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Fairness, Integrity, and Equity

Author: Sophia

what's covered
Fairness, integrity, and equity are not just lofty ideals. They are critical to building strong organizations, directly impacting trust, engagement, and overall performance. In this tutorial, we will define these values, explore their ethical foundations through stakeholder theory, and translate these virtues into daily practices leaders can use to build trust and inclusion. Specifically, this tutorial will cover:

Table of Contents

1. Why Fairness, Integrity, and Equity Matter

Leadership is more than setting direction. To be effective, leaders must embody values that shape the culture of their organizations. Fairness, integrity, and equity are especially powerful because they influence both the morale of employees and the long-term success of the organization.

  • Fairness means making decisions on clear, consistent standards rather than on personal bias (Kropp et al., 2022). For example, when promotions are awarded on merit and performance reviews use the same criteria for all, employees feel valued and trust the process.
  • Integrity means doing what is right even when it is difficult (Ignatius, 2019). A leader who admits mistakes and takes responsibility instead of shifting blame shows dependability and honesty, building trust with the team.
  • Equity recognizes that people do not all start from the same place and ensures that everyone has what they need to succeed (Corbis, 2024). Leaders who provide flexible work arrangements or targeted training are practicing equity by giving people meaningful support tailored to their needs.
Each of these values—fairness, integrity, and equity—strengthens organizational life. Yet their importance goes beyond the immediate benefits of trust or morale. To understand their full weight, we need to look at the ethical foundations of leadership.

terms to know
Fairness
The quality of making decisions based on clear, consistent standards rather than personal bias.
Integrity
The quality of doing what is right even when it is difficult, including keeping promises, being honest about challenges, and taking responsibility for mistakes.
Equity
The principle of ensuring everyone has what they need to succeed, recognizing that not everyone starts from the same place, and providing targeted support to help all team members reach their full potential


2. Ethical Foundations of Leadership Theory

Recall that we learned earlier in this challenge about stakeholder theory, the idea that businesses had an obligation to all the people they affect, and not just shareholders. He argued this not as a moral premise, but a business strategy. The long-term viability of companies requires the goodwill built with external stakeholders.

However, the ethical obligations of business leaders runs deeper than simply doing “the right thing,” because it’s “good for business.” And we know, if we watch the news or even read through our social media streams, that business leaders in reality fail time and time again to do what’s right in the moral sense or right for the company.

Alasdair MacIntyre was a philosopher who published one of the key texts on ethics in business, After Virtue, in 1981. MacIntyre argued that in putting efficiency and effectiveness over virtue and character, many institutions—especially corporations—had detached from moral purpose (Abadal & Potts, 2022). He further stated that managers themselves were compelled to deal with measurable outcomes, which made them fail in a broader sense to be the leaders their organizations needed.

Most people believe in "right and wrong", but to MacIntyre these beliefs have little meaning as abstract ideals. To have the kind of meaning that motivates people to live up to the ideal, they need to be rooted in a shared narrative, that is, a story about origins and destinations, both as individuals and as an organization.

For leaders, the key points are to:

  • Come to deep understanding of the ethics and social obligations within their field, each with its own overarching virtues.
  • See these as a necessity to excel in those fields. While some virtues vary from field to field, honesty, fairness, and integrity are nearly universal.
  • Practice these virtues both in the sense of following them and in the sense of “practice” as in “doing it to get better at it.”
So far none of this might come as a surprise, and indeed, despite the obvious ethical lapses we read about or watch on the news, most businesses boast that they believe in fairness and integrity.

So why do so many fail to live up to their values? This is where MacInyre stresses the shared narrative. He states that:

  • Virtues like integrity and fairness are meaningful only when rooted in shared practices and traditions.
  • Virtues must be embedded in traditions that give meaning to our roles and actions.
  • A person is best understood as part of a the shared narrative, a story of growth, commitments, and moral development over time.
This might seem impossible for a leader to solve in a culturally diverse organization. People bring different cultural beliefs and histories to the organization. MacIntyre recommends that the organization and field itself become the source for that shared narrative.

EXAMPLE

Educational leadership is largely its own field that builds on those narratives – of successful schools and academic excellence – to inspire their followers to a deeper commitment.

IN CONTEXT: PAUL POLMAN

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Whether he’d read MacIntrye or not, Paul Polman embodied his work at Unilever, which he led from 2009-20019. Paul Polman's decade-long leadership at Unilever provides a compelling case study for Alasdair MacIntyre’s ideas on ethics (Schwabel, 2017). While many leaders pay lip service to virtues like integrity and fairness, Polman embodied them by intentionally moving away from the kind of short-term thinking that MacIntyre criticized. Rather than prioritizing efficiency and quarterly profit, the measurable outcomes that can detach a company from its moral purpose, Polman centered Unilever’s strategy around a deeper, more meaningful narrative.

