Values the Ethical Leadership Should Be Based, Essay Example

What type of values should ethical leadership should be based upon in the business world. Please discuss and give examples?

Ethical leadership should be based upon utilitarianism, basing decisions on values rather than beliefs, and making fair decisions. According to utilitarian principles, the best business decisions are the ones that positively impact the greatest number of people, which includes the company executives, employees, shareholders, and the average person. For example, business decisions that will result in more profit will help the company, but it is essential to determine who is hurt in the process. While the company executives and shareholders may benefit, it is possible that this kind of decision can result in lay-offs. Therefore, if more employees are hurt then gain benefit, the leadership decision should be avoided.

Next, an ethical leader ensures that he or she bases decisions off of values rather than personal beliefs. An example of this would be allowing their stores to not sell a product to an individual on the basis of their religious beliefs. Even though the business leader may not dislike a particular group, it is important to not let this personal belief impact their ability to do business. Furthermore, making fair decisions is important, and is a reflection of making decisions based on values. An example of this would be giving a person a promotion based on merit rather than their personal relationship with the managers.