The Ethical Context in Organizations: Influences on Employee Attitudes and Behaviors

1998 ◽  
Vol 8 (3) ◽  
pp. 447-476 ◽  
Author(s):  
Linda Klebe Treviño ◽  
Kenneth D. Butterfield ◽  
Donald L. McCabe

Abstract:This field survey focused on two constructs that have been developed to represent the ethical context in organizations: ethical climate and ethical culture. We first examined issues of convergence and divergence between these constructs through factor analysis and correlational analysis. Results suggested that the two constructs are measuring somewhat different, but strongly related dimensions of the ethical context. We then investigated the relationships between the emergent ethical context factors and an ethics-related attitude (organizational commitment) and behavior (observed unethical conduct) for respondents who work in organizations with and without ethics codes. Regression results indicated that an ethical culture-based dimension was more strongly associated with observed unethical conduct in code organizations while climate-based dimensions were more strongly associated with observed unethical conduct in non-code organizations. Ethical culture and ethical climate-based factors influenced organizational commitment similarly in both types of organizations. Normative implications of the study are discussed, as are implications for future theorizing, research and management practice.

Author(s):  
Waqas Ahmad Watto ◽  
Abdul Monium ◽  
Qurban Ali ◽  
Ali Ijaz

The research purpose was to find out the influence of ethical context on certain employees’ behaviors (OCB-I, OCB-O In-role performance) working in the largest telecom companies of Pakistan. The most valuable asset for an organization is its employees, so the management must fix the factors that hinder their performance. In recent years, employees’ attitudes and behaviors in their work settings have remained the admiring topics in the field of organizational behavior. This study aims to investigate the impact of ethical culture and ethical climate on employee in-role performance and citizenship behavior while considering perceived organizational support as a mediating variable. The sample for this research is consisted of 800 employers and employees working in the top four cellular companies of large cities of Punjab, Pakistan. Statistical Package for Social Science version SPSS 16 is used for data analysis. To check the mediating and direct relationship between key variables of the study, correlation and regression analysis is used. Results indicate that both ethical culture and ethical climate have a positive relationship with employees’ outcomes i.e. in-role performance and organizational citizenship behavior. Perceived organizational support partially mediates the relationship between ethical context and employees’ outcomes.


Author(s):  
Waqas Ahmad WATTO ◽  
Abdul MONIUM ◽  
Qurban ALI ◽  
Ali IJAZ

The research purpose was to find out the influence of ethical context on certain employees’ behaviors (OCB-I, OCB-O In-role performance) working in the largest telecom companies of Pakistan. The most valuable asset for an organization is its employees, so the management must fix the factors that hinder their performance. In recent years, employees’ attitudes and behaviors in their work settings have remained the admiring topics in the field of organizational behavior. This study aims to investigate the impact of ethical culture and ethical climate on employee in-role performance and citizenship behavior while considering perceived organizational support as a mediating variable. The sample for this research is consisted of 800 employers and employees working in the top four cellular companies of large cities of Punjab, Pakistan. Statistical Package for Social Science version SPSS 16 is used for data analysis. To check the mediating and direct relationship between key variables of the study, correlation and regression analysis is used. Results indicate that both ethical culture and ethical climate have a positive relationship with employees’ outcomes i.e. in-role performance and organizational citizenship behavior. Perceived organizational support partially mediates the relationship between ethical context and employees’ outcomes.


Author(s):  
David T. Llewellyn

The most serious global banking crisis in living memory has given rise to one of the most substantial changes in the regulatory regime of banks. While not all central banks have responsibility for regulation, because they are almost universally responsible for systemic stability, they have an interest in bank regulation. Two core objectives of regulation are discussed: lowering the probability of bank failures and minimizing the social costs of failures that do occur. The underlying culture of banking creates business standards and employee attitudes and behavior. There are limits to what regulation can achieve if the underlying cultures of regulated firms are hazardous. There are limits to what can be achieved through detailed, prescriptive, and complex rules, and when, because of what is termed the endogeneity problem, rules escalation raises issues of proportionality, a case is made for banking culture to become a supervisory issue.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Asim Faheem ◽  
Ishfaq Ahmed ◽  
Insya Ain ◽  
Zanaira Iqbal

