Question chapter 9

Employee turnover is a useful indicator for assessing employee issues. a. True b. False

a

Which of the following best describes an ethics audit? a. It is a major component of an ethics program. b. It is required by the Securities and Exchange Commission. c. It is a requirement of implementing a values-based training program. d. It is part of the customer relationship management program. e. It is an important component of a financial audit.

a

Which of the following is NOT an aspect of the Open Compliance Ethics Group (OCEG) framework? a. Customers b. Management c. Quality d. Corporate governance e. Internal control

a

Which of the following items do NOT have a strong impact on whether an ethics program is successful? a. The content of the code of ethics b. The level of employee compensation c. The frequency and quality of communication regarding the program d. Senior management's success in incorporating ethics into the organization e. Local management's success in incorporating ethics into the organization

a

Companies that experience ethical misconduct disasters almost never recover from them. a. True b. False

b

What is the first step in conducting an ethics audit? a. Establishing a committee to oversee it. b. Securing the commitment of the firm's top management and board of directors. c. Defining the scope of the audit process. d. Collecting and analyze relevant information. e. Verifying results.

b

both ethics auditing and financial auditing employ: a. similar procedures to create an ethics program. b. objective reporting. c. the same federal legislation. d. philanthropic perspectives. e. an ethics officer.

b

The Better Business Bureau's International Torch Award for Marketplace Ethics may be useful to help what type of companies with their ethics audit? a. Fortune 500 companies b. Companies with ethics officers c. Companies with fewer resources d. Companies accused of accounting fraud

c

Which of the following is a means of measuring process variations that cause defects considered unacceptable deviations from the mean or target? a. Triple bottom line b. Balanced scorecard c. Six sigma d. Global Reporting Initiative e. Accountability AA 1000

c

The strategic importance of ethics auditing includes all of the following EXCEPT a. assessment for reallocating resources. b. boosting profits and reducing risk. c. improving stakeholder relationships. d. avoidance of fines in case of an infraction. e. providing a management tool for helping companies facilitate improvement.

d

When should ethics audits and financial audits be conducted? a. Monthly b. Annually c. Rarely d. Regularly e. Quarterly

d

Which of the following reporting methods is a point of contact within an organization where employees and managers can voice their concerns and receive assistance from the most appropriate person in the firm to handle the situation? a. A friend outside the organization b. Newsletters c. Managers d. Help desk e. A professional in another field

d

An ethics audit is a: a. systematic comparison of employee performance with the organization's ethical standards. b. systematic comparison of an organization's ethics program and/or performance with the Federal Sentencing Guidelines for Organizations. c. systematic evaluation of an organization's marketing program and/or performance to determine its effectiveness. d. systematic evaluation of an organization's social responsibility program and/or performance to determine its effectiveness. e. systematic evaluation of an organization's ethics program and/or performance to determine its effectiveness.

e

What is one of the greatest organizational benefits of conducting an ethics audit? a. Improved stock performance b. Happier suppliers c. Lower prices on goods and services d. Greater employee productivity and efficiency e. Improved relationships with stakeholders who desire transparency

e

Which of the following is not part of the framework for an ethics audit? a. Secure the commitment of top managers and board of directors b. Define the scope of the audit process, including subject matter areas important to the ethics audit c. Collect and analyze relevant information in each designated subject matter area d. Report the findings to the audit committee and, if approved, to managers and stakeholders e. Verify the results yourself or by a co-worker

e