Character-Centered Leadership

Muhammad S.A.W as an Ethical Role Model for CEOs

By: Rafik I. Beekun

Hafiz Muhammad Arslan

Ayesha Minhas

Eram Shahid

Yumna Minal

Wasimuddin

PRESENTED BY

Introduction Why character-centered leadership?Character-centered leadership Muhammad’s (S.A.W) characterMuhammad’s (S.A.W) character-centric style of leadershipProblems with transformational leadershipMuhammad (S.A.W) as a servant leader Contributions of character-centered leadership to management development Implications for management development Conclusion

CONTENTS

Purpose of the Article The purpose of this paper is to examine the leadership style of Muhammad (S.A.W) within a character-centric framework as a useful alternative to the transactional, self-centered model and the value-neutral transformational approach that currently permeate business management. The author differentiates such perspectives from the character-centered, moral approach to leadership suggested by the Qur’an and modeled by Muhammad (p), and proposes that this approach may be of practical use to CEOs.

Design/methodology/approach A conceptual, comparative discussion of Muhammad’s leadership style based on the primary Islamic sources is shown to have practical implications for the leadership process in management.

ABSTRACT

Findings The current malaise in business leadership can be resolved by a new focus on character and on virtues.

Practical Implications

The character-centered, moral approach of Muhammad provides exemplars of virtues and behaviors that, if emulated by CEOs, may help pre-empt potentially self-serving, individualistic and narcissistic tendencies.

Originality/Value

The leadership model of Muhammad has been applied to a number of arenas before, but this is the first attempt at explicating the Qur’anic emphasis on the role-modeling aspects of his character (khuluqin azeem). When fully expounded, it is likely to offer a more virtue-centric alternative to transactional and/or transformational approaches to leadership and their associated relativistic values.

ABSTRACT

The litany of unethical business actions resulting from poor

leadership at global companies such as Enron, Arthur Andersen and

numerous others in current world, the enactment of laws such as

Sarbanes-Oxley Act (2002) in the USA and the UK Bribery Act

(2010), the potential international bribery blacklisting of British

firms (Leigh, 2011) and the renewed global emphasis on anti-

bribery and corruption compliance activities (KPMG, 2011) suggest

that dominant leadership models, such as the transactional and the

transformational approaches to leadership, need to be rethought in

spite of the relative “effectiveness” of these approaches.

INTRODUCTION

Transactional

Transformational

Character-Centered

FAMOUS LEADERSHIP APPROACHES

TransactionalLeaders are aware of the link between the effort and rewardLeadership is responsive and its basic orientation is dealing with present issuesLeaders rely on standard forms of inducement, reward, punishment and sanction to control followersLeaders motivate followers by setting goals and promising rewards for desired performanceLeadership depends on the leader’s power to reinforce subordinates for their successful completion of the bargain.

TransformationalLeaders arouse emotions in their followers which motivates them to act beyond the framework of what may be described as exchange relationsLeadership is proactive and forms new expectations in followersLeaders create learning opportunities for their followers and stimulate followers to solve problemsLeaders possess good visioning, rhetorical and management skills, to develop strong emotional bonds with followersLeaders motivate followers to work for goals that go beyond self-interest.

DIFFERENCE

Character-Centered leadership requires constant development in both the skills of leading and the character of leadership. 

Character-Centered leaders maintain the core of their character while selecting and using the leadership skills necessary for each specific situation.

CHARACTER-CENTERED APPROACH

CHARACTER-CENTERED LEADERSHIP CHARACTERISTICS

Courage:Practicing the strength and character it takes to face and act on meaningful challenges in support of people and purpose .Compassion: Caring for other people, their feelings, needs and dreams.Creativity:  Distilling and developing ideas into innovative products and services. Keeping an open mind and exploring new territory constantly .

Clarity: Refining, improving, analyzing, and covering details clearly, openly, honestly, and with absolute integrity. Reducing ambiguity and eliminating hidden agendas.Centering: Staying focused and grounded in the face of conflict, stress, and challenge.

THE STRENGTHS AND VALUES OF CHARACTER CENTERED LEADERSHIP

Character-Centered Leadership

Allah Tabaraka Wa Ta’ala says:

“And you (Muhammad) stand as an exalted standard of character”

Prophet Muhammad (S.A.W) said:

“I was not sent except to perfect moral characters”

AL-QURAN (68:4)

AL-HADITH

Khuluq: Character, natural disposition or innate temper.

Fitrah: Nature with which a person is born.

