chapter 4 management
someone who is both a moral person and a moral manager that influences others to behave ethically is called a
ethical leader
the percentage of americans who trust business had dropped to
53
the sarbanes ____ act was passed by congress in 2002 to establish strict accounting and reporting rules in order to make senior managers more accountable and to improve and maintain investor confidence
oxley
the concept of sustainable growth can be applied in
as a framework for organizations to use in communicating to all stakeholders, as a planning and strategy guide, as a tool for evaluating and improving the ability to compete
how should organizations identify social issues in which they should invest resources
as part of environmental scanning and the strategic planning process
which type of risk includes concerns such as climate change, ozone depletion, acid rain, and nuclear hazards
industrial pollution
which of the following is considered a level 1 cost and is thus less damaging?
government fines and penalties
which of the following are subjects commonly addressed in ethics codes
employee conduct, community and environment, shareholders, customers, suppliers, and contractors, political activity, and technology
_____ analysis focuses on the extraction of raw materials, product packaging, transportation, and disposal
LCA
a process of analyzing all inputs and outputs through the entire life of a product to determine the total environmental impact is called
Life cycle analysis (LCA)
____ are cultural standards of acceptable and expected behavior
Norms
The shareholder model of social responsibility holds that managers are agents for the investors/owners of the organization and are duty bound to maximize business value
TRUE
a company is losing market shares and realizes it must increase efficiency and cut cost in order to survive and succeed, it decides to shut down several underperforming facilities in the US and open factories overseas where cost are much lower. this decision will allow the company to compete more effectively in the global market and result in more job opportunities and profit down the road. this is an example of which ethical system?
Utilitarianism
___ ethics suggests that what is moral must come from what a mature person with good moral character would deem right
Virtue
US companies lose about 5-6 percent of their annual sales to fraud, but the losses are __ at organizations with a mechanism for reporting misconduct
less than half that
the sarbanes oxley act requires that public companies periodically disclose if they have
a code of ethics for senior financial officers
the practice of businesses paying bloggers to write positive comments about the business is called
astroturfing
there are three requirements to ethical decision making. The one defined as "realizing that the issues has ethical implications" is moral
awareness
which of the following are criteria that should be used when evaluating your ethical duties?
be proud to see the action reported in newspaper, build a sense of community among those involved, generate the greatest social good, willing to see others take the same action when you might be the victim, it doesn't harm the "least among us", doesn't interfere with the right of all others to develop their skills to the fullest
there are many ethical challenges facing US manger today, identify in the list below some of the ethical dilemmas managers are currently facing
brands, CEO pay, commercialism in schools, religion at work, sweatshops, wages, executive compensation
the moral principles and standards that guide behavior in the business world are referred to as
business ethics
an individuals level of moral judgement can be classified using kohl bergs model of
cognitive moral development
the relationship between corporate social performance and an organizations financial performance is
complex
company mechanism typically designed by corporate counsel to prevent, detect, and punish legal violations are called ____ ethics programs
compliance based ethics programs
when bribery became illegal in germany, the german company siemens
continued to engage in bravery but was secretive about it
the policies and practices that reflect business responsibility for some of the wider societal goods, and are a reflection of the social imperatives and social consequences of business success are called
corporate social responsibility
which of the following are statements people commonly use to rationalize unethical behavior
denying responsibility, denying injury, denying the victim, and appealing to higher loyalties
the _____ responsibilities of business are to produce goods and services that society wants at a price that perpetuates the business and satisfies its obligation to investors, including the possible offering of certain products to needy consumers at a reduced price
economic
organizations take specific actions to adhere to the guidelines established by the US sentencing commission, which of the following are actions an organization should take when trying to follow updated guidelines
establish written standards, assign responsibility, exclude anyone who violates the standards, provide training in ethics to all employees, give employees incentives for complying and consequences for violating the standards, respond with consequences and more preventive measures if criminal conduct occurs
as opposed to legal responsibilities, expectations that are not written as law are termed ______ responsibiltiies
ethical
which of the following describes the ethical system of egoism?
ethical behavior is that is based on acting on individual self interest
the processes in an organization where decisions are evaluated and made on the basis of right and wrong is called
ethical climate
a ___ is a situation, problem, or opportunity in which an individual must choose among several actions that must be evaluated as morally right or wrong
ethical issue
an ethics code, an ethow should organizations identify social issues in which they should invest resources
ethics program
which of the following are danger signs that an organizations may be allowing or encouraging unethical behavior?
failure to establish a written code of ethics, excessive emphasis on short term revenues over long term considerations, treating ethics only as a legal issue or public relations tool
which of the following are danger signs that an organization may be allowing or encouraging unethical behavior
failure to establish a written code of ethics, treating ethics only as a legal issue or public relations tool, excessive emphasis on short-term revenues over longer term considerations
business view environmental issue as a no win situation: either you help the environment and hurt your business or you help your business and hurt environment
false
ethical issues are only found in our personal lives
false
the most effective code of ethics is one that is similar to those of its competitors
false
sustainable analysis is the process of analyzing all inputs and outputs through the entire life of a product to determine the total environmental impact
fase
which of the following are characteristics of ecocentric management
has as its goal the creation of sustainable economic development and improvement quality of life worldwide for all organizational stakeholders
according to the sarbanes oxley act, companies must have more ___ on the board of directors
have more independent board directors, adhere strictly to accounting rules, having senior managers personally sign off on financial results,
_____ concerns the value of each person as an end, not as means, to the fulfillment of others purposes
human dignity
Egoism is an ethical system that defines acceptable behavior as that which maximizes benefits for the ______.
