How do the authentic leaders make ethical decisions? Examining the mediating role of empathy

Abstract

Purpose Drawing on the behavioral integrity framework (Simons, 2002) and authentic leadership model (Avolio et al., 2004), the purpose of this study is to examine the relationship between authentic leadership and ethical decision-making. Furthermore, the role of empathy in this relationship is explored. Design/methodology/approach Data were collected from a sample of 306 managerial staff working in corporate companies across India using purposive sampling and survey method via professional networking platforms such as Linkedin, social media channels including WhatsApp, and e-mails, over a span of three months, with adherence to ethical procedures. Standardized instruments for measuring authentic leadership, empathy and ethical decision-making were administered to the participants. Findings Structural equation modeling analysis was used and the results revealed that authentic leadership positively predicted ethical decision-making. Furthermore, empathy significantly mediates the effect of authentic leadership on decision-making, enabling leaders to make legally and morally sound decisions through compassionate understanding and inclusiveness. Originality/value This study contributes to the leadership literature by demonstrating how authentic leadership and empathy enhance ethical decision-making and behavioral integrity among managers.

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