Since male CEOs dominate corporate leadership, the literature on top management decision making suffers from an implicit masculine bias. Although research indicates that males and females are biologically and psychologically different, the leadership characteristics of female CEOs are largely unexplored. Two of these characteristics, risk aversion and ethical sensitivity, are tied to key accounting issues, such as conservatism in financial reporting and steadfast opposition to fraud. In this study, we examine the relationship between CEO gender and accounting conservatism, and find (...) a positive association between the two. Consistent with conventional wisdom, this association appears to be stronger in firms with high rather than low litigation and takeover risks. This study contributes to the ethics literature by highlighting the benefits of gender diversity in upholding the integrity of financial reporting. (shrink)

Leader behavioral integrity (BI) is central to perceived credibility and thus to leaders’ effectiveness at fostering ethical and other climates. Our research broadens the theoretical foundation for BI research by integrating the cognitive–attributional role of trust in the formation and maintenance of leader BI perceptions. Guided by recent research on trust primacy and prior theories of fairness used to examine ethical behavior, we examine how perceptions of leader BI can be either diminished or maintained through trust velocity following a psychological (...) contract breach. Using a field and an experimental study, we explore the manner in which followers perceive leader’s actions when conflicting interests lead to unfulfilled promises. We found that trust velocity mediates the relationship between a psychological contract breach and leader BI (study 1), and that informational justice moderates this relationship (study 2), suggesting that leaders can attenuate the impact of broken promises on ascribed BI. Our findings offer a pathway for leaders operating in dynamic contexts to preserve BI and also help address concerns that have been raised about the behavioral integrity construct regarding its conceptual overlap with related constructs such as trust, psychological contracts, and informational justice. (shrink)

Management literature has repeatedly shown that an absence of voice can have serious negative influences on team and organization performance. However, employees often withhold suggestions or advices when they have ideas, concerns, or opinions. The present study proposes leader behavioral integrity as a key antecedent of employee voice, and investigates how and when leader behavioral integrity influences employee voice. Specifically, we argue that leader behavioral integrity affects employee voice via team independence climate. In addition, we propose a moderating effect of (...) corporate ethical values. The results from a study of 134 managers and 408 employees provide support for this moderated mediation model. Leader behavioral integrity positively affects employee voice via team independence climate, but only when ethical values are emphasized in organizations. These results suggest that leader behavioral integrity, along with team independence climate and corporate ethical values, is very important for fostering employee voice. (shrink)

This study explored the relationship between the integrity of the supervisor and the manager and the creativity of employees who are below the supervisor. Drawing on social learning theory, we proposed a moderated mediation model for the trickle-down effects of perceived supervisor integrity. Using a sample of 716 employees and their supervisors, we found positive associations between both managers’ and supervisors’ integrity and employee creativity. Supervisors’ integrity partially mediates the relationship between managers’ integrity and employee creativity. In addition, supervisors’ perceptions (...) of professional ethical standards moderate the indirect effects of the managers’ integrity on employee creativity. Theoretical and managerial implications are discussed. (shrink)

We present a theoretical rationale and supporting studies revealing how unethical leader behavior fosters an unethical climate within workgroups that increases member turnover intentions and malfeasance. Drawing on the attraction–selection–attrition model of organizational behavior, we propose a selective attrition effect whereby unethical leader behavior results in the retention of group members who are more comfortable with dishonesty and, consequently, more likely to engage in unethical behavior toward their group. In two experiments, exposure to unethical leader behavior increased group members’ likelihood (...) of choosing to leave the group. Members who chose to remain in a group with an unethical leader were more likely than those who chose to leave to cheat their group in a subsequent task. A two time-period survey replicated these findings and identified psychological distress as the mechanism driving group members’ turnover intentions. This research extends our understanding of the complex relationships between unethical leadership and follower turnover intentions, psychological distress, and malfeasance. We contribute to the behavioral ethics literature by identifying a previously underappreciated form of selective attrition that produces internal costs to groups and organizations, independent of reputational consequences and whether the unethicality is publicized. (shrink)

This study analyses for the first time whether and when moral distress may be related to work-family conflict and burnout. Additionally, this study examines whether resilience and positive refocusing might protect healthcare professionals from the negative effects of moral distress. A total of 153 Italian healthcare professionals completed self-report questionnaires. Simple and moderated mediation models revealed that moral distress was positively related to burnout, directly and indirectly, as mediated by work-family conflict. Highly resilient professionals experienced low work-family conflict, regardless of (...) moral distress levels. Moreover, professionals who frequently used positive refocusing were less vulnerable to burnout following moral distress. (shrink)

Business Ethics: A European Review, EarlyView.

