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bstractThere is a typology of ethical climates that have been used inresearches that related to ethical climates issues However manyresearchers dont know that leaders are playing a significant role inbuilding a good ethic climate in organizations because there is arelation between employee behaviors and ethical leadership Employeesmisconduct includes lying sexually harassing misusing the Internetstealing neglecting of safety standards and participating intyrannical behavior etc This research will address and identify howfailure of leaders to construct an ethical climate in organizations hasled to organizations failing to have good ethics as expected oforganizationsChapter 1IntroductionBackgroundIt is important to have an ethical climate organization because of themodern business environment Organizations should give more attention tothe moral and ethical decision-making that allows them to incorporatethese ethics with the corporate structure The definition of the ethicalclimate of an organization is shared perceptions of what is ethicallycorrect behavior and how ethical issues should be handled Victor Cullen 1987 In addition having an ethical climate in theorganizations may help the employees to do the right thing and improvetheir productivity Many academics researchers dont know thatmanagerial practices have a significant influence on the ethicalenvironment of the company such as the influence on communication andempowerment In addition organizational climate is one of the factorsthat forming the employees behaviors Wimbush Shepard 1994Problem StatementLeaders have an important role in create an ethical climate HoweverMany organizations are not as ethical as they should be because theleaders have not constructed an ethical climate for the employeesPurpose of the StudyThe purpose of this study is to identify the variables that associatedwith managerial practices which have effects in building ethicalclimates in any organization Study HypothesisFailure of leaders to construct an ethical climate in organizations hasled to organizations failing to have good ethics as expected oforganizations by two variables communication and empowerment Chapter 2Review of Related Literature There are statistics about the amount of unethical employeesbehaviors in the organization so the conclusion of American companiessurvey is 56 percent of workers said
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