Ethics Final Exam (modules 4-6 & in-class material)
leader-follower relationships in communication
-can help build relationships -respect, listening, & feedback -communicate in a way that encourages ethics -democratic leadership promotes good comm. -to reiterate the importance of values
Jim Parke & Otter Products
-you need to know what your principles are before you go into the room -how do you make sure that you are not going to rationalize to do the wrong thing (ppl have an infinite ability to rationalize) -growth is good when you have an aim in mind (your business should be something ppl can rally behind) *things that Otter Box does*... 1. cultural interviews 2. employee reviews 3. signage 4. Starbucks cards 5. reward right behavior 6. servant leadership awards 7. compensation and incentives aligned w/ values -culture at the top is the mood in the middle and the buzz at the bottom
DFEI principles
1. integrity 2. trust 3. accountability 4. transparency 5. fairness 6. respect 7. rule of law 7. viability
Separating the people from the issue in an ethical conflict situation allows the leader to approach the conflict situation with more __________. A. objectivity B. superiority C. resources D. compromise E. power
A.
Which of the following is part of the discovery process? A. answering B. planning C. assuring D. assessment E. response
D.
Training employees in leadership techniques _________________. A. eliminates the need for managers B. encourages employees to listen to their personal values C. is a good way to establish a leadership hierarchy D. teaches employees important moral philosophies E. is a form of employee empowerment
E.
RADAR model
*R*ecognize *A*void *D*iscovering *A*nswering *R*ecovering applying it... -when confronted w/ ethical issues -crisis management -use continually in day-to-day -poor example: Barclays bank failed to do this -good example: Granite Construction -need a comprehensive ethics program to be good at implementing -includes--training, ethics audits, & standards
Rita Crundwell
-treasurer of Dixon, Illinois -forced the city to cut budgets everywhere -she always had a lot of money (i.e. horses, RV, nice house, big parties, etc...) & ppl wondered where she got that money from~mayor kinda suspected her a little -someone found an account they didn't recognize and gave it to the FBI -she had made herself the sole signature on city checks since 1991 and stole $52,740,394 over 22 yrs. --sentenced to 235 months in prison -auditing service (who never found Crundwell's account) settle w/ Dixon for $40 million -city seized and auctioned off all of her possessions
Which mediation skill is important for an ethical leader to have in a conflict situation? A. defensiveness B. use of neutral language C. a zero-sum approach D. the ability to impose penalties E. analytical skills
B.
Which characteristic best describes a mixed-motive approach to handling conflict? A. arguing B. compromising C. accommodating D. collaborating E. competing
D.
methods for ethical communication
-2 way communication --involves listening skills --leaders/followers have dialogue (I-Thou relationship) -recognized legitimacy -use monologue only to TEACH and in cases of ORGANIZATIONAL/ETHICAL EMERGENCY
conflict management strategies
*variable-sum*:win/win, compromising *zero-sum*: must be winner & loser *mixed motive*: adapt variable & zero sum, flexible and most ethical way -establish unwillingness to give in -agree to compromise if it aligns w/ org. values -establish legitimacy of org. values -active listening to other side -RECIPROCITY
What does an effective ethics program require? A. Support from top management and frequent communication with employees B. Transactional leadership to control behavior of employees C. Obeying the existing laws and regulations D. Approval from secondary stakeholders E. A coercive corporate culture
A.
What do all effective ethical leaders share in common? A. Perfect performance records B. Types of reward systems C. Leadership styles D. Commitment to maximize profitability at all costs E. Good communication skills
E.
What might be true of leaders who adopt a competing style of conflict management? A. They score high on cooperativeness. B. They are flexible and adaptable. C. They score high on assertiveness. D. They are usually considered to be ethical. E. They are more willing to compromise.
C.
Ethical leaders should consider their employees to be ____________ in contributing to the firm's values. A. superior B. followers C. partners D. equal leaders E. detrimental
C.
