Module 1, Module 2, Module 3, Module 4, Module 5, Module 6

What does mediation involve? a. a judge becomes involved to rule on the case 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. an independent third party determines the settlement e. the conflict is settled by a jury of peers

b. an objective third party helps two parties settle their differences

While these leaders do not necessarily commit misconduct, they care little for ethics in the company. a. integrative leaders b. apathetic leaders c. immoral leaders d. authentic leaders e. caring leaders

b. apathetic leaders

Which statement best describes how autocratic leaders communicate? a. they do not communicate with subordinates b. they engage in highly transparent communication c. they tend to use more nonverbal signals d. they limit communication to need-to-know information e. they tend to establish open communication cultures

d. they limit communication to need-to-know information

What is a downside to being a variable-sum leader? a. they measure success by how much the other side loses b. they try to avoid compromise at all costs c. they refuse to collaborate on an acceptable solution d. they might give in to employees making unethical decisions e. there is zero tolerance for dissent among employees

d. they might give in to employees making unethical decisions

According to Ethics Consultant, David Gebler, most unethical behavior is committed ____________. a. due to boredom b. because employees generally dislike following rules c. for personal gain d. to meet performance goals e. on Tuesday afternoons

d. to meet performance goals

Employees who display good character ____________________ a. Take responsibility for ethically meeting stakeholder needs b. Always achieve their goals and objectives c. Know how to perform most tasks within the organization d. Place individual values over organizational values e. Value character over competence

a. Take responsibility for ethically meeting stakeholder needs

An effective ethics program should show _____________________. a. intolerance of misconduct b. that it pays for itself c. less of a relationship with compliance d. inflexibility toward change e. support for short-term profits

a. intolerance of misconduct

Which of the following is important in catching misconduct internally before it becomes a major issue? a. a response plan b. monologue c. disciplinary procedures d. the use of teams e. employee feedback

e. employee feedback

Which statement is true about the ethical decision-making of leaders? a. Skilled, ethical leaders find it easy to make ethical decisions b. Ethical leaders must often make trade-offs regarding stakeholder demands c. Ethical leaders balance their personal and organizational ethics to not maximize profitability d. Ethical leaders do not obtain employee input for major decisions e. Ethical decisions always result in favorable consequences for the firm

b. Ethical leaders must often make trade-offs regarding stakeholder demands

What is one way that ethical leaders can empower employees? a. Setting challenging goals that are measurable b. Hiring employees with strong personal values c. Creating an open communication environment d. Eliminating manager and supervisor roles e. Developing a strict and intolerant culture

c. Creating an open communication environment

Why would an organization not want to rely on an individual's personal ethics? a. Ethical diversity contributes to a more ethical organizational culture b. Individual employees cannot handle complex ethical situations c. Individual personal values differ significantly and can result in unethical conduct d. Individuals seek to take advantage of the company e. Employees rarely use their personal values in making ethical decisions within the organization

c. Individual personal values differ significantly and can result in unethical conduct

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. verbal threats b. mediation c. litigation d. collaboration e. intimidation

c. litigation

Which of these stakeholders is a secondary stakeholder? a. Employees b. Consumers c. Regulators d. Special-interest groups e. Suppliers

d. Special-interest groups

In this module, we described five examples of ethically-challenged CEOs. What is not one of the mistakes they made? a. Focusing on short-term profits rather than long-term sustainability b. Engaging in excessive risk-taking c. Manipulating accounting statements to make the firm look more profitable d. Placing their own interests over those of the company e. Giving employees more decision-making authority

e. Giving employees more decision-making authority

As a lower-level employee, how might you be able to ethically influence new hires? a. you can become the new hire's immediate boss or supervisor b. you can take charge of developing the firm's ethical code c. you can teach the employee to pursue success d. you can point out the employee's unethical behavior e. you can communicate organizational principles and values

e. you can communicate organizational principles and values

In order to promote an open communication culture, leaders should ____________________. a. adopt more of a democratic process toward ethical decision making b. discourage dissent as it can disrupt operations and expose wrongdoing c. secure employee input for every decision d. encourage employees to use the hotline rather than report to managers e. establish a reprimand system for employees who do not meet performance goals

a. adopt more of a democratic process toward ethical decision making

What constitutes a conflict of interest? a. The firm ignores legitimate concerns of its secondary stakeholders b. The best interests of an individual are placed above the best interests of the company c. Rewards are provided for increased risk-taking that could damage the firm d. Employees are abused and become unmotivated to perform e. Regulators are paid to look the other way when a firm commits misconduct

b. The best interests of an individual are placed above the best interests of the company

