Abstract

Many contemporary theories on good leadership (e.g., ‘moral leadership’, ‘responsible leadership’, ‘authentic leadership’ or ‘transformational leadership’) emphasize the importance of intrinsic motivation in followers and of leading by example. This also involves a rejection of the use of power and manipulation as well as advocacy for virtues such as modesty and a concern for equality. By focusing on magnanimity (Aristotle's virtue of the great), we show that, contrary to what contemporary theories often claim, there are good reasons for exemplary leaders not to be modest, to point out their greatness in comparison with others, and to make use of external goods and incentives, particularly honor. This conceptual virtue ethical analysis results in specific lessons for the ethical manager who wants to lead by example and points to new questions for empirical research on the determinants of effective ethics management.