Chapter 4 principales of

The Sarbanes-Oxley Act of 2002 ____.

imposes tough measures to deter corporate and accounting fraud

Slow's BBQ donates food to the city's public library, which provides free lunch to children in the summer. Slow's is attempting to manage social responsibility through what?

philanthropic giving

Which of the following is a formal dimension of managing social responsibility for organizations?

philanthropic giving

Before deciding if an action of an employee is ethical, Sushil often considers what the majority of her employees would consider fair. Which ethical norm does Sushil consider?

justice

In terms of ethical leadership, what way can a CEO set the company's moral tone for all employees?

Be honest and straightforward.

Montazar has set up several programs to improve the social responsibility efforts of his organization. However, he is not sure which have been effective, and which have not. How can Montazar make this determination?

Conduct a corporate social audit.

When applying moral judgement to a behavior, what should occur after relevant factual information has been collected?

Determine the most appropriate moral values.

The Environmental Protection Agency is the agency charged with enforcement of many of the environmental laws in the United States. This agency represents a form of ____.

direct regulation

The Food and Drug Administration (FDA) is an example of which of the following areas of government regulation?

environmental protection

Laws that deal with how agrichemical companies dispose of hazardous wastes are examples of ____.

environmental protection regulation

If a company creates a committee to review its guidelines concerning selection and promotion, it is attempting to manage social responsibility through what?

ethical compliance

What is the extent to which an organization and its members follow basic moral and legal standards of behavior?

ethical compliance

What is the extent to which an organization follows basic standards of moral behavior?

ethical compliance

Which of the following describes an individual's personal beliefs about whether a behavior, action, or decision is right or wrong?

ethics

Traditionally, experts have suggested a three-step model for applying ethical judgments to situations that may arise during the course of business activities. The first step is to ____.

gather the relevant factual information

The National Organization of Women (NOW) hire staff who work to influence legislators to support NOW's positions. NOW uses ____ to includes government.

lobbyists

Behaviors that relate to ethical ambiguity in areas such as adverting, purchasing, solicitations, bargaining and other business relationships are part of ____.

managerial ethics

What can an organization use to influence the government?

networks and personal contacts

What is an informal organization dimension of managing social responsibility?

organizational culture

Darian, a local manufacturer, and his local Congresswoman have been friends for years. Darian has been concerned about a potential new law that would fundamentally change how he does business. When his friend was in town, they met over dinner to talk about this potential law and the effects it will have on the community. What type of influence did Darian use to influence the government?

personal contacts

Eli's company has decided to pay workers a living wage instead of a legally required minimum wage. Eli considers this part of the ethical treatment of his employees. What type of ethical standards is Eli promoting in his organization?

political-legal

A firm is taking a(n) ____ stance when it actively looks for ways to benefit society as well as meeting its obligations and responding to requests.

proactive

In what way can the government attempt to influence how a business operates, and what they can and cannot do?

regulation

Which ethical norm is based on whether the act respects the people involved in the decision?

rights

Which of the following would be an ethical breach on the part of an employee toward the organization?

sharing confidential information

Organizations relate to their environments in ways that often involve ethical dilemmas and decisions. These situations are generally viewed within the context of the organization's ____.

social responsibility

The local university has set up a task force and committed to increasing recycling efforts, and reducing its carbon emissions by 50% in the next ten years. These efforts demonstrate a commitment to ____.

social responsibility

Any effort to enhance an organization's ethical behavior must begin with ____.

the development of a formalized code of ethics

Which of the following is a result of the actions of high-profile executives who have lost their positions due to ethical lapses?

Executives are expected to exhibit the strongest ethical conduct.

Ahmed received a tax abatement from the government, and so his organization has more money to donate to the local hospital for cancer research. Which of the following explains how this change in taxes is a form of regulation?

It is an indirect regulation.

Which of the following is a criticism of regulation?

