ETHICAL LEADERSHIP IN FAMILY BUSINESS IN THE AGE OF DIGITAL TRANSFORMATION
Dr. Vijayalakshmi P1 & Mr. O.R. Pavan Raghavendra2
Associate Professor1 & Student MBA2
CMS Business School
Faculty of Management Studies
JAIN(Deemed-to-be-University), Bangalore
Abstract
Family firms have long been a mainstay of the world economy because of their distinctive combination of custom, long-term vision, and close-knit ownership structures. But these well-established businesses face a difficult battle from the digital revolution. In order to be competitive, family companies need to embrace digital transformation as technology redefines customer behaviour and changes entire industries. The ethical leadership required for this transformation journey must strike a balance between the demands of a fast evolving digital landscape and the family's core values. Families-run enterprises, the foundation of many economies, are at a crossroads. The digital era, characterized by swift technical progress and changing customer needs, demands a change to guarantee their sustained prosperity. Family-owned businesses have particular difficulties as a result of this shift since they have to balance their enduring traditions and values with the needs of the digital age. It becomes clear that ethical leadership is essential for negotiating this challenging environment. It investigates the complex interrelationships among family companies, digital revolution, and ethical leadership. Family businesses, with its unique fusion of agility and tradition, find themselves at a turning point in the digital age. This shift calls for a fresh emphasis on ethical leadership and offers both opportunities and challenges. We look at how ethical decision-making in the digital sphere might be guided by fundamental family business principles. This entails dealing with concerns including cybersecurity, algorithmic bias, and data privacy. The study goes on to discuss tactics for guaranteeing accountability among all parties involved, encouraging openness, and cultivating an ethical culture within the family business. Family businesses may secure long-term sustainability, bolster their competitive advantage, and cultivate trust with clients and staff by employing ethical leadership in the digital era.
Keywords: Family Business Management, Ethical Leadership, Family Business, Ethics, Digital Transformation, etc
