Deck 3: Managing Ethics and Diversity

Question 1

Under the utilitarian rule, an ethical decision is one that best maintains and protects the fundamental rights and privileges of the people affected by it.

Answer 1

False

Question 2

Bruce is a manager seeking new employees. As he looks through applicants' resumes, he decides he wants to hire only women for these positions because he believes that women are much less trouble and will do as he tells them. But then he decides that it would be wrong to exclude people he hasn't even met based on his notions of how men and women behave. Bruce's thoughts and feelings that tell him what is right or wrong are an example of

A)moral scruples.
B)ethical dilemmas.
C)quid pro quo.
D)moral imagination.

Answer 2

A

Question 3

The people and groups that supply a company with its productive resources, and thus have a claim on and a stake in the company, are known as

A)community members.
B)individual rights holders.
C)claimants.
D)stakeholders.

Answer 3

D

Question 4

It was considered ethical and legal to acquire and possess slaves in ancient Rome and Greece. Today, however, slavery is considered both unethical and illegal. This implies that

A)ethics and laws can be fixed or flexible principles depending on the situation.
B)ethics are always fixed but law is always flexible.
C)neither laws nor ethics are fixed principles.
D)ethics are always flexible, but law is always fixed.

Question 5

Golden Lumber Inc. sees its profits drop during a recession. To benefit stockholders and to make the company more attractive to potential new stockholders, Golden decides to reduce costs. Which stakeholder group is probably most adversely affected by this cost cutting?

A)board of directors
B)customers
C)managers
D)employees

Question 6

Important issues concerning product quality and safety specifications are governed by the contracts a company signs with its

A)government inspectors.
B)senior supervisors.
C)human resources division.
D)suppliers and distributors.

Question 7

Li Jun, a manager, has a problem at work. He asks his mentor for advice, and she suggests that he think about what he believes is morally the right thing to do. Essentially, Li Jun's mentor is telling him to pay attention to his

A)ethics.
B)opinions.
C)laws.
D)norms.

Question 8

Which of the following statements about ethics and law is true?

A)Both ethics and law are fixed principles.
B)Ethics are fixed, but law is flexible.
C)Ethics are flexible, but law is fixed.
D)Neither ethics nor laws are fixed principles.

Question 9

The increasing racial and ethnic diversity of the workforce and the population as a whole underscores the importance of effectively managing diversity.

Question 10

The term "diversity" refers to differences in gender and age, but not to those in sexual orientation.

Question 11

The stakeholder group with the most responsibility for deciding the goals of the organization is the

A)stockholders.
B)customers.
C)managers.
D)working-level employees.

Question 12

The practical rule ensures that managers are taking into account the interests of all stakeholders.

Question 13

At a job interview, the interviewer asks Andrea to describe a time when she faced an ethical dilemma. An ethical dilemma is a situation in which a person has to decide if he/she should act in a way that

A)neglects his/her own self-interest to favor another's self-interest.
B)is the right thing to do, even though doing so might go against his/her own self-interest.
C)does not go against the self-interest of anyone involved.
D)may help another person and favor his/her own self-interest at the same time.

Question 14

Customers are stakeholders of an organization, but managers are not.

Question 15

Stockholders are interested in the way that a company operates because they

A)supply the company's raw materials.
B)want to do what is morally right.
C)want to maximize the return on their investment.
D)need to minimize the company's reputation.

Question 16

According to the federal Glass Ceiling Commission Report, African Americans have the hardest time being promoted.

Question 17

Although a slight bias toward a particular group can seem unimportant, it can lead to very large differences between groups over time.

Question 18

Managers can promote the effective management of diversity through the performance of interpersonal and decisional roles, but not through informational roles.

Question 19

From a moral rights perspective, managers should compare alternative courses of action on the basis of how each will affect the rights of each stakeholder group.

Question 20

The ethics of the top managers of an organization shape that organization's code of ethics.

Question 21

The utilitarian rule states that an ethical decision

A)will affect those who consider utility in their business decisions.
B)produces the greatest good for the greatest number of people.
C)protects the most important stakeholders first.
D)is one that can be made quickly and with a minimum amount of tension.

Question 22

According to which of the following rules is an ethical decision one that distributes rewards and harms in a fair way?

A)justice rule
B)moral rights rule
C)utilitarian rule
D)practical rule

Question 23

Which of the following is a likely result of loss of trust?

A)Withholding information becomes the norm to keep the stakeholders' interests safe.
B)Distrust decreases the time spent negotiating and bargaining between stakeholders.
C)More motivated stakeholders contribute to a higher standard of living and well-being.
D)An increase in company performance takes place as people try to win back trust.

