The imperative of ethical leadership: lessons learned from Boing’s ethical missteps
Catherine Li-Yunxia (Transforming leaders, Moving the world)
The CEO Coach | Top 10 CEO Coach & C-suite Coach, Worldwide | Certified Master Executive Coach | The Leadership Speaker| CEO Succession Coaching| CEO Transition Coaching
Honestly,
(Okay, I’ve never said “to be honest” or “honestly” in my expression, as I feel that we’re always honest right? Why do we have to say it? However, I now finally get it… It’s not that they’re not honest when they don’t say it. It’s that they want to emphasize things when they say.)
So, to be honest, I have been waking up at night ever since I saw the news about a panel of an Alaska Airlines-operated Boeing 737 MAX 9 jet blowing off.
The teenager who sat close to that door had his shirt sucked off his body when the panel blew out due to the pressure.
The consequences of being unbelted at such a moment are unthinkable.
However, what could have happened if that teenager was unbelted?
It could be that he was just go to the toilet or coming back to his seat.
What could have happened if less than a two-year-old baby?
Babies aren’t required to wear a seatbelt, sat in that seat.
These imaginings keep me awake at night.
I believe many people, especially parents, think the same.
And this incident is just one small example of many from Boeing’s aircraft crises.
A series of crises at Boeing underscore the critical importance of ethical leadership in business.
From safety failures to production scandals, Boeing’s missteps serve as poignant reminders of the profound impact that ethical lapses can have on organizations, stakeholders, and, most importantly, people’s lives.?
1. ???Ethical Business?
a. Ethical Breaches at Boeing
Boeing’s ethical breaches ranged from compromising safety certification processes to using substandard production materials.
These actions not only jeopardized public safety but also eroded trust in the company’s integrity and governance.
I still can’t wrap my head around such decisions:
You’re producing airplanes that fly thousands of feet in the air with people on board. You’re not producing an immovable table with a few feet on the ground.
What caused you to make decisions on no quality control of production?
We must Prioritize Ethics in Leadership.
No discussion.
b. Impact on Lives
The Human Toll of Unethical Decisions.Boeing's unethical decisions had devastating consequences, resulting in tragic loss of life, injuries, and irreparable damage to the company's reputation.
It cannot be overstated.
It underscores the profound responsibility that leaders bear in safeguarding the well-being of all stakeholders.
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2. Choose Leaders Based on Who they Are
The true essence of leadership shines through, anytime, anywhere.
It’s not merely about meeting performance metrics or conforming to external expectations; it’s about leaders being authentic to their core values, integrity, and authenticity.
Choosing leaders solely based on their performance metrics isn’t sufficient.?Leaders must embody authenticity and integrity in every decision they make.
In the case of Boeing’s crises, authentic leadership could have made a pivotal difference:
Leaders who are deeply rooted in their values would prioritize safety over profit, ensuring that ethical considerations guide every aspect of decision-making.
And I feel very sorry for Boeing.
It took over a hundred year to build a solid brand but it got ruined by unethical leadership. It isn’t about the company, the brand, but all about leaders.
It’s all about Boeing’s leadership who made unethical decisions, failed in transparent communication and created wrong culture:
a. Unethical Decision-Making: Unethical decision-making by Boeing's leadership was driven by various factors, including pressure to meet financial targets, inadequate oversight, and a culture that prioritized profit over safety.
b. Non-transparent Communication: There were instances where Boeing’s leadership failed to adequately communicate with regulators, airlines, and the public about the MCAS system and its potential risks.?
What promoted you to risk the lives of your passengers by hiding new product features and security vulnerabilities?
It’s the airplane that flies in the sky, not an umbrella that can be broken while covering rain above your head.?
c. Corporate Culture: There were allegations that Boeing’s corporate culture prioritized production targets and shareholder interests over safety.?This culture has discouraged employees from raising concerns or questioning decisions that could impact safety. ??
d. Regulatory Relations: Boeing’s relationship with regulatory agencies, particularly the Federal Aviation Administration (FAA), came under scrutiny.?There were concerns about the close relationship between Boeing and the FAA, which some believed compromised the rigor of the aircraft certification process.
3. Purpose of the Organization
The purpose of an organization extends beyond profitability and financial returns.?
Leaders who align their organizations' purpose with ethical principles create more meaningful and sustainable businesses that contribute positively to society.
Boeing's misalignment of the organization's purpose and leadership serves as a stark reminder of the profound impact that ethical leadership—or the lack thereof—has on organizations and society at large.
What was Boeing's original purpose when it was started? Boeing's mission is "to protect, connect, and explore our world and beyond. Every day, we are dedicated to carrying out our mission – safely and sustainably."
However, the previous leadership (more accurately, two CEOs who left due to those crises) completely derailed Boeing's purpose and mission.
4. ?Board Leadership and Integrity
Board members play a crucial role in shaping the direction of a company. Again, choosing leaders based solely on performance metrics is no longer sufficient.
Boards must prioritize integrity, values, and authenticity when selecting executives to lead their organizations.?
I firmly believe Boeing now must choose a new CEO who prioritises Purpose and Ethical business over purely financial returns. It doesn't seem that this century-old organisation has a choice now.
At the end, as leaders, it is incumbent upon us to uphold the highest standards of ethics and integrity, both for the well-being of our organizations and the greater good of humanity.
Until now, honestly, my head still hurts.
And my heart too…
A learning and growing people leader.
7 个月https://www.marketwatch.com/story/boeings-outgoing-ceo-david-calhoun-got-millions-in-extra-awards-just-a-year-ago-e1c98444?mod=search_headline&mod=article_inline&authId=1*fowato*_a*OXVlNzBXY3ZsaEZsRkRyOXBuMnlPWWE3NTVFVjJUdzhLNHE4cVd3bFN4aTBQMXg1VFlBOUZwcmhnZWZNWnVZQw..
Purpose is the new strategy; Meaning is the new success. I bring nonprofit insights and lessons of perseverance to the corporate world | Fortnightly updates via Genesis 2 newsletter
8 个月Wow Catherine, I wasn't aware of Boeing's ethical failures till now. Your analysis is thought provoking and the potential human toll is chilling to contemplate. Your call for authentic, value-driven leadership is a wake up call and desperately needed. Thanks for bringing this critical aspect of leadership to our attention.
“Business should never be allowed to justify mean, thug ugly deals for any reason.” - Ralph Steadman
“There is no such thing as business ethics; there’s just ethics. People try to use business and ethics as something separate, but it’s not.” - Anita Roddick 2. “Business ethics is not
“It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently.” - Warren Buffet