What is group polarization? A. When the leader attempts to balance the needs of all the parties involved. B. When the communicator takes little account of the needs of the receiver. C. When the group moves toward a more extreme position than what each member would have done individually. D. When the group focuses on the needs of individuals and on building relationships between the parties. E. When individuals go along with group decisions even when those decisions conflict with their own values.
C.
When might a zero-sum conflict approach be necessary? A. When the situation requires compromise. B. When both sides need to be appeased. C. When a conflict requires collaboration. D. When compromise would break a law. E. When winning is more important than ethics.
D.
Which of the following is a step companies take in the recovery process? A. attempting to discover misconduct situations B. developing a crisis management plan C. shifting blame onto other stakeholders D. reinforcing the firm's reputation with positive messages E. avoiding media reports that portray the firm in an unfavorable light
D.
Which of the following is true about dissent in organizations? A. Hotlines are the preferred mechanism for reporting dissent. B. Dissent should be eliminated as it harms group cohesion. C. Those that report concerns are unlikely to experience retaliation. D. External reporting is the best way of resolving misconduct. E. Ethical cultures are likely to have strong internal dissent mechanisms.
E.
What should an employee do after discovering illegal conduct? A. Immediately report to your immediate supervisor. B. Transfer guilty employees to other positions. C. Begin to improve the firm's ethics program. D. Immediately terminate all employees involved in the misconduct. E. Try to handle the situation internally.
A.
Which of the following is an important part of an organizational culture? A. Values B. Individual beliefs C. Moral philosophies D. Economic conditions E. Regulations
A.
What should an ethical leader do in managing an ethical dilemma? A. Select the most desirable path in a situation in which no decision is optimal. B. Coordinate all decision making with the board of directors. C. Discipline the stakeholders involved in the ethical dilemma. D. Minimize the dilemma so that stakeholders won't understand its significance. E. Find a solution that will offer positive benefits to all stakeholders involved.
A.
What is a downside to being a variable-sum leader? . There is zero tolerance for dissent among employees. B. They try to avoid compromise at all costs. C. They might give in to employees making unethical decisions. D. They measure success by how much the other side loses. E. They refuse to collaborate on an acceptable solution.
C.
Why might ethical conflicts be important to an ethical culture? A. Ethical conflicts can be used to identify ethical issues. B. Ethical conflicts in an organization are always the result of misconduct. C. Ethical conflicts often warrant government intervention. D. Ethical conflicts are used to root out unethical employees. E. Ethical conflicts are the most important way to create an ethical culture.
A.
Why might listening be just as important as speaking for an ethical leader? A. It enables leaders to avoid a complex decision making process. B. It can establish credibility and increase morale among employees. C. It allows leaders to convey important information. D. It can keep leaders from having to speak much. E. It is a good way to hide a leader's bad communication skills.
B.
creating a culture of "doing the right thing"
1. what's the purpose of the company? If it's just about making money, that's not very inspiring-need to have higher purpose 2. we need a clear set of principles that everyone can understand and get their arms around 3. communicate principles organization wide in a positive and appealing fashion 4. commitment from directors and senior leadership-also need managers who turn principles into practice 5. senior leaders who hold themselves/other accountable 6. secure way for employees to express concern-can't be afraid of retaliation 7. hire for character AND skills-equally, if not, more important 8. evaluate employees on adherence to values as well as their skills-one is typically easier to correct than the other 9. rewards/promotions based on skills and adherence to principles-incentivize behavior we want 10. measure culture w/ surveys and interviews 11. invest in employees-personal growth opportunities, etc...
