Leader’s Personal Ethics Dilemma and Conflict with Organizational Ethics Farai Katsande, Regent University

Leader’s Personal Ethics Dilemma and Conflict with Organizational Ethics

Farai Katsande Regent University

Abstract

In this case study, the researcher studied a national team leader of a non-profit Christian organization in Zimbabwe. The researcher investigated: How do leaders maintain moral behavior when faced with personal and organizational ethical conflict? The study concluded with eight elements a leader applies in dealing with a personal and organizational ethical dilemma. The elements included making moral decisions; showing compassion; reverting to spirituality and culture as the basis for moral and ethical convictions; doing the right thing and explaining the reason; making extraordinary decisions in extraordinary situations; considering what is at stake, helping stakeholders understand the rationale of choices, and making decisions that honor God; and serving people. A recommendation for further investigation on the influence of culture on personal and organizational ethics among Africans was made. Keywords: Utilitarianism, pragmatism, ethics, morals, culture, spirituality, altruism

Introduction

The primary purpose of this qualitative case study was to explore the effect of ethical dilemma or conflict on a leader's ethics and organizational ethics. Personal ethics guides the leader how to respond to different situations in decision-making and problem solving (Paige & Martin,1996). Individuals get their influence from culture or the socialization process (Matsuo, Brown, Norasakkunkit, & Karasawa, 2019). Individuals develop a set of morals and ethics as they grow. Chances exist that leaders face ethical dilemmas or conflict with organizational ethics, due to the individual's character, values, and norms (Bass & Steidlmeier, 1999).

This paper is a case study of a leader within a non-profit organization who has faced personal ethics in conflict with organizational ethics. The researcher explored the situation and circumstance of the ethical dilemma, and in what ways the leader created a balance to bridge the gap between personal ethical practice and organizational ethical practice. In this case study, the researcher selected a missionary leader within a non-profit Christian organization. The non-profit organization is based in Zimbabwe as a branch of a United States of America organization. The funding model of the organization requires each individual staff find a team of donors to meet their financial needs (Bright, 2002). Staff without adequate support cannot have their financial needs met from other funds (SEA Policy manual, 2004). The model utilizes western culture, which enforces individualistic culture (House, Hanges, Javidan, & Dorfman, 2004). The organization’s western individualistic policy causes ethical dilemma in humane collectivism culture in Zimbabwean context (House et al.,2004). This researcher explored how leaders applied ethical decision making in meeting employees critical needs when staff had no support. The case study involved one leader, who faced ethical conflict with organizational ethics. The researcher limited the case study to a single leader from a non-profit Christian organization. According to Roberts (2010), the researcher set a boundary for the study to focus on a selected sample. The leader chosen in this study is considered to exercise spiritual leadership and has been chosen on the basis of his experiences in dealing with issues that conflicted with organizational ethics.

Literature Review

The aspect of ethical behavior is experiential; in this case, the researcher reviewed the experiences of the respondent in applying personal ethics to organizational ethics and the experienced ethical dilemmas. To ascertain the behaviors, understanding ethics from both personal and organizational perspectives reveals the ethical dilemmas individual leaders face.

Defining Ethics

Ethics can be defined as a set of moral principles regulating individual or organizational behavior (French, 1995). Hazels (2015) further defined ethics as a code of rules subscribed to by a group of people or society, bringing moral engagement among people. Morals emerge

intrinsically from knowing what is wrong and right (Skubinn & Herzog, 2016; Thayer, Johannesen, & Hardt, 1980). Resnik (2011) viewed ethics as norms detailing what is wrong and right, helping to enforce consistent procedures and processes for solving problems. Ethical behavior emanates from moral behavior and attitude rather than from a set of laid down

principles (Alfano, Rusch, & Uhl, 2018). The concept of ethics originates from the Greek word ethos, meaning the custom practice of a group of people, or individuals (Moriarty, 2012). The ethical behavior is demonstrated through a person’s honesty, objectivity, integrity, care, openness, respect, humility, and confidentiality (Johnson, 2018; Resnik, 2011).

