The procurement function in organizations is a line of business where a great deal of potential for fraud exists. Procurement staffs are responsible for the purchase of supplies and inventory, therefore it is possible that staff can misappropriate organizational resources for their own benefit. The purpose of this quantitative correlation study was to examine the influence that ethical leadership, moral justification and displacement of responsibility have on unethical deception behavior by procurement staff. A sample of 153 workers in organizations in the U.S. rated ethical leadership of their manager as well as their behavior of moral justification, displacement of responsibility and unethical deception. The findings of this research support ethical leadership as a significant influencer of unethical deception. Further, displacement of responsibility had a significant indirect influence on the relationship between ethical leadership and unethical deception. These findings are indicative of the influence that a sense ownership will have on the relationship between behavior that a leader models and the performance of this behavior. It is proposed that procurement managers practice ethical leader behaviors to support ethical behaviors in the people who follow them.
|Subjects||Business administration; Management; Organizational behavior|
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