Decades of leadership and business scandals have led many to be skeptical that anyone can be an ethical leader. Indeed, some suspect the main objective of leaders is to simply increase production and profits — sometimes using any tactics. But this view has been changing. Research has shown that the ethics of a workplace can be directly linked to bottom-line company performance. As a result, more and more people are taking it upon themselves to ensure standards of moral and ethical conduct in their offices, starting with themselves.

What does it mean to be an ethical leader?

l Be a role model of integrity. Integrity has been seen as the single most important leadership attribute across many cultures and countries. This means being credible and doing what you say you will do.

An effective leader honors commitments and expects subordinates and business partners to do so as well. He or she maintains loyalty, apologizes when necessary, and takes responsibility. Ethical leaders make the right choices for the long-term benefit. They understand that it all starts with them, and that if they don’t project the values they wish to promote in others, employees will see them as a hypocrite and possibly ignore their ethical guidelines.

l Set ethical standards for the company. This is a critical first step in creating an ethical organization. These standards must be clear so that all employees understand what is meant. Employees must know how they should behave toward one another, customers and business partners. They also need to know what is unacceptable in the workplace.

l Provide training. Managers and employees should be provided with training on the types of ethical dilemmas they might face, such as with customers or employees. This can enable them to practice how to respond to these possible issues in a way that supports the company’s ethical codes. In addition, training on how to interpret the firm’s standards is a good idea to avoid later confusion over interpretations.

l Inspire trust. As expert and author Patrick Lencioni noted in his bestseller, “The Five Dysfunctions of a Team,” the fundamental base of an organization is trust. When people trust each other, they can focus on getting the work done, asking for help when they need it, and solving business problems. They do not need to spend energy manipulating others, worrying about being mistreated, dealing with harassing employees, etc.

l Enhance workplace relationships. Ethical leaders understand that all employees must be treated with dignity and respect, regardless of their rank in the organization or their demographics. They know that their work environment must be safe and free of harassment, discrimination, workplace violence, and bullying of any kind. They also know that employees are more than just workers — they have lives outside of work that need to be considered in order to keep them healthy.

Mahatma Gandhi noted many years ago: “There are seven things that will destroy us: wealth without work; pleasure without conscience; knowledge without character; religion without sacrifice; politics without principle; science without humanity; [and] business without ethics.”

- THE WASHINGTON POST