Leaders do not necessarily have the best interests of the organization in mind when they make decisions. Many times, leaders treat their own personal goals as more important in relation to the goals of the organization and frequently adopt a short-term decision horizon. Thus, leaders become destructive and make decisions for their own good at the expense of the organization. This article examines the bully as a leader and how the bully creates a dysfunctional environment where the bullied, the observer, and the organization suffer negative impact due to the decisions made by the bully. The externalities of bullying (i.e., unintended explicit and/or implicit consequences of bullying activities on the members of the organization) are discussed to highlight the importance of examining the spillover impact of bullying activities in organizations. In addition, the authors propose a method to address the negative impact of those who engage in bullying on the organizational as a whole.
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