Solved! Describe an ethical dilemma that you experienced or have witnessed when a change leader was attempting to initiate change

Describe an ethical dilemma that you experienced or have witnessed when a change leader was attempting to initiate change

Describe an ethical dilemma that you experienced or have witnessed when a change leader was attempting to initiate change. How was the ethical dilemma resolved? Describe the approach the change leader used to guide the decision-making process to resolve the ethical dilemma.

Sample Expert Answer

Working in a financial institution, one of the ethical dilemmas that arose was when we introduced a new performance-based compensation system that aimed at helping the company’s profitability. The new model linked employee bonuses and job security directly to the number of loans processed, new clients brought in, and overall sales targets; generally, employee performance. While this approach was intended to drive growth, it created an ethical dilemma as it disproportionately affected employees in customer service roles, particularly those working in departments that focused on maintaining relationships with existing clients or handling complex cases like loan modifications.

These employees, often with long tenure and specialized knowledge, were less likely to meet the quantitative targets set by the new model. This was in line with evidence that suggests that change resistance sometimes comes due to inadequate participation and fear of the restructuring of the process that would have a negative impact on the employees’ well-being (Cheraghi et al., 2023)

To resolve the dilemma, the change team led by the project leader held meetings with affected employees to listen to their concerns and gather input on how the performance targets could be adjusted. The change leader also worked closely with HR and senior management to create a more inclusive evaluation system that included both quantitative and qualitative measures, such as customer satisfaction scores, retention rates, and the value of maintaining long-term client relationships. The performance-based compensation model was adjusted to ensure that employees who had deep industry knowledge or provided critical services that were not immediately quantifiable by sales or loan volume metrics were still rewarded fairly.

The change leader guided the decision-making process by ensuring that the resolution was both ethical and in line with the institution’s values of employee well-being and fairness. The change team also implemented a phased approach, with active participation from the employees in the new compensation system, providing training and transition support who might be struggling to adapt to the new expectations. Involving the employees and introducing a phased approach to the change helped create a smooth transition to the change process (Khaw et al., 2022).

References

Cheraghi, R., Ebrahimi, H., Kheibar, N., & Sahebihagh, M. H. (2023). Reasons for resistance to change in nursing: An integrative review. BMC Nursing, 22(1), 310. https://doi.org/10.1186/s12912-023-01460-0

Khaw, K. W., Alnoor, A., Al-Abrrow, H., Tiberius, V., Ganesan, Y., & Atshan, N. A. (2022). Reactions towards organizational change: A systematic literature review. Current Psychology, 1–24. https://doi.org/10.1007/s12144-022-03070-6