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Ready to navigate ethical challenges with confidence? 

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Do you have a structured approach to make ethics support business strategy?

Navigating ethical challenges in Executive Management

In executive management, the concept of ethics carries significant weight as it shapes the dynamics of the relationship between employees and managers and influences the effectiveness of management actions. 

 

Ethics is about the moral code, values, beliefs and principles that drive a leadership style. (23) Ethics guide and support decision-making and justify management actions from below the surface.  

 

A classic example is mergers, where different cultures clash. Both cultures can be very effective to drive the business, but the underlying differences can make it quite difficult to collaborate.

 

Divergent ethical foundations in the same organisation often cause setbacks - especially in change processes. Conflicting ethical frameworks create doubt and indirectly question management's motives. (13)

As a leader, it is crucial to understand these dynamics and master ethical maturity. It's not only a professional obligation, but a cornerstone of effective leadership development. (8, 9, 10)

Understanding ethical maturity

Ethical maturity encompasses a deep understanding of the morals, values, beliefs and principles that guide decision-making and actions.(2)  Ethical maturity is about the ability to navigate difficult emotions with awareness and presence, without automatically relying only on logic and rationality.(1)

Ethical maturity is especially crucial for leaders when faced with the balancing act between employee satisfaction and growing a profitable business. This goes a lot deeper than the choice between carrot and stick.(7)

The importance of ethics in leadership.

Ethics permeates all aspects of leadership. Ethics influences leaders' choice of management actions, employees' loyalty to business processes and how  cooperation are recognised in the organisation. Thus, ethics has a completely pervasive impact on organisational effectiveness.(8)

 

Striving for transparency and integrity in the organisation's ethical foundation is paramount to effective leadership. A clearly matured code of ethics strengthens the credibility and effectiveness of management actions. (10)

 

Navigating ethical challenges

While a common code of ethics provides a framework for leadership behaviour, navigating ethical challenges in everyday leadership requires more than just adherence to operational rules.(4)

 

If leaders aren't to fall into a casual adherence to a "rule book", a nuanced understanding of the diversity of human values and different cultural considerations is required.(23)

 

Developing this requires critical reflection on the leader's own personal values and biases.(10)


Developing ethical awareness

In a hectic workday, it can be quite uncomfortable to be confronted by colleagues with the consequences of a (probably partly unconscious) personal moral and value code.

 

Unfortunately, this often comes out in confrontations, which often only generate defensiveness or counterattacks.(9)

 

Developing mature ethics belongs in a professional safe space where the leader is met without judgement or competing viewpoints.(10) This is a personal inner psychological process that is nurtured by gradual self-awareness. It requires a level of safety and transparency that is difficult to achieve in a managerial or business relationship due to the balance of power.(9)


The process should be facilitated by a business psychological coach who is mastering the art of acting as a mental mirror. In a professionally caring and respectful way, the leader is motivated to acknowledge and reflect on the consequences of their own moral values.(10)


This creates "aha moments" that allow the leader to clarify whether their actions match the ethical values they wish to represent.

 

This process requires an alternation between being in the "mental fitting room with the ethical mirrors" - and in the everyday management practice to test the effect of the realisations in relation to employees and management colleagues.(10)

Business Psychological Coaching accelerates the outcome

When leaders need to achieve an impact that is reflected in a business context, it is extremely helpful to have a coach who has both the necessary psychological insight AND a deep understanding of the business reality in which the leader operates.(8)


When developing ethical maturity in teams, it further accelerates the benefits when the coach has deep insight into group dynamics and how leadership processes affect team effectiveness.(22)


Business strategy development is also closely linked to the (conscious or unconscious) ethical values of those developing or executing the strategy.(22)


Next step

Ethical maturity is not just a theoretical concept, but a very concrete and influential impact factor for all leaders.

 

By taking a curious approach to your own ethical principles, codes of ethics and ethical dialogue, you can promote integrity and authenticity in leadership and organisational development. 

 

A transparent code of leadership ethics provides a more efficient way to get things done and makes it more motivating to meet sharper goals.

 

That creates better business. 


