We long for nobility, virtue, character, and altruism… yet all too often find the opposite.
The Call for Virtuous Leadership
In his book The Virtue Proposition, SLG founder Sig Berg writes,
“We long for nobility, virtue, character, and altruism… yet all too often find the opposite. It can change; it must. It requires the inspired, the courageous, the change-makers to embrace the virtue proposition. It requires leaders to have technical competence and solid relational skills. However, those two components must be integrated with a crucial third element, often missing today: virtue intelligence (VQ). This core component embraces five timeless and transcendent virtues: love, integrity, truth, excellence and relationships (LITER), all catalyzed by courage. Integrated with emotional intelligence, virtue intelligence serves as an internal compass guiding a leader’s life, decisions, and behavior. These virtuous leaders will become leaders of virtuous teams that are able to deliver superior results.” (The Virtue Proposition, Page 6).
During breakfast on Christmas morning, I was reminded of the importance of virtuous leadership when our conversation shifted to the killing of United Healthcare CEO Brian Thompson. The Millennials and Baby Boomers at the table had differing views on the ethics of the incident. Coincidentally, the very next morning, I was listening to Simon Sinek’s podcast A Bit of Optimism, where Simon and Trevor Noah were discussing the same issue. I regret they weren’t at our Christmas breakfast table.
Ethical Fading: Rationalizing the Unethical
Sinek brought up the topic of ethical fading, which he briefly defined as the rationalization of unethical behavior. There was some agreement that the healthcare industry in America has created a system where many people with insurance have lost faith in whether the care they need will be covered as expected. While the healthcare system faces significant systemic pressures, including high costs and administrative hurdles, we must ask if prioritizing profits over patient care is sustainable in the long run. Virtuous leadership within the healthcare system requires leaders to balance the financial realities of the business with a deep commitment to improving patient outcomes and restoring public trust.
Profit vs. People: Striking a Balance
Several other industries have created algorithms that prioritize profit over the well-being of citizens. We read about issues with homeowners insurance, pharmaceutical suppliers, and social media providers, to name a few, using practices that knowingly create hardship and harm, yet continue with the goal of profit. I accept that businesses operate in a competitive environment where profit is a primary goal. Yet, research has shown that companies that embrace virtuous leadership—such as transparency, fairness, and sustainability—are more likely to build long-term success. Companies like Patagonia and Ben & Jerry’s demonstrate that ethical leadership can drive both profitability and positive societal impact.
During the podcast, Trevor Noah commented that when people were asked if they agreed with the killing and apparent vigilantism related to the shooting of the CEO, they would say, “No, BUT I understand it.” The Millennials sitting around our table at breakfast were pretty passionate about saying, “No, we do not condone murder, but we are equally passionate about the ‘BUT, I understand it.’” The frustration that fuels actions like the killing of a CEO may be understandable to some people in the context of widespread disillusionment with healthcare and corporate greed. We all have different levels of tolerance. Yet, it is crucial to unequivocally reject violence as a solution. Ethical, virtuous leadership in business is essential not only for long-term success but also to prevent the erosion of trust that leads to such extreme reactions.
I doubt the death of one man—especially one who symbolized an industry deemed unethical by many—will cause the boards and leaders of other companies, who seem to have placed profit over virtuous leadership, to reconsider their policies and algorithms. BUT, it should.
The Collective Responsibility for Virtuous Leadership
CEOs play a critical role in setting the ethical and virtuous tone for their organizations. SLG believes the responsibility for fostering a virtuous business culture extends beyond individual leaders to the entire business structure, including employees, investors, and boards. Followers share many of the responsibilities of the leader. Some companies are investing in developing leaders who can build virtuous teams. Some companies are making great profits while simultaneously putting people and virtues over money. Noah joked that the CEO of Ben & Jerry’s does not need security due to the policies and services his company provides. I am sure I am one of millions who would prefer to live in a country where all workers, including CEOs, are safe at home and work. I am confident that virtuous leaders who face difficult decisions will make them for the greater good of the people they are serving.
Wouldn’t it be great if next Christmas, Millennials, Gen Z-ers, and Boomers were celebrating the consistent and great services provided by the industries we rely on? I am convinced that the first step in that direction is the commitment of leaders to be virtue-driven. Virtue and profit are not mutually exclusive. We all know virtuous leaders who are greatly successful. Perhaps because of the time of year, George Bailey from It’s a Wonderful Life comes to mind.. Corporate boards and their leaders, as well as small business owners, have a choice. I hope they choose virtues.
Mike has been an SLG volunteer since 2019. He has served as an SLG Certified Mentor, EQ-i Coach, and Program Manager.
In 2020, Mike completed a 44-year career in independent and international school education, including 23 years as the head of two schools. He joined Educational Directions in June 2020. Mike assists independent schools with searches for Head of School and other senior administrative positions. Mike also serves on the Board of Trustees at The Vanguard School in Lake Wales, Florida.
Mike and his wife Robin live in St. Petersburg, Florida. They have 3 sons and one granddaughter.