BHI Flyers

Leadership Integrity

In an effort to increase productivity in a struggling economy, companies need to look at how much counter-productivity is costing their company:
  • Employee theft and fraud cost the average business 1-2% of its sales
  • Substance abuse costs U.S. companies $200 billion in lost productivity
  • Workplace violence costs U.S. companies $4 to $6 billion per year
And who sets the tone for the organization to discourage this type of behavior? The organization's leaders! Therefore, organizations need to hire leaders who not only exhibit integrity but also hold the rest of the organization accountable for avoiding counter-productive behavior.


How Was BHI's Leadership Integrity Assessment Created?


BHI dedicated research efforts to create and validate an assessment that measures a leader's propensity to exhibit integrity. This research was based on an empirical model of leadership counter-productivity that has been supported internationally. The assessment includes scenarios related to misuse of power, manipulation of information, and condoning wrongdoing of others. This type of test format presents a business related scenario and then asks candidates to choose from a list of options on how they would typically respond to the situation. The leadership integrity assessment was piloted with management candidates and working university students that also provided voluntary self- reports of leadership counter-productivity.


What Are The Results?


The resulting Leadership Integrity scale consists of 15 items that show a considerable relationship with the counter-productive criteria collected in the study in additon to having no adverse impact on protected classes.
  • Low Integrity candidates are 4 times more likely to ignore rules and give a product or service at a discount.
  • Low Integrity candidates are more than 12 times more likely to manipulate numbers or figures than high integrity candidates.
  • Low Integrity candidates are almost 4 times more likely to have inappropriately taken things at the organization's expense.
The Leadership Integrity Assessment can be added as one part of the hiring process to identify leaders with high integrity, and screen out leaders that are likely to be counter-productive.
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