Question 24

When a manager has no hesitation about communicating to people outside the company regarding a decision made because the typical person in a society would think it is acceptable, this logic is explained by the ________ rule.

A)justice
B)moral rights
C)utilitarian
D)practical

Question 25

One managerial implication of the justice model is that managers should base their decisions on

A)whatever stockholders want because stockholders own the company.
B)what provides the maximum benefit to the most stakeholders.
C)whatever promotes a fair distribution of outcomes to stakeholders.
D)a consensus of local, national, and international opinion.

Question 26

To help managers and employees make ethical decisions and behave in ways that benefit their stakeholders, they can use four ethical rules or principles to analyze the effects of their business decisions on stakeholders, the ________ rules.

A)utilitarian, moral choice, justice, and practical
B)utilitarian, moral rights, justice, and existentialist
C)fairness, moral choice, justice, and practical
D)utilitarian, moral rights, justice, and practical

Question 27

The practical rule states that an ethical decision

A)considers people, property, and environment equally.
B)produces the greatest good for the most stockholders.
C)punishes the dishonest and praises the honest.
D)is one that can be communicated with no reluctance.

Question 28

Why is it so important that managers, and people in general, should act ethically and temper their pursuit of self-interest by considering the effects of their actions on others?

A)because giving excessive importance to oneself with no consideration of societal interests leads to disaster for each individual and for the whole society because scarce resources are destroyed
B)because ethical issues are seldom clear-cut, since the rights, self-interests, goals, and incentives of different stakeholders often conflict
C)because a manager has no reluctance about communicating an ethical decision to people outside the company since the typical person in a society would think it is acceptable
D)because if all companies make the right choices, all stakeholders will benefit in the long run

Question 29

Ms. Chen manages a clothing store. Her boss, the district manager, suggests that she fire competent employees who are old or unattractive because "they aren't good ambassadors for our brand." Ms. Chen tells her boss, "I'm sorry, but I can't do as you ask. If anyone found out that we did this, it would damage the company's reputation. The average shopper wouldn't want to do business with us." Which ethical rule is Ms. Chen applying?

A)justice
B)practical
C)moral rights
D)utilitarian

Question 30

Danika, a board member for a medium-sized corporation, faces an ethical dilemma. She is unsure whether the board should fire senior employees who have violated rules or merely discipline those employees but keep them on staff to avoid potentially harmful publicity. Danika asks herself, "Would my family members and friends approve of this decision, and am I willing to see the decision communicated to all people and groups affected?" Asking this question is part of the ________ rule.

A)justice
B)moral rights
C)utilitarian
D)practical

Question 31

Formal standards and rules, based on beliefs about right or wrong, that managers can use to help themselves make appropriate decisions with regard to the interests of their stakeholders are

A)honor codes.
B)codes of ethics.
C)moral codes.
D)existentialist guidelines.

Question 32

A person's confidence and faith in another person's goodwill is called

A)trust.
B)esteem.
C)ethics.
D)moral scruple.

Question 33

According to which of the following rules is an ethical decision one that best maintains people's fundamental privileges?

A)religious equality
B)moral rights
C)financial
D)fairness-based

Question 34

Employees who are similar in their level of skill, performance, or responsibility should receive similar pay; allocation of outcomes should not be based on differences such as gender, race, or religion. This is an example of which rule of ethical decision making?

A)justice rule
B)moral rights rule
C)utilitarian rule
D)practical rule

Question 35

The most critical stakeholder group is often the

A)stockholders.
B)managers.
C)employees.
D)customers.

Question 36

Which of these sayings is a reflection of the moral rights rule?

A)Act first and ask questions later.
B)Do the greatest good for the greatest number of people.
C)Do unto others as you would have them do unto you.
D)Do nothing that would embarrass the company if news of it became public.

Question 37

Senior management of a restaurant chain decides to cut the workforce by 15 percent. Which of these groups is most likely to respond positively to this news?

A)stockholders
B)managers
C)employees
D)customers

Question 38

Which of the following emanate from a particular community's unwritten attitudes, values, and norms that influence how people interact with each other?

A)societal ethics
B)professional ethics
C)individual ethics
D)organizational ethics

Question 39

Patricia is a supervisor at an Internet startup. One of her employees tells her, "It's every man for himself here. Everybody here cuts corners and breaks rules, so I have to do that, too. So don't tell me that I need to follow regulations, because I can't if I want to get ahead." Which of these theories refutes this employee's belief?

