BA 3500 - Ch 4 SB

Identify Geert Hofstede's dimensions of dispositions.

Power distance Uncertainty avoidance Individualism vs. collectivism

An organization's ______ ______ or corporate credo serves as a formal summary statement that describes the goals, values, and institutional aim of the organization.

mission statement

According to a universalist perspective, decisions made in an organization should _____.

never breach its underlying mission

A feature of business culture is that it is _____.

not static

Monitoring and an ongoing ethics audit let a company _____.

reveal its silent vulnerabilities that could pose challenges later to the company

One of the issues faced by a compliance-based corporate culture is that _____.

rules can never be unambiguously applied to every possible situation

An ethical business is one that _____.

supports ethically responsible decisions

What indicates the influence and relevance of an ethics officer within an organization?

The extent to which the officer is supported financially

What are the signs of an ethically challenged firm?

The firm fails to manage its finances in a responsible manner. The firm fails to treat its stakeholders in a professional manner.

Identify the criticisms of Geert Hofstede's culture divisions.

These divisions do not describe everything that is different from one place and people to another. These divisions were created based on a single period of time.

What is an impact of attempts to reverse the negativity associated with whistle-blowing?

They make employees feel empowered when they contribute to the corporate culture.

What is a consequence of stakeholders in an organization perceiving a leader to be involved in unethical behavior?

They are likely to assume that such behavior is acceptable or expected.

Identify the characteristics of progressive corporate cultures that give them an advantage over traditional compliance-based cultures.

They are sustainable. They have a more stable bottom line.

The evaluation of ethical behavior during an employee's performance review provides information on _____.

the effectiveness with which an organization has integrated ethical culture

What is an impact of a company's culture on employees?

It develops both ethical and unethical habits in employees.

What is the most dangerous situation that can arise because of a failure in a company's reporting system?

A manager chooses to ignore a risk because its potential for harm is not immediately evident.

______ ______ are individuals within an organization who are charged with managerial oversight of ethical compliance and enforcement within the organization.

ethics officers

Identify the guidelines provided by the Ethics Resource Center for writing an ethics code for a company.

Avoid the use of legal jargon and empty generalities. Make sure that the objectives that the code is intended to accomplish are clear.

How do ethical business leaders serve as role models?

By adhering to their own standards By supporting others who maintain their own standards By fulfilling promises and commitments

How do leaders create a shared culture of ethical decision making in an organization?

By engaging in visible ethical action

What are the methods used by effective leaders to achieve their goals that make them unethical leaders?

Coercion Harassment Intimidation Threats

True or false: Studies have proved that senior leaders are the least likely members of an organization to break rules.

False

True or false: The stability that a corporate culture provides is always a benefit.

False

Identify a feature of corporate culture.

Corporate culture is shaped by the members of an organization.

Identify a true statement about ethical leadership in an organization.

Corporate leaders are often responsible for the unethical actions of their predecessors.

Beginning in 1987, the United States Sentencing Commission (USSC) prescribed mandatory _____ that apply to individual and organizational defendants in the federal system, bringing some amount of uniformity and fairness to the system.

Federal Sentencing Guidelines for Organizations

When establishing a code of conduct, what does an organization do immediately after articulating its vision for its direction?

It determines processes and procedures it would need to establish.

What is a feature of an ethical environment?

It empowers an employee to act in an ethically responsible manner.

What must a firm do before it creates a code of conduct?

It must establish its mission.

What is the approach of a values-based culture to a situation where a rule does not apply?

It permits a firm to rely on its employees' personal integrity.

What are the characteristics of an organization that effectively supports internal whistle-blowing?

It protects the rights of the person or persons being accused. It permits anonymity or confidentiality.

What is the significance of the U.S. Supreme Court's 2005 decision in U.S. v. Booker?

It ruled that Federal Sentencing Guidelines for Organizations would no longer be mandatory.

Identify a contribution of the United States Sentencing Commission.

It tackled the issue of arbitrary punishments.

Identify a true statement about corporate culture.

Participants in a corporate culture often do not even notice its characteristics.

Who among the following is most likely to significantly change the corporate culture of Junk Food Online?

Piper, the Chief Executive Officer of Junk Food Online

Which of the following is a guideline provided by the Ethics Resource Center for writing an ethics code for a company?

Provide responses to real-life questions and situations.

According to the Ethics Resource Center, what are the effects of strong ethics programs and strong ethics cultures in the workplace?

Reduced instances of misconduct Increased reporting

What are the methods used by companies to curtail negative influences on their wrongdoing reporting mechanisms?

