6 Ways to Promote Ethical Leadership in Your Company

Q: Hi! I am the HR Manager of a medium-sized company in Dubai. Recently, the hot topic at work has been ethics, and how to encourage employees to act upon ethical and moral standards, in order to enforce a better work environment. I know that in order to do so, it has to start with the leaders in the company. So how can we begin to promote ethical leadership in our company? Thank you! Jumana S.

A: Hi Jumana, and thank you for raising such a vital question. Ethics has been a hot topic all over the region and the world for a while now. We hear about scandals and ethical mistakes, and one begins to wonder how they can avoid such situations at their own organization. Promoting ethical leadership is an excellent way to begin. If ethical leadership is programmed correctly into an organization’s culture, it will have a positive ripple on the business as a whole. Ethical leaders portray a good image of the business, and in turn, attract and retain better talent. Fortunately, in the Middle East and North Africa (MENA) region, 75% of professionals say that their managers often set an example of how to do things ethically, as revealed in a Bayt.com poll on ethical leadership in the Middle East, January 2016. Therefore, it is important that leaders realize that their actions have a trickle-down effect within the company, and that their employees will likely model their actions when it comes to ethical behavior. Here are 6 ways leaders can promote and foster ethics in any organization:

1. Create an ethical framework for the company

An ethical framework is the most important element in promoting ethical leadership in a company. Create a framework that outlines scenarios where ethical decisions need to be made and reflects both personal morals and company values. This will act as a reference for managers and employees alike when making a difficult decision, and will avoid situations which entail biased or subjective judgments.

2. Encourage open communication

According to a Bayt.com poll on diversity of thought in the Middle East, released in October 2015, 88% of professionals in the region are comfortable sharing their views at work, even if it goes against the majority. It’s important for you to let your employees communicate freely and openly and not restrict their thought process and ideas. By doing so, you are promoting an environment of honest and open communication, and showing them your respect. At Bayt.com, for example, we offer an online platform, Sawtna, where employees can voice their concerns. You can also conduct town hall meetings to encourage employees to interact with management and give their feedback on issues that affect them.

3. Promote full transparency

It is important to develop a transparent work culture, to both your employees and stakeholders. Make sure that company information is always available to those who need it, and demonstrate transparency in your decision making process. Employees are much more likely to reciprocate when managers exhibit trustworthy behavior.

4. Inspire trust

Develop an honest work environment where employees can report unethical behavior without fear of punishment. No one wants to be considered a snitch, so gain confidence and trust by providing a private space to discuss any concerns anonymously. Investigate the claims fully, before jumping to conclusions, while maintaining the anonymity of your employee. Then discipline or reprimand, if necessary, in order to establish that some actions are not accepted, and will not be tolerated. 72% of professional respondents in the Bayt.com poll on ethical leadership in the Middle East say that their managers discipline or reprimand employees who violate ethical standards.

5. Reward good behavior

It is important to establish that ethical behavior is considered a part of the work culture in your company, and that employees who exhibit ethical behavior are not going unnoticed and are being appreciated, openly and in front of everyone. This can include a multitude of rewards that are not restricted to cash bonuses, but can also include non-monetary rewards, such as gym memberships, free parking, extra vacation time, etc.

6. Remember: Not all that is legal is ethical

Make sure your ethical framework does not rely solely on legal standards. Include moral standards, empathy, honesty, and respect. In fact, 37% of respondents in the Bayt.com poll on ethical leadership in the Middle East view business ethics not just as being legally compliant, but also engaging in socially-responsible activities. Review your actions constantly, and decide whether or not you can change anything in the way you do things to minimize harm or maximize welfare.

Roba Al-Assi
  • Posted by Roba Al-Assi - ‏06/06/2016
  • Last updated: 06/06/2016
  • Posted by Roba Al-Assi - ‏06/06/2016
  • Last updated: 06/06/2016
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