This post first appeared in BizDean Talk and is reprinted with their permission.
Linda Livingstone, PhD
A prominent hedge-fund manager pleads guilty for running a scam with worldwide investor losses as high as $50 billion. A Texas billionaire is accused of conducting an $8 billion investment fraud. A major assisted living operator and its founder are accused of massive securities fraud on $2 billion worth of housing that soured as the real estate market dived. Owners of a company that manage hundreds of millions of dollars for universities and charities stands accused of bilking $100 million from the organizations they purported to help.
And these are just the headlines since December. It leaves an ordinary person with a sense of wide-eyed wonderment. “Who in the world could do such things? How did they get that way? Do they even have a heart?”
As Dean of a large business school, I am often asked about character. Could leaders with some virtue have steered clear of these temptations? Where does character come from? Can business schools influence character? Should they? How?
I would argue that ‘yes,’ character clearly counts in the business world, and ‘yes,’ graduate business schools do have a role in encouraging and developing character.
Countless studies have shown that corporate leaders who demonstrate positive character traits positively impact the long-term reputation of the company. That is why in many business schools, the stated mission focuses on developing leaders with character. As a group, business schools have dedicated tremendous resources to researching, analyzing, teaching and scrutinizing character development. But clearly there is more that needs to be done if the impact is to be meaningful and lasting. Continue reading ‘Putting the Heart Back into Business’
