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AI in Leadership Series: AI and Ethical Decision Making for Leaders

Leadership and Artificial Intelligence: Blog Series

By Dr. Andrea Cunningham

A blog series exploring AI in leadership practices

Part 2: AI and Ethical Decision-Making for Leaders

AI won’t replace humans — but humans with AI will replace humans without AI.

Karim Lakhani (Harvard Business School)

The Ethical Frontier of Leadership

From the quote above we can assume then that leaders who skillfully use AI will outpace those who don’t as our premise for this blog. 

In fact, every day, educational leaders face dilemmas that test their integrity, empathy, and purpose. Whether determining how to handle student discipline equitably, revising grading policies to promote fairness, or distributing resources across schools with vastly different needs, these decisions carry profound ethical weight. They influence how students experience justice, how families perceive trust, and how communities define fairness. In this evolving landscape, artificial intelligence is emerging as both a challenge and a companion for educational leaders. Far from replacing human judgment, AI offers a new way to reflect, explore, and analyze before making critical decisions. Properly used, it becomes a thought partner, a co-intelligence that helps surface unseen perspectives and provides structured guidance for ethical decision-making. The key is to ensure that AI supports, rather than supplants, the moral compass of leadership.

Navigating Ethical Dilemmas with AI

The complexity of modern education often forces leaders to make choices while navigating incomplete information and competing priorities. Here, AI can play a vital reflective role. Imagine a principal preparing to update a student discipline policy after noticing disparities among student subgroups. By prompting AI with a question such as:

“What ethical frameworks should I consider when revising a discipline policy to reduce disproportionality and uphold fairness?”

the leader can instantly surface insights on restorative practices, due process, and behavioral equity. AI can also simulate potential scenarios, showing how policy revisions might affect relationships, reporting trends, or compliance outcomes. Similarly, when evaluating grading systems, a leader might ask:

“How can I design a grading policy that maintains rigor while reducing bias and promoting equity across diverse student populations?”

Artificial Intelligence can suggest research-based approaches, such as standards-based grading or flexible deadlines, and highlight the ethical tensions between accountability and compassion. The result is not a right answer, but a clearer understanding of how values, policy, and impact intersect. In both cases, AI serves as a mirror for reflection, helping leaders consider the implications before acting and reminding them that every technical choice is, at its core, a moral one

Insights from Arizona’s Generative AI in Education Guidance

Arizona has taken a proactive stance on ethical AI use in education. In its 2024 Generative Artificial Intelligence in Education Guidance for Arizona Educators, developed by Northern Arizona University’s Arizona Institute for Education and the Economy, the state highlights how AI must serve human learning, not replace it. The document identifies several key principles directly relevant to educational leadership:

Transparency: Educators and leaders should disclose when AI tools influence decision-making, content creation, or communications. Transparency fosters trust between schools and their communities.

  • Equity: AI systems should be examined for potential bias in data or algorithmic design. Leaders are responsible for ensuring that AI tools do not reinforce existing inequities in access, achievement, or opportunity.
  • Privacy and Security: Protecting student data is paramount. The guidance emphasizes compliance with FERPA and district policies, warning against sharing personally identifiable information with generative AI platforms.
  • Professional Learning: Effective AI integration requires ongoing training. Educators must learn not only how to use AI tools but how to question and critique their outputs ethically.

For Arizona school leaders, these principles form the ethical guardrails for responsible innovation. They help ensure that AI strengthens, rather than undermines, the values that define education: equity, trust, and care.

University of Phoenix: Center for AI Resources 

The University of Phoenix Center for AI Resources (CAIR) represents a national model for supporting faculty and students in the ethical, transparent, and informed use of artificial intelligence. According to its launch announcement on PhoenixView Faculty, the Center provides resources, prompt libraries, and professional development designed to help educators explore AI as a partner in learning, not a substitute for it. Key features of CAIR align directly with the needs of educational leaders 

  • Ethical Frameworks: The Center encourages users to apply AI responsibly, ensuring outputs align with institutional values and academic integrity.
  • Prompt Literacy: CAIR teaches educators to design prompts that elicit nuanced, unbiased, and constructive responses, fostering reflective decision-making.
  • Transparency Practices: It promotes disclosure statements when AI is used in teaching, writing, or administrative work, mirroring Arizona’s state guidance on openness and accountability.
  • Research and Innovation: By supporting practitioner research on AI integration, CAIR helps leaders model evidence-based innovation in their own schools and districts.  

For educational leaders, the University of Phoenix Center represents a broader cultural shift: AI literacy is not just a technical skill; it is a professional ethic.

Prompts for Ethical Exploration 

Artificial Intelligence becomes most powerful when it invites leaders to think deeply rather than decide quickly. The following examples show how prompting can transform ethical reflection into practice:

  1. Discipline and Fairness - “Analyze the disciplinary data for the past two years. Identify three policy language areas in the existing student code of conduct that, if interpreted strictly, could inadvertently lead to disproportionate discipline for students with IEPs or English Language Learners. Suggest alternative, restorative language for each area.”
  2. Resource Allocation - “Simulate potential outcomes of reallocating instructional funds to expand early literacy interventions in high need schools. Identify ethical considerations related to equity and opportunity.”
  3. Grading and Transparency - “Analyze the ethical implications of shifting from traditional grading to standards-based reporting, including fairness, motivation, and communication with families.” These prompts model the art of ethical questioning. They show how AI can surface research, simulate perspectives, and strengthen a leader’s moral reasoning without replacing it. 

AI as a Compass for Ethical Leadership 

At its best, AI serves as a compass, not a captain. AI helps leaders orient decisions toward fairness, transparency, and student well being. When guided by ethical clarity, AI can illuminate unintended consequences before they occur, offering leaders the foresight to act wisely and compassionately. Artificial Intelligence can also model the kind of reflective practice leaders hope to cultivate in their teams, pausing before deciding, considering diverse perspectives, and grounding choices in shared values. This reflective partnership turns AI from a technical novelty into an educational ally.  

Final Thought

Ethical decision-making has always been the heart of educational leadership. What changes in the age of AI is the scope of reflection available to us. Technology, when guided by human judgment and anchored in community values, allows leaders to see farther, act faster, and decide more fairly. Arizona’s guidance and the University of Phoenix’s Center for AI Resources remind us that the ultimate test of innovation is not what technology can do, but what it helps us do better, to teach, to lead, and to care. Artificial Intelligence will not replace ethical leaders. But leaders who understand how to use AI responsibly will redefine what ethical leadership looks like in the twenty-first century  

Dr. Andrea Cunningham

ABOUT THE AUTHOR

Dr. Andrea Cunningham

Dr. Andrea Cunningham is an accomplished educator, scholar, and leader with more than three decades of experience shaping learning environments across K–12 and higher education. Currently an Associate Professor at the University of Phoenix, she teaches doctoral-level courses in educational law, ethics, and leadership in learning organizations. Dr. Cunningham also teaches Sports Law at Ottawa University and Introduction to Education and Educational Technology at Paradise Valley Community College. Her expertise bridges school leadership and sport law, with a passion for building leaders’ capacity to become their best selves while inspiring others and leveraging AI as a trusted thought partner throughout the leadership journey.