Its goals can be accomplished by a free market system

What can government appointed agencies who monitor, and control certain aspects of business activity do to implement legislation on organizations that violate regulations?

Levy fines

Roberto is a strong believer in social responsibility, and wants his company to become more socially responsible. Which argument would he make to support his belief?

The company has surplus revenues that could be used to solve social problems.

Which of the following is true of social responsibility?

The opinions about its importance varies for different countries.

Which of the following represents a major shortcoming associated with the implementation of codes of ethics and ethics training programs?

They often fail to help people deal with the consequences of their actions.

Which of the following is a thorough, formal analysis of the effectiveness of a firm's response to social responsibility?

a legal compliance assessment

The firm using a(n) ____ approach to social responsibility meets its obligations and is also willing to respond to appropriate societal requests.

accommodative

Which of the following is the MOST important action that top managers can take to promote ethical behavior?

adhere to ethical standards themselves

Although standards of ethics vary from person to person, how do we apply the concept of ethical behavior?

as generally accepted social norms

The director of the local food bank contacted Walmart's distribution team for help with improving its warehousing, sorting, and routing, to allow more food deliveries per week. The food bank went from serving 42,000 meals per week to more than 100,000 meals. The partnership negates the argument against social responsibility that says ____.

business executives lack the expertise to make decisions about social programs

The purpose of a political action committee (PAC) is to ____.

circumvent laws regarding donations by businesses to election campaigns

When Yui began a new job, included in her packet of information was a set of guidelines for how to act in accordance with the firm's values. What are these guidelines from the firm?

code of ethics

Samir is the supplies purchaser for his office. Samir's brother is a sales rep at a firm that offers a competitive price on the copier paper Samir needs to buy, so Sam did not look for a less expensive supplier. What might have occurred in this scenario?

conflict of interest

The government can direct influence a business through ____.

consumer protection legislation

Boards of directors are responsible for which area of emerging ethical issues?

corporate governance

In light of recent ethical standards in which the boards of major companies have approved loans or bonuses to CEOs or board members, increased attention has been paid to ____.

corporate governance

Which of the following represents an attempt to manage social responsibility by means of ethical compliance?

creating a committee to write a code of ethics or review proposals concerning selection and promotion

Which of the following is a lobbyist likely to do?

Try to influence legislation.

Which type of justice relates to the degree of fairness people see in how they are treated by others in their organization?

interpersonal

The maker of Wrigley chewing gum funded a $10 million ad campaign aimed at getting African Americans to use doctors for regular healthcare maintenance instead of only when they are sick. Wrigley is taking a(n) ____ approach to social responsibility.

proactive

Many builders are using fiber-cement siding to build houses. This siding is best painted with a soy-based, environmentally friendly paint. builder who paints each home with the soy-based paint would be an supporting which general area of social responsibility?

the natural environment

The Coca-Cola Foundation awarded grants to communities for water conservation and community recycling. This is an example of which area of social responsibility?

the natural environment

The inclusion of a biologist in decisions that affect the local community is an example of action in which area of social responsibility?

the natural environment

Polani is working on her firm's approach to social responsibility. How should she approach the development of this strategy?

the same way as any other business strategy

An argument against social responsibility in organizations is that ____.

there is potential for conflicts of interest

Employees at Pollack Food Services are expected to report any suspected illegal or unethical conduct by members of the organization. This is a policy that encourages ____.

whistleblowing

Theo works for a data mining company. He recently discovered a co-worker who has knowingly breached the company's online privacy policy to complete an important project for his manager. If Theo decides to report this breach, his actions will be considered ____.

whistleblowing

Where do ethical breakdowns of senior leadership generally start ____.

with demands from customers and suppliers

Where does any effort to enhance ethical behavior in the workplace begin?

with top management

Olesia is a strong believe in corporate social responsibility. Which argument would support Olesia's view?

Corporations are citizens in our society.

Which of the following statements about legal compliance is TRUE?

Managing legal compliance is usually delegated to the appropriate managers.

