Research findings aimed at assisting the business community in pinpointing harmful ‘corporate psychopaths’ were showcased at the Chelmsford Science Festival.

Dr Clive Boddy from Anglia Ruskin University, a trailblazer in corporate psychopathy research, shared insights from his study published in the International Journal of Market Research. His work focuses on strategies the financial sector can employ to recognize, handle, and extricate such individuals from their organizations when needed.

It’s estimated that 1% of the adult population qualifies as psychopaths, characterized by a lack of conscience, shame, guilt, and the incapacity to love or empathize with others. Dr Boddy explained that these individuals might seem like capable leaders, detailing their ascent to power and actions upon securing leadership roles.

Corporate psychopaths are high-functioning psychopaths operating within business and political environments. Dr Boddy highlights the significant risk they pose to the stability of companies, industries, and, potentially, the global economy.

His research outlines red flags that financial industry researchers and investors, including pension funds and other sectors, should be aware of. Attributes to watch include an outward charm and intelligence, extreme rationality, deceitful nature, absence of regret, irresponsibility, and emotional superficiality.

As the Deputy Head of the School of Management at Anglia Ruskin University (ARU), Dr Boddy remarked, “Looking back, we can identify historical figures who have committed crimes or disrupted industries. Yet, it’s crucial for industries, especially those influential in the financial sector, to proactively recognize these individuals to protect our economy and society at large.

“Corporate psychopaths tend to climb to the top echelons of the corporate world, owing to their seemingly sociable personality traits. Nonetheless, their starkly self-interested actions could, in severe cases, lead to the downfall of entire sectors. Their relentless pursuit of money, power, and control makes corporate psychopaths a formidable force as they navigate their way to these ends with ruthlessness and efficiency.

“I intend to demystify these individuals’ motives and provide strategies for identifying them early to prevent significant harm. Recognizing these individuals is also crucial for making informed investment choices. Companies free of corporate psychopaths are more likely to remain stable, sustainable, and have a lower risk of failure.”

More information: Clive R. Boddy et al, Insights into the bernie madoff financial market scandal which identify new opportunities for business market researchers, International Journal of Market Research. DOI: 10.1177/14707853231173260

Journal information: International Journal of Market Research Provided by Anglia Ruskin University