatively related to dispersion of member creativity. Consistent with the predictions of uncertainty reduction theory, psychological safety climate mediated the relationship between ethical leadership (...) and the three forms of team-level creativity. Furthermore, supervisor support for creativity positively moderated the effect of ethical leadership on psychological safety climate and the indirect effects of ethical leadership on the three forms of team-level creativity through psychological safety climate. The analysis offers significant theoretical and practical implications on ethical leadership and creativity in organizations. (shrink)

Prior research has demonstrated a strong relationship between team performance and team members’ team efficacy beliefs and perceptions of social integration. Performing well increases the feelings of collective ability that comprise team efficacy and the feelings of psychological connectedness that make up social integration, while performing poorly erodes them. In this article, we draw from the social cognitive base of ethical leadership theory to argue that ethical leadership moderates the relationship between team performance and team efficacy beliefs, and between team (...) performance and social integration, such that these important team attitudes are buffered against the negative effects of poor performance when leaders act ethically. Alternatively, when leaders act less ethically, team efficacy and social integration break down following poor performance. We test our hypotheses in a field study of U.S. military teams actively engaged in competition. The data support our arguments. We find that ethical leadership weakens the relationships among team performance and team efficacy and social integration, respectively, such that ethical leaders preserve team efficacy and social integration when their teams do not perform well. (shrink)

This study explores the dark side of leadership, treats creative self-efficacy as a mediator, and frames supervisor bullying and employee creativity in the context of social cognition and social comparison. We theorize that with a high social comparison orientation, the combination of high supervisory abuse toward themselves (own abusive supervision) and low supervisory abuse toward other team members (peer abusive supervision) leads to a double whammy effect: When employees are “singled out” for abuse, these victims suffer from not only low (...) creative self-efficacy due to supervisory abuse but also low supervisory creativity ratings. Results based on our two-wave data collected from multiple sources—253 employees and their 77 immediate supervisors—support our theory. The significant three-way interaction effect reveals that when social comparison orientation is high and peer abusive supervision is low (Time 1), own abusive supervision (Time 1) creates the strongest negative impact on creative self-efficacy (Time 2), which is significantly related to supervisory low creativity rating (Time 2). Our discoveries of egregious bullying offer provocative theoretical, empirical, and practical implications to the fields of leadership, abusive supervision, creativity, and business ethics. (shrink)

In recent times, international comparative studies on managers’ beliefs regarding ethical/unethical leadership have increased in number. These studies focus on both Eastern and Western countries. However, although these previous studies focused on the effects of national culture, they did not pay sufficient attention to the effects of institutions. Moreover, these studies covered only a few countries. Despite Japan’s strong influence on the world economy, it has not been included in previous studies on ethical leadership. Thus, to reveal unexplored factors—particularly cultural (...) and institutional factors—and to determine the generalizability of previous findings, this study used a qualitative research method to examine Japanese business managers’ beliefs about ethical/unethical leadership. The data revealed the convergence and divergence in beliefs regarding ethical/unethical leadership between managers in Japan and in other countries. The analysis identified mostly the same themes of ethical/unethical leadership as found in other countries albeit with different distributions. In addition, We identified new themes that may be specific to Japan or that were neglected in previous studies. Moreover, this study suggests the necessity of considering each society’s history of business ethics and current ethics-related institutional contexts in ethical/unethical leadership studies. (shrink)

Drawing on social exchange theory, the present study seeks to understand how ethical leaders channel followers’ responses to positive treatment from the organization into a dutiful mindset, resulting in in-role and extra-role performance. Specifically, it examines the influence of perceived organizational support on both followers’ job performance and organizational citizenship behaviors, and the mediating effects of duty orientation on such relationships. In addition, it examines whether the mediated effects are contingent on the ethical leadership exhibited by the team leader. Based (...) on multi-source, multi-level data obtained from 233 employees in 60 teams from the Chinese public sector, we found that ethical leadership moderated the mediated relationship between perceived organizational support and follower work behaviors through duty orientation, such that this relationship was stronger in the presence of higher ethical leadership. (shrink)

Based on social cognitive theory, we theorize that collective efficacy plays a mediating role in the relationship between paternalistic leadership and organizational commitment and that this mediating role depends on team cohesion. The empirical results from a study of 238 employees from 52 teams at manufacturing companies show that benevolent leadership and moral leadership, both components of paternalistic leadership, are positively related to organizational commitment and further that collective efficacy mediates the moral leadership–organizational commitment relationship. We did not find a (...) relationship between authoritarian leadership and organizational commitment. Besides, it was found that team cohesion negatively moderates the relationship between moral leadership and collective efficacy and positively moderates the relationship between collective efficacy and organizational commitment. Explanations and directions for future research are discussed. (shrink)

Emotion management in the workplace is drawing increasing attention from researchers. However, they still know little about how positive leadership affects employees’ emotional labor. Building on social information-processing theory, we examine whether and how a servant leadership style influences employees’ emotional labor. Using a sample of 305 employees in 81 work units of 25 subcorporations at a food company in China, we find that servant leadership relates negatively to surface acting but relates positively to deep acting at work. We also (...) find that the indirect effect of servant leadership on surface/deep acting via affective trust is stronger than the indirect effect via cognitive trust. Our research reveals that servant leadership influences employees’ emotional labor more through affective trust than cognitive trust. We discuss the theoretical and practical implications of our findings. (shrink)

