Business scholars have recently proposed that the virtue of personal wisdom may predict leadership behaviors and the quality of leader–follower relationships. This study investigated relationships among leaders’ personal wisdom—defined as the integration of advanced cognitive, reflective, and affective personality characteristics (Ardelt, Hum Dev 47:257–285, 2004)—transformational leadership behaviors, and leader–member exchange (LMX) quality. It was hypothesized that leaders’ personal wisdom positively predicts LMX quality and that intellectual stimulation and individualized consideration, two dimensions of transformational leadership, mediate this relationship. Data came from (...) 75 religious leaders and 1–3 employees of each leader (N = 158). Results showed that leaders’ personal wisdom had a positive indirect effect on follower ratings of LMX quality through individualized consideration, even after controlling for Big Five personality traits, emotional intelligence, and narcissism. In contrast, intellectual stimulation and the other two dimensions of transformational leadership (idealized influence and inspirational motivation) did not mediate the positive relationship between leaders’ personal wisdom and LMX quality. Implications for future research on personal wisdom and leadership are discussed, and some tentative suggestions for leadership development are outlined. (shrink)

We trace the genealogy of wisdom to show that its status in epistemological and management discourse has gradually declined since the Scientific Revolution. As the status of wisdom has declined, so the status of rational science has grown. We argue that the effects on the practice of management of the decline of wisdom may impede management practice by clouding judgment, degrading decision making and compromising ethical standards. We show that wisdom combines transcendent intellection and rational process with ethics to provide (...) a balanced and integrated way of knowing, deciding and acting for managers in a complex and uncertain business environment. Finally, we discuss the role and value of wisdom across a range of business functions including knowledge management, strategic management, leadership and international business. (shrink)

We trace the genealogy of wisdom to show that its status in epistemological and management discourse has gradually declined since the Scientific Revolution. As the status of wisdom has declined, so the status of rational science has grown. We argue that the effects on the practice of management of the decline of wisdom may impede management practice by clouding judgment, degrading decision making, and compromising ethical standards. We show that wisdom combines transcendent intellection and rational process with ethics to provide (...) a balanced and integrated way of knowing, deciding, and acting for managers in a complex and uncertain business environment. Finally, we discuss the role and value of wisdom across a range of business functions including knowledge management, strategic management, leadership and international business. (shrink)

We trace the genealogy of wisdom to show that its status in epistemological and management discourse has gradually declined since the Scientific Revolution. As the status of wisdom has declined, so the status of rational science has grown. We argue that the effects on the practice of management of the decline of wisdom may impede management practice by clouding judgment, degrading decision making, and compromising ethical standards. We show that wisdom combines transcendent intellection and rational process with ethics to provide (...) a balanced and integrated way of knowing, deciding, and acting for managers in a complex and uncertain business environment. Finally, we discuss the role and value of wisdom across a range of business functions including knowledge management, strategic management, leadership and international business. (shrink)

This study contextualizes business leaders’ perspectives on business-society interaction through the theoretical lens of wisdom. Morally effective interaction between business and society relies on shared perceptions of expected values grounded in leaders’ virtuous behavior. Through empirical fieldwork across industries in a developing society, the article documents how local business leaders perceive wise leadership in dealing with socially complex problems. Using grounded theory, we inductively developed a model of wisdom, executive wisdom, that identifies 14 characteristics of wisdom, located in three groups: (...) technē, wise decisions, and virtuous disposition. The findings broaden the view of the complex nature of wise decision-making in the business-society context. (shrink)

Leaders are faced with ethical and moral dilemmas daily, like those within the military who must span from large-scale combat operations to security cooperation and deterrence. For businesses, these dilemmas can include social and environmental impact such as those in mining; and for governments, the social and economic impact of their decision-making in their response to COVID-19. The move by Western defence forces to align their foundational principles, policies, and “soldier” dispositions with the changing values of the countries they serve (...) are starkly illustrative of challenges faced by all leaders. While admirable, such changes face the apparent contradiction of enhancing individual moral agency within a hierarchical organization that maintain enforceable codes of conduct. Ethical leadership theory provides aspirational goals, but lacks empirically based guidance on how to implement policies that facilitate values-based behavior. Using a discourse theory analysis of a moral dilemma vignette with Royal Australian Air Force personnel, this research identifies important aspects of agency and subject position that must be addressed if such policies are to succeed. These findings show that the potential contradiction can be addressed by acknowledging the contrasting tendency to bureaucratic process by leaders at upper levels, while lower-level leaders address moral issues by incorporating their subjectivity and making a conscious deontological choice between humanity and comrade loyalty. (shrink)

This paper considers how a Shi’a Islamic perspective of wisdom can inform contemporary business ethics theory. Given the growing business ethics literature that adopts an Islamic orientation, it is vital that Islamic tenets in a business context are established. Thus, this paper thoroughly researches the tenets of Shi’a wisdom theory using a hermeneutic analysis, guided also by Iranian theological scholars of ancient Persian and Arabic foundational texts, to provide a comprehensive explanation of the foundations of Shi’a faith relevant to business (...) ethics. Having established the principles of Shi’a wisdom, we outline points of consonance and dissonance in comparison to the Western humanist, primarily Aristotelian, orientations to wisdom. Although identifying apparently irreconcilable differences, this analysis reveals important elements of Shi’a wisdom theory that can significantly invigorate and influence business ethics theory. (shrink)

This paper considers the problem of situating spirituality in the contemporary workplace that has little direct concern for contemplating the nature of the ultimate, immaterial reality, the greater good, or the inner life of employees’ souls. We argue that contemporary discourse has accommodated spirituality (in the workplace) primarily as either an opiate that dulls psychic pain or as an abstract formula that obfuscates our conditions of existence and actually reduces our capacity for transcendence or going beyond. Clearly this is meant (...) to be a provocative paper, but our purpose is to use intellectual rigour to question the assumptions underlying workplace spirituality. (shrink)