Personal Ethics

The term ethos refers to customs and norms regulating individual morals (Ambrose, Arnaud, & Schminke, 2007). The individual demonstrates ethics through internalized moral values in decision-making and solving problems (Skubinn & Herzog, 2016). Personal ethics, the basis on moral principles fostering self-governance of behavior, informs an individual’s way and system for decision-making (Luxon, 2008). Individual personal ethics consist of integrity, credibility, fairness, transparency, prudence courage, temperance, and justices (Olson, 2013;Johnson, 2018; Resnik, 2011). Ethical values influence personal choices based on how one views the right thing to do due to internalized moral values (Abaymi, 2016; Skubinn & Herzog, 2016). Personal ethics drives self-control, fulfillment, sense of responsibility, and fair judgment, with consciousness to eliminate harm (Mihelič, Lipičnik, & Tekavcic, 2010; Skubinn & Herzog, 2016).

Organizational Ethics

The concept of Organizational Ethics refers to the set of agreed norms and values governing organizational behavior, regulating its members to act and behave according to laid down customs (Lozano, 2005). Ethics involves broader values enshrined in ethics codes governing a wider category of organizations (Schwartz, 2002). Individual organizations develop their ethics specific to the organizations, informed by the organizational culture and values (Sekerka, Comer, & Godwin, 2014). Organizational ethics regulate how leaders make decisions

and how organizational members behave as good organizational citizens (Mcleod, Tyge Payne, & Evert, 2016).

Individual Morals and Organizational Ethics

Johnson (2018) compiled a whole section titled “Combating Evil”, dealing with perspectives hindering ethical behavior. In organizational ethics, individuals should resist behaviors disrupting ethics, such as dreadful pleasure, an exclusion that focuses selectively on people, deception, bureaucracy, and bad choices (pp.110-115). In a real sense, organization culture and ethics come together as an institutionalization of personal ethics (Carlson & Perrewe, 1995; Foote & Ruona, 2008; Koh & Boo, 2001; Sims, 1991). Because of personal and organizational culture and value differences, the possibility of an ethical dilemma exists that individuals in the organization should always seek to deal with. Kant's moral theory already exposes the ethical conflict between individuals and organization ethics. Kant’s advocacy for treatment of human beings as an end, and not as a means, conflicts with real organizational practices; such as organizations that would do all they can to make profits, or achieve their purpose at the expense of paying the workers well (Szkudlarek, 2009).

Ethical Perspectives

Utilitarianism calls for rationality in making choices; it is viewed as personal morality, and theory of public choice (Sen, Williams, & Williams, 1982). The downside to utilitarianism is its lack of determining the interests of the individual causing the challenge of ethical conflict of interest (Sen et al., 1982). According to Johnson (2018), the dilemma occurs because leaders cannot predict the consequences, and therefore the outcome of every situation becomes different (William & Smart, 1973). Justice as Fairness as an ethical perspective, perceives the same treatment of people in a similar situation (Johnson, 2018). Situations for people in organizations differ, and therefore, the aspect of equal treatment faces an ethical dilemma. Pragmatism perspective advocates for transparent processes leading to moral decision making (Johnson, 2018). Pointing at Dewey's views of a scientific approach to decision making requires a balance with making value-driven decisions. However, following a scientific approach

to decision making can miss the moral aspect of dealing with issues that affect individuals when such issues contradict the ethical codes.

Altruism as an ethical perspective would drive leaders to make decisions viewed as controversial; altruistic behavior drives people to go out of their way to serve life and meet the needs of other people (Darlington & Macker, 1966). The altruistic behavior may conflict with organizational ethics, especially in collectivist cultures, where the leader plays a parental role to followers (Hoffman, 1975).

Culture, Spirituality and Moral Theory

Lu, Rose, and Blodgett (1999) and Okpara (2014) explored the impact of culture on organizational ethics. Ethics within a cross-cultural context takes a different form based on culture (Aycan, 2008; Dickson, Den Hartog, & Mitchelson, 2003; Weaver, 2001). The behavior of leaders in approaching the ethical perspectives stated by Johnson (2018), would differ between western cultures, known as individualistic, and African cultures, considered collectivist and humane culture (Den Hartog et al.,1999; House et al., 2002; Northouse, 2018). Studies in organizational performance and effectiveness have considered spirituality as an important variable in organizational performance (Ashmos & Duchon, 2000). The significance of spirituality in influencing behavior has grown to receive much attention in the study of management ethics (Zsolnai, 2011). The spiritual leadership theory by Blackaby and Blackaby (2011) attributed leadership behavior as having a direct influence from God. Spirituality is considered as personal moral principles centered on God (Reave, 2005). According to Nasir, Nordin, Akma, Seman, and Rahmat (2014), "Spirituality can be a source of quality for the individual and the society. But it can also be a source of quality for the organization.” (p. 15).