Purpose The ethical issues arising at work demand the role of both leader and employees, but how both the levels are linked in determining the ethical responses is an area that has not gained due attention in the past. Against this backdrop, this study aims to address the influence of a leader’s authenticity and ethical voice on ethical culture and the role ethicality of followers. Design/methodology/approach Survey design has been used, and a questionnaire is used to elicit the responses. In total, 381 filled questionnaires were used for data analysis. Findings The findings of this study highlight the role of authentic leadership in predicting the role ethicality of followers both directly and through the mediation of ethical culture. Furthermore, a leader’s ethical voice strengthens the authentic leadership and outcome relationships (with ethical culture and followers’ role ethicality). The moderated-mediation mechanism has proved as the leaders’ voice foster the indirect mechanism. Originality/value There is a dearth of literature that has focused on leadership traits (authenticity) and behavior (ethical voice) in predicting the followers’ outcomes (perceptions – ethical culture and behaviors – role ethicality). The moderated-mediation mechanism has been unattended in the past.


2000 ◽  
Vol 29 (3) ◽  
pp. 353-366 ◽  
Author(s):  
Mark Somers ◽  
Dee Birnbaum

Four commitment profiles, based on levels of commitment to the organization and the career, were used to explore the relationship between distinct patterns of commitment and work-related outcomes with a sample of professional hospital employees. As two distinct forms of organizational commitment have been identified affective and continuance commitment separate profiles were constructed for each type of organizational commitment in conjunction with career commitment. Results for profiles based on affective commitment were consistent with prior research findings, in that employees committed to both their organization and their career exhibited the most positive work attitudes and the strongest intention to remain with the organization. Unexpectedly, the dually committed also had the strongest intensity of job search behavior, but these efforts did not translate into higher incidences of turnover. No differences were observed across commitment profiles with respect to job performance. The synergistic effect between affective and career commitment was not observed for profiles based on continuance commitment to the organization. Employees committed only to their careers exhibited more positive work outcomes than did those committed only to their organizations. The implications of these findings for management practice were discussed.


2017 ◽  
Vol 9 (1) ◽  
pp. 20-40 ◽  
Author(s):  
Japneet Kaur

Purpose Indian banking sector is facing a number of challenges, and increasing number of corporate frauds and employee turnover are among the top list. Literature reveals that gaining insights about ethical climate may provide a possible solution and relief from the challenges being faced. This paper aims to contribute to the understanding of the prevalent various ethical climate types in the Indian banking industry. Furthermore, it presents interesting results by investigating the effect of five theorized ethical climate types on organizational commitment along with its three components in the banking sector. Design/methodology/approach This empirical research encompasses a descriptive research design. Sample uses 266 respondents from four prime banks of the Indian banking industry. Findings Statistical analyses unveiled that all five conceptualized ethical climate types are prevalent in the Indian banking industry. However, the perception of employees for caring climate was the highest among all others. In contrast to the results reported by Western studies, this research reveals a strong negative impact of instrumental climate on affective commitment. Furthermore, it has been seen that instrumental climate is a significant predictor for the three components of commitment (affective, continuance and normative). However, it fails to predict the overall organizational commitment construct. Likewise, opposed to findings of Western countries, law and code, rules and independent climate types have shown significant relationship and impact on organizational commitment for Indian banking sector employees. It has been found that different commitment components are predicted by a diverse mix of climate types in India. Practical implications Findings highlight varying strength of relationship and predictive ability of different ethical climate types with commitment. This helps in elucidating that managers and top executives should focus on building an ethical work environment to warrant high-level commitment among employees. Congruence between employee, manager and organizations’ perception of ethics is a pre-requisite for maintaining a long-term relationship among the parties. This study will enable understanding the role of ethical climate in reducing corporate frauds and employee turnover. Originality/value This research addresses a significant gap in literature by exploring the relationship between ethical climate and organizational commitment. The study uses data from the Indian banking industry which contributes to expanding knowledge of the relationship in the Indian context.


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