Organizations Leaders Virtuous Mark Brooker Jeffrey W 905581

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Rganizations or world business leaders have emerged as the first global citizens. Engaged in commerce, business leaders understand the interdependence of nations, and that the health of society and the preservation of our earth are important to the future prosperity of the business enterprise. Business fosters economic and cultural interdependence and has helped to create the awareness of one humanity, on one planet, all sharing a common fate. And, as the dominant institution on the planet, business holds the key to the transformation of our global society, away from intractable problems, and toward a world that works for everyone.

Around the globe we are witnessing a fundamental questioning, both individual and institutional, of our most basic assumptions about who we are, the world we live in, and what is ultimately important. Increasingly, the leading thinkers of our day are describing this phenomenon as being driven by an emerging new paradigm—a new understanding of reality—which is shaking our traditional assumptions and intuitions to the roots. The World Business Academy arose out of the conviction that the shape of the future is our choice, and that business, if it adopts a new tradition of responsibility for the whole, can be the major contributor to a future that is economically, socially, and ecologically viable for all.

Yet the question remains as to how and to whom businesses will be held accountable. Secularists respond that the answer is clearly government. Yet the Christian knows that governments, despite their God appointed role, are made of people, and absent the influence of God, are just as vulnerable to sin, corruption, and oppression as any business (1 Chronicles 14:7). The answer to the question then lies in recognizing that businesses and business leaders are ultimately answerable to God, not man and that He calls us to lead our organizations in an ethical and virtuous manner that glorifies and honors both God and man.

Recently, there has been a lot of debate about the actual objective of the organization. In the Western World, the prevalent view over the last decades has been that its objective was maximizing shareholder value above any other consideration. In other words, the how—whether or not a company is virtuous in accomplishing objectives—did not matter. As such, employees, managers, and society were simply considered as means to reach this "superior" objective. Virtues were off the corporate radar, and business ethics were, at most, something to comply with. But more recently, research is now recognizing that the how does matter.

Pawar (2016) showed a relationship between workplace spirituality and employee performance. Caldwell and Hayes (2016) argued that values-based leaders were more effective, and Yaacoub (2016) demonstrated a relationship between values and long-term sustainability. Business ethics is now a required subject in business programs (ACBSP, 2016) and business is under increasing scrutiny from both the marketplace and governments. Character, it seems, does count. Numerous leadership models have been developed to help promote leadership and organizational effectiveness.

First on the scene in leadership history was the Great Man Theory, which viewed great leaders as men of greatness. Trait theory came into being when birthright was questioned as being the only source for great leaders. The next leadership theory to emerge was behavioral theory. Contingency theory holds that the leader needs to alter his or her approach, calling upon a particular leadership style to fit the situation. Transactional theory states that people are motivated by punishment and reward and that central authority, power, and decision-making reside with the leader.

Lastly, transformational theory seeks to bring balance to the power relationship between the leader and followers. Community and cooperation are hallmarks of this leadership theory (Northouse, 2016). A major disadvantage of these models is that they lack an inherent Christian perspective. Many of these models identify excellent means for developing ethical leaders based on character, competence, and actions, but without first having a central focus on God, such models and theories—no matter how good—fall short of God’s ideal. Without God as the central focus, “all our righteous acts are like a stain-rag” (Isaiah 64:6 GW).

Furthermore, static models driven by rules tend to be less effective in fast-changing environments. Models based on principles, particularly the timeless principles of Scripture, provide tools that can be applied to the contemporary business context. The DeVoe School of Business recognized the need to integrate secular leadership theories with biblical wisdom, resulting in the development of the Virtuous Business Model designed to promote kingdom-based leadership and organizational effectiveness.

What is Virtue?

Virtue is defined as the moral excellence of a person. A morally excellent individual possesses a character built upon virtues that are considered good—such as honesty, respect, courage, forgiveness, and kindness. These virtues or positive character traits motivate individuals to consistently act rightly, regardless of personal cost, aligning their actions with moral values and principles. While some argue virtues are innate or cultivated through upbringing, human imperfection necessitates ongoing development of virtues.

Cultivating virtues leads to a life marked by fulfillment, peace, and joy. For Christian leaders, Christ remains the central figure guiding moral conduct; aligning one’s will with God’s entails living out the words, “Thy will be done” (Matthew 6:10). Living virtuously transcends mere moral decorum and aligns with the biblical concept of living “on earth as it is in heaven” (Matthew 6:10), emphasizing the importance of embodying virtues here and now.

The DeVoe Model of Virtuous Business

The DeVoe Model harnesses the “Be-Know-Do” (BKD) framework, originally employed by the U.S. Army for leadership development over half a century. Its holistic approach aligns with biblical theology, reflecting the biblical understanding of humanity’s tripartite nature—body, mind, and soul—and their corresponding domains: personal, professional, and spiritual.

This model recognizes that virtuous leadership integrates character (be), knowledge (know), and action (do) across these domains. The virtuous leader’s spiritual domain emphasizes character, critical thinking, and courage—traits exemplified by Jesus Christ. The personal domain fosters respect, relational skills, and reconciliation, rooted in the biblical understanding of loving one’s neighbor and reconciling individuals with God. The professional domain underscores integrity, inspiration, and inclusiveness—traits necessary for leadership excellence and the promotion of a virtuous organization.

Building Virtuous Organizations

Virtuous organizations are grounded in the development of spiritual, social, and economic capital. Spiritual capital involves being centered on Christ, being creative in problem-solving, and demonstrating compassion to those in need. Social capital hinges on sincerity, supportive collaboration, and service orientation. Economic capital hinges on principles rooted in Christ, proficiency, and acting to do what is right and proper in the eyes of God—a concept that emphasizes not every opportunity should be pursued, but only those that serve the greater good.

The principles of the virtuous organization highlight that the focus is not solely on profit but fundamentally on people—employees, stakeholders, and the broader community. This aligns with biblical teachings emphasizing stewardship, humility, and service, rather than solely profit maximization (Colossians 3:23).

Conclusion

The failure of organizations and governments that exclude God’s moral standards demonstrates the critical necessity of integrating virtue into leadership. Leaders and organizations that uphold virtues aligned with biblical principles serve not only to build the kingdom of God but also to generate sustainable value for stakeholders. Embedding the Virtuous Business Model into business education and practice facilitates the development of kingdom-oriented leaders who can effectively navigate today’s complex, rapidly changing environment.

References

- Caldwell, C., & Hayes, L. A. (2016). Self-efficacy and self-awareness: Moral insights to increased leader effectiveness. The Journal of Management Development, 35(9), 1118–1135.

- Comte-Sponville, A. (2001). A small treatise on the great virtues (M. Holmes, Trans.). Henry Holt and Company.

- Northouse, P. G. (2016). Leadership: Theory and practice (7th ed.). Sage Publications.

- Pawar, B. S. (2016). Workplace spirituality and employee well-being: An empirical examination. Employee Relations, 38(6), 894–913.

- Yaacoub, H. K. (2016). Authenticity: Sustainable benefits beyond performance. People and Strategy, 39(4), 47–49.

- Webber, M. (2008, July). Reflections on the “Be, Know, Do” model of leadership development. Retrieved from reflections-on-the-be-know-do-model-of-leader-development.

- Winn, B. (2012). Interview with Kim Cameron. People and Strategy, 35(4), 12–14.

- Bloomington: Indiana Wesleyan University. (2016). The DeVoe Report.

- The DeVoe School of Business. (n.d.). Virtuous Business Model.

- Association of Collegiate Business Schools & Programs (ACBSP). (2016). Business ethics and social responsibility curriculum standards.