The desire to control how others see us is a ubiquitous phenomenon. Decades of research have suggested that the results associated with how others see us are too great an influence to ignore. The tactics we use and behaviors we engage in to control how others see us is known as impression management. This study examines the relationship between regulatory focus and the use of exemplification or supplication impression management tactics. We use regulatory focus theory to examine this phenomenon. First, (...) we investigate the main effects that occur between prevention-focused individuals and exemplification, and between promotion-focused individuals and exemplification and supplication. We then introduce supervisor behavioral integrity as a moderator between regulatory focus and impression management. Our findings suggest a positive relationship between prevention-focused and exemplification, and between promotion-focused and exemplification and supplication. We also find that behavioral integrity strengthens the relationship between prevention-focused and exemplification and promotion-focused and supplication, but not promotion-focused and exemplification. Implications and future research directions are discussed. (shrink)

Research on ethical leadership generally falls into two categories: one celebrates individual leaders and their ‘authentic’ personalities and virtuous stewardship of organizations; the other decries toxic leaders or individuals in positions of power who exhibit ‘dark’ personality traits or dubious morals. Somewhere between these extremes, leadership is ‘done’ by imperfect human beings who try to avoid violating their own ethical standards while at the same time navigating the realities of social and organizational life. This paper discusses the concept of ‘Moral (...) Recovery’ as an ethical leadership process that begins in moral failure, but enables eventual personal, organizational, and social change. It builds on the concept of ‘Moral Injury’ from the work of the psychiatrist Johnathan Shay and refers to the experiences of armed service personnel traumatized by experiences where either they, or their leaders, violated their own values. ‘Morally injured’ parties recover their sense of wellbeing through engaging with restorative communal actions which address the social causes of unethical practices. The process of Moral Recovery requires restorative communal actions which address the social causes of unethical practices. This paper will outline the concept of ‘Moral Recovery’ as a form of practical ethical leadership and change. It will illustrate its relevance to ethical leadership practice with reference to one high-profile case; Ray Anderson of Interface. As this paper is primarily conceptual, avenues for future research are identified, and implications for teaching practice are discussed. (shrink)

Although interest in the subject of human-resource marketing is growing among researchers and practitioners, there have been remarkably few studies on the effects on employees of how benevolent their organization is. This article looks at the link between the presumption of organizational benevolence and the well-being of employees at work. The results of an empirical study of 595 employees show that the presumption of organizational benevolence is positively linked to employee well-being. The effect is indirect, as it is mediated by (...) the perceived level of organizational support. The existence of a link between employee well-being and intention to quit the company is also confirmed. (shrink)

The impact of integrity on organizational and/or interpersonal relationships is well documented in the literature but its influence on customer relationships such as consumer trust and relationship commitment has been largely overlooked. The present study attempts to fill this research gap by examining the effect of integrity on consumer relationship commitment in a cross-cultural setting. Survey data from the United States and China were used to test the hypothesized relationships. The results show that integrity has significant impacts on both consumer (...) trust and relationship commitment, and culture significantly moderates the effect of integrity on consumer commitment. Specifically, integrity was found to affect American respondents’ relationship commitment both directly and indirectly with the direct effect being greater and the indirect effect being smaller relative to those of Chinese respondents. In contrast, integrity had only indirect effect on relationship commitment with Chinese consumers, highlighting the importance of consumer trust in the integrity-commitment relationship. The implications for research and business practice were discussed. (shrink)

Conflict handling by managers gives rise to significant emotional and cognitive experiences for affected employees and has far-reaching effects on the effectiveness of a group and an organization. In this conceptual paper, we argue that despite many claims made by managers in their self-reports that they engage in either dominant or compromising conflict-handling strategies when managing conflict within a group, they may be perceived by employees as adopting neglect or avoidance behaviors. We examine how such perceived managers' avoidance styles could (...) influence employees' perceptions with regard to justice, trust, and politics within an organization. (shrink)

There has been an ongoing appeal in the bioethics literature for a broader understanding and conceptual clarity of the phenomenon of moral distress. Several authors argue that greater conceptual cl...

Using data collected from 280 full-time employees from a variety of organizations, this study examined the effects of employee perceptions of the behavioral integrity (BI) of their supervisors on job tension. The moderating effect of procedural justice (PJ) on this relationship also was examined. Substitutes for leadership theory (Kerr and Jermier, 1978) and psychological contract theory (Rousseau, Empl Responsib Rights J 2:121–139, 1989) were used as the theoretical foundations for the hypothesized relationships. Results indicated a negative relationship between BI and (...) job tension. PJ moderated this relationship such that it was weakened under conditions of high PJ. Implications for research and managers are discussed. (shrink)

Moral injury has primarily been studied from a clinical perspective to assess, diagnose and treat the outcomes of morally injurious experiences in healthcare and military settings. Little is known about the lived experiences of those who have had their moral values transgressed in business settings. Public scandals such as Enron suggest that moral injury may also occur in for-profit business settings. In this qualitative study, we examine the lived experiences of 16 employees in for-profit business organisations who identified as having (...) suffered moral injury. Using semi-structured narrative interviews, our findings offer insights into the values that employees feel are transgressed and the pathways between morally injurious experiences and the long-term outcomes. Based on our findings, we propose a conceptual pathway to moral injury, which suggests that experiencing moral transgressions has a profound impact on employees as they feel a threat to their “good-me” identity, however, employees employ various coping strategies to minimise the impact during the event. Employees exited the organisation and often changed career paths to protect themselves from further injury and to make up for moral failure. This study advances our understanding of the experience of moral injury in business settings and the pathway explaining how and why people react differently to moral transgressions. (shrink)