forms of communication
verbal & non-verbal *interpersonal comm.*: MOST COMMON, 2+ ppl interacting, gives leaders an intimate opportunity to gain information. find the right way to communicate and encourage open communication to address the concern of power differences. use non-judgemental language. *small group comm.*: teams, leaders & co workers & informal relationships at work. spreads out the responsibility w/in an org. and limits the power of 1 manager. this encourages ppl to take responsibility in ethics
types of organizational cultures
*apathetic*: not big on performance OR people (i.e. Country Wide Financial) *caring*: high care for ppl (i.e. Zappos) *exacting*: high care for performance (i.e. Fedex) *integrative*: big on performance AND ppl (i.e. New Belgium Brewing)
conflict management styles
*compromising*: not high commitment, think more about what you have up than what you gained *collaborating*: mutual benefits, understand higher approach *competing*: uncooperative, zero-sum, win at any cost *avoiding*: avoid conflict, complacency, assumes conflict is always undesirable *accommodating*: sacrificing own interests
David Gebler-Ethics Consultant
-"most unethical behavior is not done for personal gain, it's done to meet performance goals" -don't assume that only highly egotistical ppl are most likely to commit misconduct -pressure for performance tempts misconduct
mediation
-3rd parties or internal mediation -guide discussion process, encourage collaboration, and cut down adversarial approaches (leadership skills) -ethical leaders should know how to mediate -discover all the perspectives -fully listening and investigating the claims -helps them understand the other side's view -flashlight that illuminates the core issues & the underlying motives *4 step process 1. *receive*: hears about the issue 2. *explore*: looks at the reasons & sides of story 3. *assess* 4. *respond* -non aggressiveness, neutral language, & refusing to give in to arguments -impartiality is key -redirect to key issues *mediation mechanisms -which conflicts are common -3rd party & internal mediators -should be analyzed + strengthened
advancing ethical conduct (module 6)
-actions of management & co workers impact actions -if corp. culture is complacent, ethical misconduct can occur -everyone is a leader-West Point model -report!! (FSGO-fed. sentencing guidelines for orgs.) -benefits~can be costly BUT gain trust, motivate employees, avoid litigation, & raises stock value -be knowledgeable about how ethical conduct works -learn to ask questions & collaborate -opportunity for training -competence & character! -keep in mind individual values, org. culture, & opportunity
advancing ethical conduct (module 4)
-ethics continuity~monitoring -reputation is most valuable asset-brand value -plans to handle misconduct -ethical conflicts identifies ethical issues -pressure for performance tempts misconduct-leaders address this early -proactive leadership! -ethical conduct must be managed -*plan, anticipate, & address issues-contingency systems
what's your brand
-what decision you make defines who you are -take your worst moment and make it your best! -you can't remove yourself from your personal brand *qualities that set you apart*... --positive attitude --integrity --grit *positive attitude*: you don't know the power of a positive attitude until it changes a bad situation into a good one, you control how you RESPOND-when you turn your focus from inward to outward it makes a difference *integrity*: doing the right thing when EVERYONE is watching!, foundation of our brand, integrity is a lot like a muscle-opportunity to strengthen the muscle are small integrity decisions *grit*: passion & perseverance for long-term goals, pursue what you're passionate about, make stretch goals~failure is part of success
What actions can teams take to aid in the ethical decision making process? A. Answer the public regarding ethical misconduct issues B. Have the final say on ethical decisions C. Collectively look for ethical solutions or alternatives D. Collectively determine whether an illegal activity should be addressed E. Report on a team member's lack of performance contributions
C.
What is one of the disadvantages higher-level executives face when overseeing an ethical climate of the organization? A. Their negative relationships with employees B. Their inability to control employees C. Their tendency to be socially isolated from employees D. Their lack of power in the organization E. Their inability to make all of the key organizational decisions
C.
Which of the following factors impact the length of time it takes for companies to recover from ethical misconduct? A. The length of time it takes for the company to resolve the issues B. How the company responds after discovering the misconduct C. All three answer options impact the length of time it takes for companies to recover D. How stakeholders perceive the company's response E. None of these answer options impact the length of time it takes for companies to recover
C.
__________ occurs when ethical leaders observe and identify ethical risk areas. A. Responding B. Discovering C. Recognizing D. Avoiding E. Disciplining
C.
mechanisms for dissent & challenges
1. reporting to supervisors~most likely, open door policy, use the GVV principles-know your values, express any objections you have, & be quick & thorough 2. reporting anonymously~if open door policy isn't good enough because ppl have an issue with management or they have fear of retaliation,
According to Ethics Consultant, David Gebler, most unethical behavior is committed ______________. A. To meet performance goals B. Because employees generally dislike following rules C. On Tuesday afternoons D. Due to boredom E. For personal gain
A.
