Relationship Between Ethical Leadership Through Leader Practices Of Decision Making, Two-way Communication, Reinforcement And Ethical Climate

Ethical leadership is becoming an important organizational strategy in achieving its objectives in the fourth industrial revolution era. This study aimed to explore the impact of ethical leadership practiced through decision making, two-way communication, reinforcement towards ethical climate among organizational leaders. Cross sectional technique was employed to collect primary data from 150 employees from corporate organizations within West Malaysia. Data analysis was conducted through Partial Least Square – Structural Equation Modeling (PLS-SEM). The findings of the analysis indicated that there was a significant relationship between decision making and ethical climate, there was also significant relationship between two-way communication and ethical climate, and the connection between reinforcement and ethical climate was also found to be significant. Statistically, these outcomes confirmed that decision making, two-way communication and reinforcement practiced by leaders are the determinant factors for ethical climate in the organizations involved. Thus the findings of this study provided empirical evidence on the important elements of ethical leadership on ethical climate to enhance ethical climate in the organization.