A)personal accountability
B)moral pragmatism
C)the right to equal resources
D)the tragedy of the commons

Question 40

A paper manufacturer is forced to make staff cutbacks because of declining profits. It decides to cut back each employee's hours and pay by one-half day per week rather than laying off two people. Senior managers believe that by allowing all their employees to keep their jobs, they are producing the greatest good for the greatest number of people. Which rule for ethical decision making does this example show?

A)justice
B)utilitarian
C)moral rights
D)practical

Question 41

Which of the following emanate from laws, customs, and practices, and from unwritten attitudes, values, and norms that influence how people interact with each other?

A)professional ethics
B)chain ethics
C)business ethics
D)societal ethics

Question 42

Dissimilarities among people due to age, gender, race, ethnicity, religion, sexual orientation, socioeconomic background, education, experience, physical appearance, capabilities/disabilities, and any other characteristic that is used to distinguish between people defines

A)flexibility.
B)solidarity.
C)universality.
D)diversity.

Question 43

Which of the following refers to the invisible barriers that prevent minorities and women from being promoted to top corporate positions?

A)gender limit
B)flight grounder
C)invisible cliff
D)glass ceiling

Question 44

People in a particular country may automatically behave ethically because they have internalized values and norms that specify how they should behave in certain situations. This is an example of which code of ethics?

A)professional ethics
B)individual ethics
C)societal ethics
D)organizational ethics

Question 45

Standards that govern how members of an organization, whether they are managers or workers, make decisions when the way in which they should behave is not clear-cut are ________ ethics.

A)professional
B)individual
C)societal
D)organizational

Question 46

Lisa, one of the employees at a small factory, says that she should be paid as much as her coworker Jonathan. Lisa and Jonathan have the same job title, but Jonathan has been with the company six months longer. Lisa is white, and Jonathan is African American. Both of them are in their late 40s. Under which federal law might Lisa bring a claim of discrimination?

A)Equal Pay Act
B)Age Discrimination in Employment Act
C)Pregnancy Discrimination Act
D)Civil Rights Act

Question 47

Nils is a human resources director at a small company. He mentions to his CEO that one of the company's employees has requested paternity leave. The CEO asks, "Do we really have to provide that?" Which of these laws should Nils cite in his answer?

A)Equal Pay Act
B)Age Discrimination in Employment Act
C)Pregnancy Discrimination Act
D)Family and Medical Leave Act

Question 48

The ethics ombudsman's authority in monitoring ethical practices and procedures applies within which of these?

A)the branch office
B)operations departments
C)the administrative circle
D)the entire organization

Question 49

"A grouping of people based on some shared characteristic such as national origin, language, or culture" refers to

A)diversity.
B)minority.
C)ethnicity.
D)disability.

Question 50

The CEO of your company announces that she wants to create a new senior management position. The new employee would be in charge of communicating ethical standards to all employees, designing systems to monitor employees' conformity to those standards, and teaching managers and nonmanagerial employees at all levels of the organization how to respond to ethical dilemmas appropriately. According to what you have read, what is the proper name for someone with these job duties?

A)comptroller
B)regulatory agency
C)whistleblower
D)ethics ombudsman

Question 51

Dontay is the social media manager at the corporate headquarters of a large hotel chain. In a meeting, another manager suggests that Dontay should tell his employees to create fake reviews of competing hotels. "Tell them to make up fake names and say that the other hotels have bedbugs and that the staff is rude," the other manager says. "We need to improve occupancy or the stock price will fall." Why is this suggestion a bad idea?

A)It violates societal ethics.
B)It may violate international law.
C)Dontay's coworkers dislike the idea.
D)The plan wouldn't affect the stock price.

Question 52

Which of the following Equal Employment Opportunity (EEO)laws prohibits discrimination in employment decisions on the basis of race, religion, sex, color, or national origin and covers a wide range of employment decisions, including hiring, firing, pay, promotion, and working conditions?

A)Age Discrimination in Employment Act
B)Title VII of the 1964 Civil Rights Act
C)Equal Pay Act
D)Americans with Disabilities Act

Question 53

The news media often reports when a CEO is accused of making a sexist remark or being a poor steward of the company's money. However, those same news media rarely report when an entry-level employee faces the same accusations. The actions of top managers such as CEOs are scrutinized so closely for ethical lapses because

A)business schools teach CEOs how to act unethically.
B)union rules protect workers from ethics-related charges.
C)their actions represent the values of their organizations.
D)their high salaries let them afford the potentially hefty fines.