Which leadership style is likely to be ineffective at promoting ethical conduct? a. charismatic leadership b. transactional leadership c. coercive leadership d. authentic leadership e. transformational leadership

c. coercive leadership

An Enron, the lowest 20 percent of performers were systematically fired. This could be an example of __________________. a. reward power b. legitimate power c. expert power d. coercive power e. referent power

d. coercive power

Which of the following is an important part of an organizational culture? a. individual beliefs b. moral philosophies c. economic conditions d. values e. regulations

d. values

Training employees in leadership techniques _______________________. a. is a form of employee empowerment b. teaches employees important moral philosophies c. eliminates the need for managers d. is a good way to establish a leadership hierarchy e. encourages employees to listen to their personal values

a. is a form of employee empowerment

What does external whistle blowing often indicate about. firm's corporate culture? a. it has ethical leadership b. it is performing poorly financially c. it is supportive of employee dissent d. it has effective internal reporting mechanisms e. internal reporting is perceived to be ineffective

e. internal reporting is perceived to be ineffective

What actions can teams take to aid in the ethical decision making process? a. collectively look for ethical solutions or alternatives b. have the final say on ethical decisions c. report on a team member's lack of performance contributions d. answer the public regarding ethical misconduct issues e. collectively determine whether an illegal activity should be addressed

a. collectively look for ethical solutions or alternatives

What do all effective ethical leaders share in common? a. good communication skills b. commitment to maximize profitability at all costs c. leadership styles d. types of reward systems e. perfect performance records

a. good communication skills

Which statement about organizational ethical rule models is true? a. the influence of ethical role models is less important than codes of conduct b. co-workers can be ethical role models, especially when the manager is distant c. ethical role models always occupy position of superior authority d. lower-level employees cannot be ethical role models e. employees look up to managers they don't interact with on a daily basis

b. co-workers can be ethical role models, especially when the manager is distant

What should an employee do after discovering illegal conduct? a. try to handle the situation internally b. immediately terminate all employees involved in the misconduct c. immediately report to your immediate supervisor d. transfer guilty employees to other positions e. begin to improve the firm's ethics program

c. immediately report to your immediate supervisor

How can ethical leaders increase employee empowerment? a. discipline employés who violate the firm's ethical policies b. avoid identifying an issue as being unethical c. make discussions about ethics commonplace d. develop a detailed code of conduct e. discourage conflicts within the organization

c. make discussions about ethics commonplace

What is the first step toward making an ethical decision? a. solving the ethical issue b. considering alternatives c. listening to both sides of a conflict d. identifying the ethical issue e. reporting the ethical issue

d. identifying the ethical issue

What is a disadvantage of small group communication and decision making? a. decision making is usually uncreative b. no leader is present in the discussion c. most individuals are too timid to participate d. it can lead to excessive risk taking e. it destroys group cohesion

d. it can lead to excessive risk taking

Which of the following is a barrier to communication between leaders and followers? a. disciplinary procedures b. regulation c. the presence of hotlines d. power differentials e. groupthink

d. power differentials

How should ethical leaders manage their employees? a. meet all of their employees' needs b. micromanage their employees' activities c. increase penalties for employee mistakes d. view them as subordinates with little competence e. demonstrate ethical values through role modeling

e. demonstrate ethical values through role modeling

Which mediation skill is important for an ethical leader to have in a conflict situation? a. a zero-sum approach b. use of neutral language c. analytical skills d. defensiveness e. the ability to impose penalties

b. use of neutral language

Why are principles and values so important to companies? a. they prevent a firm from engaging in misconduct b. they allow a firm to avoid costly firms from regulators c. they provide guidance for employees and leaders in making ethical decisions d. they always result in the correct ethical decision e. they are important in maintaining operational excellence

c. they provide guidance for employees and leaders in making ethical decisions

Sam Walton, founder of Wal-Mart, would often travel to different stores across the nation to personally meet employees and praise them for their hard work. By actively promoting a shared vision among employees, Sam Walton was a _______________________. a. charismatic leader b. authentic leader c. transformational leader d. transactional leader

c. transformational leader

Principles, values, ___________, and ___________ form an organizational culture. a. ethics codes; ethics training b. policies; ethics programs c. hotness; continuous improvement d. artifacts; ethical codes e. norms; artifacts

e. norms; artifacts

Ethical leaders should consider their employees to be _____________ in contributing to the firm's values. a. partners b. equal leaders c. supervisors d. followers e. detrimental

a. partners

Which tends to be the most observed misconduct in the workplace? a. wide-scale fraud b. time theft c. bribery d. stealing company secrets e. sexual harassment

