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Surviving with values– a practical model for leaders

Inge Woudstra-Van Grondelle

Ashridge Business School

May 2009

Ashridge Business School http://www.ashridge.org.uk

Contents

Key message

Can you be successful only by leavingyour values at the door?

How to fit values into leadership

a) Values

b) Vision and goals

c) Business context

d) Political situation

Case examples:

Example one: Irregularities in the waitinglist of an NHS hospital

Example two: Presenting an outcome unfavourable to your client at PWC

Example three: Raising a problem in the accountsin a leading multinational technology company

Conclusion

Research methodology

List of senior leaders interviewed

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1 Speech to The Worshipful Company of International Bankers Dinner, cited by the Independent, 25 September 2008

2 Mendonca, L. T., Miller, M. (2007) Exploring business’s social contract: An interview with Daniel Yankelovich, McKinsey Quarterly

Campbell, A. (2009), The crisis: Mobilizing boards for change, McKinsey Quarterly

Blowfield, M., Googins, B.K. (2006). Step Up: A Call for Business Leadership in Society, Boston College Center for Public Leadership

Hind, P., Wilson, A. & Lenssen, G. (2009) Developing Leadership for Sustainable Businesses, Journal of Corporate Governance, pp. 7 - 20, January. Special Issue on Leadership and Sustainability


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Key messageLeaders can keep their moral values and be successful. Leaders interviewed fi nd that using their moral values as a guide helps them take consistent and fast decisions under great pressure. It helps them build trust and loyalty in their teams, thus building performance.

However, they confi rm it is not easy. There are no short-cuts or clear answers about what is right or wrong. Every situation is unique - the person and the context shape which action is the right one.

Leaders who successfully use their moral values in their actions carefully balance these values with their personal goals and vision, the politics of the situation and the business context. Only then do they decide how to act on them.

Be inspired by these leaders and start using your moral values!

What inspired the research?Everywhere we hear and read that it is time for a revival of values. Trust needs to be rebuilt. Victorian values have to return. The moral character of our politicians is under attack. Bankers are pictured as ‘robbers’ and ‘asset strippers’ by the Archbishop of York1. Gordon Brown called for system changes ahead of the G20-meeting in April 2009, where leaders agreed that the way out of the fi nancial crisis is a new global consensus on the key values underlying economic activity. Leadership is called upon2.

Most leaders would probably agree instantly. However, it isn’t easy to lead using your moral values and little practical guidance is available on how to go about it and succeed in today’s complex, competitive world. In fact, it can feel as if you can only be successful by leaving your values at the door. This research set out to fi nd leaders who might have done this differently and draws lessons based on their experiences to inspire and guide other leaders.

Leader s can keep their moral values and be successful


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Can you be successful only by leaving your values at the door?New Ashridge research fi nds that senior leaders agree on a fi rm ‘no’. Of the thirteen senior leaders interviewed, most were shocked that anyone would consider leaving their values at the door. They wondered aloud how you can be a good leader if you ignore your values. They refl ected how their values have helped them take consistent and fast decisions under great pressure. Their values have helped them become the leader they are, or helped them to build their ‘leadership brand’. Moreover, some senior leaders interviewed concluded that leaving their values at the door would make them unhappy.

“Stick with your own instincts, your own morals. If you haven’t got that, it soon becomes obvious to your people, as they watch you all the time, they see what you do.”David Powell, Regional Vice President – UK Customer Relations and Sales, Westinghouse

“... can make it easier to be yourself. By being honest you cannot trip yourself up. People are pleasantly surprised about your openness; it could make you different, especially in sales.”Richie Coulson, Regional Director Business Development, Lloyds TSB Bank

“I think it does make a difference to know your own values. It’s clearer in your head why you do things and it gives you a clearer framework for making decisions. Also I think people respond to leaders who care. Children respond to teachers who care and it is exactly the same with players - they respond to coaches who care.”Kevin Bowring, Head of Elite Coach Development, Rugby Football Union

“In our work reputation, independence and quality of work are hugely important. The individual brings in the work, backed up by the brand. To do the right thing is good business for us.”Gerry Lagerberg, senior partner, PricewaterhouseCoopers