Informed by religion and psychology literature, this study reviews the literature on religiosity, spirituality, and psychology to support existing theory development in the current emergence of “Management, Spirituality, and Religion” field of study, encourage new contextual thinking and develop a framework to guide businesses on the integration of spirituality and religiosity at work given their documented benefits in relation to personal well-being and productivity. Using the Web of Science (WoS) database, the paper reviews and synthesizes recent research in a systematic, (...) transparent, and reproducible manner. In addition, to verify and include the state-of-the-art of high-quality scientific articles, we refer to the Chartered Association of Business Schools list leading to the adoption of the following criteria: (a) journals listed in the ABS ranking as 3- and 4-star class, (b) indexed under the field of ethics (i.e., ETHICS-CSR-MAN), (c) articles published between 2000 and 2021, and (d) topical relevance. The review extends the existing literature by developing a framework for organizations that helps in identifying possible linkages between religiosity, spirituality, and employee well-being. This was done by (1) extending the six indicators of Ryff's well-being framework, (2) highlighting potential spiritual practices for individuals and organizations and their implications, and (3) presenting a framework that is contextualized to the extent possible and that can serve as a useful guide for organizations. Insights from our review yield in turn two key propositions: (1) workplace spirituality and individual spirituality are both important for employees' well-being, and (2) individual religiosity is an important factor for personal well-being. This offers in turn reinvigorated awareness and new insights into the topic under study. The study highlights in closing an array of future possible research directions. (shrink)

Past work demonstrates that ethical ideologies and behaviors are associated with the physical and psychological well-being of employees. Drawing from ethical impact theory and related research, this investigation utilizes two studies of working adults to examine the relationships among employees’ moral outrage, anger expression, and generalized well-being, with the latter construct being operationalized with multi-variable measures of ill-being, positive life outlook, and health consciousness. In the first study, two dimensions of moral outrage were identified, with results indicating that these components (...) variably related to the ill-being/well-being measures and similar health behaviors. In the second study, anger expression was accounted for, thus disentangling it from the moral outrage dimensions, with results demonstrating that such anger changed the nature of some relationships between the moral outrage dimensions and the well-being outcomes. Overall, anger expression was associated more closely with negative outcomes, while the moral outrage dimensions were more closely associated with positive outcomes. These findings suggest that moral outrage may be cathartic, which contributes to further theory development and enhances understanding of the complex relationships among individual moral outrage, anger expression, and well-being. The practical considerations of the results are discussed, and the study’s limitations and suggestions for future research directions are highlighted. (shrink)

We examine the influence of face-based judgments of CFO and CEO honesty on earnings management for the largest publicly traded companies in America. After controlling for incentives and opportunities to manage earnings, CFOs perceived to be less honest engage in higher levels of accruals earnings management and real earnings management. The beneficial impact of perceived honesty on earnings quality is most pronounced when both the CFO and the CEO are perceived to be more honest. Findings are consistent with our conjecture (...) that both the CFO and CEO contribute to a firm’s financial reporting environment. (shrink)

This paper introduces the concept of business-related conspiracy theories. Drawing on Aristotelian virtue ethics and undertaking a narratological and ethical analysis of 28 BrCTs found online, I emphasize that BrCTs are narratives with structures rooted in other latent macro- and meta-narratives, including centuries-old myths. In particular, I reconstruct the fictional world of BrCTs – one in which CSR and social contracts have failed – before identifying eight different types of actors as which people can morally situate themselves in their relationships (...) with business. Finally, I elaborate on the actors’ performances and their use of external and legitimate forces to end the story. The paper concludes with a discussion of potential future research to help combat BrCTs, as well as a call for the critical study of political CSR. (shrink)

Current evidence supports how deviant behavior can be predicted by sociodemographic factors, subjective well-being, and perceived religiousness. However, there is limited research when it concerns specificity such as Muslims justifying deviant behavior, and their subjective well-being and perceived religiousness within a single study. Most studies used Christian population or using a non-denominational approach. Therefore, in this study, data from World Value Survey Wave 6 was used to examine the Muslim population (N = 20,559) and deviant behavior justification. Sociodemographic factors, subjective (...) well-being (life satisfaction, happiness, and state of health), and perceived religiousness (prayer frequency and importance of God in life) were hypothesized as predictors. Results revealed that these hypotheses are supported. However, many of these predictors are weak, having minimal effect. This is with the exception of having the worldview of God being important in one’s life, being both a strong and statistically significant predictor of deviant behavior justification. The more a person views God being important in life, the more it predicts a decrease in deviant behavior justification. This research provides a novel finding on the belief-behavior nexus, specifically concerning Muslims justifying deviant behavior when two forms of perceived religiousness—ritualistic and worldview—are being compared. (shrink)