b. time theft

How might a comprehensive code of conduct prove ineffective in curbing misconduct? a. the code of conduct focuses on global versus domestic issues b. the code of conduct discourage nonverbal communication c. the code of conduct is communicated to too many stakeholders d. the code of conduct is not effectively communicated to employees e. the code of conduct has too many examples

d. the code of conduct is not effectively communicated to employees

Based on our definition, how should companies approach principles? a. firms should solicit feedback on their importance to ethical conduct b. they should be a flexible part of a firm's ethical culture c. companies should always adjust them according to the local culture d. there should be zero tolerance for employees to violate them e. organizations must violate them to succeed

d. there should be zero tolerance for employees to violate them

According to most companies' ethical codes, what happens to whistle blowers if their reportings are wrong? a. they are looked upon with suspicion b. they are severely reprimanded c. they are terminated d. they do not face retaliation for good faith reporting e. they are promoted for speaking up

d. they do not face retaliation for good faith reporting

What is a potential downside of overusing the compromising style of conflict management? a. one side of the conflict always loses b. the two sides avoid talking to one another c. misconduct can be ignored d. resolution becomes impossible e. each side has to give something up

e. each side has to give something up

If Steve Jobs was admired for his knowledge of Apple products, he displayed ____________________. a. legitimate power b. referent power c. reward power d. coercive power e. expert power

e. expert power

Which of the following information does an ethics audit try to collect? a. employees' perception of the firm's ethical culture b. educational background of the firm's leaders c. personal ethics of employees d. productivity measurements of different employees e. financial performance tied to decision making

a. employees' perception of the firm's ethical culture

Many individuals caught in misconduct claim that they were "just following orders" from their superiors. What type of power might reflect on the part of the leader? a. expert power b. legitimate power c. reward power d. coercive power e. referent power

b. legitimate power

What does an effective ethics program require? a. transactional leadership to control behavior of employees b. support from top management and frequent communication with employees c. obeying the existing laws and regulations d. a coercive corporate culture e. approval from secondary stakeholders

b. support from top management and frequent communication with employees

While principles are more _________ in nature, values are more __________ and tend to be enforced by society. a. subjective; objective b. universal; subjective c. universal; absolute d. flexible; unchanging e. subjective; universal

b. universal; subjective

When might a zero-sum conflict approach be necessary? a. when a conflict requires collaboration b. when compromise would break a law c. when winning is more important than ethics d. when both sides need to be appeased e. when the situation requires compromise

b. when compromise would break a law

An effective team should possess which characteristic? a. skepticism b. extroversion c. ambiguity d. diversity e. uniformity

d. diversity

Which of the following statements about nonverbal communication is false? a. it can be harder to control than verbal communication b. it provides important clues about an individual's emotional state c. it can signal whether an employee is truly paying attention d. it can be complex when different cultures are involved e. it is less trustworthy than verbal communication

e. it is less trustworthy than verbal communication

What is one of the disadvantages higher-level executives face when overseeing an ethical climate of the organization? a. their inability to control employees b. their negative relationships with employees c. their inability to make all of the key organizational decisions d. their lack of power in the organization e. their tendency to be socially isolated from employees

e. their tendency to be socially isolated from employees

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. they are required to hire outside auditors, which is costly d. discovery usually involves having to lay off employees e. they fear uncovering misconduct could harm the firm's reputation

e. they fear uncovering misconduct could harm the firm's reputation

Which statement best describes codes of ethics? a. ethical values that an employee must follow b. formal statements describing what an organization expects of its employees c. behavioral expectations that dictate appropriate behavior d. certification that all company documentation is accurate e. legal documents that specify a detailed list of regulation

b. formal statements describing what an organization expects of its employees

Why is shared leadership important? a. it prevents the firm from hiring employees with bad character b. it establishes checks and balances on every member of the organization c. it removes some of the responsibility of board members d. it empowers leaders to make ethical decisions e. it keeps leaders from corrupting employees

b. it establishes checks and balances on every member of the organization

What is true about the influence of ethical decision making factors in an organization? a. individual values play only a minor role in organizational decision making b. employees should always follow their intuition c. employees rarely make decisions that have ethical implications d. employee decision making is often affected more by organizational relationships e. opportunity is the most significant factor in decision making

d. employee decision making is often affected more by organizational relationships

