Individual ethics and organizational ethics have an impact on an employee’s
HRM 522 FINAL EXAM PART 1. TWO VERSIONS POSTED MAKING 50 QUESTIONS FOR PART 1 ONLY
Question 1
Both individual ethics and organizational ethics have an impact on an employees
Answer
productivity.
personal happiness.
compensation.
fitness level.
ethical intention.
Question 2
Which of the following is not a form of retaliation commonly experienced by whistle-blowers?
Answer
Relocation or reassignment
No promotion or raises
The cold shoulder by coworkers
Exclusion from work activities
Praise by supervisors for their honesty
Question 3
Motivation is defined as
Answer
a persons incentive or drive to work.
a force within the individual that focuses his or her behavior on achieving a goal.
personal ambition without regard to the impact on others.
a desire to be finished with a project.
individual goals.
Question 4
The ability to influence the behavior of others by offering them something desirable is best described as
Answer
coercive power.
reward power.
expert power.
legitimate power.
referent power.
Question 5
The exacting organizational culture is interested in
Answer
performance but has little concern for employees.
investors’ impressions of profitability.
maintaining a strong corporate culture.
employees and performance.
employees’ impressions
Question 6
The ________ leader demands instantaneous obedience and focuses on punishing wrong behavior, achievement, initiative, and self-control.
Answer
democratic
coaching
affiliative
coercive
pacesetting
Question 7
To motivate employees, an organization offers ________ to ________ employees to work toward organizational objectives.
Answer
punishment; force
peer pressure; guilt
incentives; encourage
rewards; bribe
threats; frighten
Question 8
A cultural audit may be used to identify
Answer
how cultured a firm’s employees are.
unethical employees.
unethical organizations.
an organization’s culture.
organizational structure.
Question 9
The ultimate “stick” associated with the FSGO is fines or probation, which involves on-site observation by consultants, monitoring of the company’s ethical compliance efforts, and
Answer
reporting to the U.S. Sentencing Commission on the company’s progress in avoiding misconduct.
installation of an ethics hotline.
payment of any penalties levied.
appointment of an appropriate high-level manager to oversee the company’s program.
divestiture of all assets.
Question 10
Organizational ________ can contribute to diminished employee trust and increased employee turnover.
Answer
leadership succession
compensation policies
ethics programs
rules
misconduct
Question 11
Which of the following strives to create order by requiring that employees identify with and commit to specific required conduct?
Answer
Conduct orientation
Values orientation
Coercive orientation
Obedience orientation
Compliance orientation
Question 12
In the absence of ethics programs, employees are likely to make decisions based on
Answer
their observations of how their coworkers and superiors behave.
how they and their family members behave at home.
their conscience.
their religious values.
their family values
Question 13
A strong ethics program includes all of the following elements except
Answer
a clause promising good stock market performance.
a written code of conduct or ethics.
formal ethics training.
auditing, monitoring, enforcement, and revision of standards.
an ethics officer to oversee the program
Question 14
For an ethical compliance program to properly function,
Answer
consistent enforcement and disciplinary action are essential.
employees must be monitored using any means necessary.
it is not necessary to set measurable program objectives.
the same program should be used in all countries of operation, regardless of cultural differences.
the company must wait until after misconduct occurs to develop a means of preventing
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.
Answer
code
obedience
compliance
values
individual
Question 16
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.
Answer
obedience; values
compliance; values
legal; values
values; compliance
values; obedience
Question 17
Which of the following is probably the best way for a manager to provide good ethics leadership?
Answer
Hire an ethics officer
Write a code of conduct
Conduct ethics audits
Set a good example
Only hire good employees
Question 18
________ is an independent assessment of the quality, accuracy, and completeness of a company’s social or ethics report.
Answer
Publication
Verification
Auditing
Analysis
Validation
Question 19
Which of the following does not have a significant impact on the success of an ethics program?
Answer
Senior managements ability to successfully incorporate ethics into the organization
The quality of communication
The size of the company
The content of the companys code of ethics
The frequency of communication regarding the ethical code and program
Question 20
Retaliation against employees that report misconduct is a problem in ________ cultures.
Answer
weak ethical
strong ethical
high power distance
diverse
international
Question 21
Ethics audits can help companies identify potential ________ so they can implement plans to eliminate or reduce them before they reach crisis dimensions.
Answer
competitive advantages
risks and liabilities
productivity issues
technological glitches
market opportunities
Question 22
Which of the following is not a benefit of ethics auditing?
Answer
It can improve a firm’s performance and effectiveness.
It can increase a firms attractiveness to investors.
It can identify potential risks.
It can harm relationships with stakeholders.
It can reduce the risks associated with misconduct.
Question 23
Which of the following is not a step in the ethics auditing process?
Answer
Secure commitment of top executives and directors.
Review organizational mission, goals, values and policies, and define ethical priorities.
Report the results to the U.S. Sentencing Commission.
Collect and analyze relevant information.
Verify the results.
Question 24
What should be the first step in the auditing process?
Answer
Secure the commitment of top executives and directors
Define the scope of the audit
Establish a committee to oversee the audit
Collect and analyze data
Review organizational mission, goals, values, and policies
Question 25
________ are a primary stakeholder group and should be included in the ethics auditing process because their loyalty determines an organization’s success.