Values have helped leaders take consistent and fast decisions


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“I have worked for a short time in a commercial environment. It was almost as though you deposited your own brain at the door and followed the mantra in the building.”Jonathan Curtiss, Head of HR Services,Bank of England

“Trust is a mutual thing. Everybody wants to be trusted, but you have to ask yourself: ‘What do I have to do to earn that trust?’ People rarely think about this, and it is the hardest thing to do. You have to live your life in a way that earns you that trust. What will you do to make this trust happen?”David Moorhouse, Chairman, Lloyds Register

Interviewees are supported by literature – if personal values indeed guide consistent and fast decisions, then literature suggests that being consistent builds trust and loyalty, which in turn builds performance3. It takes trust for people to willingly follow their leader. Other leadership authors argue that the behaviours that leaders need to display to be trusted are ‘acting as a rolemodel’ and ‘working with integrity and responsibility, which confi rms the importance of values in leadership’ 4.

So using your moral values can show integrity, which builds trust. Most of the senior leaders interviewed, however, agree this isn’t easy. Short-term it seems much more diffi cult, and it requires more skill and effort to lead from your values. Long-term, however, it brings huge benefi ts, such as reducing complexity and increasing consistency.

“Employing your own value set makes your life much easier. Applying chameleon-like values will give you a whole additional level of complexity and managing a business is difficult enough as it is.” David Moorhouse, Chairman, Lloyds Register

“You might end up making a short-term financial gain - however if you do go with the wrong choice, there may be long-term reputational risk, which might be much more expensive.”Gerry Lagerberg, senior partner PricewaterhouseCoopers


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3 Goleman, D., Boyatzes R., Mckee, A., (2006). Primal leadership: Realizing the power of emotional intelligence, Harvard Business School Press

Andersen, J.A., (2005). Trust in managers: a study of why Swedish subordinates trust their managers, Journal compilation, Volume 14, number 4

Avolio, J. B., Gardner, W.L., Walumbwa, F.O., Luthans, F., May, R. D. (2004). Unlocking the mask: A look at the process by which authentic leaders impact follower attitudes and behaviours, The Leadership Quarterly, 15, PP 801-823

Lennick, D., Kiel, F., (2009). Moral Intelligence, Wharton School Publishing

4 Kouzes, J.M., Posner B.Z., (2007).The Leadership Challenge, John Wiley & Sons Shaw, P., (2006). The Four Vs of Leadership, Vision, Values, Value added, Vitality, Capstone

Drucker, P.F. (1992), Management: Tasks, Responsibilities, Practices, New York: Harper Collins

Bandsuch, M., Pate, L., Thies J. (2008), Rebuilding Stakeholder Trust in Business: an examination of Principle-Centered Leadership and Organizational Transparency in Corporate Governance, Business and Society Review, Volume 113, Issue 1,PP 99-127


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How to fit values into leadershipThere are no ready-made answers, but in this report you will fi nd a model that helps leaders to fi nd a place for their moral values. The model has a fi rm base in literature5, and mainly draws upon what senior leaders do; leaders who have stood up for their values and yet survived or even fl ourished. The model is designed to enable leaders to more skilfully bring their values to work, and enable them to choose the right thing more often.

Ashridge interviewed thirteen senior leaders and found that personal moral values do not stand on their own. Leaders’ actions are certainly guided by them, but in addition the personal and business context is carefully weighed, before taking action.

“There are a number of things that weigh into your judgment: loyalty or responsibility to country, to family life, to maintain an income, to your boss. You weigh all of them… There isn’t one answer or approach … Is maintaining your family and having a roof for your wife and child less important than moral expression of your own conviction? “Rear Admiral Lionel Jarvis, Assistant Chief of DefenceStaff (Health), Ministry of Defence

“I learned to be skilled at it (organisational politics). I wouldn’t be going against my values (of openness and honesty) though, it is just about choosing my moment.” Teresa Tunnadine, Headteacher, The Compton School

“I certainly don’t go out in a suit of armour, looking for the next fight, or asking myself where the next fight is coming from: I don’t seek conflict. But there are those occasions when the battle is worth fighting.” Nick Carver, Chief Executive, NHS Hospital

Clearly applying moral values in an organisation is all about deciding which battles are worth fi ghting, and this is indeed a key part of leadership.

