Humanistic paradigm in leadership practice – a case study of a Confucian entrepreneur

Abstract

<jats:sec><jats:title content-type="abstract-subheading">Purpose</jats:title><jats:p>While current management theory is largely based on economic assumptions, there is evidence to suggest capitalism is at a crossroads. Humanistic management is accordingly proposed as an alternative new paradigm. The present study follows this approach in considering Confucianism as a humanistic practice. The purpose of this study is to explore humanistic leadership displayed by a Confucian leader and how he/she presents humanistic concern in corporate management to pursue the common good.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-subheading">Design/methodology/approach</jats:title><jats:p>This study adopted a structured–pragmatic–situational approach to conduct a case study and collected data from three sources: semi-structured interviews, consultant observations and archival data.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-subheading">Findings</jats:title><jats:p>The findings reveal that a Confucian leader takes all stakeholders' interests into account while engaging in corporate management and displays humanistic behaviors toward the stakeholders that are in line with five Confucian virtues. The leader cultivates the employees as Confucian humanistic agents. These employees accordingly act as bridges to transmit the humanistic spirit to their customers and other industries in the same market. To initiate an industry change to achieve collective welfare, a Confucian leader must first influence his/her primary stakeholders. The primary stakeholders next collectively influence the secondary stakeholders (i.e. the industry). Consequently, the overall goal of the common good is ultimately sustained.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-subheading">Originality/value</jats:title><jats:p>This study identifies valuable practical implications for humanistic practices in corporate management from a Confucian perspective. In addition, this study takes a significant academic step forward by illuminating the humanistic paradigm.</jats:p></jats:sec>

Junzi virtues: a Confucian foundation for harmony within organizations

“…Chou and Cheng ( 2020 ) undertook a case study of “Company S,” mentioned earlier in this paper, whose founder, “Mr. C,” sought, through socialization and symbolic activities, to instill all five Junzi virtues into the normative fabric of the firm.…”

“…Below, we seek to show that servant leadership behaviors are congruent with the Junzi virtues and thereby support our arguments toward Proposition 3, given later. Chou and Cheng ( 2020 ) sought to distinguish Confucian humanistic leadership from other forms of leadership, including servant leadership. We consider that their stance may be unnecessarily particularistic.…”

“…Fourth, harmony is thereby fostered and maintained within the firm. Chou and Cheng ( 2020 ) provided an illustrative case study of “Company S,” a real estate firm based in Taiwan, whose founder, “Mr. C,” sought to instill “Ren,” “Yi,” “Li,” “Zhi,” and “Xin” throughout the firm as a source of harmony and the common good.…”

Understanding corporate culture and business performance from a Confucian perspective

“…These five virtues have been used to understand how Chinese family businesses create ethical guidelines (Enderle and Niu, 2012) and handle conflicts (Yan and Sorenson, 2004). Chou and Cheng (2020) considered Confucianism a humanistic practice and explored humanistic leadership in corporate management based on these five virtues.…”

“…, 2016; Mak et al. , 2014), consumers' purchase intention (Chen and Li, 2020), luxury consumption (Mo, 2021), customer satisfaction (Ndubisi and Nataraajan, 2018), leadership (Chou and Cheng, 2020) and workforce performance (Viengkham et al. , 2018).…”