Which of the following is an argument in favor of social responsibility?

Organizations are responsible for making pollution and should help solve it.

As the head of IT, Ramon feels strongly in online privacy and has taken measures to address this issue. What can Ramon do to ensure all employees and users of the company systems is aware of the firm's stand on privacy?

Post policy on the website

Companies that meet their economic and legal responsibilities but do not go beyond them are exhibiting a(n) ____ approach to social responsibility.

defensive

What is the basic premise of ethical leadership?

leaders serve as role models

Destani's is setting up a training program for all managers who interview candidates and make hiring decisions to ensure they follow all local, state, and federal laws in all areas, from ADA compliance determining correct knowledge, skills, and abilities needed for the job. Destani is ensuring the firm's hiring practices follow guidelines for ____.

legal compliance

Siemens is primarily an engineering company. Employees in the U.S. volunteer to run Siemens Science Day in local schools and hospitals to get children excited about science. The passion for science is part of the informal organization dimension ____.

culture

Managers who agree with Milton Friedman's economic arguments against social responsibility will most likely take an approach to social responsibility known as a(n) ____ stance.

defensive

L'Meese is reviewing some expense reports submitted by an employee, and there appears to be some misinformation. Before L'Meese confronts her employee about this, she needs to apply moral judgement by first ____.

gathering relevant facts

When IBM makes large contributions to the performing arts, it is working in which general area of social responsibility?

general social welfare

Which area of managerial ethics include hiring and firing policies, the protection of the privacy of employees, and wages and working conditions?

how an organization treats its employees

Management can address concerns related to the privacy of personal information on the Internet by ____.

indicating how people can opt out of data collection

Rights to privacy has become an area of concern involving ethics and ____.

information technology

Amina felt her manager did not have all the facts when she told Amina her report was incomplete. What type of justice was Amina's manager lacking in?

informational

The norm of ____ means determining whether the act is consistent with what most people would see as fair.

justice

Since the company's founding, Dezmon and his key executives have provided a consistent message to employees that customers, employees, communities where the company did business, and shareholders were all important. This is an example of what type of informal organization dimension of managing social responsibility.

leadership practices

Since the company's founding, Petra and her top executives have provided a consistent message to employees that customers, employees, communities where the company did business, and shareholders were all important. This is an example of what type of informal organization dimension of managing social responsibility.

leadership practices

As the top human resource executive, Ahmed is responsible for ensuring compliance with regulations concerning hiring, pay, and workplace safety. Which formal dimension of social responsible is Ahmed involved in?

legal

Companies that take a(n) ____ stance to social responsibility do as little as possible to solve social or environmental problems.

obstructionist

Which of the following is the key element in quality decisions about what is right behavior for a situation?

personal judgement

A major computer technology firm has committed to building a computer lab at the local university, and is awarding scholarships to students who pursue this field. What is this action typical of?

philanthropic giving

As applied to social responsibility, social audits represent what function of management?

planning

For every pair of socks purchased from Bomba, the company donates one pair of socks to a homeless shelter. This is an example of the ____ approach to social responsibility.

proactive

Sealed Air, a company that works to preserve food, launched an initiative in to teach remote farmers in China to better package chicken, because more than half of the chicken there spoils before consumption. Sealed Air's initiative is an example of the a(n) ____ stance toward social responsibility because it helps the environment, farmers, and consumers of China.

proactive

The Siemens Foundation uses money to support and promote the importance of math, science, and technology education. It is taking a(n) ____ approach to social responsibility.

proactive

Employees are more likely to be motived to participate in activities, follow rules, and accept outcomes when the perceive a high level of ____.

procedural justice

Sabine runs a clothing import business, but makes it a policy to import only from countries that do not violate human rights. Additionally, she gives 10 percent of all profits to promote reading for children in her community. What area of social responsibility is important to Sabine?

social welfare

Where does direct regulation usually evolve from?

societal beliefs