Before going into any solutions it is important to point out that balancing business requirements and personal values is neither objective nor can one give a specifi c recipe. In fact, it is very personal and totally different in each situation. As such, it requires a leader to assess each situation on its own merit. When listening to the senior leaders who did face situations in which their

Deciding w h i c h bat t les are worth f ight ing


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values came under pressure in their business practice or public life, however, four distinct elements can be identifi ed which guided them in taking their decision and living with the consequences: their moral values, their vision for the business and themselves, the business context, and – fi nally – political considerations.

These four elements that guide leaders in deciding which battle is worth fi ghting are shown in thefi gure below.

(a) ValuesThis is about personal moral values which help leaders decide how important the matter is to them. Actions of the interviewees are based on their own moral values, as well as their worldview, grounded in, for instance, ethics or religion.

From literature it becomes apparent that the extent to which someone acts morally is dependent on:

someone’s personality - their innate capacity for • moral judgements and for acting on their judgement independently

the way their moral values have been shaped, mainly • in childhood. In shaping these values, guidance and modelling of educators and parents play a key role as well as learning from personal experiences6.

Vision and goals

SelfOthersBusinessWorld

Business context

Financial targetsNon-fi nancial targetsCompetitive positionSales, clientsMediaLegal aspects

Values

Personal valuesWorldview (ethics, religion)Lessons from role modelsPast experience

Political situation

Own positionRelationships/alliesOther points of viewSpirit of timesOrganisational values

(a)

(c)

(b)(d)


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The interviews confi rm these two points, but interestingly show that it’s not only childhood but that personal past experience in business plays a key role as well.It becomes clear that having seen others stand up for their values gives leaders courage and inspiration to do so themselves.

“Early in my career I had some astonishing examples- they give you the guts to say this doesn’t feel right.”Declan O’Mahoney, Director, Motability

Some leaders even work consciously to keep their senses sharp and continuously work on developingtheir values:

“(My values) come from many sources. I watch people and learn. I read books, for instance biographies of other leaders.”Rear Admiral Lionel Jarvis, Assistant Chief of Defence Staff (Health), Ministry of Defence

Key question: How important is it to me?

Questions to consider in the area of values are:

What do I believe in? •

What sort of leader do I want to be?•

What do I believe is right? •

Who are my role models and what sort of behaviour • do I admire in them?

(b) Vision and goalsThis is about vision for the business, personal and career goals. Having a clear vision helps leaders interviewed to take tough decisions. Their actions are guided by where they want to take the business, and how this action might help or hinder them to achieve this.

“I always have a sense of ‘this is what I am doing’, that helps me make the right decisions. I am very clear on what I want the outcome to be: motivated staff, successful children. You can assess whether it will achieve that aim.” Teresa Tunnadine, Headteacher, The Compton School


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Personal and career goals guide actions of interviewees as well, including issues such as work-life balance. In the interviews this is mainly expressed in negative wordings – ‘my career is not that important to me at this stage, therefore I could take this action’.

Key question: Where do I want to go?

Questions to consider in the area of vision and goals are:

What do I want to achieve for the business,• myself and others?

How could this action help or hinder my aims?•

(c) Business contextThis is about the business considerations and impacts of an action. Leaders interviewed clearly defi ne success in terms of creating a strong and prosperous organisation. Before taking action they take short and long-term business consequences into account.

“In this business integrity is paramount, we must not compromise the integrity of our service. We have a line in the contract stating a bonus or salary increase will not be paid if Quality or Integrity have been compromised. This shows, ‘we say it, and we mean it’. We cannot afford to slightly cut a corner, I do want people to work more efficiently and effectively, but it’s got to be the same high quality.”David Moorhouse, Chairman, Lloyds Register

Key question: What will the impact be on business?Questions to consider in the area of the business context:

How will it impact fi nancial and non-fi nancial targets? •

How will clients and other stakeholders respond?•

How will it impact reputation?•

What will it look like in the media?•

What are potential legal implications?•


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(d) Political situationThis is about the extent to which a person can infl uence the situation, considering their position. Leaders interviewed assess and manage their own position carefully, aiming to fi nd maximum support for their actions and clearly indicating they might have decided differently if they would not have found suffi cient support or it might have been unlikely for them to ‘win their battle’.

