Absolute Truth as a Foundation for Ethical Leadership
By Jairy C. Hunter, Jr., president, Charleston Southern University
As legal developments continue to unfold in criminal proceedings against Enron Corp. executives, public attention has again turned to the company that kicked off last summer's series of Wall Street scandals. Before WorldCom, ImClone, Martha Stewart or Tyco, there was Enron. Michael Kopper, a key part of Enron's financial team, has pled guilty to wire fraud and money laundering; chief financial officer Andrew Fastow just this month pleaded innocent to a litany of criminal charges for which he is being prosecuted.
Justice is being served, but what about the thousands of employees who lost their livelihoods when the nation's seventh largest company got caught in its tangled web of off-balance-sheet partnerships and creative accounting? What about the thousands of other stockholders who believed in the company and invested accordingly?
As serious as the loss of life savings and jobs is, the problem is much bigger than that. The public's trust in corporate leadership – and leadership in government, entertainment and religion, as well – has also disappeared. These corporate chieftains certainly had the know-how to steer their companies on a straight path, and they could do so profitably. Why didn't they? What causes leaders to ignore what they know is right?
It seems obvious to me that some leaders are suffering from an acute case of relativism. There is a prevailing wisdom in many boardrooms and corner offices that all situations are negotiable and can be rationalized. Absolute truth, as it relates to right and wrong, doesn't have a seat at the table.
Far too many corporations seem to be suffering from one of two possibilities: either there is no ethical code, or it's not being followed. In higher education, there are reports of similar practices. An article that recently came to my attention noted that some professors are reluctant to turn in students who cheat because they don't want to take on the hassle of the process that follows.
I suspect there is a lot of that going on in the business world, too. Certainly, the majority of people know the difference between right and wrong, but it may seem too much of a hassle to get involved. There are threats of lawsuits, certainly, and time involved in pressing an issue.
Brian Tracy, a friend and professional speaker, says “Everything counts in life.” Personal responsibility matters, even when being responsible isn't convenient or could jeopardize a person's career. Character is what you do when no one is looking. What would have happened if Enron's Michael Kopper had blown the whistle on some of Enron's questionable financial dealings, instead of taking part in the alleged illegalities?
We are all responsible for the choices we make and the actions we take. Personal responsibility comes from within. But it can be introduced or influenced through knowledge and exposure to value systems, mentors and role models. One of higher education's roles must be to contribute good knowledge, mentors and role models to help students form values that yield a strong sense of personal responsibility. Journalists have noted that many of these scandal-plagued corporate titans attended the best business schools in the country, and some have questioned the approach business schools take toward the instillation of values and ethics in would-be CEOs.
As a graduate professor in Charleston Southern University's School of Business, I am frequently asked to review new business textbooks. Surprisingly, I find that authors aren't using a lot of ink on discussions about business ethics. In fact, the last seven books I've reviewed contained nothing of substance on the matter. A good illustration: a 192-page book on strategic management included just one paragraph on the topic.
Like other faith-based institutions, including our sister colleges here in South Carolina, Charleston Southern University seeks to educate the minds and the hearts of our students. We strive to impart book knowledge and to help them develop a biblically-based values system that will stimulate their sense of personal responsibility. We believe it is essential that students leave college prepared not only to balance a ledger sheet but also to change our world. Integration of faith and learning is instrumental in the development of our students into tomorrow's servant-leaders.
All leaders serve for something. The corporate CEOs in the news today seem to be chasing personal gain. But servant-leaders serve for the greater good. They lead by example. They always strive to do what is best for the larger community – whether it is a corporation, a classroom or a neighborhood.
CSU and our sister SCBC-affiliated schools offer students opportunities to develop these crucial values through a variety of programs that include global study and service outside the classroom.
For example, our students volunteer on campus, in the Charleston community and in national and international arenas. Dozens of our students spent Spring Break last year on mission trips, doing volunteer work in Charleston, South Carolina, and in Charleston, West Virginia. Summer break saw many of our students in missionary roles as far away as Kenya.
In the academic arena, our Honors Program includes an annual Ethics Seminar. The entire campus is involved in our Values & Ethics lecture series each spring, and last year's series featured business leaders from Charleston who talked about applying faith and ethics in their career lives. CSU's Teaching Fellows traveled to Ghana this summer where they taught in a village school, and our professors taught the African teachers. The CSU team came back richer for the experience, with a real lesson in servant-leadership.
Our sports program develops servant-leaders, too. Our Big Buc/Little Buc program pairs our football players and coaches with area children who need tutoring and positive role models. Other CSU athletes are involved in tutoring/mentoring outreach programs as well, and they volunteer when CSU hosts events like the Bell and Schlau Track Meet and the Special Olympics.
Servant-leadership is a byproduct of personal responsibility, which comes from a properly developed set of values. Faith-based institutions must offer students a set of values that reflects our Christian worldview, rooted in the absolute truth of the Bible – God's textbook for life.
Faith-based institutions can emphasize the ties between ethical business leadership and Christian living. All business schools can and should teach business ethics, but it is the nurturing of values and the development of responsible servant-leadership that will make the difference. In business and in life, servant-leaders must summon the personal convictions to do right, not wrong. Institutions of higher education must help them know the difference.
