Question

Discuss the role of ethical leadership behavior in public accounting firms and how ethical leadership influences the internal communication and employee outcomes in the organization.

Answer 1

Ethical leadership refers to guiding the employees to a system of moral principles or rules of behaviour thus directing them to do the right thing in the right approach. The ethical leadership behavior plays critical role in nurturing public accounting firms as have obligations and trustworthiness to employees, suppliers, the government, and the public at large. The engagement acts as significant outcome of ethical behavior in leadership and symmetrical internal communication. The credibility of leadership is of utmost importance in the public accounting firms because leaders are widely perceived as one of the vital sources of information for employees. A strong internal communication enhances productivity and performance of organization. The ethical leader behaviours of people orientation and power sharing are predicted to increase psychological attachment of employee and cultivate a sense of belongingness, thus causing an employee engagement and efficient outcomes in the organization