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Leadership / Management

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Five Managerial Mistakes that Hurt
the Integrity of Your Company

Copyright © All rights reserved
By Ken Chapman, Ph.D.
Ken Chapman & Associates, Inc.

Most unethical or unprincipled behavior found in companies happens for one of five reasons.  Individual leaders need to be ever vigilant to make sure they are not committing one or more of these five deadly sins. 

            1.  Favoring the company’s interest over the interest of its stakeholders — customers, employees, the community, and the public.  Examples – underpaying employees because the job market is tough and “they have no where else to go,” or reducing hazardous waste disposal cost by discharging waste illegally. 

            2.  Rewarding behavior that violates ethical standards.  Examples – handing out sales bonuses or advertising campaigns that misrepresent the product.  Rewarding managers who are “under budget” even though they cut corners where they should not have and pushed employees too hard. 

            3.  Creating a corporate environment that encourages separate standards of behavior for work and home.  Examples – allowing employees to pass the buck rather than take responsibility, punishing people for being honest about mistakes, thereby encouraging secrecy and deceit, and rewarding individuals who grandstand while ignoring solid, but quiet team members. 

            4.  Allowing individuals to abuse power to further their own interest.  Examples – managers who take excessive compensation for themselves “off the top” before other stakeholders get their share, executives who promote friends over more qualified employees in order to surround themselves with friendly faces. 

            5.  Creating managerial values that undermine integrity.  Examples – the “Madison Avenue mentality” that believes that anything is right if the public can be convinced it is right, being more concerned with appearing ethical than being ethical, and cutting corners on quality to benefit the almighty bottom line.

Periodic review of the above five managerial mistakes will likely insure that they do not threaten your company's integrity.

For more information about Ken Chapman and Associates’ Leadership Development Programs, contact Ken Chapman at 205.366.0265 or email Ken at kchapman@leaderscode.com.

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