In the ever-changing landscape of leadership education, ethical maturity remains an unwavering beacon that permeates all the leadership development activities we do - whether we are conscious of it or not. 


 

Let's approach Ethics together in
a structured and professional manner.

 

Book a chemistry meeting now!

 

 

 

 

 

 

 

Dive deeper into the topic

  1. Carden, J. (2023) What is Self-Awareness? Lecture. MSc Coaching for Behavioural Change, Advanced Coaching Practice, Workshop One. Henley Business School, University of Reading, England. 
     

  2. Fatien, P. and Clutterbuck, D. (2023) What is ethics, and how does it apply to coaching? The ethical coaches’ handbook: a guide to developing ethical maturity in practice.  Abingdon and New York: Routledge 
     

  3. ICF, The International Coaching Federation. (2019) ICF Code of Ethics. Available at https://coachingfederation.org/ethics/code-of-ethics 
     

  4. ICF, The International Coaching Federation. (2020). Video Series: ICF Code of Ethics.  Available at  https://www.youtube.com/playlist?list=PLMBtOVpaN5DhGnQMkwdA6Mebib094zEgW 
     

  5. ICF, The International Coaching Federation. (2023). ICF's Independent Review Board (IRB) Available at  https://coachingfederation.org/blog/applications-open-for-icfs-independent-review-board-irb 
     

  6. ICF, The International Coaching Federation. (2024) Leading the Global Advancement of Coaching. Available at https://coachingfederation.org/about 
     

  7. ICF, The International Coaching Federation. (2024) Insights and Considerations for Ethics (ICE) Available at https://coachingfederation.org/insights-considerations-for-ethics 
     

  8. Laustsen, H. et al. (2004) Authenticity In Leadership. Dissertation. University of Roskilde, Denmark. 
     

  9. Laustsen, H. et al. (2003) Psychological Cross-pressure on Middle Management. Post grade Assignment.  University of Roskilde, Denmark
     

  10. Laustsen, H. (2024) Ethics in Advanced Coaching. Post grade Assignment. Henley Business School, University of Reading, England
     

  11. Laustsen, H. (2023) Review Process of Governmental Cyber Governance Policy. White Paper. Ministry of Defence, Denmark
     

  12. Laustsen, H. (2023) Reflections on Becoming a Business Psychological Coach. Post grade Assignment. Henley Business School, University of Reading, England
     

  13. Laustsen, H. (2023) Facilitation of Change Leaders Roadmap. White Paper. Ministry of Defence, Denmark
     

  14. Laustsen, H. (2022) Consultancy Roles in Process Facilitation. White Paper. Ministry of Defence, Denmark.
     

  15. Laustsen, H. (2022) Change Case Process Framework. White Paper. Ministry of Defence, Denmark.
     

  16. Laustsen, H. (2020) Framework for Systematic Quality Improvement in Mental Healthcare. University Hospital of Denmark.
     

  17. Laustsen, H. (2013) Ethic Perspectives of Appreciative Systemic Coaching. White Paper. Solution Focus, Denmark.
     

  18. Laustsen, H. (2013) Systematic allocation of mentoring services. White Paper. Halsnes Municipality, Denmark
     

  19. Laustsen, H. (2002) Framework for Developing Multicultural Leadership Code of Conduct During Merger. MACH Starhome, Luxemburg.
     

  20. Laustsen, H. (2001) Framework for Political Quality Assurance of Public Intranet Solutions. Jensen Consulting, Denmark.
     

  21. Nistelrooij, I. and Leget, C. (2016). Against dichotomies: On mature care and self-sacrifice in care ethics. Journal: Nursing Ethics. 24. 10.1177 
     

  22. Anfinsen, O. (2024) Board Coaching and Systems Theory. Lecture. MSc Coaching for Behavioural Change, Henley Business School, University of Reading, England.
     

  23. Passmore, J. (2014) Mastery in Coaching: A Complete Psychological toolkit for advanced coaching. Great Britain and the United States: Kogan Page Limited.

HANS  FOGH  LAUSTSEN

Master in the Psychology of Organizations

Pg.  Organizational Anthropology

St. M.Sc. Neuroscience and Behavioural Change  

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