Requiring leaders to visibly model the act of reporting misconduct Encouraging teams to practice making reports outside of actual crises Having leaders explain their decision-making process

Which of the following is an independent agency in the United States Judiciary that was created in 1984 to regulate sentencing policy in the federal court system?

The United States Sentencing Commission

Which of the following indicate that a company takes ethics seriously?

The company requires its stakeholders to make ethical decisions. The company gives its ethics officer a staff.

Which of the following are Geert Hofstede's categories of dispositions.

Time and order orientation Indulgent vs. restrained Masculinity vs. femininity

True or false: By monitoring and an ongoing ethics audit, a company becomes capable of spotting silent vulnerabilities that could pose challenges later to the company before other stakeholders spot them.

True

True or false: Effective leaders can use both ethical and unethical methods to achieve their goals.

True

True or false: Federal Sentencing Guidelines for Organizations require organizations to assess areas of risk for ethics and compliance.

True

What determines the effectiveness of the process of integrating an ethical culture in an organization?

Whether incentives promote ethical decision making

The conduct of ethical leaders is _____.

aligned with both organizational and personal values

According to critics, Geert Hofstede's culture divisions _____.

are dependent on generalizations

One of the measures firms have taken to create a more positive notion of whistle-blowing is to _____.

call their reporting mechanisms "speak-up" programs

A(n) ______ ______ ______ is a set of behavioral guidelines and expectations that govern all members of a business firm.

code of conduct

In order for an ethical culture to become an essential element of corporate decision making and corporate life, _____ must be incorporated into the habits, attitudes, and vocabulary of an organization.

communication of the code of conduct

The primary responsibility for the cultivation of patterns of behavior that support ethical decision making in the workplace lies with _____.

corporate leaders

An organization's culture serves as an obstacle by preventing the organization from _____.

creatively responding to challenges

Every organization has a(n) ______ fashioned by a shared pattern of beliefs, expectations, and meanings that influences and guides the thinking and behaviors of the members of that organization.

culture

A challenge that reporting systems in organizations face is that these systems _____.

fail to make the values of an organization clear

A disadvantage of whistle-blowing is that _____.

it makes the whistle-blower seem disloyal

Communication is one of the most decisive elements of the process of integrating an ethical culture throughout a firm because _____.

it provides clarity of process, priorities, and purpose

In 2004, the United States Sentencing Commission updated its Federal Sentencing Guidelines for Organizations so that they required firms to _____.

promote a corporate culture that supports ethical behavior and compliance with the law

In 2005, U.S. Supreme Court held in U.S. v. Booker that the Federal Sentencing Guidelines for Organizations violated _____.

the Sixth Amendment right to a jury trial

______-______ is one of the classic issues in business ethics that refers to situations where an employee discloses unethical or illegal activities to someone who is in a position to take action to prevent or punish the wrongdoing.

whistle blowing

One of the signs of an ethically challenged culture is a lack of any _____.

widely accepted fundamental values

Which of the following is an option by which to measure the impact of efforts to change an organization's culture as suggested by the consulting firm LRN?

Collecting and analyzing feedback from employees, whether at the beginning of employment, throughout, or subsequent to employment

Identify the options by which to measure the impact of efforts to change an organization's culture as suggested by the consulting firm LRN.

Deciding whether employee perception of the culture or working conditions has changed Letting an independent organization conduct an audit to determine the employee perception or to assess the organization's vulnerabilities or risks

Why is it preferable for an organization to have internal whistle-blowing over external whistle-blowing?

External whistle-blowing exacts significant costs on both the whistle-blower and the organization.

True or false: Ethical habits can only be formed before an individual enters the workplace.

False

Identify the ways in which companies reduce negative influences on their reporting mechanisms.

Giving employees enough time to make responsible decisions Communicating their expectations and values to all stakeholders

What are the characteristics that ethical leaders should be perceived as possessing?

Having a broad ethical awareness Employing ethical decision processes Showing concern for multiple stakeholders

What are the necessary characteristics of an ethical, effective leader?

He or she should use ethical methods. He or she should pursue ethical objectives.

What are the elements of a corporate culture that are perceived by employees?

Hierarchical structure Individual autonomy The competitive environment Incentives Methods of problem solving

Identify the true statements about the Federal Sentencing Guidelines for Organizations (FSGO).

It was originally created as mandatory parameters for judges to use when giving punishment to a convicted person in the context of an organization. It assigns most federal crimes to one of forty-three offense levels based on the severity of the offense.

Who among the following has the characteristics required to be an ethical leader?

Kia, who found creative ways to improve the morale of her employees and motivated them to drastically improve the quality of their work