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Introduction of Leading and Managing People

Category: Leadership Paper Type: Case Study Writing Reference: IEEE Words: 1500

In the business world, ethical misconduct and ethical business scandals are quite common, particularly in the areas where the corruption rate is high and ethical values are not given enough importance in society. Ethical misconduct, accountability, and transparency related issues and scandals draw negative impact on the overall financial health and market operations of the company. According to our analysis, the United Kingdom faced a number of scandals related to these issues in the last few years. In the report, two famous scandals related to ethical misconduct are discussed. Such issues can be controlled if proper ethical standards are introduced in the organization. For the purpose of ensuring ethical operations agency have to develop policies related to the transparency. Procurement agency will make changes in its practices to work on the transparency policies in the agency. However, the procurement agency can promote accountability and transparency by adopting a flexible environment and democratic leadership style.

In the last few years, biggest ethics related scandals are presented by the electronic and print media. In August 2017, the news was aired about the Google that one of the employees of the Google known as James Damore wrote controversial memos based on the content criticizing racial and gender related diversity in the organization [1]. The content was basically ethical misconduct of the employees that was written with the intention to hurt the minorities and races. His voice against gender diversity spread in the world of technology as wildfire and influenced the business of Google in a negative manner. Google took a step against him and fired him from the job. Damore took his case into the federal labor officials that calls the Chief executive officer of the Google to resign from his position.     

 In September 2017, Equifax known as a credit-reporting agency in the Western countries reported that personal data of 145.5 million consumers (living in the United States) is hacked between the last three month duration including May, June, and July. However, later it was proved that news was totally fake news, far away from reality. Action taken by the Equifax presents the ethical misconduct of the company as it influenced the US in a very bad manner. Because of the potential negative impact generated by the fake news still, Equifax is a subject of investigation for government agencies [1].     

The United Kingdom is working seriously on these issues by improving their system of transparency and accountability, a fine example of this is presented below in the graph. The following graph represents that how the UK is paying attention to the accountability and transparency to bring down and eliminate the chances of ethical misconduct by their employees in the future. The right steps taken today will definitely make the United Kingdom free in future from such evil cases of ethical misconduct, accountability, and transparency related issues in real manners.          

Figure Accountability trend in the UK in comparison to other European countries

Source: https://www.personneltoday.com/hr/ethics-at-work-2018-whistleblowing-misconduct/

 Such scandals represent the risk factor for the procurement agency working in the United Kingdom that can be controlled through accountability. [2]. Organizational policies and strategies related to the ethics, accountability, and transparency influence the behavior and environment of the organization. Appropriate policies developed to control employee’s misconduct, strong and fair auditing systems can reduce the risk factor for the companies related to the ethical scandals and ethical misconduct.  

The procurement agency will deal with the state and government. Therefore there is the responsibility for the procurement agency to work on the policies and practices that can ensure ethical operations. A wrong step or action taken by the procurement agency can create trouble for the sustainability of the government and state businesses in the international market and national market. Therefore considering this fact procurement agency will develop policies and work on the practices that will ensure ethical operations and help out in achieving the target related to the transparency, accountability and employees conduct. to ensure ethical operations at the procurement agency we can develop several strategies as we can bring accountability by ensuring training, empowering employees, clearly explaining expectations, and making the accountable environment in the agency and in all the concerning areas.

To ensure ethical operations at the procurement agency we can also encourage transparency in the agency operations and practices. For this purpose we will develop policies as open financial details, hiring the right employees, treating all the employees equally, and eliminating the discriminations and stereotyping from the agency. Agency will involve the employees in the decision-making process, leaders will treat the employees in the right way without any type of personal biases, employee's salaries and hiring will be totally based on the laws and regulations set out by the government and state. Only working on these policies and practices procurement agency can get the title of ethical operations for all its operations. However, one more important aspect for the procurement agency is to eliminate and reduce the ethical misconduct of the employees to make the organizational operations ethical. Procurement agency will develop strategies that will reduce the chances of misconduct and help out the employees to perform their duties and responsibilities in the ethical ways and support the ethical environment of the agency. Procurement agency will introduce the auditing system to monitor the financial statement to eliminate the chances of data manipulations and other ethical misconduct related to financial data presentation. While for other operations PA will assign duties to the managers to monitor the operations and report or take corrective actions for ethical misconduct. As corruption is getting common in the world and there are a number of ethical scandals in the UK, therefore procurement agency need to work hard to present a clear and fair image in front of GCC member state.

Ethical change in the organization can be ensured by appropriate leadership model. Employees working in an organization follow up the instructions and orders of the leaders. Leaders create the environment and culture of the organization supportive for ethical operations or unethical operations. To bring strategic ethical change in the organization, the Democratic leadership model is required. In accordance with the democratic leadership model, managers create the democratic environment in the organization that gives importance to the employees of the organization in decision making.

Democratic leadership model in the organizations ensures and promote accountability and transparency that are essential to make the operations of the organization ethical in reality. Therefore to bring sustainable change there is a need to support the culture of transparency and accountability in the organization. Autocratic leadership models cause to make the employees unable to stand against the unethical and corruption related operations or actions taken by their supervisors and managers of the organization. In the case of Equifax organization, the organization faced an ethical scandal because of the fake news presented by the employees of the organization.             

Such issues could be controlled through the increase of accountability and ethical policies. However, initiatives as a strategic change in the culture of the unethical organization can support the organization to eliminate the chances of such issues in the future. The strategic change relates to corporate level management. Corporate management develops policies and strategies on which the organization work. Developing strategies related to ethics as providing training sessions to the employees related to ethics and making the management accountable for their actions corporate management of the organization can ensure ethical practices in the organization. New strategies made by the corporate level management of the company will help out in changing the culture of the organization.

Culture develops with the actions, values, thinking styles and norms of the employees and behavior of the employee can be modified through the leadership. Therefore after the whole discussion recommendations for the procurement agency is to focus on the strategies and policies first if procurement agency wants to make changes in the culture of the organization to support ethical environment and ethical operations. While another recommendation for the procurement agency is to adopt the democratic leadership model in the organization. Treating employees as an asset and giving importance to the employees in decision making process can make the employee loyal. Employee’s empowerment supports the employees to stand against the unethical actions taken by their supervisors, subordinates, and managers without having any kind of fear. However, while adopting this agency should not forget that development of ethical policies at the corporate level is essential. Employee’s empowerment in the organizations that do not have an ethical culture and policies causes to promote unethical practices only rather than ethical practices. 

References of Leading and Managing People

[1]

A. Hartmans, "The 17 biggest tech scandals of 2017," 30 12 2017. [Online]. Available: https://www.businessinsider.com/biggest-tech-scandals-2017-12. [Accessed 21 12 2018].

[2]

R. Moss, "UK employees more lenient around ethics but more likely to report misconduct," 13 09 2018. [Online]. Available: https://www.personneltoday.com/hr/ethics-at-work-2018-whistleblowing-misconduct/. [Accessed 21 12 2018].

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