Good communication skills _________________. a. are usually verbal b. promote decentralization in organizations c. come naturally d. promote leader-follower congruence e. do not contribute to ethics

d. promote leader-follower congruence

_______________ occurs when ethical leaders observe and identify ethical risk areas. a. recognizing b. discovering c. responding d. disciplining e. avoiding

a. recognizing

Why are hotlines useful in a firm? a. because they are useful for punishing reporters of misconduct b. because they allow the caller to remain anonymous c. because the firm doesn't have an open-door policy d. because most managers are not willing to listen to employees e. because they are the most direct way to report misconduct

b. because they allow the caller to remain anonymous

Which characteristic best describes a mixed-motive approach to handling conflict? a. compromising b. collaborating c. competing d. accommodating e. arguing

b. collaborating

_________________ 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. listening b. nonverbal communication c. monologue d. dialogue e. diatribe

d. dialogue

What is a characteristic of an ethical leader? a. they have a passion to do the right thing b. they consider customers to be the most important stakeholder c. they micro-manage every fact of a company's operations d. they make all of the company's ethical decisions e. they consider performance to be the most important factor

a. they have a passion to do the right thing

In a rigid hierarchical organization, communication generally consists of ____________________. a. two-way communication b. listening c. one-way communication d. employee feedback e. dialogue

c. one-way communication

Why is an organization characterize by workplace politics perceived negatively by employees? a. followers are rewarded based on whether they serve the leader's best interests b. nonverbal communication is not considered to be important c. these companies do not have ethical codes d.leaders of these firms never distribute rewards and focus on retribution e. the leader almost always faces scrutiny and ends up departing the organization

a. followers are rewarded based on whether they serve the leader's best interests

Why might listening be just as important as speaking for an ethical leader? a. it can establish credibility and increase morale among employees b. it enables leaders to avoid a complex decision making process c. it allows leaders to convey important information d. it is a good way to hide a leader's bad communication skills e. it can keep leaders from having to speak much

a. it can establish credibility and increase morale among employees

Why is expert power one of the more effective forms of power a leader can demonstrate? a. this leader is usually the highest authority figure in the company b. followers are able to trust the leader's expertise and credibility c. it makes the leader more approachable d. the leader can be trusted to k now everything going on within the organization e. the leader is usually more intelligent than the average individual

b. followers are able to trust the leader's expertise and credibility

In this section, _________________ was identified as the best way to identify misconduct in an organization. a. assigning employees to spy on each other b. sifting through employee emails c. tapping employee phone lines d. installing hidden video cameras e. employee reporting

e. employee reporting

Which of the following is true about dissent in organizations? a. dissent should be eliminated as it harms group cohesion b. those that report concerns are unlikely to experience retaliation c. hotlines are the preferred mechanism for reporting dissent d. external reporting is the best way of resolving misconduct e. ethical cultures are likely to have strong internal dissent mechanisms

e. ethical cultures are likely to have strong internal dissent mechanisms

What is the definition of ethical issue intensity? a. a problem requiring an ethical decision b. how intense the ethical misconduct is within a company c. the resulting evaluation after an ethical decision has been made d. what occurs when an ethical issue is perceived to be by a company or individual e. how important an ethical issue is perceived to be by a company or individual

e. how important an ethical issue is perceived to be by a company or individual

Why are leaders important even in a democratic organization? a. leaders often make the final call on major decisions b. leaders are the only ones with both character and competence c. employee morale is low in these organizations d. employees are ill equipped to make ethical decisions e. it is hard to motivate employees to make decisions

a. leaders often make the final call on major decisions

Which of the following statements is true regarding organizational conflict? a. organizational conflicts indicate that the firm is unethical b. a zero-sum approach to conflict is the most beneficial c. conflict provide an opportunity to listen to the other party's viewpoints d. conflicts are rarely beneficial in the workplace e. avoiding conflicts is the best path

c. conflict provide an opportunity to listen to the other party's viewpoints

Leaders with an avoiding conflict management style are more likely to exhibit ______________. a. ethical behavior b. high levels of cooperation c. high assertiveness d. a win-at-all-cost attitude e. ethical complacency

e. ethical complacency

Why is external whistle blowing a serious decision? a. whistle blowing is toxic to a firm's ethical culture b. regulators view whistle blowers negatively c. whistle blowers will be fired for going outside with their concerns d. whistle blowing destroys an organization's ethics program e. whistle blowers have been fired for reporting

e. whistle blowers have been fired for reporting

Which statement is true about employee feedback? a. it trains employees in ethical conduct. b. it tricks employees into believing their opinions matter c. it helps leaders identify the firm's strengths and weaknesses d. it is not as important as feedback from employees e. it helps to eliminate the need for managers in the organization

c. it helps leaders identify the firm's strengths and weaknesses

Why would organizations prefer that employees provide their personal information when making reports? a. the organization can retaliate against the employees b. legally, its impossible to take action without identifying the parties involved c. so that board members can know of the level and nature of the accusations d. the accused party needs to know who made the report e. it is easier to handle a conflict situation when all parties have been identified

e. it is easier to handle a conflict situation when all parties have been identified