“At times I may have been too open and honest… Where I felt morally obliged to speak up, but to no avail… These were wrong battles to fight. …I learned you can’t go and fight everyone’s cause, you pick two or three you feel you can win. Now I am much more considered when speaking up. You need those wheels to turn, sometimes accept things have got to happen, as long as the big things, the long-term, the overall line taken, is morally correct.”Jonathan Curtiss, Head of HR Services,Bank of England

“Many decisions were already made so I was unable to influence – it then becomes about positioning and getting the balance between what you feel is right and what the business has already decided.”Richie Coulson, Regional Director,Business Development, Lloyds TSB Bank

Key question: How likely is it I can change the course of events?Questions to consider in the area of politics:

What is my current position? •

What shadow does my action or inaction cast • forward?

Where can I fi nd allies?•

What are others’ points of view?•

What does the situation look like from someone else’s • perspective?

What else is happening, is this working with or against • the spirit of times?

What works in this organisation?•

5 Badaracco, Joseph L. Jr., (1997). Defining Moments. Harvard Business School Press

Michie, S., Gooty, J., (2005). Values, emotions, and authenticity: Will the real leader please stand up? The Leadership Quarterly 16, PP 441-457

May, D.R., Chan A.Y.L., Hodges, T.G., Aviolo, B.J. (2003). Developing the Moral Component of Authentic Leadership, Organizational Dynamics, Vol. 32, No.3, pp. 247-260

Fisscher, O., Nijhof, A., Steensma, H. (2003). Dynamics in Responsible Behaviour. In Search of Mechanisms for Coping with Responsibility, Journal of Business Ethics 44, PP 209-224

Delves, R. (2007) The importance of exploring and validating personal values in creating a sustainable, authentic leadership style, 6th International Studying Leadership Conference, Warwick University, December

Delves, R. (2009) The Galaxy Effect, The Worldly Leadership Symposium, The Leadership Trust & The University of the West of England, May

Miner, M., Petocz, A., (2003). Moral Theory in Ethical Decision Making: Problems, Clarifications and Recommendations from a Psychological Perspective, Journal of Business Ethics 42, PP 11-25

L. Trevino, (1990). Ethical Decision-Making in Organisations: a person-situation interactionist model. Academy of Management Review 11, PP 607-617

6 Berkowitz, M. W., Grych, J.H., Fostering Goodness: Teaching Parents to Facilitate Children’s Moral Development, Marquette University, Milwaukee, WI

Lickona, T. (1983). Raising good children. New York: Bantam Books.

Richard D. White, (2008), Moral Development Theory, Encyclopedia of Public Administration and Public Policy, Second Edition

Loye, D. (2002), Brains and Mind, Volume 3, Number 1, pp. 133-150(19), Springer

Verplaetse J., c.s., (2009), The moral brain: essays on the evolutionary and neuroscientific aspects of morality, Springer


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The following case examples illustrate how these four key elements work in practice. They are real examples, identifi ed during the senior leadership interviews.


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Case example oneOn the second day of his job as Chief Executive of an NHS hospital, Nick is advised by the audit team that they have a concern around irregularities with the waiting list – over 1,000 people do not offi cially appear. He instantly realises this is a big issue as he is aware that national waiting list targets have to be achieved within three months and the Health Secretary has the reduction of waiting lists high on the agenda.

What should he do?

What would you do if you were in his shoes?

Nick decides to go public with the information. As a result he is interviewed live on the BBC Today programme and is unsure whether he will still actually have a job as a result of the publicity. After the storm calms down, Nick is still in his job and the trust in him from the local community has signifi cantly increased. In retrospect, although the situation was tense at the time, he now fi nds that this episode has given a strong message to staff about transparency. It also has reinforced one of the ‘organisational values’ that are announced in the same period: ‘build trust with the community’.

