Chapter 6 MGMT 1115

A major source of individual differences in ethics and morality among leaders is the products and services offered by the firm. government regulations about ethics. the leader's rank in the organizational hierarchy. the leader's level of greed, gluttony, and avarice.

the leader's level of greed, gluttony, and avarice.

A key part of a company's designation as a "best company to work for" is an evaluation of the company's organizational culture. t/f

true

A major factor contributing to differences in ethical behavior among executives is their level of greed, gluttony, and avarice. t/f

true

A recommended way of creating a socially responsible organizational culture is for managers to lead by example t/f

true

A survey indicated that a majority of U. S. workers would be willing to work for less pay if they could work for an ethical employer. t/f

true

According to the virtuous circle, corporate profits®good social performance®more profits®more good social performance. t/f

true

An important factor of being judged a "best company to work for" is the input provided by company employees. t/f

true

An example of an executive leader helping sustain the environment would be to use as much renewable energy as possible at the company. create attractive designs on packages. take a little company trash home with them after work. charge customers for shipping and delivery.

use as much renewable energy as possible at the company.

A recent development in corporate philanthropy is for corporate leaders to demand a good return on investment for their donated money. that the causes receiving the money become good customers. that recipients of their generosity all believe in capitalism. respect and recognition from all recipients.

a good return on investment for their donated money.

A major problem noted with extreme unethical behavior in the executive suite is that such behavior has brought companies into bankruptcy. led to investor distrust in the stock market. led to layoffs of thousands of workers. all of these choices

all of these choices

An example of a formal mechanism for dealing with ethical problems is leadership by example of ethical behavior. an ethics committee for reviewing complaints about ethical problems. training programs in ethics. accepting whistleblowers.

an ethics committee for reviewing complaints about ethical problems.

A leader at the postconventional level of moral development is likely to attempt to do the most good for the most people. maximize personal gain in most business transactions. falsify earnings statements to be eligible for a big bonus. be moral just enough to look good.

attempt to do the most good for the most people.

An explanation offered for ethical behavior in terms of interpersonal skills is that when you are close with people, you are more likely to behave ethically with them. take advantage of them from an ethical standpoint. overlook their ethical flaws. ask them to join you in unethical deeds.

behave ethically with them.

An example of a whistleblower (in relation to ethics) would be a(n) security guard who sent notices to employees who drove too fast in the company parking lot. executive who imposed fines on employees who behaved unethically. company specialist conducting training programs about ethics. bookkeeper who told a journalist about fraudulent accounting in the company

bookkeeper who told a journalist about fraudulent accounting in the company

According to the idea of entitlement, some corporate executives behave unethically because they feel they are entitled to make up for a poor childhood. entitled to whatever they can get away with or steal. servants of an unfair system. underpaid in comparison to top professional athletes and entertainers.

entitled to whatever they can get away with or steal.

A Job Seeker's Ethical Audit is used to verify the type of ethical reputation the job seeker has developed. t/f

false

A leader who focuses on maximizing shareholder wealth will automatically behave ethically from the standpoint of the principle "pay attention to all stakeholders." t/f

false

A theme to the unethical acts committed by major executives in recent years is that they diverted funds from the company so they could help less fortunate people. t/f

false

According to an ethics specialist cited in the text, the moral leader will attempt to squeeze all the publicity possible out of his or her moral initiatives. t/f

false

An ethical screen is used primarily when facing a decision that is in opposition to the organizational culture. affects the majority of employees within the firm. is not obviously ethical or blatantly unethical. is widely recognized as criminal behavior.

is not obviously ethical or blatantly unethical.

A unit of the U. S. Federal Government publishes on the Internet an Encyclopedia of Ethical Failure. The purpose of the document is to make elected officials look foolish. make public highly unethical behavior by government employees. make public the good deeds of government employees. create the case for a balanced budget.

make public highly unethical behavior by government employees.

A principle of ethical and moral leadership is to regularly publicize moral victories. maximize personal returns in business transactions. pay attention to all stakeholders. seek to maximize shareholder wealth.

pay attention to all stakeholders.

A practical suggestions for business leaders to behave ethically is to be "I" leaders. focus on self-interests. place personal interests over company interests. place company interests over personal interests.

place company interests over personal interests.

A recommended approach to promoting ethical behavior throughout the organization is to base rewards on seniority so people will not cut corners to perform well. implement a recognition program called "whistleblower of the month." hire only those candidates who have taken a course in ethics. reward people who have performed well and behaved ethically.

reward people who have performed well and behaved ethically.

An authority cited in the leadership text argues that ethics is at the center of leadership because the ethical leader wants to create a positive public appearance. promote conflicts of interest. attempts to keep profits at a bare minimum. wants everybody to benefit.

wants everybody to benefit.