Question 1

The individual responsible for implementing disciplinary action for violation of a firm's ethics standards is usually the

Accepted Answer

A)   CEO.
B)   president.
C)   immediate supervisor.
D)   ethics officer.
E)   Chairman of the board. D

Question 2

One of the main reasons employees do not report observed misconduct is

Accepted Answer

A)   apathy.
B)   most employees do not observe any misconduct.
C)   fear of retaliation.
D)   laws and regulations protect the employee committing the misconduct.
E)   hotlines do not work well. C

Question 3

_____ may be more inclined to engage in unethical organizational conduct because of social isolation that creates insensitivity and a lower level of motivation to regulate ethical decision making.

Accepted Answer

A)   Low-level employees
B)   International managers
C)   Top managers
D)   Government officials
E)   Fortune 500 companies C

Question 4

Which of the following is an advantage of a values-based ethics program over a compliance-based one?

Accepted Answer

A)   Employees learn to make decisions based on values such as fairness, compassion, respect, and transparency.
B)   Diverse employees have differing values.
C)   It requires employees to identify with and commit to specific required conduct.
D)   A values orientation uses legal terms, statutes, and contracts that teach employees the rules and penalties for noncompliance.
E)   Values and compliance programs both take basically the same approach.

Question 5

How can ethical dilemmas and behavioral simulations help employees make more ethical decisions?

Accepted Answer

The answer of How can ethical dilemmas and behavioral simulations...

Question 6

Organizational _____ can contribute to diminished employee trust and increased employee turnover.

Accepted Answer

A)   leadership succession
B)   compensation policies
C)   ethics programs
D)   rules
E)   misconduct

Question 7

Which of the following statements about codes of conduct is false?

Accepted Answer

A)   They are formal statements of what an organization expects of its employees.
B)   They guarantee an ethical business climate.
C)   They help employees determine what behaviors are acceptable.
D)   They provide rules and guidelines for employees to follow.
E)   They should be specific enough to be reasonably capable of preventing misconduct.

Question 8

A strong ethics program includes all of the following elements except

Accepted Answer

A)   a clause promising good stock market performance.
B)   a written code of conduct or ethics.
C)   formal ethics training.
D)   auditing, monitoring, enforcement, and revision of standards.
E)   an ethics officer to oversee the program.

Question 9

A code of ethics that does not address specific high-risk activities within the scope of daily activities is

Accepted Answer

A)   sufficient.
B)   inadequate.
C)   satisfactory.
D)   acceptable as long as individual values prevent misconduct.
E)   acceptable according to the Federal Sentencing Guidelines for Organizations.

Question 10

Which of the following is the most comprehensive?

Accepted Answer

A)   Code of values
B)   Code of conduct
C)   Code of ethics
D)   Statement of values
E)   Statement of principles

Question 11

A(n) _____ orientation creates order by requiring that employees identify with and commit to specific required conduct, whereas a(n) _____ orientation strives to develop shared standards.

Accepted Answer

A)   obedience; values
B)   compliance; values
C)   legal; values
D)   values; compliance
E)   values; obedience

Question 12

Which of the following statements about training is false?

Accepted Answer

A)   It can educate employees about the firm's policies and expectations, as well as about relevant laws and regulations and general social standards.
B)   It can dictate personal ethics on the job.
C)   It can make employees aware of available resources, support systems, and designated personnel who can assist them with ethical and legal advice.
D)   It can empower employees to ask tough questions and make ethical decisions.
E)   It can affect the influence of organizational culture, coworkers and superiors, and opportunity.

Question 13

Top managers tend to focus on _____ because their jobs and personal identity are often connected to quarterly returns.

Accepted Answer

A)   financial performance
B)   employee satisfaction
C)   ethical performance
D)   the board of directors' recommendations
E)   adherence to the code of conduct

Question 14

Because top managers may be more insensitive to ethical issues due to their focus on financial performance, the FSGO guidelines suggest that ethics officers report to the _____ instead.

Accepted Answer

A)   stock market
B)   board of directors
C)   middle managers
D)   customers
E)   stakeholders

Question 15

In the long run, a(n) ______ orientation may be better for companies, perhaps because it increases employees' awareness of ethics issues at work.

Accepted Answer

A)   code
B)   obedience
C)   compliance
D)   values
E)   individual

Question 16

A _____ generates an ethical program that creates order by requiring that employees identify with and commit to specific required conduct using legal terms and statutes.

Accepted Answer

A)   values orientation
B)   code of conduct
C)   statement of values
D)   code of ethics
E)   compliance orientation

Question 17

Which of the following strives to create order by requiring that employees identify with and commit to specific required conduct?

Accepted Answer

A)   Conduct orientation
B)   Values orientation
C)   Coercive orientation
D)   Obedience orientation
E)   Compliance orientation

Question 18

At the heart of the Federal Sentencing Guidelines for Organizations is a

Accepted Answer

A)   "tit-for-tat" philosophy that punishes wrongdoing.
B)   Golden Rule philosophy.
C)   Iron Fist philosophy severely punishes wrongdoing.
D)   carrot-and-stick philosophy that rewards efforts to improve ethics.
E)   utilitarian philosophy of the greatest good for the greatest number.

Question 19

What are some of the ways that organizations can develop effective ethics programs?

Accepted Answer

The answer of What are some of the ways that...

Question 20

_____ are formal statements that describe what an organization expects of its employees in terms of ethical behavior.

Accepted Answer

A)   Mission statements
B)   Codes of conduct
C)   Policies on confidentiality
D)   Environmental policies
E)   The Federal Sentencing Guidelines for Organizations

Exam 8: Developing an Effective Ethics Program