impact of ethical leadership on employee performance with perspective of social learning theory

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IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

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Page 1: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY
Page 2: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY
Page 3: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY
Page 4: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

Ethics, in particular business ethics, has continued to attract the eyes of the world.

Unethical decisions and activities frequently undermine the performance and abilities of many organizations.

Nowadays, additional factors like transparency, fairness and justice act as indicator of business success.

Page 5: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

Ethical leadership typically involves leading employees to build good relationships based

on respect and trust

1. Ethical Leadership Supports Increase in Employee Performance with help of:– Trust– Integrity– Relationships– Transparency

Page 6: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

Ethical Corporate CultureBuilding and sustaining an ethical corporate culture requires ethical leadership

Where and why does ethical leadership matter

The benefits of ethical leadership can be seen most clearly where it is absent

Absence of ethical leadership foster greed, fraud, confusion, alienation, tension and struggleClearest example of this in recent years is the Enron Scandal

Page 7: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

ASKARI BANK

ASKARI BANKVision

“To be the bank of first choice in the region”

Mission

leading bank in Pakistan delivering quality serviceeffective human resource management high ethical and professional standardscontributing to society

Page 8: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

ASKARI BANKHistory of organization

Askari Bank was incorporated in Pakistan on October 9, 1991, as a public limited companyThe Bank is listed on Karachi, Lahore and Islamabad Stock ExchangesAskari Bank has since expanded into a network of 261 branches / sub branches, including 34 dedicated Islamic banking branches, and a wholesale bank branch in Bahrain ASKARI BANK

Page 9: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

ASKARI BANK

Range of Products and Services

• Consumer banking • Islamic banking• Branch banking • Agriculture banking • Corporate & investment banking • Alternate Delivery Channels

Page 10: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

IMPACT OF COLLECTIVISTIC AND

INDIVIDUAL CULTURE ON ETHICAL LEADERSHIP

AND EMPLOYEES PERFORMANCE

Page 11: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

Collectivism Vs. Individualism

•Collectivism states that each person is encouraged to be an active player in society, to do what is best for society as a whole rather than themselves. •Working with others and cooperating is the norm; everyone supports each other as a community, family or nation more than as an individual.

• It is "I" identity promoting individual goals, initiative and achievement. In this independence is valued.

•People are encouraged to do things on their own means they try to rely on themselves .

Page 12: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

CONTRIBUTION TOWARDS CULTURE BY HOFSTEDE

• We found that the individualism-collectivism cultural dimension has an important and robust causal effect on long run growth and performance.

• The best known international measure of individualism and collectivism is that developed by Hofstede.

Hofstede (2001) who used surveys of IBM employees in about 30 countries.

• In summary, the Hofstede individualism score measures the extent to which it is believed that individuals are supposed to take care of themselves as opposed to being strongly integrated and loyal to a cohesive group. Individuals in countries with a high level of the index value personal freedom and status, while individuals in countries with a low level of the index value harmony and conformity.

Page 13: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

Differential aspects of Collectivism & Individual

• Behavioral and Motivational difference

• Relational difference• Immigration• Performance

Page 14: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

QUESTIONARES/ INTERVIEW ANALYSIS

1. Ethical Leadership is leading by knowing and doing what is right. The problem with ethical leadership is that it is difficult to define “right”. So how you define right?

Managers/ EmployeesIdentify “trigger" situations – like purchasing, hiring, firing, promot-ing, and calculating bonuses

Decision making that sometimes not beneficial for employees but good for organization

Making right opportunities for employees to motivate them

Provide financial as well as moral support

All of them

Page 15: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

QUESTIONARES/ INTERVIEW ANALYSIS

2. Among five dimensions of ethical leadership, which one would you prefer the most?

Manager/ Employees

Respect others

Serve others

Show Justice

Manifest honesty

Build community

Page 16: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

QUESTIONARES/ INTERVIEW ANALYSIS

3. Individual performance is most of the time determined by motivation and the will and ability to do the job. How ethical leadership helps in demonstrating good performance?

Manager/ Employees

By increasing more employee in-teractionBy motivating and building new opportunities for othersBy setting targets to achieve by any meanBy following national as well as in-ternational standards of other banks

Page 17: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

QUESTIONARES/ INTERVIEW ANALYSIS4. As an employee of this bank, how u think

u can adopt best learning skills to learn and improve your performance level, either,

Manager/ Employees

Following such leaders, whom you think are attractive and well behaved

Following such role models, having characteristics, that are unique and you can easily copy them

Perform the same behavior that you think can lead your performance up.

Page 18: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

Recommendations & Suggestions Harmfulness of Unethical Decisions &

Activities Trust of Employees Efficiency of Employees & Sustainability

of Organization Loyalty of Employees Communication of Ethical Standards to

Employees Identification of Individualist &

Collectivist Culture Increase in Job Performance Attitude towards Immigration Learning by Observation

Page 19: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

• Perception in Askari Bank Value of Employees’ Point of View Communication of Ethical Code to

Employees Five Dimensions of Ethical Leadership Positive Relationship with Stakeholders Moral Courage Recommendation for Future

Researchers

Recommendations & Suggestions

Page 20: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

Relationship between Ethical Leadership & Employee’s Job Performance

Relationship between Ethical Leadership & Employee’s Intention To Leave The Job & Employee Conflict

Absence of Ethical Leadership

CONCLUSION

Page 21: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

CONCLUSION• Perception in Askari Bank Right Things in Leadership Care for Others Community Building Purpose of positive Relationship with

Stakeholders Building & Promoting New Oppurtunities

for Employees Impact of Social Learning on Job

Performance Employee Turnover & Likelihood of

Attracting New Employees

Page 22: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY

limitations

Time Respondents Data

Page 23: IMPACT OF ETHICAL LEADERSHIP ON EMPLOYEE PERFORMANCE WITH PERSPECTIVE OF SOCIAL LEARNING THEORY
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