Teaching Character Traits to Children in a Positive Way

How does a parent teach a child to tell the truth before the child lies?  How does a parent teach a child how to be kind before he takes away his siblings toy?  These are character traits we want our children to learn, but how do you teach it to them in a positive way?  I read a book that gave a list of character traits with the meaning and scripture that goes along with it.  After reading this book, I got an idea.  I went to the local school supply shop and bought a tree with no leaves.  I laminated it and put it on our wall in the kitchen.  Then I bought cut out leafs.  On the front of the leaf I wrote the character trait and on the back I wrote the meaning and the verse.  I also laminated these.  When my kids did that trait during the day, they were able to put the leaf on the tree. 
At the beginning of the day we would go over a couple of the character traits, tell what they mean, and then the bible verse.  We would add a new traits every few days. 

It really worked. My 5 year would take initiative and then ask to put that leaf on the tree.  When my kids were honest with me before they got caught or in trouble, I would let them put up the honestly leaf.