The
article discusses research conducted by consulting firm KRW International on
the relationship between organizations’ performance and the ethics and
character of their chief executive officers (CEOs). It notes that ethical
leadership in the study was defined in terms of four principles: integrity,
responsibility, forgiveness, and compassion. It summarizes the study’s finding
that organizations with CEOs who were highly rated by their employees with
respect to these criteria achieved far better financial performance than those
with CEOs receiving low ratings. Comments are presented from KRW cofounder Fred
Kiel, who led the study.