Methodology

The researcher used a case study to investigate the experiences of a respected leader within a non-profit organization. The researcher investigated the participant’s experiences in balancing personal ethical values and organizational ethics (Elango, Paul, Kundu, & Paudel, 2010), and how spirituality influenced decision making. A qualitative phenomenological study was applied to investigate the experiences of the leader selected. Phenomenology studies life

experiences (Moustakas, 1994). Case studies require that the method addresses the expectations of readers and should exhaustively interrogate the phenomena under review (Yin, 2018). Effective case study research requires that the researcher fully understand the subject and case study research methods to ensure adequate research exploration (Yin, 2018).

Research Questions

The research question investigated in this case study is, How do leaders maintain moral, behavior when faced with personal and organizational ethical conflict? According to Yin (2018), case study research responds to what and how questions. In this case study, understanding the process taken to make a decision forms part of addressing ethical dilemmas faced (Johnson, 2018).

The Design

Yin’s (2018) model of design informed this research. The case study involved one respected leader. The researcher applied phenomenoligical design to the leader’s moral and ethical experiences in relation to organizational ethics. The research design involved sample selection and data collection using open-ended interview questions. The participant required anonymity, and therefore, the researcher agreed not to state the name of the participant and the organization.

Sample Selection

The case study involved only one sample selected from a non-profit organization. The respondent is a national team leader for the non-profit organization. The respondent was chosen on the basis of what the researcher knew concerning radical decisions. The respondent made decisions viewed as defiling organizational policies. The selection of the respondent as a case study resonates with Yin (2018) who purported that the participant selected should have firsthand experience of the matter being investigated.

Data Collection Methods

As recommended by Yin (2018), the researcher asked pertinent questions related to the the study to gain knowledge of the experiences of the participant. The researcher required flexibility, exploratory skills, and consent from the participant (Yin, 2018). Data collection involved administering interview questions which explored the actions taken by the participant and how they dealt with emerging conflict. The interview lasted one hour. The following openended interview questions were used to collect data.

Data Analysis

Data transcription took place using electronic type over voice in Google docs. The transcribed data was coded using primary coding (Saldaña, 2015). Manual coding applied to this study and emerging codes were clustered into themes to allow an exhaustive analytical process (Basit, 2003). The coding process used INVIVO, which used words and phrases contained in the transcript (Saldaña, 2015). The coding process revealed themes reflective to investigating the question, How do leaders maintain moral behavior when faced with personal and organizational ethical conflict? The interview questions provided eight themes describing leadership behavior where personal ethics conflict with organizational ethics.

Findings and Results

Eight semi-structured interview questions were administered to the participant, and eight themes emerged from the analysis of the transcribed data as follows: Moral decision making; Cause for compassion; Spirituality, culture and ethical conviction; Justice and doing the right thing; Extraodinary situations and decisions; Taking risk, personal values, and accountability; Considering what is at stake; Helping stakeholders understand the rationale; and Honoring God and serving people.

Moral Decision-Making, and Cause for Compassion

Interview Question 1: Have you made decisions conflicting organizational policies? The respondent said decision-making is complex, and requires rationality, rather than one-size-fitsall. The findings from the response showed that decision-making should follow the spirit of the law, rather than the letter. The respondent said, “When it comes to delicate staff issues that are a matter of life and death, I choose to follow my convictions." Beyond personal conviction, the respondent said, “the African culture, being a communal practice, consider it inhuman to not help because policy does not allow”. Failure to help, especially when resources are available, becomes a moral and ethical issue, and unacceptable within society.

Spirituality, Culture and Ethical Behavior

Interview Question 2: What decisions have you made that conflicted with organization policies? The respondent pointed out that he chose to pay rentals, medical care, and sometimes fees for staff children when the staff’s support is low. The respondent futher narrated when there were life-threatening issues he chose to violate the policy. According to the respondent, if he did not

make the decision, a staff member would have faced amputation of his whole leg. In his view, it was morally right to serve life, but ethically wrong to use designated funds for that purpose. In that case, the guiding factor for decision-making would involve the word of God. He said, “I feel comfortable to follow my heart backed by the word of God whenever personal ethics and organizational ethics have such a tension.”

