How Will Ethical Issues Affect Leadership in a Business Essay

6486 Words Mar 29th, 2012 26 Pages
Contemporary and Pervasive Issues

“How will ethical issues affect leadership in a business?”

Word Count: 5671

In this essay I am going to discuss how ethical issues can affect leadership in a business. In order to answer this question the essay will start by giving a brief introduction into the two topics; leadership and business ethics. I will then aim to successfully link them by considering the argument of whether leaders should concern themselves with ethical issues or whether making as much money as possible should be their main consideration.

Leadership has many different meanings and there have been numerous different classification systems used to define the dimensions of leadership. Infact as Stogdill (1974) pointed out
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When leaders are involved in planning, organizing, staffing and controlling, they re involved in management. Both processes involve influencing a group of individuals toward a goal attainment.” Both management and leadership involve influence, working with people, meeting goals and many other similar functions. However, there is a distinct difference between leadership and management and the main functions of the two are quite dissimilar. It was argued by Kotter (1990) that the “function of management is to provide order and consistency to organizations, whereas the primary function of leadership is to produce change and movement.” Whilst managers plan and budget, a leader creates a vision and sets strategies, instead of controlling and problem solving a leader motivates and inspires his followers. In addition to this, Bennis and Nanus (1985) made the distinction very clear, “managers are people who do things right and leaders are people who do the right things.”

Although it argued that the two are very different it is for this reason that both are needed for an organization to be a success. Without management outcomes can be meaningless or misdirected and without leadership the outcome can be stifling and bureaucratic. This was the opinion of Warner Burke (1986:68), who said that “For clarity of goals and direction, managers need leaders. For indispensable help in reaching goals, leaders need managers.”

A further…

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