If you live in an organized community, you likely have a list of covenants, conditions, and restrictions (CCRs) that you must agree to follow if you are to remain a resident in the neighborhood. The goal of a home owner's association in applying CCRs is to preserve, protect, and enhance the value of the properties within the community. If your neighbor drops a 5-ton pink boulder in the middle of his front yard, he'll likely be told to remove it. The fact that it has a striking resemblance to Elvis won't matter. It threatens the market value of every home on the street, including yours.
As an empowered healthcare manager, you have CCRs to enforce with your staff. Some call them policies and procedures. When someone on your staff gossips, do you take action? What if they're late every day? Or bully the new phlebotomist? Do you take the same action against policy violators on your staff as you would against your neighbor with the pink rock that looks like Elvis? Do you hold them to your CCRs? If not, why not?
The undisciplined insubordinate employee is threatening something far more valuable than your home. Every time you opt out of applying discipline, you've allowed an individual to diminish you as a manager, which in turn diminishes your value to your employer.
When you start looking the other way, it's a slippery slope. Before you know it, you're at the bottom of the slide and your administrators start wondering why you're occupying a management position. The next thing you know you have a staff full of pink Elvises, and you've been demoted to join them.