MODULE 3

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Which of the following information does an ethics audit try to collect? A. productivity measurements of different employees B. financial performance tied to decision making C. educational background of the firm's leaders D. employees' perception of the firm's ethical culture E. personal ethics of employees

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

What is a necessary component of an ethical corporate culture? A. an ethics program B. a socially dominant leader C. elimination of counter disciplinary procedures D. exacting management E. rewards for financial performance

A. an ethics program

As a company that places employee well-being over company performance, Zappos displays a _________ culture. A. caring B. coercive C. integrative D. apathetic E. exacting

A. caring

Countrywide Financial did not appear to care for employees' well-being or the long-term well-being of the firm. It can best be described as having a(n) __________ culture. A. apathetic B. caring C. exactiny D. coercive E. integrative

A. apathetic

What is a necessary component of an ethical corporate culture? A. exacting management B. a socially dominant leader C. elimination of counter disciplinary procedures D. an ethics program E. rewards for financial performance

D. an ethics program

While ________ cultures do not necessarily ignore employee well-being, they tend to emphasize company performance first. A. exacting B. coercive C. integrative D. caring E. apathetic

A. exacting

Why is shared leadership important? A. It prevents the firm from hiring employees with bad character. B. It removes some of the responsibility of board members. C. It keeps leaders from corrupting employees. D. It empowers leaders to make ethical decisions E. It establishes checks and balances on every member of the organization.

E. It establishes checks and balances on every member of the organization.

Why might a company not want to investigate reports of misconduct? A. Companies want to avoid hiring an ethics officer. B. An investigation is often time-consuming and expensive. C. To maintain a positive reputation. D. Leaders would rather have the report analyzed by legal authorities. E. Investigating would conflict with the firm's code of conduct.

B. An investigation is often time-consuming and expensive.

Describe the purpose of ethics training. A. It provides employees with the chance to become ethics officers. B. It allows employees to prepare themselves for issues they might encounter in the workplace. C. To gain support from key stakeholders. D. To provide a system of reporting for employees. E. It is a formal document that provides guidelines to help employees resolve ethical issues.

B. It allows employees to prepare themselves for issues they might encounter in the workplace.

In this section, ___________ was identified as the best way to identify misconduct in an organization. A. Assigning employees to spy on each other B. Installing hidden video cameras C. Employee reporting D. Tapping employee phone lines E. Sifting through employee emails

C. Employee reporting

Core practices are ____________________________________. A. not legally mandated but are considered best practices of the industry. B. those that are externally enforced, such as laws and regulations. C. an open communication environment in which managers help deal with ethical issues. D. voluntary boundaries that are established by management. E. selected by an organization and translated into norms.

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

While these leaders do not necessarily commit misconduct, they care little for ethics in the company. A. caring leaders B. apathetic leaders C. immoral leaders D. integrative leaders E. authentic leaders

B. apathetic leaders

Principles, values, _______, and ________ form an organizational culture. A. policies; ethics programs B. norms; artifacts C. artifacts; ethics codes D. ethics codes; ethics training E. hotlines; continuous improvement

B. norms; artifacts

This approach emphasizes obedience to legal requirements. A. apathetic approach B. caring approach C. integrity-based approach D. compliance-based approach E. values-based approach

D. compliance-based approach

Describe leader-follower congruence. A. The power to provide rewards or punish unethical behavior B. The ability to identify and work with the leader to achieve common ethical objectives C. The ability of followers to become as powerful as the leader D. When followers are forced to follow an organizational leader E. The legitimate authority an ethical leader wields over his or her employees

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

Which statement best describes codes of ethics? A. Certification that all company documentation is accurate B. Ethical values that an employee must follow C. Legal documents that specify a detailed list of regulations D. Formal statements describing what an organization expects of its employees E. Behavioral expectations that dictate appropriate behavior

D. Formal statements describing what an organization expects of its employees

Why is shared leadership important? A. It keeps leaders from corrupting employees. B. It removes some of the responsibility of board members. C. It prevents the firm from hiring employees with bad character. D. It establishes checks and balances on every member of the organization. E. It empowers leaders to make ethical decisions

D. It establishes checks and balances on every member of the organization.

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

D. It provides guidelines to help employees recognize and resolve ethical issues.

Which of the following information does an ethics audit try to collect? A. productivity measurements of different employees B. educational background of the firm's leaders C. financial performance tied to decision making D. employees' perception of the firm's ethical culture E. personal ethics of employees

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

An ethics officer can do little good without _____________________. A. formal approval by government officials B. a global supplier code of conduct C. a culture that stresses high performance D. support from top management and board members E. high compensation and adequate training

D. support from top management and board members

What is the definition of an ethics audit? A. A program to help employees know how to act in ethical dilemmas B. Behavioral expectations that dictate appropriate behavior C. A review of your board of directors and top executives D. A way of analyzing a firm's financial situation E. An investigation into the ethical climate of the firm

E. An investigation into the ethical climate of the firm

What is the definition of an ethics audit? A. A review of your board of directors and top executives B. A program to help employees know how to act in ethical dilemmas C. A way of analyzing a firm's financial situation D. Behavioral expectations that dictate appropriate behavior E. An investigation into the ethical climate of the firm

E. An investigation into the ethical climate of the firm

Why are hotlines useful in a firm? A. Because they are the most direct way to report misconduct. B. Because most managers are not willing to listen to employees. C. Because the firm doesn't have an open-door policy. D. Because they are useful for punishing reporters of misconduct. E. Because they allow the caller to remain anonymous.

E. Because they allow the caller to remain anonymous.

Describe leader-follower congruence. A. The legitimate authority an ethical leader wields over his or her employees B. When followers are forced to follow an organizational leader C. The power to provide rewards or punish unethical behavior D. The ability of followers to become as powerful as the leader E. The ability to identify and work with the leader to achieve common ethical objectives

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

What is a characteristic of an ethical leader? A. They micro-manage every facet of a company's operations. B. They consider customers to be the most important stakeholder. C. They consider performance to be the most important factor. D. They make all of the company's ethical decisions. E. They have a passion to do the right thing.

E. They have a passion to do the right thing.


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