• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Submissions
  • About Us
  • Contact Us
  • Jun 2, 2023
  • Startup
    • Creating a Plan
    • Funding a Startup
    • Franchise Center
    • Getting Your Office Ready
    • Making Your Business Official
    • Marketing Your New Business
    • Personal Readiness
  • Run & Grow
    • Customer Service
    • Human Resources
    • Innovation
    • Legal
    • Operations
    • Risk Management
  • Leadership
    • Best Practices
    • Communication
    • Green Initiatives
    • Open Culture
    • Strategic Planning
    • People Skills
  • Sales & Marketing
    • Advertising and Lead Generation
    • Marketing Innovations
    • Marketing Plans
    • Online Marketing
    • Relationships
    • Sales Activities
  • Finance
    • Budgeting and Personal Finance
    • Payments and Collections
    • Tax and Accounting
    • Pricing Strategy
    • Working with Investors
    • Working with Lenders
  • Tech
    • eCommerce
    • Hardware
    • Software
    • Security
    • Tech Reviews
    • Telecom
  • Shop

SmallBizClub

Helping You Succeed

taxbandits banner
Home / Leadership / Best Practices / You Are Your Company’s Moral Compass
You Are Your Company’s Moral Compass

You Are Your Company’s Moral Compass

1852 Views

Jun 27, 2018 By Dave Berkus

Here’s yet another story that you may identify with—or have yet to experience in your business life. It’s one of those that define your leadership for all to see, sometimes based upon decisions made in the moment—such as this one.

A story of a CEO’s snap judgment call

Years ago, when I was CEO of my record manufacturing company in Hollywood, I happened to walk around the plant into the press room just as Bobby, one of the employees’ favorite coworkers, was offering stolen merchandise to his fellow pressmen from a bag he was carrying. He halted, and waited for me to react, obviously caught in the act. Everyone loved Bobby, a hard worker and good friend. But I fired him on the spot; the only possible response to the situation presented me so suddenly. After initial shock, a number of employees came to me that day and said that they understood how hard that decision was, but that they knew it was the right thing to do.

How your decisions affect your company

You will find many times during your management years when such decisions are placed before you, requiring quick unwavering response to an ethical challenge to you or your company. How you comport yourself in these situations is absolutely the litmus test for how your company culture will reflect your actions. Take home company supplies for personal use? Your employees will surely follow your lead, no matter what the policy. Treat personal expenses at company cost, and your sales people will feel just fine doing the same until caught.

Behave without regard for an individual’s dignity when separating an employee who is a direct report, and other managers will feel little compunction to spend the extra time and energy softening their actions. Alter any accounting result for the sake of making a month look good, and your accounting department will get the message that GAAP accounting is just for show.

It is the difficult decisions that define your leadership

It is not easy to always be the moral compass for the organization, but it is the right thing and cannot be compromised. And you will continue to enjoy the stories of times taking the high road as retold to you by your employees over time.

Filed Under: Best Practices Tagged With: Ethics, Leadership, Making Decisions

Source: Berkonomics

Dave Berkus

Dave Berkus

Dave Berkus is a noted speaker, author and early stage private equity investor. He is acknowledged as one of the most active angel investors in the country, having made and actively participated in over 87 technology investments during the past decade. He currently manages two angel VC funds (Berkus Technology Ventures, LLC and Kodiak Ventures, L.P.) Dave is past Chairman of the Tech Coast Angels, one of the largest angel networks in the United States. Dave is author of “Basic Berkonomics,” “Berkonomics,” “Advanced Berkonomics,” “Extending the Runway,” and the Small Business Success Collection. Find out more at Berkus.com or contact Dave at dberkus@berkus.com

Related Posts

  • 3 Principles to Be a Great Business Leader, Not a Manager
  • top-7-tips-for-individuals-starting-a-pharmacy-business5 Key Features of A Pharmaceutical Company That Drives Results
  • good-accounting-habits-for-small-business-ownersRunning a Small Business is Hard, But It Doesn’t Have to Be Complicated

Primary Sidebar

Random

15 Reasons No One Cares About Your Small Business Right Now

May 31, 2023 By Jeremy Bowler

4 Things to Keep In Mind When Choosing Your Next Vehicle

May 30, 2023 By Becky Wilson

How to Compare Guaranteed Investment Certificates

May 30, 2023 By Paul Williams Short

Why Is It Important To Tell A Story In Your Marketing?

May 26, 2023 By Dan Alvin

The Power of Collaboration: Why It’s Essential for Small Businesses

May 25, 2023 By SmallBizClub

Footer

About Us

Small Biz Club is the premier destination for small business owners and entrepreneurs. To succeed in business, you have to constantly learn about new things, evaluate what you’re doing, and look for ways to improve—that’s what we’re here to help you do.

  • Facebook
  • LinkedIn
  • RSS
  • Twitter

Copyright © 2023 by Tarkenton Institute, Inc. All Rights Reserved | Terms | Privacy