According to the information shared in this section, ________ might provide a solution to a disagreement, but it is unlikely that both parties will be happy with the decision. A. litigation B. verbal threats C. intimidation D. mediation E. collaboration
A.
An effective ethics program should show _____________________. A. intolerance of misconduct B. that it pays for itself C. support for short-term profits D. less of a relationship with compliance E. inflexibility toward change
A.
An effective team should possess which characteristic? A. Diversity B. Extroversion C. Ambiguity D. Uniformity E. Skepticism
A.
In order to promote an open communication culture, leaders should ____________________. A. adopt more of a democratic process toward ethical decision making B. encourage employees to use the hotline rather than report to managers C. establish a reprimand system for employees who do not meet performance goals D. discourage dissent as it can disrupt operations and expose wrongdoing E. secure employee input for every decision
A.
When handling a conflict situation, it is important for a leader to realize that the other party's concerns are _________. A. legitimate B. superior C. unproven D. correct E. wrong
A.
Which of the following is a barrier to communication between leaders and followers? A. Power differentials B. The presence of hotlines C. Regulation D. Groupthink E. Disciplinary procedures
A.
Which statement is true about employee feedback? A. It helps leaders identify the firm's strengths and weaknesses. B. It helps to eliminate the need for managers in the organization. C. It tricks employees into believing their opinions matter. D. It is not as important as feedback from employers. E. It trains employees in ethical conduct.
A.
Why is external whistle blowing a serious decision? A. Whistle blowers have been fired for reporting. B. Regulators view whistle blowers negatively. C. Whistle blowing is toxic to a firm's ethical culture. D. Whistle blowing destroys an organization's ethics program. E. Whistle blowers will be fired for going outside with their concerns.
A.
An ethical leader with good interpersonal communication skills should ____________. A. avoid delivering negative news B. demonstrate both respect and firmness in communication C. never reprimand employees D. give up authority to maintain beneficial relationships E. place employee needs over organizational needs
B.
In a rigid hierarchical organization, communication generally consists of ______________. A. listening B. one-way communication C. two-way communication D. dialogue E. employee feedback
B.
Leaders with an avoiding conflict management style are more likely to exhibit ______________. A. high assertiveness B. ethical complacency C. ethical behavior D. high levels of cooperation E. a win-at-all-cost attitude
B.
What does mediation involve? A. an independent third party determines the settlement B. an objective third party helps two parties settle their differences C. an independent third party forces the losing party to pay a fine D. the conflict is settled by a jury of peers E. a judge becomes involved to rule on the case
B.
What is a disadvantage of small group communication and decision making? A. It destroys group cohesion. B. It can lead to excessive risk taking. C. Decision making is usually uncreative. D. Most individuals are too timid to participate. E. No leader is present in the discussion.
B.
What is a potential downside of overusing the compromising style of conflict management? A. Resolution becomes impossible. B. Each side has to give something up. C. One side of the conflict always loses. D. Misconduct can be ignored. E. The two sides avoid talking to one another.
B.
What is the problem with an accommodating style of conflict management? A. Leaders are unwilling to collaborate or compromise. B. Leaders might allow unethical employees to continue their misconduct. C. Leaders are likely to actively engage in misconduct themselves. D. Leaders will do whatever they can to make sure the other side loses. E. Leaders will seek to avoid conflict at any cost necessary.
B.
Which of the following statements about nonverbal communication is false? A. It can be harder to control than verbal communication. B. It is less trustworthy than verbal communication. C. It can signal whether an employee is truly paying attention. D. It can be complex when different cultures are involved. E. It provides important clues about an individual's emotional state.
B.