Question 54

Family, friends, personality, and experience are sources of ________ ethics.

A)societal
B)occupational
C)individual
D)organizational

Question 55

An example of how societal ethics vary among societies might be how they view

A)murdering a boss.
B)bombing a competitor's factory.
C)missing a meeting.
D)bribing a public official.

Question 56

Which of the following is a reason that diversity is such a pressing concern and an issue both in the popular press and for managers and organizations?

A)Diverse individuals are hired despite not having valid permits to work.
B)Diverse people must receive equal opportunities and be treated fairly and justly.
C)Recruitment of diverse people is a major human resources expense for companies.
D)Diverse individuals get preferential treatment in the workplace.

Question 57

Standards that govern how members of a particular community deal with each other in matters involving issues such as fairness, justice, poverty, and the rights of the individual are ________ ethics.

A)fundamental
B)professional
C)individual
D)societal

Question 58

Which of the following are the result of differences in personalities, values, and attitudes?

A)societal ethics
B)occupational ethics
C)individual ethics
D)organizational ethics

Question 59

Which of the following employment opportunity laws prohibits discrimination and allows for the awarding of punitive and compensatory damages, in addition to back pay, in cases of intentional discrimination?

A)Equal Pay Act
B)Age Discrimination in Employment Act
C)Pregnancy Discrimination Act
D)Civil Rights Act

Question 60

Bradley is the director of talent management at a laboratory. At a staff meeting, when he suggests allocating more funds for diversity training, one of his peers disagrees. "We've already had sensitivity training about racism in the workplace, and we participated in a job fair that encourages women to pursue careers in science and technology," the woman says. "And we haven't had much employee turnover this year, so there's no need to budget for additional diversity training next year." What is the best way for Bradley to respond to these comments?

A)I agree. Diversity training varies little from year to year.
B)I agree. Racism and sexism are the two most important aspects of workplace diversity.
C)I disagree. Other forms of diversity exist, and it's important that staffers understand them.
D)I disagree. There can never be enough money devoted to diversity training.

Question 61

A top manager giving a speech to employees about the importance of diversity is acting as a(n)

A)figurehead.
B)leader.
C)liaison.
D)entrepreneur.

Question 62

A manager who is effectively managing diversity in the liaison role would

A)convey that the effective management of diversity is a valued goal and objective.
B)serve as a role model for treating others fairly.
C)enable diverse individuals to coordinate their efforts and cooperate with one another.
D)support diversity initiatives in the wider community.

Question 63

Amethyst Corporation's employees practice a variety of religions. The CEO of Amethyst wants suggestions from managers about how to be flexible when interacting with employees of different religions. Which of these would be a reasonable suggestion for a manager to make?

A)"Give employees special bonuses during religious festivals."
B)"Allow employees to hold religious services in the office."
C)"Conduct mandatory company-wide prayer breakfasts."
D)"Allow employees to have time off for religious observances."

Question 64

Carla's job includes leading seminars about corporate compliance with the Americans with Disabilities Act. Which of the following statements about the ADA would be accurate for Carla to make?

A)"A large number of employees abuse the ADA by seeking unnecessary accommodations for disabilities that do not exist."
B)"The ADA requires that employers make any possible accommodations to enable people with disabilities to effectively perform their jobs."
C)"Accommodations enabling students who may not be able to see to perform up to their capabilities are partially covered under the ADA."
D)"The passage of the ADA does not appear to have increased employment rates significantly for those with disabilities."

Question 65

Evan's boss tells him, "Diversity training is nice, but I just don't think we can afford it this year." Based on what you have read about diversity in the workforce, which would be the best response for Evan to make?

A)"If employees believe that someone discriminated against them, they will most likely look for work elsewhere, so the problem will take care of itself."
B)"If the upcoming merger goes through, we won't be responsible for diversity problems that happened before the merger. Maybe we don't need training now."
C)"Diversity-related lawsuits can cost more than $100 million to settle and attract negative attention in the media. I don't think we should take that risk."
D)"Let's find the handouts from the last diversity training and repurpose them into memos to remind our employees of the goals in an economical way."

Question 66

Which of the following managerial roles supports diversity initiatives in the wider community and speaks to diverse groups to interest them in career opportunities?

A)figurehead
B)leader
C)spokesperson
D)liaison

Question 67

The U.S. Census treats ethnicity in terms of whether a person

A)speaks a foreign language.
B)is Chinese, Korean, or Japanese.
C)has a skin color other than white.
D)is Hispanic, Latino, or of Spanish origin or not.

