Business Ethics Welch Final Study Guide

The process that directs and controls organizations is known as WHAT

Corporate Governance

The WHAT holds businesses liable for the criminal acts of their employees and agents?

Federal Sentencing Guidelines for Organizations

A set of WHAT governs the accounting profession

Generally Accepted Accounting Principles

Define Utilitarianism

Greatest good for greatest number of people

An WHAT is a value that is a good thing in itself and is pursued for its own sake?

Intrinsic Value

Who was the CEO of Enron when Sharon Watkins blew the whistle?

Kenneth Lay

Define Normative ethics

Prescribed course of action that attempts to ensure that ethical behavior will be followed in the future, moves the evaluation of ethical behavior from the past to future tense, presents information on what should be done in the future rather tn what was done in the past

Is the R&D department utilitarianism, universal ethics, descriptive ethics, or normative ethics?

Utilitarianism

From an ethical perspective, employees in each functional line area face ethical challenges and dilemmas that WHAT

can be both UNIQUE to their departmental responsibilites and COMMON to the whole organization

The R&D department of an organization WHAT

carries the responsibility for the future growth of the organization

The fiduciary (lol) responsibility of a manager is ultimately based on WHAT

trust, which is a difficult trait to test when you are hiring a manager or to enforce once that manager is in place

The Sarbanes-Oxley act of 2002 incorporates the approach of WHAT

"Comply or Else"

An effective compliance program includes what?

1. Management oversight 2. Corporate policies 3. Communication of standards and procedures 4. Compliance with standards and procedures 5. Delegation of substantial discretionary authority 6. Consistent discipline 7. Response and Corrective action

What are the key functions of an organization?

1. Research and development (R&D) 2. Manufacturing 3. Marketing (and advertising). 4. Sales 5. Customer service

What is the difference between Corporate Social Responsibility, Corporate conscience, and Corporate Citizenship

Corporate Social Responsibility: the idea that business has obligations to society beyond the pursuit of profits Corporate Conscience: No help from Josh at all freak me Corporate Citizenship: Requirement in which the individual has to consider their acts in terms of a whole societal system, and this responsibility holds them responsible for the effects of their acts anywhere in the system. Collectively enhances the host of concepts related to CSR.

Organizational WHAT consists of the values, beliefs, and norms shared by all employees of the organization?

Culture

When an employee discovers evidence of malpractice or misconduct, he or she faces an WHAT

Ethical Dilemma

WHAT refers to a study of how people try to live their lives according to a standard of right or wrong behavior?

Ethics

A commitment to good corporate governance can make a company WHAT

Profitable

A structured community of people bound together by similar traditions and customs defines a WHAT?

Society

By recognizing WHAT rather than WHAT corporations must maintain a long term perspective rather than simply delivering quarterly earnings numbers

Stakeholders rather than shareholders

Who oversees the governance of an organization?

The Board of Directors

Define Descriptive ethics

The presentation of facts related to the specific ethical actions of an individual or organization, used when an observer wants to understand the course of events that generated the ethical issue

Define Universal ethics

There are certain universal principles that should apply to all ethical judgements. These universal principles should apply to everyone, everywhere, all the time, regardless of the specific needs of the situation. Problem: if the focus is on abiding by a universal principle, no one is accountable for the consequences of the actions taken

WHAT is a concept of living your life according to a commitment to the achievement of a clear ideal?

Virtue ethics