At fi rst glance this may look like a courageous decision and a lucky outcome, but in reality it was a carefully assessed business decision. Nick did have the courage to take this course of action, but also played to win.

“If you are unlucky, at some stage in your career you will have to make a choice: ‘Do I go along and behave the way I am expected to behave or do I do what is right?’ It isn’t courage, it is confidence. Confidence in the facts which you gathered and confidence in your own judgment, based on experience.” Trevor Harvey, Director of Resources,Ashridge Business School

Let’s look at how Nick’s actions are informed bythe four elements:

Irregularities

in the waiting list at an NHS hospital


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(a) ValuesNick indeed considered his personal values. He believes passionately in making a better NHS and believes he is accountable for doing just that in his position. In addition, he knows he is not prepared to dissemble at critical moments. He is also aware that fear often obscures values, but has learned not to let his decisions be guided by fear. And, crucially, he remembers one of his role models: one of his fi rst managers walked through the care home taking pictures off the wall, saying ‘I wouldn’t want to look at these myself, please get some decent pictures’. He concludes by saying:

“You have got to believe in things, otherwise why bother. I believe it was Martin Luther King who said ‘A man who isn’t prepared to die for something isn’t fit to live’.”

When asked how these values have been formed, Nick explains he has learned resilience when he was young, for instance playing music on street corners in the Salvation Army. And he adds:

“What helps me stand by my values is a strong faith-base. It also helped, I suppose, to see a mother and grandmother take their own course of action, against accepted rules in society. This builds resilience, strength of character.”

(b) Vision and goalsNick considers his vision for a good hospital in which trust with the community is a key element. He aims to build a strong management team and staff and personally believes that trust is key in building this. He isn’t just looking at what he wants to achieve for the business though: he also includes personal goals in his decision-making as he is aware this might cost him his job and he therefore has ensured that his family supports his decision. He was very much valued in a number of earlier positions which may just have helped as he now had nothing to prove to himself.

(c) Business contextNick assesses the situation from a business perspective. First, there are the waiting list targets, putting a lot of pressure on each hospital since business results count


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and there is a culture of short-term, tactical thinking in the NHS. The patients on the waiting list, however, are real, live individuals: they cannot be made to disappear and will somehow need treatment. Next he is aware of how this story might be received by his own staff and the media and indeed manages this carefully throughout based on his experience in previous directorships. He explains:

“In such a situation open communication is very important. My staff should know things before the press. I had open seminars with staff in the early days.”

He is aware of the potential legal consequences. One of the reasons Nick is brought in (as an outside manager for a hospital that urgently requires turn around), however, is the slightly uneasy relationship with the local community. Nick knows from experience that being honest builds trust with staff and the local community.

(d) Political situationNick is very aware of his own position, and – for instance – repeatedly mentions that he knew he only had a half-supportive management-team as he had just arrived in the job and was still building up his reputation with staff. He is also informed about the position of the Department of Health, which he knows is equivocal about whether he should go public. He fi nds an ally for his course of action, however, in his Chairman. When asked what gave him the courage to stand up he instantly responds:

“Strong support from my Chairman was key, I trust him fully. He was a senior manager in the oil industry and managed to maintain integrity, working within non-democratic countries.”

He then manages to include the board in his decision-making, linking into organisational values such as a strong sense of values in the board, and the way they drive for being trusted by the community. He also knows from experience his actions will cast their shadow forward, especially as he is just new in the job, and everyone is looking closely at his actions. Not being transparent now will give a strong message about his behaviour in later years.


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Case example twoGerry is a senior partner in PricewaterhouseCoopers and, as a forensic accountant, a client has asked him to advise in a pipeline dispute. His client believes the value of his claim is many millions, the other party however claims the value is zero. Unfortunately, after reviewing the case thoroughly, Gerry fi nds that indeed the value isn’t very high. He is very aware the client is paying his fees, and knows the client will be severely disappointed in his answer. The stakes are high for his client. If he presents the outcome he found, the pressure will be huge to change his opinion. The lawyers of his client will probably confront him and tell him they cannot use his advice. On the other hand the other side will also have hired an expert, who may have reached a similar valuation based on the facts.

What should he do?