Question 68

Sam has been a manager for six months. At his performance review, his manager suggests that Sam do more to manage diversity in the disseminator role. Which of these approaches should Sam suggest to improve his effectiveness in this role?

A)Develop new ways to manage diversity.
B)Take quick actions to manage conflict arising from diversity.
C)Evaluate how fairly employees are being treated.
D)Communicate to employees about diversity policies.

Question 69

Which of these statements accurately reflects the results of research on diversity in the workplace?

A)Over time at a company, disparity "mountains" become "molehills" as a more diverse group of individuals win promotions to managerial roles.
B)Managers have an ethical and financial duty to maintain disparities in treatment due to irrelevant distinctions such as race and diversity.
C)As most people would expect, minor disparities related to race and gender make little difference in the long run as to the number of female and male managers at a company.
D)Over time, a small but favorable bias to one gender, race, or ethnicity can have significant impacts on who gets promoted to management.

Question 70

Cedric, the human resources manager at Albuquerque Metals, commits 15 percent of his department's budget to develop a new program for bringing minority and female interns into the company. Which of the following roles is Cedric performing?

A)resource allocator
B)entrepreneur
C)monitor
D)figurehead

Question 71

Vanessa, who owns and runs a small business, treats all her employees, customers, and suppliers fairly, regardless of their age, gender, or ethnicity. Which of the following roles is Vanessa performing?

A)tycoon
B)liaison
C)leader
D)figurehead

Question 72

Managers who are sensitive and responsive to the needs and concerns of workers who may be less fortunate in terms of income and financial resources are showing an awareness of

A)ethnic solidarity.
B)class prejudice.
C)socioeconomic diversity.
D)financial well-being.

Question 73

Felicia, who is vice president of talent management for a large manufacturer, works with suppliers and labor unions to support and encourage the effective management of diversity. What role is Felicia performing?

A)figurehead
B)disturbance handler
C)negotiator
D)business partner

Question 74

As treatments for human immunodeficiency virus (HIV)and acquired immune deficiency syndrome (AIDS)improve, more people with those conditions are well enough to continue working. Which of the following protects employees with AIDS from being discriminated against in the workplace?

A)Age Discrimination in Employment Act of 1967
B)Family and Medical Leave Act of 1993
C)Civil Rights Act of 1991
D)Americans with Disabilities Act of 1990

Question 75

The combination of social class and income-related factors is referred to as ________ background.

A)sociological
B)financial
C)family
D)socioeconomic

Question 76

Since becoming a senior vice president at her firm, Malaika has checked in informally with workers who reported concerns related to diversity and unfair treatment and represented the company at job fairs that attract diverse candidates. She has also worked with contractor firms to improve their diversity management of subcontractors. According to the text, which managerial roles has Malaika played?

A)monitor, spokesperson, negotiator
B)resource allocator, spokesperson, entrepreneur
C)disturbance handler, resource locator, ally
D)dissembler, monitor, negotiator

Question 77

Seth, a senior manager, attends a board meeting in which the CEO urges each manager to improve profitability within his or her division. Which of the following reflects an effective management of diversity that Seth could use to help improve profitability?

A)retaining only low-paid employees
B)hiring more Asian women
C)retaining valued employees
D)giving preference to Hispanics

Question 78

Greg is a middle manager at an accounting firm. When one of his employees emails him a series of racist jokes, Greg tells the employee to stop. Greg also goes to human resources and encourages the staffers there to send out a general reminder that racist, sexist, or otherwise inappropriate jokes are inappropriate for the workplace. Taking quick action to correct inequalities and curtailing discriminatory behavior is the duty of a manager in a ________ role.

A)leader
B)disturbance handler
C)negotiator
D)liaison

Question 79

Which of these statements about managing diversity is true?

A)Managers can improve the level of diversity in a workplace, but because the workforce is becoming ever more diverse over time, managers can't really derail diversity.
B)Managers are at a higher level than the employees they supervise, so it isn't realistic to expect managers to be role models when it comes to encouraging diversity.
C)Even when a manager is aware of some diversity-related issues, unconscious bias can creep into that manager's beliefs and behaviors.
D)Diversity issues have become easier to manage in most workplaces now that the issue of diversity has gained more attention.

Question 80

Which of the following is true of women and minorities when they start work in an organization staffed mostly by white men?

A)They have advantages due to special preferences.
B)They are likely to quit or be fired within a month.
C)They are at a slight disadvantage.
D)They quickly take over most leadership roles.