Ethical Leadership in Food and Beverage Department of Four and Five star London hotels

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TABLE OF CONTENTS

Introduction1

Industry background1

Ethical standards and codes of conduct3

History and development of Ethical Leadership3

Antecedents of Ethical Leadership5

Ethical Autonomy5

The Categorical Imperative6

Definition of ethical Leadership7

Developing ethical leaders7

Factors that influence practice of Ethical Leadership11

Top management's support for ethical behaviour11

Organizational ethical culture12

Organizational factors on ethical decision making13

Individual Ethical Ideology13

Conclusion14

REFERENCES17

APPENDICES25

Questionnaire25

LITERATURE REVIEW

Introduction In the globalized and integrated world of the 21st century, morality and ethics are confounded by less visible national borders, cultural differences, historical perspectives, and continuous change. As standards of behaviour are intermingled and reshaped, various behavioural patterns emerge, creating new ethical questions and dilemmas. Morality is concerned with prescribed social practices, customs, rules, and mores passed through generations, cultures, and institutions as acceptable behaviour is defined. On the other hand, ethics is concerned with the justification of “right” action. Ethics require an understanding that moves beyond accepted practices and codes of conduct, demanding answers to questions involving what constitutes right action and defining its basis or motivation. An organizational pursuit of business goals implies a need for leadership (i.e., the coordination and motivation of resources toward a common end). In short, organizational leaders are key players in establishing and maintaining the critical relationship between organizations and society. They are responsible for organizational planning, direction, and resource utilization. The most pivotal aspect of their role is their responsibility to “chart the course” and influence the behaviour of all other organizational members toward the achievement of shared goals.

Industry background

Food and Beverage industry is diverse and dynamic. New menus, newer recipes, new demands and new preferences are experienced by the industry almost every day. This implies increased cost and staffing requirements in almost all the departments. The total cost of labour has to be matched with the revenues that the industry earns or the earnings of the outlet catering to the business of food and beverages. The labour cost per hour of operations is especially important in this regard. A flexible and permanent workforce gives the greatest productivity, but it needs work to create the structure.

In the industry, the number of full-time, part-time and hourly staff determines the total cost of labour. This is important for hotels and restaurants to budget their requirements for labour and staff in lieu of their earnings. The Value of accrued tax deductions is important for your cash-flow planning. Staff output per hour also implies significant consideration in the said industry. The labour cost as a percentage of the department's sales, costs compared to budget and return on Investment (ROI) for labour-replacing equipments are important implications of managing costs and staffing requirements. Donaldson (2000) asserts that conflicts of interest for leaders of organizations recur with disturbing regularity, often with serious consequences. Financial pressures and turbulent conditions put stress on ethical values (Donaldson). Some suggest that corporate culture increases pressure and creates conflict. Gini (2004) puts forth that Enron's failure is a result of the failure of corporate leadership to maintain a sound corporate structure and corporate ...