Justice and Doing the Right thing

Interview Question 3: What legal implications did the decision have? The response generated seven codes: three concerning the spirit of the law conflicting what is right, culturally expected, moral action than ethical, right motives, and sacrifice to serve resulting in the theme of choosing to do the right thing and explaining the reason. The respondent contested that rules and laws should focus on serving people and advocated for understanding the basis in which certain

policies were formulated. The aspect of the spirit of the law appeared three times, emphasizing the fact that it is sometimes fine to bend the rules to serve life. His response indicated that while ethics appear cast in stone, morals require situational behavior (Skubinn & Herzog, 2016). He further said, "The law was made for man, man was not made for the law, in such instances, when our motives are right and in favor of serving staff, I would have acted morally right.”

Extraodinary Situations and Decisions

Interview Question 4: How did your personal ethics conflict with organizational ethics, and why did you choose your decision? The responses generated 20 codes: rationale for helping, interest of serving, valuing people, unpopular decisions, save his life, life risk, take responsibility, ethical conflict, explain the decision, exceptional decision, sacrifice (2), ethics of care, conflict, organizational reputation, compassionate decisions, staff life is in danger, saving life, higher calling, spiritual leadership, and answerable to God. In his response, he stated leaders make unpopular decisions and pointed out the purpose of spiritual leadership as serving people. The exceptional decision involves risk taking and the potential of being misunderstood. The motivation for making a sacrificial decision centers on one's spirituality and relationship with God (Ashmos & Duchon, 2000). The respondent said, "Now when you do something like that there are standard rules for the organization which all are supposed to follow, this looks like your convictions or ethical values seem to override that of the organization.” Doing the right thing is of higher moral value than just following a set code of ethics. “Even when we appear to be correct ethical organizationally, we may be wrong in the eyes of God.”

Taking Risk, Personal Values, and Accountability

Interview Question 5: How would you place your morals when there is a conflict with the organizational requirement? The respondent said “when making decisions, I reflect on my values, norms, and apply the rules morally, knowing that I am answerable to God, but also being

alive to the fact that every decision has consequences”. The responses generated 21 codes: exceptional situations, to resign, categorical imperative, good and bad ethics, accountable to high values, taking risk, breaking the norm, personal values, mitigate such risks, guided by the word of God, answerable to God, responsibility, values, valuing people, secure, serve from a heart, love of God, serving mankind better, blessing to fellow, mankind, spiritual leader, and interest of people. Extraordinary decisions sometimes entail going against the norms; mitigating the conflict may require negotiation, explaining the situation, servitude attitude, accountability, and making decisions in the interest of the common good (Buller, Kohls, & Anderson, 2000; Johnson, 2018).

Considering What is at Stake

Interview Question 6: What compromise do you take when the cons weigh more than the pros? In answering the question, 10 codes emerged: what is at stake, extraordinary decisions, no compromise, sacrifice life, protecting my job, life and death, personal convictions, subscribe to God’s clear process, and morals enforce ethics. The theme emerging from the codes, considering what is at stake (Buller et al., 2000), helps with good judgment in decision making. In the event of an ethical dilemma, the leader can make decisions to do the right thing (Johnson, 2018). In weighing out options, the respondent replied, "When we raise the bar in our leadership to serve from a heart motivated by the love of God, and honor and submission to His word, the risks and sanctions diminish into minor obstacles that can be overlooked for the sake of serving mankind better." Following a transparent process further helps in making ethical decisions.

Helping Stakeholders Understand the Rationale

Interview Question 7: How do you defend your actions when you make radical decisions? The respondent's comments generated five codes: good judgment, saving a life, serves humankind selflessly, selfless service, and value system. The emerging theme, helping stakeholders understand the rationale, explains the importance of building context to a different situation. According to the respondent, decisions made without self-interest carry moral values.

Ethical leadership requires that decisions are moral based. The respondent further said, “I consider the decisions I make as just exercising leadership judgment on areas that may not specifically be attended to in policy.”

Honoring God and Serving People

Interview Question 8: How do you then re-align your ethics to organizational ethics? The responses generated three codes: value system, answerable to God, and serving. The theme involved decisions honoring God and serving people. As people, we carry our own biases, which lead to unethical decisions (Johnson, Kidwell, Lowe, & Reckers, 2019). The respondent emphasized accountability to a higher power as pertinent for building moral values leading to ethical behavior. He said "I think we must all act from our value system that is anchored in God's word. And we must always remember that as spiritual leaders, we are first and foremost answerable to God, and therefore, we must always be motivated by the love of God as we serve as leaders.”