A powerful leader understands that a business's ethical obligations go beyond just being a "good corporate citizen" for the sake of public relations. Polman’s approach was rooted in a belief that a company could only thrive in the long term by actively contributing to the well-being of its stakeholders and the planet. He did this by integrating sustainability and social impact into the very core of Unilever's operations, proving that doing the right thing could be the right thing for business, too.

This shift was possible because Polman crafted a shared narrative for the organization. He didn't just tell employees to be fair and honest; he gave them a story to live by. Unilever's mission became about making sustainable living commonplace, giving purpose to every role and action within the company. This powerful narrative provided narrative unity, creating a story of collective growth and moral development that transcended the diverse backgrounds of its employees. By making the organization's purpose the source of this shared story, Polman provided a context where virtues became meaningful practices, not just abstract ideals, and inspired a deeper commitment from his followers.

MacIntyre's philosophy, exemplified by Paul Polman at Unilever, shows that virtues are not abstract ideals but are made meaningful through a shared narrative. Leaders who successfully embed a moral purpose into their organization's identity create a collective story about what the company stands for. This shared story makes virtues like honesty and fairness a reality, transforming them from abstract concepts into a practical guide for action. This commitment to an organizational narrative is the very foundation of integrity in leadership—a crucial virtue that we will now explore in more detail.


3. Practicing Integrity and Fairness Daily

If values and narratives provide the foundation of leadership, daily practices are what make them real. Integrity and fairness are not one-time choices but repeated actions that build trust and shape culture over time. Importantly, each practice also connects to the broader narrative of the organization, reinforcing the story that gives meaning to people’s work.

Practice Explanation Connection to Shared Narrative
Explaining decisions Transparency shows employees how effort connects to outcomes, reducing uncertainty. Builds a story of fairness and predictability where outcomes follow clear principles.
Taking ownership of mistakes Admitting errors models accountability and encourages others to do the same. Reinforces a narrative of integrity in which everyone contributes to growth and learning.
Telling the truth Honesty with employees and stakeholders builds a reliable moral identity over time. Embeds trustworthiness into the collective story, making the leader’s role intelligible to others.
Sharing your story Connecting personal values to organizational work gives context to decisions. Invites others into the leader’s values, weaving personal stories of growth into the organization’s larger mission.
Keeping promises Following through—or explaining when circumstances change—reinforces credibility. Sustains a story of reliability where commitments form the backbone of the community’s trust.

Fairness also becomes visible in daily choices. Leaders who apply standards consistently, listen carefully before making decisions, and avoid favoritism build a record of impartiality that others can trust. Over time, fairness is not episodic but part of the leader’s character and the organization’s culture.

Respectful and inclusive leadership extends this principle further. Leaders who avoid micromanaging, invite input across roles and ranks, and create space for disagreement signal that all voices matter. Protecting whistleblowers and supporting those who speak up about unethical behavior reinforces the organization’s moral core. In narrative terms, these practices ensure that team members are not passive characters but co-authors in the ongoing story of the organization. Their successes become part of the organization’s shared narrative.

summary
In this tutorial you learned about the ethical foundations for leadership theory: Fairness, Integrity, and Equity. These are more than lofty ideals, but part of the organizational culture. The ethical foundations of leadership must be grounded in a bigger story about the individual, the organization, and even the field itself; this shared narrative creates a cohesive organizational culture that makes sense of the values that guides it. Ethical leaders must practice integrity and fairness in their work, modeling them for employees, and connecting them to this narrative.

Source: THIS TUTORIAL WAS AUTHORED BY SOPHIA LEARNING. PLEASE SEE OUR TERMS OF USE.

REFERENCES

Abadal, L. M., & Potts, G. W. (2022). A MacIntyrean account of chronic moral injury: Assessing the implications of bad management and marginalized practices at work. Frontiers in sociology, 7, 1019804. doi.org/10.3389/fsoc.2022.1019804.

Schawbel, D. (2017, November 21). Unilever’s Paul Polman: Why today's leaders need to commit to a purpose. Forbes. www.forbes.com/sites/danschawbel/2017/11/21/paul-polman-why-todays-leaders-need-to-commit-to-a-purpose/.


Terms to Know
Equity

The principle of ensuring everyone has what they need to succeed, recognizing that not everyone starts from the same place, and providing targeted support to help all team members reach their full potential.

Fairness

The quality of making decisions based on clear, consistent standards rather than personal bias.

Integrity

The quality of doing what is right even when it is difficult, including keeping promises, being honest about challenges, and taking responsibility for mistakes.