individual
what is the difference between integrity based ethics programs and compliance based ethic programs?
integrity based programs instill in people personal responsibility for ethical behavior
when a company and its people govern themselves through a set of guiding principles that they embrace they are using _____
integrity- based ethics program
what led to the creation of the caux principles?
international executives felt the need to establish global, universal ethical principles for business
which of the following factors make an ethics code effective?
involve those who have to live with the code in writing it, focus on real life situations employees can relate to, keep it short and simple so it is easy to understand and remember, write about values and shared beliefs that are important and that people can really believe in, set the tone at the top having executives talk about and live up to the statement
which of the following are some of the important issues surrounding corporate social responsibility
it includes legal ethical and philanthropic responsibilities, - there are contrasting views of CSR one of which states that the primary responsibility of management is to increase profits for the shareholders,- as members of society, managers should consider the needs of society and people
in order to create a culture that encourages ethical behavior a manager needs to
lead others to behave ethically
if you are running a company, and you fail to follow the worker pay and safety standards, you are not meeting your ____ responsibilities
legal
local, state, federal, and relevant international laws are ____ responsibilites
legal
which of the following are true about ethical lapses
managers often hire people who are like them who think they are immune to conflicts, most people have uncoils biases that favor themselves at their own group
behaving ethically requires which of the following
moral awareness, moral judgement, moral character, including the courage to take actions consistent with your ethical decisions
an ethical leader is
moral manager, personally moral, influences others to behave ethically
which of the following goals of transcendent education is described as viewing success not merely as a personal gain, but also a common victory
mutuality
organizations can use drop boxes, telephone hotlines, and -- to allow customers and employees to submit information about ethical problems within the company
online systems
a code of ethics is written and tailored to reflect the philosophies of the ___ usually with regards to workplace conduct, technology, and its stakeholders and environment
organizations
factors in becoming an ethical leader
pay being seen by others as a moral person, influencing others to behave ethically, being seen by others as a moral manager
for a company's ethics code to be effective it must be written by
people from all levels of the company
which of the following are ethical issues that managers encounter with the use of technology in the work place
personal use of a business computer, disclose of confidential information, computer users introducing computer viruses
additonal behaviors and activities that society finds desirable and that the business also values are called
philanthropic responsibilties
Which type of environmental impact are organizations striving for today
positive
In kohl bergs model of cognitive moral development, what categories are included
preconventional, conventional and principled stages
which of the following explains how a code of ethics influences the ethical climate of an organization
promotes positive imagine and helps create a strong ethical culture
which of the following is the final step of ethical decision making?
propose a convincing moral solution
ethical behavior according to how others behave is the ethical system of
realativism
when making an ethical decision, in order to define the complete moral problem you must understand all the moral standards and
recognize all moral impacts
while the US managers believe that whistleblower hotlines are effective at reducing unethical behaviors, managers in china and central europe do not, this is an example of
relativism
which of the following would create a climate conducive to unethical behavior
responsiveness to shareholders at the expensive of other stakeholders
why are companies incorporating environmental values into their competitive strategies and design of their product
satisfy consumer demand, react to a competitors action, meet request from customers or suppliers, comply with guidelines and create a competitive advantage
an obligation toward society assumed by business is called corporate ___ responsibility
social
what is the relationship between corporate social performance and financial success?
socially responsible actions can have long term benefits, as well as offer business opportunities and improve profitability, it is highly complex: socially responsible organizations are not necessarily more or less successful in financial terms
what is the relationship between corporate environmental performances and probability?
some research shows has shown a positive relationship with improved profitability and corporate environmental performance
the _____ model assumes that managers are obliged to look beyond profitability to help their organizations succeed by interacting with groups that have a stake in the organization
stakeholder
the economic growth and development that meets presents needs without harming the needs of future generations is called ___ growth
sustainable
which of the following are fundamental sources of risk in modern society
the excessive production of hazards and ecologically unsustainable consumption of natural resources
how do companies today reconcile profit maximization with corporate social responsibility?
they complete cost benefit analysis to identify actions that will maximize profits while satisfying the demand for corporate social responsbility
in order to report whistleblowers identities, ethical reporting systems are often administered by
third party organizations
which of the followeng are danger signs that an organization be allowing
treating ethics only as a legal issue or public relations tool, failure to establish a written code of ethics, excessive emphasis on short term revenues over longer term considerations
many people who believe that they are ethical decision makers have unconscious biases
true
when implemented well, a code of ethics for senior officials in a company can change a company ethical climate and true encourage ethical behavior
true
organizations see ethics as an important issue for all the following reasons
unethical organizations always lose money when compared to ethical organizations
the ethical system that states that everyone should uphold certain values, such as honesty and rules against oppression, is called
universalism
ethics scholars point to various major ethical system as guides
universalism, egoism, utilitarianism, relativism, virtue ethics
the moral philosophy that directly seeks the greatest goods for the greatest number of people is
utilitarianism
veil of ignorance
when you make decision about a policy that will benefit or disadvantage some groups more than others
kyosei is concerned with
working together for the common good, allowing cooperation and mutual prosperity to coexist with healthy and fair competition