What should an ethical leader do in managing an ethical dilemma? a. find a solution that will offer positive benefits to all stakeholders involved b. minimize the dilemma so that stakeholders won't understand its significance c. coordinate all decision making with the board of directors d. discipline the stakeholders involved in the ethical dilemma e. select the most desirable path in a situation in which no decision is optimal

e. select the most desirable path in a situation in which no decision is optimal

Unlike an ethical issue, in an ethical dilemma _____________. a. there can be no solution b. leadership is not required c. all the decisions have negative consequences d. all answers are highly unclear e. all options are highly unethical

c. all the decisions have negative consequences

A values orientation should posses _________________. a. a strong hierarchy b. an emphasis on behavioral monitoring c. few ethical risks d. strong communication systems e. no disciplinary procedures

d. strong communication systems

What should an ethical leader do if a conflict begins to escalate? a. bring the discussion back to the core issues b. agree to a compromise c. reprimand those causing the conflict d. take the other party's side e. decide the conflict is not worth pursuing

a. bring the discussion back to the core issues

Why might ethical conflicts be important to an ethical culture? a. ethical conflicts can be used to identify ethical issues b. ethical conflicts are used to root out unethical employees c. ethical conflicts are the most important way to create an ethical culture d. ethical conflicts in an organization are always the result of misconduct e. ethical conflicts often warrant government intervention

a. ethical conflicts can be used to identify ethical issues

What is the definition of an ethics audit? a. an investigation into the ethical climate of the firm b. a program to help employees know how to act in ethical dilemmas c. a way of analyzing a firm's financial situation d. a review of your board of directors and top executives e. behavioral expectations that dictate appropriate behavior

a. an investigation into the ethical climate of the firm

Why might a company not want to investigate reports of misconduct? a. an investigation is often time-consuming and expensive b. companies want to avoid hiring an ethics officer c. investigating would convict with the firm's code of conduct d. leaders would rather have the report analyzed by legal authorities e. to maintain a positive reputation

a. an investigation is often time-consuming and expensive

What likely contributed to the flawed corporate culture at Countrywide Financial? a. A flawed incentive system b. Overworked employees c. Failure to take risks d. A decrease in profitability e. Unscrupulous clients

a. A flawed incentive system

What is one of the biggest ethical risks that companies face? a. Complacency b. Unforgivable media c. Whistle-blowing d. Underachievement e. Government regulation

a. Complacency

Which statement is true regarding the aftermath of the financial crisis? a. Consumer trust of business hit a low point b. Consumers plan more trust in fast growing and profitable companies c. The stock of ethical firms decreased quicker than other companies' stock d. Voluntary turnover at companies increased e. Consumers place greater trust in legal and regulatory institutions

a. Consumer trust of business hit a low point

What is true about ethical leaders? a. Ethical leaders place company interests above their own b. Ethical leaders do not talk about misconduct in the workplace c. Ethical leaders avoid getting too friendly with other employees d. Ethical leaders are born, not made e. Ethical leaders often use autocratic management processes

a. Ethical leaders place company interests above their own

Which of the following differentiates ethical leaders from less ethical leaders? a. How they respond to mistakes b. How many employees report to them c. How many degrees they have obtained d. How much power they have e. How many mistakes they have made

a. How they respond to mistakes

An "ethical blind spot" refers to ______________________. a. a person's underestimation of his or her own potential to commit misconduct b. the inability of peers to recognize an ethical issue in an organizational context c. a tendency to overlook ethical misconduct in other people d. the lack of an ethical corporate culture of a formal ethics program in the workplace e. the feeling that many people have of being less ethical than their peers

a. a person's underestimation of his or her own potential to commit misconduct

Which of the following factors impact the length of time it takes for companies to recover from ethical misconduct? a. all three answer options impact the length of time it takes for companies to recover b. how stakeholder perceive the company's response c. the length of time it takes for the company to resolve the issues d. how the company responds after discovering the misconduct e. none of these answer options impact the length of time it takes for companies to recover

a. all three answer options impact the length of time it takes for companies to recover

