Contingency Theory Of Ethical Leadership

886 Words 4 Pages
Contingency theory of leadership considers their supporters as one of the situational factors that leaders need to manipulate in order to achieve specific outcome (Uhl-Bien et al., 2013).
This theory signifies that whether ethical or unethical, leaders influence their followers. Using their own convincing skills as an asset, leaders are successful in making followers work their own way. Unethical leadership thus impacts the organization. sometimes It is difficult for followers to distinguish between ethical and unethical leaders, but a good follower put time and efforts in making informed decision about their leaders and what they embrace. Accordingly, they take proper action (Kellerman, 2007). When a follower disrupts the agenda
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At times organizations does not represent their product fairly, to sell their products to the customers. Organizations try to manipulate their financial statements to save taxes, resulting in tax evasion.
Communication play a major role in ethical business. Advertisements which are false, misleading and deceptive can affect consumers and can result in failure.
Organization should address their ethical issues in following manner:
Code of conduct and ethics
It is really important for an organization to follow the code of conduct as it specifies the rules and regulation which needs to be adhered by the organization.
Make decision in a group
An organization should allow team participation while taking any decision, this will boost the morale of the employees and bring them a sense of ownership among them. This approach will result in reduced biasedness.
Create an atmosphere of trust
Employees should be encouraged to report any misconduct by the others. Thus, a trustworthy atmosphere can be built.
Set an example from the
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and Petersen, L., 2017, How the influence of Unethical Leadership on Followers Is Affected by Their Implicit Followership Theories. Journal of Leadership and Organizational Studies, 24(4), pp.450-465. [Accessed 17 Jan. 2018]. Available at: (-- removed HTML --)
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Martin, S., Liao, H. and Campbell, E., 2013, Directive versus Empowering Leadership: A Field Experiment Comparing Impacts on Task Proficiency and Proactivity. Academy of Management Journal, 56(5), pp. 1372-1395. [Accessed 17 Jan. 2018]. Available at: (-- removed HTML --)

Peterson, R. and Ferrel, O., 2005, Business Ethics New Challenges for Business School and Corporate Leaders, M.E. Sharpe. [Accessed 18 Jan. 2018]. Available at: <>

Robbins, S. and Judge, T., 2015, Organizational Behavior, Sixteenth Edition. Pearson Education Limited,

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