Which statement best describes how autocratic leaders communicate? A. They do not communicate with subordinates. B. They limit communication to need-to-know information. C. They tend to use more nonverbal signals. D. They engage in highly transparent communication. E. They tend to establish open communication cultures.
B.
Why are leaders important even in a democratic organization? A. Employee morale is low in these organizations. B. Leaders often make the final call on major decisions. C. Leaders are the only ones with both character and competence. D. It is hard to motivate employees to make decisions. E. Employees are ill equipped to make ethical decisions.
B.
Why is an organization characterized by workplace politics perceived negatively by employees? A. Leaders of these firms never distribute rewards and focus on retribution. B. Followers are rewarded based on whether they serve the leader's best interests. C. The leader almost always faces scrutiny and ends up departing the organization. D. These companies do not have ethical codes. E. Nonverbal communication is not considered to be important.
B.
According to most companies' ethics codes, what happens to whistle blowers if their reportings are wrong? A. They are promoted for speaking up. B. They are looked upon with suspicion. C. They do not face retaliation for good faith reporting. D. They are severely reprimanded. E. They are terminated.
C.
How can ethical leaders increase employee empowerment? A. Discipline employees who violate the firm's ethical policies. B. Develop a detailed code of conduct. C. Make discussions about ethics commonplace. D. Avoid identifying an issue as being unethical. E. Discourage conflicts within the organization.
C.
____________ occurs when both the communicator and receiver considers the unique worth of the other party and tries to understand what the other is communicating. A. Nonverbal communication B. Listening C. Diatribe D. Dialogue E. Monologue
D.
As a lower-level employee, how might you be able to ethically influence new hires? A. You can point out the employee's unethical behavior. B. You can teach the employee to pursue success. C. You can take charge of developing the firm's ethics code. D. You can communicate organizational principles and values. E. You can become the new hire's immediate boss or supervisor.
D.
Good communication skills __________. A. do not contribute to ethics B. come naturally C. are usually verbal D. promote leader-follower congruence E. promote decentralization in organizations
D.
How should ethical leaders manage their employees? A. Meet all of their employees' needs B. Increase penalties for employee mistakes C. View them as subordinates with little competence D. Demonstrate ethical values through role modeling E. Micromanage their employees' activities
D.
To help prevent misconduct, ethical leaders should: A. Maintain a ratio of 3:1 for supervisors to employees B. Immediately fire any employee who is accused of misconduct C. Write a new code of conduct each month D. Develop and manage systems to maintain an ethical culture E. Maintain at least 10 attorneys on staff at all times
D.
What do zero-sum leaders believe? A. Conflict resolution is unimportant for maintaining ethical conduct. B. There should be zero tolerance for misconduct in the organization. C. Different approaches should be adapted depending upon the situation. D. There always has to be a winner and a loser in a conflict situation. E. Both sides of an ethical conflict can obtain a favorable outcome.
D.
What does external whistle blowing often indicate about a firm's corporate culture? A. It has ethical leadership. B. It is supportive of employee dissent. C. It is performing poorly financially. D. Internal reporting is perceived to be ineffective. E. It has effective internal reporting mechanisms.
D.
What is the best way to avoid an ethical misconduct disaster? A. Hire managers who will use negative reinforcement to get employees to act ethically. B. Avoid addressing ethical issues until they become more serious. C. Create a solid defense to explain why the firm engaged in misconduct. D. Identify a potential ethical issue before it snowballs into a crisis. E. Fire all employees who violate company standards.
D.
What is the first step toward making an ethical decision? A. reporting the ethical issue B. considering alternatives C. listening to both sides of a conflict D. identifying the ethical issue E. solving the ethical issue
D.
What should an ethical leader do if a conflict begins to escalate? A. Take the other party's side. B. Decide the conflict is not worth pursuing. C. Agree to a compromise. D. Bring the discussion back to the core issues. E. Reprimand those causing the conflict.
D.
Which leadership style is likely to be ineffective at promoting ethical conduct? A. Authentic leadership B. Transformational leadership C. Transactional leadership D. Coercive leadership E. Charismatic leadership
D.
