The ethical climate of an organization is not solely a reflection of the personality and morality of the leader. It is also a product of relationships. The interplay between leaders and followers and co-workers can cause the aggregate level of morality in an organization to rise and fall. People are motivated — and demotivated — to do the right thing partly by their environment and those around them. To reduce moral failures in organizations, you have to understand the bigger picture of human interaction.
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