Ethical and despotic leadership, relationships with leader's social responsibility, top management team effectiveness and subordinates' optimism: A multi-method study

Abstract

In this multi-method study, we examined the relationships of leader's social responsibility with different aspects of ethical leadership (morality and fairness, role clarification, and power sharing) as well as with despotic leadership. We also investigated how these leadership behaviors relate to effectiveness and optimism, using multiple-source ratings. Interviews with CEOs ( N = 73) were coded for the presence of leader's social responsibility and its facets. Also, using questionnaires, direct reports rated each CEOs' leader behavior ( n = 130) and a second group of direct reports ( n = 119) rated effectiveness and optimism. As expected, leaders high on social responsibility were rated higher on ethical leadership and lower on despotic leadership. Ethical leadership was also positively related to perceived top management team effectiveness and subordinates' optimism about the future of the organization and their own place within it.