THE ROLE OF GOLDEN BEHAVIOUR OF LEADERSHIP IN ACHIEVING MORAL COMPETENCE IN IRAQI BANKS

Abstract

This study investigates the influence of leadership behaviours specifically brave, wise, and fair behaviours on the attainment of moral competencies within Iraqi banks. Furthermore, it examines the moderating effect of organizational support on the relationship between these leadership behaviours and moral competencies. Data was collected through questionnaires distributed to employees of various Iraqi banks. The analysis employed Smart-PLS to evaluate the reliability and validity of the variables and to explore their interrelationships. The findings reveal that brave, wise, and fair behaviours positively correlate with the achievement of moral competencies in these institutions. Additionally, organizational support was found to significantly moderate the relationships among the leadership behaviours and the achievement of moral competencies. The study offers insights that can assist regulators in formulating guidelines to enhance moral competencies through effective leadership behaviours, supported by organizational frameworks. Leadership behaviour is recognized as a critical factor in fostering moral competencies and driving organizational success. Recent studies highlight the need for further exploration in this area, particularly within the context of Iraqi banks, where unique cultural and operational challenges exist. This research focuses on three specific dimensions of leadership behaviour: bravery, wisdom, and fairness. These behaviours are posited to play essential roles in shaping the moral framework within banking institutions, ultimately influencing both employee performance and organizational integrity. The study utilized a quantitative approach, gathering data through structured questionnaires aimed at employees in various Iraqi banks. The collected data were analyzed using Smart-PLS, a statistical tool that allows for the examination of complex variable relationships, including the assessment of reliability and validity. This methodology enabled a thorough investigation into how leadership behaviours relate to the development of moral competencies and the role of organizational support as a moderating variable. The results of the analysis indicated a significant positive association between brave, wise, and fair leadership behaviours and the achievement of moral competencies within Iraqi banks. Specifically, employees reported that leaders who exhibited these behaviours fostered an environment conducive to ethical decision-making and moral development. Additionally, the presence of organizational support was found to enhance these relationships, suggesting that when banks provide a supportive environment, the impact of effective leadership behaviour on moral competencies is amplified. These findings underscore the importance of cultivating specific leadership behaviours to enhance moral competencies in banking environments. The study contributes to the existing literature by providing empirical evidence that supports the notion that effective leadership is integral to moral and ethical standards in organizations. Moreover, the moderating role of organizational support emphasizes the need for banks to create robust frameworks that not only encourage effective leadership but also foster an organizational culture that prioritizes ethical behaviour. In conclusion, the study offers valuable insights for regulators and banking institutions aiming to improve moral competencies through enhanced leadership practices. By focusing on brave, wise, and fair behaviours and recognizing the importance of organizational support, banks can establish a stronger moral foundation that contributes to both individual and organizational success.