While the coexistence of trust and distrust has been acknowledged in previous literature, the understanding of their connection with organisational culture is limited. This study examines how trust and distrust construct the unity and fragmentation of organisational culture. Productive working relationships can be characterised by high trust, but strong ties and high trust may also account for false organisational unity. This study shows that trust and distrust can co-exist and distrust may even increase trust in particular situations. Moreover, we describe (...) how the cognitive and affective components of trust and distrust relate to the unity and fragmentation of organisational culture. We present an empirical case study of a company where tension and distrust between top management, middle management and shop stewards affected the organisational culture. The study contributes to earlier research by discussing trust as a multidimensional and dynamic phenomenon. The study shows how the affective and cognitive components of trust and distrust constitute the unity and fragmentation of organisational culture. We propose that if an organisation is willing to improve its ethics, it should rely on fragmentation rather than unity. (shrink)

Using data collected at two phases, this study examines why and how ethical leadership behavior influences employees’ evaluations of organization-focused justice, i.e., procedural justice and distributive justice. By proposing ethical leaders as moral agents of the organization, we build up the linkage between ethical leadership behavior and the above two types of organization-focused justice. We further suggest trust in organization as a key mediating mechanism in the linkage. Our findings indicate that ethical leadership behavior engenders employees’ trust in their employing (...) organization, which in turn promotes their justice perceptions toward the organization. The theoretical and practical implications of these findings are discussed, and some directions for future research are suggested. (shrink)

The interest in ethical leadership has grown in the past few years, with an emphasis on the mechanisms through which it affects organizational life. However, research on the boundary conditions that limit and/or enhance its effectiveness is still scarce, especially concerning one of the main misconceptions about ethical leadership, its incompatibility with effectiveness . Thus, the present study examines the relationship between ethical leadership and organizational deviance via affective commitment to the organization, as a reflection of the quality of the (...) employee–organization relationship and proposes this relationship is conditional on the supervisor’s personal reputation for performance . Using a sample of 224 employees and their respective supervisors from 18 organizations, we confirmed our hypotheses . Our findings suggest that ethical leadership is positively related to employees’ affective commitment to the organization, particularly when supervisor’s reputation for performance is high, which in turn is associated with decreased organizational deviance. The theoretical and practical implications of these findings conclude the paper. (shrink)

Based on a field study, this paper explores the differential role that perceived top management trustworthiness has on female and male employees’ negative emotions and turnover intentions in organizations. A theoretical model is established that explicates a negative indirect effect of perceived top management trustworthiness on employee turnover intentions through employee negative emotions. The results reveal that there is a negative relationship between perceived top management trustworthiness and employee negative emotions and resulting turnover intentions and that this effect is stronger (...) for female employees than for male employees. These results demonstrate the pivotal role played by top management trustworthiness, provide an explanation for the turnover gender gap, and highlight the subjectivity in reactions to trustworthiness perceptions. The implications for organizations are discussed in line with the need for top management to positively influence employees and particularly women, to retain them in their workforce. (shrink)

From the perspective of the integrative model of organizational trust, this study proposes a multi-level model for whether, how, and when differentiated empowering leadership influences followers’ trust in leaders and their work outcomes. Drawing on a sample of 372 followers from 97 teams in China, it was found that the negative effect of differentiated empowering leadership on followers’ trust in leaders became salient when followers’ Chinese traditionality was low. Moreover, followers’ trust in leaders mediated the effect of differentiated empowering leadership (...) and Chinese traditionality on followers’ in-role performance, extra-role performance, and counterproductive work behaviors toward the organization. These findings have implications for managerial theory and practice in the domains of trust and differentiated empowering leadership. (shrink)

The organizational trust literature relies strongly on the notion of trust and trustworthiness as a calculative cause-and-effect relationship aimed at assessing the advantages and disadvantages between two actors. This utilitarian notion of trust has been critiqued by studies that highlight _construct inconsistencies_ related to utilitarian trust, which, it is argued, is deficient, incomplete and misleading. Our empirical study of the Dutch insurance sector identifies and categorizes three _process inconsistencies_ that help to explain why the calculation of trust in a utilitarian (...) sense is seemingly impossible in practice and is a barrier to the unambiguous assessment of individual needs and individual utility. These process inconsistencies successively concern insufficient information, complex behavioural dynamics, and a convoluted pattern of stakeholder influence to assess utility in trust relationships, specifically within complex socio-economic systems. Our findings contribute to the trust literature by proposing a classification of the previous critiques on utilitarian trust, and by showing that in scenarios of systematic rather than dyadic trust, process inconsistencies may be too strong to endure a ‘leap of faith’, at least with regard to suspension and assessing utilitarian trust in these more complex socio-economic systems. (shrink)

Based on social cognitive theory, this paper explored the cognitive mechanism between ethical leadership and the followers’ extra-role performance. We tested a moderated mediation model in which general self-efficacy mediated the relationship between ethical leadership and the employee extra-role performance, while intrinsic motivation moderated the relationship between ethical leadership and subordinate’s general self-efficacy. Data were collected in two waves from 208 dyads. Results supported the time-lagged effect of ethical leadership on individual extra-role performance and the mediating role of general self-efficacy. (...) Moreover, our findings revealed that intrinsic motivation positively moderated the effect of ethical leadership on general self-efficacy. Furthermore, intrinsic motivation also moderated the indirect effect of ethical leadership on extra-role performance via general self-efficacy. Theoretical and practical implications were further discussed. (shrink)