What is a necessary component of an ethical corporate culture? a. an ethics program b. a socially dominant leader c. exacting management d. elimination of counter disciplinary procedures e. rewards for financial performance

a. an ethics program

What is the best way to avoid an ethical misconduct disaster? a. identify a potential ethical issue before it snowballs into a crisis b. create a solid defense to explain why the firm engaged in misconduct c. fire all employees who violate company standards d. hire manager who will use negative reinforcement to get employees to act ethically e. avoid addressing ethical issues until they become more serious

a. identify a potential ethical issue before it snowballs into a crisis

Why is the collaborating style of management most favorable to ethical conflict resolution? a. leaders desire to meet the needs of others but adhere to their own goals and values b. it creates a solution in which both parties to a conflict can win c. leaders are willing to compromise their values for favorable outcomes d. it totally disregards the zero-sum approach to conflict resolution e. it enables the company to met the needs of all its stakeholders

a. leaders desire to meet the needs of others but adhere to their own goals and values

Organizations that reward high performance without considering how the results were achieved are: a. more likely to have employees engage in unethical behavior b. less likely to have employees engage in unethical behavior c. ore likely to increase long-term profits d. less likely to experience disciplinary issues because they have fewer rules to be broken e. typically considered better jobs because they don't restrict employees

a. more likely to have employees engage in unethical behavior

Describe leader-follower congruence. a. the ability to identify and work with the leader to achieve common ethical objectives b. when followers are forced to follow an organizational leader c. the power to provide rewards or punish unethical behavior d. the legitimate authority an ethical leader wields over his or her employees e. the ability of followers to become as powerful as the leader

a. the ability to identify and work with the leader to achieve common ethical objectives

Those with an internal focus of control believe _________________. a. they have control over events in their life b. there is no right decisions c. that control is limited to those in authority d. that control can be shared by employees e. that most events are uncontrollable

a. they have control over events in their life

What is the definition of groupthink? a. when people in a group go along with the group decisions b. the tendency for conflicts to arise in a group environment c. the ability of the team to come up with more diverse solutions to a problem d. the tendency for people in a group to think of the same solutions e. what occurs when groups form different departments disagree

a. when people in a group go along with the group decisions

Which definition describes an ethical issue? a. how important an ethical situation is perceived to be by a company or individual b. an identifiable problem, situation, or opportunity that requires a person or organization to choose among several actions that may be evaluated as ethical or unethical c. when a company finds itself in a situation where all the alternatives are unsatisfactory d. a foundation for decision making where there is no room for compromise e. principles and other behavioral boundaries which are universal in nature

b. an identifiable problem, situation, or opportunity that requires a person or organization to choose among several actions that may be evaluated as ethical or unethical

Separating the people from the issue is an ethical conflict situation allows the leader to approach the conflict situation with more _____________________. a. superiority b. resources c. compromise d. objectivity e. power

d. objectivity

Authentic leadership is characterized by leaders who ___________. a. influence individuals with threats of punishments for noncompliance for undesirable behavior b. are passionate about company goals, display corporate values in the workplace, and form long-lasting relationships with stakeholders c. influence their followers by offering rewards for desired behavior d. set high standards, promote loyalty goals, and expect high quality work from their employees e. act as role models for employees due to their expert power

b. are passionate about company goals, display corporate values in the workplace, and form long-lasting relationships with stakeholders

As a company that places employee well-being over company performance, Zappos displays a _________ culture. a. apathetic b. caring c. integrative d. exacting e. coercive

b. caring

By being highly persuasive and skilled at getting employees to adhere to a common goal or mission, Zappos CEO Tony Hsieh displays what kind of leadership style? a. authentic leadership b. charismatic leadership c. transactional leadership d. transformational leadership

b. charismatic leadership

To help prevent misconduct, ethical leaders should: a. maintain at least 10 attorneys on staff at all times b. develop and manage systems to maintain an ethical culture c. immediately fire any employee who is accused of misconduct d. maintain a ratio of 3:1 for supervisors to employees e. write a new code of conduct each month

b. develop and manage systems to maintain an ethical culture

What do zero-sum leaders believe? a. both sides of an ethical conflict can obtain a favorable outcome b. there always has to be a winner and a loser in a conflict situation c. there should be zero tolerance for misconduct in the organization d. different approaches should be adapted depending upon the situation e. conflict resolution is unimportant for maintaining ethical conduct

b. there always has to be a winner and a loser in a conflict situation

What is group polarization? a. when the communicator takes little account of the needs of the receiver b. when the group moves toward a more extreme position than what each member would have done individually c. when the group focuses on the needs of individuals and on building relationships between the parties d. when individuals go along with group decisions eve when those decisions conflict with their own values e. when the leader attempts to balance the needs of all the parties involved

b. when the group moves toward a more extreme position than what each member would have done individually