Which of the following statements is true regarding organizational conflict? A. Conflicts are rarely beneficial in the workplace. B. Avoiding conflicts is the best approach. C. Organizational conflicts indicate that the firm is unethical. D. Conflicts provide an opportunity to listen to the other party's viewpoints. E. A zero-sum approach to conflict is the most beneficial.
D.
Which situation demonstrates reciprocity? A. You do not thank your boss for your raise. B. You avoid a conflict whenever possible. C. You violate the rules by taking home office supplies. D. In response to co-workers help making a deadline, you assist them with a similar crisis E. You shout at someone who has done nothing wrong.
D.
Which statement about organizational ethical role models is true? A. Ethical role models always occupy positions of superior authority. B. Employees look up to managers they don't interact with on a daily basis. C. The influence of ethical role models is less important than codes of conduct. D. Co-workers can be ethical role models, especially when the manager is distant. E. Lower-level employees cannot be ethical role models.
D.
Why are managers reluctant to engage in the discovery process? A. Most discovery mechanisms are ineffective in detecting misconduct. B. Discovery forces leaders to acknowledge financial losses. C. Discovery usually involves having to lay off employees. D. They fear uncovering misconduct could harm the firm's reputation. E. They are required to hire outside auditors, which is costly.
D.
Why would organizations prefer that employees provide their personal information when making reports? A. So that board members can know of the level and nature of the accusations. B. The accused party needs to know who made the report. C. Legally, it's impossible to take action without identifying the parties involved. D. It is easier to handle a conflict situation when all parties have been identified. E. The organization can retaliate against the employees.
D.
giving voice to values (GVV)
Dr. Mary Gentile -most of us know what we should do! -how can ppl do the right thing and succeed? --1) why ppl decide to act --2) how they went about it -GVV doesn't focus on ethical analysis, but that we already know what we want to do!-->how to follow through (how do I get it done?) -ppl often don't act like they said they would act -once others see ppl living ethically, they realize it's important *7 pillars* 1. vales~there are some universal values 2. choice~we have a choice to act on values or not to...we have to identify our enablers/disablers 3. normalization~don't be surprised when you have to deal w/ an ethical issue 4. purpose~over-arching values that guide life 5. self-knowledge/alignment~what are our strengths? what works best for us to deal w/ issue? 6. voice~when you practice and script things-calmly think, we can always return to the issue 7. reasons/rationalizations~be prepared to hear them! *being your best self* 1. ownership: sense of responsibility of actions 2. efficacy: belief we'll do the right thing 3. courage: a commitment to principles -make outcomes as positive as possible -if you make a force for your ethical decision, you are able to do the right thing -strive for RESPECT, not being LIKED -set aside "go to hell" funds so if we have to quit/get fired you don't have to worry -expand our vision to what is necessary
How might a comprehensive code of conduct prove ineffective in curbing misconduct? A. The code of conduct has too many examples. B. The code of conduct focuses on global versus domestic issues. C. The code of conduct discourages nonverbal communication. D. The code of conduct is communicated to too many stakeholders. E. The code of conduct is not effectively communicated to employees.
E.
Which of the following is important in catching misconduct internally before it becomes a major issue? A. The use of teams B. A response plan C. Disciplinary procedures D. Monologue E. Employee feedback
E.
Why is the collaborating style of management most favorable to ethical conflict resolution? A. Leaders are willing to compromise their values for favorable outcomes. B. It totally disregards the zero-sum approach to conflict resolution. C. It creates a solution in which both parties to a conflict can win. D. It enables the company to meet the needs of all its stakeholders. E. Leaders desire to meet the needs of others but adhere to their own goals and values.
E.
Why is the mixed-motive conflict management style considered to be the most effective? A. It seeks win-win situations for everyone involved. B. It seeks to win at any cost necessary. C. It is the most effective way to achieve productivity. D. It pursues profits above all else. E. It bases decisions on the goals and values of the firm.
E.