Blackburn Accounting

In the spotlight Leadership in a digital-age!

The message to Readers, be aware of the implications and consequences!

With most aspects of private and Business life in the public arena, never before has ethical and moral behaviour, standards of integrity and honesty been more important.

Morality refers to an individual's internal sense of right and wrong, doing the ‘right’ thing. Business ethics are the principles and values that guide corporate conduct, decision-making and stakeholder interactions. These compass honesty, fairness and transparency that go beyond legal requirements.

Today’s digital–era presents a new set of circumstances. It exposes personal life and professional conduct, and the repercussions when the two collide very publicly! The slightest of misdemeanors potentially has and do bring down the mightiest of Companies and their Leaders. You have seen the headlines! No Industry is immune or can slip under the radar.

Ethics and morality are about the Leader who demonstrates these values both inside and outside the Company. Breach of that code undermines trust and confidence in both Leaders and the Organistions reputation.

There is the moral manager who promotes ethics through standards and structure along with the moral person who embodies those values in interpersonal relationships, sound moral judgement and personal behaviour. Delve into leadership psychology for more on this subject.

It’s now apparent after the recent fallout of the very public concert images that when the custodians of ethics, those at the top break the rules, organisational trust, creditability and culture suffer. These are the damaging consequences that come with associated risks! Investors are investing in both the product and the Leadership group. Bad publicity and scandal at the highest level threaten confidence in governance and Business stability.

Simply put, morality has become a Business asset.

Let’s look at Ethical Leadership more closely.

Traditional leadership development still promotes strategy and execution, which are important elements, but without ethics, public self-awareness and emotional intelligence, those competencies are insufficient.

Today’s leadership now requires a new skill, ‘digital-era’ awareness and judgement. Use of Smartphones and social media blurs the lines between professional and personal lives. In this period of constant visibility and exposure, moral failure has consequences for both the individual and Business enterprise.

And when in the spotlight, a Company’s values are tested, as to whether its ethics are simply words or real operational standards. It’s more than going into damage control. To win back trust and restore integrity, the Organisation must take action driven by vigorous and robust commitment.

Building ethical trust starts with redefining corporate governance.

Choosing Board Members. In our modern era, Member selection should be based on strategic competence coupled with character assessment. Consider, do those in a position of power qualify in terms of ethics and integrity?

Company values must be clearly expressed, understood, and enforced regularly. Ethical standards and upholding them are the responsibility of everyone, from the top down. Lead by example.

HR must be and remain beyond reproach. Accountability and transparency are crucial elements when ethical failings occur by those meant to protect cultural integrity.

Leadership Succession Planning. This is vital to ensure that if the situation arises, an appointment can be made quickly to help stabilise the Company. Plan ahead, foster, and develop your Team built on strong Organisational and personal moral and ethical standards. Build a Team on solid accountable foundations.

Takeaways!

Ethics, integrity and moral behaviour are the responsibility of everyone.

Think before you act, personally, professionally in private or publicly!

Business

Scenario 1: The fights in the media have been played out very publicly as siblings scrabble over who will take over the media empire when their father passes. Family unity is long gone in this succession nightmare as feuding to-be heirs speak through their lawyers. Not pretty or nice!

Scenario 2: On the other hand, another media mogul is enjoying the benefits of thoughtful and careful early Succession Planning. Family members are treated equally without gender disparity, dynasty pressure or inheritance conditions. This Business tycoon will leave a legacy that has eluded many millionaire and billionaire families in the transfer of inter-generational wealth

Whether your Business wealth is substantial or modest Succession Planning is a must to put your affairs in order. Why leave things to chance, hopeful good intentions or relationships. You have worked hard to establish a successful Business, to enjoy, reap the rewards and leave a legacy for future generations.

Not sure what to do or how to prepare?

Contact Blackburn Accounting we are your Family Business Specialists we offer solutions to the following issues, Succession Planning, Financial structures, Strategic Planning, Retirement and Estate Planning, Resolving conflict and more....

Strategy 6: Excess Stock

How often do you review your stores and stock?

Are you holding too much including old, discontinued or slow selling items?

Tips:

Take stock of all your reserves

To reduce or shift, consider offering discounts for bulk orders

Use online promotions such as auctions to clear stock

Monitor sales to track flow and movement

Undertake regular inventory stock-takes to keep on top of supplies & stores

Poor Leadership comes with a list of behaviours and characteristics, the complete opposite of effective, good leadership.

You have probably encountered one of these ‘poor’ Leaders who failed to be Leaders! Lacking were words and actions to inspire or motivate us to give the best of ourselves and help achieve Business success. You will recognize the symptoms of low morale, stress and conflict, all tell-tale signs of poor leadership.

Let's profile ‘poor’ leadership with 6 Strategies to avoid becoming that ‘bad’ Leader.

Poor communicator: Poor Leaders often feel the need to dominate and control the conversation and do so by interrupting others. They are the loudest voice and usually bad listeners. This behaviour can have a devastating effect on staff, who will withdraw, feel undervalued and lose respect.

Strategy 1: Communication is a two-way street. Become a better communicator, a conversationalist by letting others have a say and listen attentively while they do so. Be an active listener, avoid interrupting and high jacking the conversation with your point of view. Share the ‘floor’ to get input from all involved.

Micromanaging: The poor Leader feels the need to closely manage every detail, to control and often lacks the trust to delegate. This over-bearing scrutiny dampens and hampers staff spirit, sabotages self-belief and destroys Team morale.

Strategy 2: Look for the signs. Self-awareness is crucial. How do your staff react to this close monitoring. Do they welcome and embrace your suggestions, interventions or do they shy away, become disengaged. Importantly, build bridges by asking if or how you can support them and leave them to do their job.