Discussion

The results of the case study indicated that personal morals and ethics might come to a clash, as experienced by the respondent in the case study. An ethical dilemma occurs when gray areas emerge which do not have an obvious solution to the problem (Johnson, 2018). Overcoming the ethical dilemma requires understanding the issues at stake, available options to deal with the problem, and consulting others in dealing with the problem (Resnik, 2011). The case study revealed that consultation and involving stakeholders deals with ethical conflict. Another cause for ethical dilemma is emergence of disasters, and such events may not be fully provided for in the organization’s ethical codes. Such situations require extraordinary decisions which may create ethical conflict; individual morals may contradict with organizational policies (Ardichvili, 2013). Organizations have ethical codes, policies, and processes guiding decision making (Buller et al., 2000; Olson, 2013). Individuals view each situation differently because of their spirituality and cultural orientation, which influence the leader’s decision-making process

(Gocen & Özgan, 2019; Lu et al., 1999). The interview responses indicated spirituality and culture as strong variables influencing personal moral values and ethics (Thayer et al., 1980; Treviñ & Brown, 2004; Weaver, 2001). The aspect of culture has been argued in leadership studies as having impact on the leaders’ behavior and that leadership styles are influenced by culture (House et al., 2004; House et al., 2002). Leaders with a strong sense of personal morals more likely would not compromise on certain personal behaviors. Reflecting on the interview, the researcher found consistent references to being accountable to God, seeking to please God, and serving people as stronger values, which created ethical conflict on non-biblical values (Ferguson, 1993). In making decisions in unclear situations, the leader takes the responsibility of explaining the decision and taking responsibility (Thayer et al., 1980).

Conclusion

The aspect of individual ethics and organizational ethics as a field of study needs further exploration. In carrying out the case study research, several variables emerged, which require empirical research to determine the impact of culture on ethics and the leader’s personal ethical dilemma and conflict with organizational ethics. The GLOBE studies created a glimpse of cultural dynamics and behavior, and the study by Rashid and Ibrahim (2008) explored the impact of culture on ethics. However, it would be necessary for future researchers to engage in a study on how African cultures deal with personal and organizational ethical conflict.

Author Biography

Farai Katsande is from Zimbabwe, married to Chipo Katsande. He serves as the Executive Director for Campus Crusade for Christ International in Southern and Eastern Africa. He supervises 24 nations. Farai Katsande is experienced in strategic leadership and leading change. Prior to working with Campus Crusade for Christ, he acquired experience in Financial management and accounting in 3 different corporations. Farai Katsande holds Diploma in Accounting, BA, theology with Petra Theological Seminary, Executive Diploma in Business Leadership; Zimbabwe Institute of Management, Master in Leading Innovation and change; York St. John’s University, Doctorate in Transformational leadership, Bakke

Graduate University. Currently Farai Katsande is pursuing Ph.D. Organizational Leadership with Regent University. He also the founding president of the Zimbabwe Council of Pentecostal Churches.

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Table 1

Guiding Questions Interrogating Data

Interview Questions Theoretical Framework 1) Have you made decisions conflicting Determining morals that govern an individual's organizational policies? values, and ascertain commitment to personal doctrine or system of life (Abaymi, 2016).

2) What decisions have you made that conflicted with organization policies?

3) What legal implications did the decision have? Morality is considered intrinsically ingrained, learned through the progression of consciousness of the desire to do the right thing (Simpson, 2017).

Ethical decision requires critical process, avoiding reputational damage on self and organization (Foote & Ruona, 2008)

4) How did your personal ethics conflict with the organizational ethics, and why did you choose your decision?

5) How would you place your morals when there is a conflict with the organizational requirement?

6) What compromise do you take when the cons weigh more than the pros? Applying Kant’s categorical perspective, doing good to everyone (Johnson, 2018).

Choosing to do the right thing, regardless of the cost (Johnson, 2018; Kim et al., 2015).

Ethical decision making follows the process, applying ethical codes to ensure fairness, and justice (Johnson, 2018; Wotruba, Chonko, & Loe, 2001).

7) How do you defend your actions when you make radical decisions?

8) How do you then re-align your ethics to organizational ethics? Ethical actions require cognitive dissonance and rationality (Kaptein, 2013).

Personal ethics and organizational ethics require behavioral congruence (Elango et al., 2010).