The Importance of Ethical Leadership

This research has provided evidence that leaders who are ethical and transformational are more effective, and each of these behaviors can incrementally contribute to explaining and predicting the effectiveness of a leader. The research has not supported the theory that (a) subordinates¿ preferences and expectations for ethical leadership or (b) the perceived ethical climate of an organization moderated the relationship between a leader¿s ethical leadership behaviors and the perceived leader¿s effectiveness. Additional research is encouraged that assists academics and practitioners in determining how these combined leadership qualities may be further developed in leaders to add to their overall effectiveness. Further research, specifically in the accounting profession, is encouraged to restore a profession tarnished with accusations of unethical behavior to one that regains its original prominence based on moral, ethical, and effective leaders.