Chapter 1

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Courage and moral leadership
 Objectives
After this session, you should be able to:
• Combine a rational approach to
leadership with a concern for people
and ethics.
• Recognise your own stage of moral
development and ways to accelerate
your moral maturation.
 Objectives
• Apply the principles of stewardship
and servant leadership.
• Understand the importance of
authenticity and apply the principles of
authentic leadership.
 Objectives
• Understand and use mechanisms that
enhance an ethical organisational
culture.
• Recognise courage in others and
unlock your own potential to live and
act courageously.
 Moral leadership today
• Enron, The Australian Wheat Board, Adelphia,
Arthur Anderson, WorldCom, Tyco.
• 79 per cent believe questionable business
practices are widespread.
• Less than one-third believe CEOs are honest.
• Other Scandals: AWB, James Hardy, HSBC,
ABC Learning Centres, Martha Stewart
• https://www.youtube.com/watch?v=Mi2O1bH
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What leaders can do
 Moral leader
• Business is about values, not just
economic performance.
• Moral leadership does not ignore
bottom line.
• Encourage others to develop and use
moral values in the workplace.
• Show commitment to ethics in talk and
behaviour.
Moral leader
Kohlberg's stages of moral
development
 Moral leadership
• Moral leadership encourages followers
to develop into leaders.
• Developing follower’s potential rather
than using a leadership position to
control or limit their development.
 Leadership continuum
• Stage one - subordinates are passive
• Stage two – subordinates are more
active in their work
• Stage three - stewardship
• Servant leadership
– Is a stage beyond stewardship
– Leaders give up control
– Make a choice to serve employees
 Leadership continuum
• Authoritarian management
• Participative management
• Stewardship
– Partnership assumption.
– Localise decisions and power.
– Recognise and reward the value of labour.
– Expect core work teams to build the
organisation.
 Servant leadership
• Servant leadership
– Put service before self-interest
– Listen first to affirm others
– Inspire trust by being trustworthy
– Nourish others to help them become whole
• Servant leadership can mean something
as simple as encouraging others in their
personal development and helping them
understand the larger purpose in their
work.
 Authentic leadership
• The best leaders
– Have high moral integrity
– Good self awareness
– Good awareness of others’ strengths,
weaknesses, needs and values
– And a good awareness of their context
• Authenticity is paramount
 Leadership courage
• Courage is both a moral and a practical
matter for leaders.
• Step through learned fears and take
responsibility.
• Take risks.
• Make changes.
• Speak their minds.
• Fight for what they believe in.
 Courage
• Courage:
– Means accepting responsibility
– Often means non-conformity
– Means pushing beyond the comfort zone
– Means asking for what you want and saying
what you think
– Fighting for what you believe in
 Courage and moral
leadership
• Acting like a moral leader requires
courage.
• Opposing unethical conduct requires
courage.
• How do you develop?
– Believe in a higher purpose.
– Draw strength from others.
– Develop a healthy perspective on failure.
– Harness frustration and anger.
 Summary
• Moral leadership today
• Acting like a moral leader
• Becoming a moral leader
• Leadership control versus service
• Authentic leadership
• Leadership courage