What is true about how ethical leaders should percieve stakeholders? a. Ethical leaders treat all stakeholders equally regardless of importance b. Ethical leaders view stockholders as the most important stakeholder c. Ethical leaders view stakeholders as important co-contributors of firm value d. Ethical leaders focus more in internal than external stakeholders e. Ethical leaders meet every stakeholder's demand

c. Ethical leaders view stakeholders as important co-contributors of firm value

What is the first step organizations must take to meet the needs of their stakeholders? a. Develop a high-quality product b. Determine whether primary stakeholders are important c. Gather data on the company's stockholders d. Respond to stakeholder demands e. Eliminate stakeholders not essential to the firm's survival

c. Gather data on the company's stockholders

Which of these is the least likely to influence an individual's personal ethics? a. Cultures and sub-cultures b. Ethnic affiliations c. Regulatory guidance d. Friends and family e. Religious viewpoints

c. Regulatory guidance

What is the fate of ethically-challenged CEOs? a. They are dismissed from their positions b. Recovery is nearly impossible c. They often face repetitional damage d. They usually end up in prison or facing significant fines e. Their organization go out of business or are acquired

c. They often face repetitional damage

Countrywide Financial did not appear to care for employee's well - being or the long -term well being of the firm. It can best be described as having a(n) _______________ culture. a. exacting b. coercive c. apathetic d. integrative e. caring

c. apathetic

Which of the following is part of the discovery process? a. planning b. answering c. assessment d. response e. assuring

c. assessment

Which statement is true about a compliance orientation and values-based orientation within a company? a. a compliance orientation is superior to a values-based orientation b. a compliance orientation often leads to misconduct, whereas a values-based orientation deters misconduct c. both orientations can increase ethical awareness among employees d. both orientations are unsatisfactory in detecting and resolving ethical issues e. a compliance orientation is more ethical than a values-based orientation

c. both orientations can increase ethical awareness among employees

Employees disagreeing about the most ethical decision, for resolving an ethical dilemma, is an example of: a. bad attitudes b. lack of internal controls c. ethical diversity d. groupthink e. ethical issue intensity

c. ethical diversity

While _______ cultures do not necessarily ignore employee well-being, they tend to emphasize company performance first. a. integrative b. coercive c. exacting d. caring e. apathetic

c. exacting

Ethical leaders must _________________ ethical issues and risks. a. completely eliminate b. minimize c. identify d. promote e. ignore

c. identify

Which situation demonstrates reciprocity? a. you avoid a conflict whenever possible b. you violate the rules by taking home office supplies c. in response to co-workers help making a deadline, you assist them with a similar crisis d. you do not thank your boss for your raise e. you shout at someone who has done nothing wrong

c. in response to co-workers help making a deadline, you assist them with a similar crisis

Describe the purpose of ethics training. a. it is a formal document that provides guidelines to help employees resolve ethical issues b. it provides employees with the chance to become ethics officers c. it allows employees to prepare themselves for issues they might encounter in the workplace d. to provide a system of reporting for employees e. to gain support from key stakeholders

c. it allows employees to prepare themselves for issues they might encounter in the workplace

What is the problem with an accommodating style of conflict management? a. leaders will seek to avoid conflict at any cost necessary b. leaders will do whatever they can to make sure the other side loses c. leaders might allow unethical employees to continue their misconduct d. leaders are likely to actively engage in misconduct themselves e. leaders are unwilling to collaborate or compromise

c. leaders might allow unethical employees to continue their misconduct

When handling a conflict situation, it is important for a leader to realize that the other party's concerns are ________________. a. correct b. superior c. legitimate d. wrong e. unproven

c. legitimate

Core practices are ____________________________. a. those that are extremely enforced, such as laws and regulations b. voluntary boundaries that are established by management c. not legally mandated but are considered best practices of the industry d. an open communication environment in which managers help dealing with ethical issues e. selected by an organization and translated into norms

c. not legally mandated but are considered best practices of the industry

According to Howard Shultz, which of the following is true about ethical leadership? a. It takes 10 years or more to build an ethical culture b. It will make your business less profitable, which results in high employee turnover c. It is impossible to achieve because technology and social media consciousness d. It is about finding a way to balance between profitability and social consciousness e. It is more important for corporate office employees than store employees

d. It is about finding a way to balance between profitability and social consciousness

What is organizational ethics? a. A moral code developed through interactions with family, friends, and society b. Gray areas within the workplace that do not have a right or wrong answer c. Corporate policies and procedures that are used to detect and analyze ethical risk d. Right or wrong, acceptable or unacceptable conduct in an organizational environment e. An understanding of whether a particular action in the workplace is legal or illegal

d. Right or wrong, acceptable or unacceptable conduct in an organizational environment