Gerry decides to carefully tell the client his conclusions and manage the client’s expectations. The client does get angry, as he is severely disappointed. However Gerry feels he has given a credible opinion, which was backed up by his partners in the fi rm. His professional reputation is intact.

“I am comfortable and confident about my decision. The challenge is that my outcome is disappointing for my client. That can be a very painful and stressful situation.”

Let’s look at how Gerry’s actions are informed by the four elements:

(a) ValuesGerry feels a personal obligation to deliver a professional service and do the right thing. This personal value also guides his decision in this case. His past experience might have shaped these values – his Jesuit upbringing has instilled a strong sense of service. However he doesn’t explicitly mention this as informing his actions in this case, being careful to separate the business and the personal.

“Sometimes you are lucky, and decisions are black and white. But when they are not, you need a process… Some people would just go with their gut feel… But for me it is about having the discipline to make informed

Presenting an outcome unfavourable

to yourclient at PWC


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decisions, using intuition and judgement and then come up with the right answer. This leads to a better quality decision.”

(b) Vision and goalsGerry believes doing the right thing is good for his fl ow of work. Clearly his goal is to have a steady fl ow of work, based on a solid reputation. So he chooses to take a quality decision rather than satisfying an individual client.

“My welfare and flow of work are dependent on my reputation, independence and the quality I deliver.”

(c) Business contextGerry considers the reputation of the fi rm, which is based on the quality of his advice. In addition he considers the risk to the fi rm.

“You might end up losing short-term financial gain – however if you do give in to the client’s wishes, there is long-term reputational risk, which might be much more expensive.”

The potential exposure of the fi rm as a consequence of his actions is at the forefront of his mind. He illustrates this exposure by referring to the Enron/Arthur Andersen case.

(d) Political situationGerry is aware of his own position. Interestingly this element isn’t as key for him as it was for most other interviewees. In the highly regulated professional advisory services. There are many checks and balances to do the right thing.

“There is back-up in the firm. I have done my analysis, gone through all the risk management and quality procedures and processes, checked my results and consulted a peer. Because the partners will have helped me take the decision there is no risk of losing my job if I lose the client.”

Organisational values and culture make it easier for Gerry to stand by his decision in diffi cult situations.

“I get strength from partnership ethos, and from our values: Excellence, Teamwork, Leadership.”


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Raising a problem

in the accounts in a leading multinational technology company

Case example three

When Declan works in European Finance in a leading multinational technology company, he fi nds that one or two countries have amazingly low costs. As his project is about sharing best practice, he wants to learn more. But when he looks at the detail he fi nds they just don’t know their costs. As a result profi ts are overstated by tens of millions of dollars. He realises this is a signifi cant amount when related to overall profi ts. Therefore he probes the data intensely for another week, trying to fi nd another result. However, he cannot fi nd any mistakes in his conclusions.

What should he do?


Declan decides to get on with it and start fi xing it, so he shares the information with his boss. His boss doesn’t delay or cover-up, but gets on a plane and briefs the relevant colleagues. The matter is then sorted out internally. Looking back, Declan says:

“It was uncomfortable, but once people were over the initial horror, most people were true to the desire of integrity.”

Let’s look at how Declan’s actions are informed by the four elements:

(a) ValuesDeclan considers his personal values. He feels that, once you know, you cannot not say it. Also he has a strong value around honesty and integrity. He relates how role models have informed this value. His fi rst fi nance director once went ferociously after a senior person who had continued to use the company’s fuel card after he left. Many others might have let it go, as it was just a fuel card and such a senior person, but this person didn’t. This set the standard for him.

When asked, he confi rms that indeed they had extensive policies, value statements and accounting manuals in the company, however he explains in a crunch he went to his past experience. He had never seen anyone covering things up, so it didn’t enter his mind as a serious option.


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When asked where these values were formed he considers this happened well before starting work, as his father was big on dishonesty.

“It certainly was in my DNA that ‘honesty is worth something’. Even in my first job, as a 21 year old engineer, it would not have crossed my mind toshort-cut calculations.”

(b) Vision and goalsDeclan’s actions are guided by his vision on fi nance and the role he sees for fi nance in an organisation.