Ouswa-e-Hasana: An excellent example to follow

Hikmah: wisdom

IMPORTANT ARABIC TERMS

“ Verily the character of the Prophet of God was the Quran”Ayesha (R.A)

Prophet Muhammad (S.A.W) modeled core virtues:Truthfulness and integrity:There are three signs of a hypocrite: when he speaks he lies; when he makes a promise,he breaks it; and he is trusted, he betrays his trust. (Muhammad (S.A.W)

Trustworthiness:Amana- man’s role of trustee on earth.

MUHAMMAD’S (S.A.W) CHARACTER

JusticeDescribed by two words in Quran:(1) Adal which means equity, and balance(2) Qist means highest level of justice

“Be just! For justice is nearest to piety”.(Quran)

Benevolence (Ihsan) “Lo! Allah enjoins justice and kindness”(16:90)

Humility

MUHAMMAD’S (S.A.W) CHARACTER

Kindness:“If you show kindness to your servant while employing him in some task, this will weigh heavily in your favor on the day of judgment” (Muhammad S.A.W)

Patience: Sabr“When we complained to God’s messenger (S.A.W) of hunger and raised our clothes to show we were each carrying a stone over the belly, God’s messenger raised his clothes and showed that he had two stones on his belly”

MUHAMMAD’S (S.A.W) CHARACTER

Servant leader develop people, focus on the needs of others rather then his own needs, also provide vision, gain, credibility and trust from their

followers

MUHAMMAD (S.A.W) AS A SERVANT LEADER

Service Before SelfMuhammad (S.A.W) stated that “a leader of the nation is their servant”. A servant leader is not interested in obtaining power, status or wealth. Neither wealth nor status attracted the Prophet (S.A.W). Prophet (S.A.W) as said: I am God’s servant, I eat like a servant and sit like a servant.

KEY ATTRIBUTES OF SERVANT LEADER AS THEY RELATE TO

MUHAMMAD (S.A.W)

Listening as a means of affirmationMuhammad (S.A.W) did not seek to impose himself on others rather then first listening to the queries from his followers, and then respond appropriately.Creating trustThe servant leader is honest with others, focusing on their needs and earning their trust. Muhammad (S.A.W)was known as “al-ameen,” the trustworthy.Focus on what is feasible to accomplishThe servant leader neither seeks to accomplish everything, nor does he take the most difficult route to do it.

Following are the skills of intelligent leader:1. Wise leaders remain focussed on their higher purpose.2. Wise leaders courageously tackle the most tough and critical problems facing them.3. Wise leaders seek advice from competent and/or experienced people.4. Wise leaders welcome feedback and criticism graciously, and act upon them.

CONTRIBUTIONS OF CHARACTER CENTERED LEADERSHIP TO

MANAGEMENT DEVELOPMENT

5. Wise leaders know when to bend the rules.6. Wise leaders are grateful.7. Wise leaders create shared experiences to construct a new paradigm.

Three Approaches for Management Development

1. Modeling

2. Reflective Equilibrium

3. Ho-ren-so (Report, Contact and Consult)

IMPLICATIONS FOR MANAGEMENT DEVELOPMENT

Doing what is right always comes down to the individual. It

begins with the most basic leadership skills, supported by

the organizational framework. It ends with no less than

creating a new corporate culture.

The CEO is responsible for setting the values and vision of

the organization.

People at organization are almost always tend to follow the

higher leadership.

WHY SO MUCH FOCUS ON LEADERSHIP?

Character Becomes Contagious.As people accept the leader’s moral actions, it becomes the “in thing” for everyone to make positive behavioral changes. Each one that changes infects another with the desire to change. Growing behavioral change gradually makes it difficult for anyone to resist.

Employees Follow the Leader. The moral actions of any leader have a direct effect on that leader’s people. When a restaurant manager does his job to the utmost of his ability, his actions encourage the wait staff to serve customers to the best of their ability. Almost unconsciously, people tend to follow leadership.

Trust and Confidence Grow.Employees and customers begin to have confidence in your business. They begin to consider it trustworthy – a business that won’t let them down. J.C. Penney said this about his empire of stores:

Your Business Gains a Competitive Edge.

The public wants businesses and leaders to exercise character. People often choose or reject businesses based on values and actions. When buying a used car, they want to know they are dealing with principled salespeople, not the stereotypical shyster. Your business gains a competitive edge over others when your leadership builds and models character.

THE IMPACTS OF CHARACTER-CENTERED LEADERSHIP

What’s in it for us?1. Is there anything superhuman, impractical or undoable?2. Can CEOs follow these things in daily work life?

What will you:1. Start doing?2. Stop doing?3. Continue doing?

IMPORTANT QUESTIONS