Skip to content
Open access

What Choices Do Employees Have When Facing Destructive Leaders, and What Are the Odds of a Good Outcome for the Employees? A Systemic Perspective

Aug 2026 · Systems · Vol 14, pp. 937 · 0 citations · 53 references

Abstract

The destructive leadership evolution model derives from the centuries-old Gresham’s Law, and it states that “bad” leaders drive out “good” leaders, but “good” leaders cannot drive out “bad” leaders when “bad” leaders are allowed to operate with impunity. Employees will therefore face a choice between becoming a colluder, a conformer, or a leaver unless top management successfully resolves the situation. This paper analyzes the situation from the employees’ perspective using Gresham’s Law as the starting point. The principal advantage of using Gresham’s Law lies in its systemic perspective: it treats corporations as complex adaptive systems and therefore makes explicit the conditions under which particular outcomes are likely to arise. The analysis itself consists of using a random choice model and Monte Carlo simulations. The study is therefore exploratory in nature, and it demonstrates that the probability of averting destructive leadership tendencies remains low unless top management intervenes deliberately. These results align with empirical results of other researchers, indicating that managers are not any more effective at curbing destructive leaders than can be predicted by a simple random choice model. Consequently, the model suggests that for most employees a rational course of action is to exit the organization except where other compelling considerations outweigh the costs of staying.

Read PDF

Similar papers

Open access Sep 2026

But what is good leadership? A conceptual critique of defining leadership through psychological safety and trust

Recent efforts to distinguish toxic leadership from incompetent leadership aim to clarify theoretical boundaries and improve organizational responses to leadership failure. Ducheyne and De Fruyt ’ s (2026) recent focal article provides a thoughtful and practically motivated framework for differentiating these construct...

C. F. Miller · 0 citations
Open access Sep 2026

Leaders or Followers? Individual‐Level Sustainability Orientations on Corporate Social Responsibility and Their Theoretical Drivers

Although the literature on Corporate Social Responsibility (CSR) increasingly recognizes the coexistence of multiple theoretical frameworks at the organizational level, little is known about how individual professionals internalize and combine these frameworks in managerial practice. This study fills this gap by anal...

I. D'Adamo, Simone Di Leo, Chiara Grosso · 0 citations
Aug 2026

Serving the Group, Breaking the Rules: Which Leadership Dimensions Shield Leaders From Ingroup Punishment for Moral Transgressions?

Ingroup members often grant leaders leniency after moral transgressions, yet literature has not provided clear causal evidence about which leadership attributes most effectively buffer punitive responses. Although some studies have suggested that such transgression credit primarily stems from leaders’ identity prot...

Fatih Bayrak, M. S. Uysal, Sinan Alper · 0 citations
Open access Sep 2026

Cleared for Takeoff: CEO Attributes and the Successful Exit from Corporate Bankruptcy

Corporate bankruptcy, and particularly the role of executive leadership in this process, remains an underexplored area of study. We identify chief executive officer (CEO) attributes that facilitate a successful exit from corporate bankruptcy. We adopt an exploratory qualitative approach based on interviews with CEOs of...

Leslie (Les) Doss, Stewart R. Miller, Roberta Aguzzoli et al. · 0 citations
Review Sep 2026

Beyond Good and Bad: Understanding the Contradictory Effects of Positive Leadership Behavior and Negative Leadership Behavior

Organizational scholarship has long focused on leadership behavior, largely assuming that “good” and “bad” leaders can be distinguished by distinct sets of behaviors that can be organized into constructs with an inherent positive or negative valence (e.g., transformational, ethical, abusive). This assumption has guided...

Hao-Ying Xu, Xing Wang, D. van Knippenberg · 1 citation
Conference Open access Aug 2026

The impact of middle managers’ leadership on engagement performance: a systematic literature review

Middle managers play a crucial role between an executive’s vision and a company’s actual results. Despite this, there remains a lack of scientific research on how their leadership influences performance through engagement. This study presents a systematic literature review of 66 peer-reviewed articles published between...

L. Jesevičiūtė-Ufartienė, Hubert Bocevičius, Margarita Barčenkova · 0 citations

We use cookies to run the site and, with your consent, for analytics and to show ads. See our Cookie Policy.