“If you cannot trust the figures from Finance, no one can trust anything in an organisation - you need to be able to rely on those.”

(c) Business contextDeclan takes the business perspective into account. For him there do not seem to be any real choices, as he believes the underlying problem had to be fi xed anyway. In addition he explains: “I am not a purist or naïve. However I do believe it helps the business if you are honest.”

(d) Political situationDeclan manages his own position. He refl ects on the reputation of his boss and knows the chances are high that it will be dealt with positively. In addition he explains how it really helps he works in a matrix organisation, as he ensures he creates an ally in his ‘dotted-line’ boss. He explains:

“It wasn’t really a conscious decision to tell him, but I knew I would be backed-up, which supported me in bringing the bad news.”

His perception of organisational values inform his decision as well. For instance once he lost an astonishing amount on the Stock Exchange really quickly. To his surprise instead of losing his job, he received lots of support. His boss and colleagues were of the view:“We are all in this together, let’s find ways ofmitigating this.”


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ConclusionFrom the above case studies it is easy to see that all four elements in the model are included in decision-making.

When using the model, it is important to realise that leaders often fi rst analyse and then manage each of the four areas. A leader has to decide: What is the situation, what are the facts, and how can I manage them to eliminate or neutralise their negative impacts?

“Understand the value you are fighting with, find some way, or a compromise that will accommodate you sticking with your own integrity. People get too hung up on absolutes. Diplomacy is all about that, see if you can find a way through.” Rear Admiral Lionel Jarvis, Assistant Chief of Defence Staff (Health), Ministry of Defence

Key questions in each of the areas areWhat are the facts?•

What will happen long-term if I don’t do anything?•

Is it worth the fi ght?•

How can I make it work? How can I manage the facts • to eliminate negative impacts and ensure a more positive outcome?

Therefore, successfully bringing moral values into leadership must by defi nition include analyses and management of all four elements mentioned in the model. It helps leaders decide which battles are worth fi ghting and helps them design a strategy for being most successful. Once the four elements are satisfactorily addressed, a successful outcome is much more likely.

After all, there is no certainty. A leader has to decide, choose, commit and act.


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Leadership,

m o r a l development,

ethics and c h a n g e management

Research methodologyThe research consisted of a literature review in the areas of: leadership, moral development, ethics and change management. This guided semi-structured interviews with 13 senior leaders in the UK in the private and public sectors between November 2008 and January 2009.

Interviewees were chosen with a special interest in leading from values. In addition they were required to be in a senior position in an organisation (top two levels of management), having led for a signifi cant amount of time (more than ten years) and have led a signifi cant number of people (more than fi fty). Thus, the group of interviewees consisted of people who have managed to be successful in their organisation; after all they have stayed and climbed to the higher echelons. In addition they have signifi cant experience in leading people. Their special interest in values indicates it can be expected they have experience in the way they apply these values as a leader.


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List of senior leaders interviewed

David Moorhouse, Chairman, Lloyds Register

Nick Carver, Chief Executive, NHS Hospital

Jonathan Curtiss, Head of HR Services, Bank of England

Richie Coulson, Regional Director Business Development,Lloyds TSB Bank

Andrew Duckworth, Director of Care, Social Housing

Gerry Lagerberg, senior partner / Chairman of the Supervisory Board, PricewaterhouseCoopers LLP

Kevin Bowring, Head of Elite Coach Development,Rugby Football Union

Nigel Redman, Former Coach of England Rugby Under 20’s, Elite Coach Development

Rear Admiral Lionel Jarvis, Assistant Chief of Defence Staff (Health), Ministry of Defence

Trevor Harvey, Director of Resources,Ashridge Business School

Declan O’Mahony, Director, Motability

Teresa Tunnadine, Headteacher, The Compton School

David Powell, Regional Vice President – UK Customer Relations and Sales, Westinghouse


AshridgeBerkhamstedHertfordshire HP4 1NSUnited Kingdom

Tel: +44 (0)1442 843491Fax: +44 (0)1442 841209www.ashridge.org.uk/Research

Registered as Ashridge (Bonar Law Memorial) Trust.Charity number 311096.


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