An ethical leader with good interpersonal communication skills should _____________________. a. place employee needs over organizational needs b. never reprimand employees c. give up authority to maintain beneficial relationships d. demonstrate both respect and firmness in communication e. avoid delivering negative news

d. demonstrate both respect and firmness in communication

Why is the mixed-motive conflict management style considered to be the most effective? a. it pursues profits above all else b. it seeks win-win situations for everyone involved c. it is the most effective way to achieve productivity d. it bases decisions on the goals and values of the firm e. it seeks to win at any cost necessary

d. it bases decisions on the goals and values of the firm

Based on observations of J.P. Morgan CEO James Dimon's reaction to a crisis, what is a good way to manage a crisis? a. Avoid talking to the media until the crisis is past b. Allow other people in the company to address the issue c. Defend the company at all costs to avoid repetitional damage d. Try to downplay the issue and describe the company's strengths e. Act quickly and take responsibility for the issues

e. Act quickly and take responsibility for the issues

What are the benefits of ethical leadership? a. Companies with ethical leadership do not make ethical mistakes b. Ethical companies often attract the most aggressive and high performing employees c. Turnover is likely to be higher in ethical organizations as scrutiny and expectations are higher d. Consumers are less attracted to products from companies with ethical leadership e. Employees are more willing to work for ethical companies

e. Employees are more willing to work for ethical companies

Which definition best describes organizational ethical leadership? a. Forcing others to do what you want them to do b. Controlling decision making in the organization c. Delegating ethical responsibilities to lower level managers d. Establishing an exhaustive system of checks and balances e. Influencing others to ethically achieve company goals

e. Influencing others to ethically achieve company goals

Why would it be a mistake to ignore secondary stakeholders? a. They develop laws that could hinder business operations b. They are more important than primary stakeholders c. They directly impact the firm's daily survival d. They are always critical of large firms e. They can be an ally or a threat to the organization

e. They can be an ally or a threat to the organization

Why might ethics mistakes actually improve an organization in the long-run? a. They allow a firm to increase profits from misconduct b. They allow the firm to test how far it can go before getting into trouble c. They learn how to navigate "gray areas" in such a way as not to get penalties and security d. They enable the firm to get rid of its current management e. They give the firm an opportunity to learn from its mistakes

e. They give the firm an opportunity to learn from its mistakes

What similarity do they share that contributes to their firm's ethical culture? a. They pay their employees more than comparable companies b. Their main goal is to make as much money as possible c. They rarely make mistakes when it comes to running their companies d. They run companies that are never criticized by stakeholders e. They have the ability to align employees behind a common value

e. They have the ability to align employees behind a common value

Which of the following statements is true about ethics? a. Ethical gray areas are uncommon in decision making b. A rogue employee has more of an influence on a firm than its culture c. Ethical decisions are mostly intuitive d. Ethical leaders are limited to those in authority positions e. Unethical conduct is not always black and white

e. Unethical conduct is not always black and white

This approach emphasizes obedience to legal requirements. a. integrity-based approach b. apathetic approach c. values-based approach d. caring approach e. compliance-bashed approach

e. compliance-bashed approach

Which word best describes a compliance orientation? a. flexible b. participative c. values-based d. unethical e. contractual

e. contractual

What is the purpose of a code of ethics? a. it allows employees to integrate their values into the organizational culture b. it allows employees to discipline their co-workers for inappropriate conduct c. it provides instructions on how to handle every ethical dilemma in the industry d. it provides a way for employees to defend themselves against misconduct accusations e. it provides guidelines to help employees recognize and resolve ethical issues

e. it provides guidelines to help employees recognize and resolve ethical issues

Which of the following is a step companies take in the recovery process? a. attempting to discover misconduct situations b. avoiding media reports that portray the firm in an unfavorable light c. developing a crisis management plan d. shifting blame onto other stakeholders e. reinforcing the firm's reputation with positive messages

e. reinforcing the firm's reputation with positive messages

An ethics officer can do little good without ____________________. a. a global supplier code of conduct b. formal approval by government officials c. a culture that stresses high performance d. high compensation and adequate training e. support from top management and board members

e. support from top management and board members

What might be true of leaders who adopt a competing style of conflict management? a. they are usually considered to be ethical b. they are more willing to compromise c. they score high on cooperativeness d. they are flexible and adaptable e. they score high on assertiveness

e. they score high on assertiveness

A transactional leader _______________. a. discourages dissent and complaints within the organization b. uses an autocratic style of management to lead followers c. removes employees' ability to participate in ethical decision making d. mandates a vision and requires a commitment to organizational goals e. tries to create employee satisfaction by negotiating for levels of performance

e. tries to create employee satisfaction by negotiating for levels of performance