Answer
Customers
Employees
Special interest groups
Competitors
Legislators
VERSION 2
Question 1
________ are used to subdivide duties within functional areas of a company.
Answer
Work groups
Individuals
Experts
Consultants
Committees
Question 2
Which of the following is not a form of retaliation commonly experienced by whistle-blowers?
Answer
Relocation or reassignment
No promotion or raises
The cold shoulder by coworkers
Exclusion from work activities
Praise by supervisors for their honesty
Question 3
Ethical concerns in centralized structures can occur because of very little
Answer
mobility.
upward communication.
scapegoating.
downward communication.
communication rigidity
Question 4
A cultural audit may be used to identify
Answer
how cultured a firm’s employees are.
unethical employees.
unethical organizations.
an organization’s culture.
organizational structure
Question 5
The ________ leader demands instantaneous obedience and focuses on punishing wrong behavior, achievement, initiative, and self-control.
Answer
democratic
coaching
affiliative
coercive
pacesetting
Question 6
Because researchers have defined culture so many different ways, ________ and ________ are often used interchangeably.
Answer
cultural cues; management
cultural values; anthropology
cultural values; culture
cultural cues; laws
cultural cues; management
Question 7
An organization that delegates decision-making authority as far down the chain of command as possible and has relatively few formal rules is
Answer
centralized.
decentralized.
flat.
tall.
ethical.
Question 8
The ability to influence the behavior of others by offering them something desirable is best described as
Answer
coercive power.
reward power.
expert power.
legitimate power.
referent power
Question 9
The ultimate “stick” associated with the FSGO is fines or probation, which involves on-site observation by consultants, monitoring of the company’s ethical compliance efforts, and
Answer
reporting to the U.S. Sentencing Commission on the company’s progress in avoiding misconduct.
installation of an ethics hotline.
payment of any penalties levied.
appointment of an appropriate high-level manager to oversee the company’s program.
divestiture of all assets.
Question 10
Organizations can become “bad barrels” not because of unethical individuals but because
Answer
the pressure to succeed creates opportunities that reward unethical decisions.
the pressure to succeed creates opportunities that punish unethical decisions.
they lack leadership.
they lack values.
they have no bad apples
Question 11
With regard to ethics, training and communication initiatives should reflect
Answer
the structure of the board of directors.
the organization’s stock performance.
the organization’s size.
the unique characteristics of an organization.
the self-interest of the CEO
Question 12
At the heart of the Federal Sentencing Guidelines for Organizations is a
Answer
“tit-for-tat” philosophy that punishes wrongdoing.
Golden Rule philosophy.
Iron Fist philosophy severely punishes wrongdoing.
carrot-and-stick philosophy that rewards efforts to improve ethics.
utilitarian philosophy of the greatest good for the greatest number
Question 13
________ are formal statements that describe what an organization expects of its employees in terms of ethical behavior.
Answer
Mission statements
Codes of conduct
Policies on confidentiality
Environmental policies
The Federal Sentencing Guidelines for Organizations
Question 14
________ 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.
Answer
Low-level employees
International managers
Top managers
Government officials
Fortune 500 companies
Question 15
The Federal Sentencing Guidelines for Organizations require federal judges to increase fines for organizations that continually
Answer
improve their ethics programs.
eliminate misconduct.
fail to install a Federal Sentencing Guidelines program.
fail to report ethics program activities.
tolerate misconduct.
Question 16
All of the following are useful in monitoring ethical conduct and measuring the effectiveness of the ethical program except
Answer
observation of employees.
internal audits.
firing.
surveys.
reporting systems.
Question 17
Under the ________, CEOs and CFOs may be criminally prosecuted if they knowingly certify misleading financial statements.
Answer
Sherman Antitrust Act
Ethical Compliance Act
Robinson-Patman Act
Sarbanes-Oxley Act
Sherman Antitrust Act
Question 18
________ are a primary stakeholder group and should be included in the ethics auditing process because their loyalty determines an organization’s success.
Answer
Customers
Employees
Special interest groups
Competitors
Legislators
Question 19
During the data-collection phase of the audit, the primary objective is to generate a variety of opinions about how the company is perceived and whether it is
Answer
fulfilling employee benefits commitments.
bringing in new customers.
meeting profit projections.
meeting earnings projections.
fulfilling stakeholders’ expectations
Question 20
While ideally the board of directors financial audit committee conducts ethics audits, in most firms they are conducted by
Answer
managers or ethics officers.
executive officers.
the CEO.
outside consultants.
secondary stakeholders
Question 21
What should be the first step in the auditing process?
Answer
Secure the commitment of top executives and directors
Define the scope of the audit
Establish a committee to oversee the audit
Collect and analyze data
Review organizational mission, goals, values, and policies
Question 22
While social reports often discuss issues related to a firm’s performance in the four dimensions of social responsibility, as well as to specific social responsibility and ethical issues, ethics audits have a narrower focus on assessing and reporting on a firm’s performance in terms of
Answer
ethical and legal conduct.
environmental performance.
financial performance.
customer satisfaction.
ethical misconduct
Question 23
The process of verifying the results of an audit should involve standard procedures that control the ________ of the information.
Answer
completeness
effectiveness and efficiency
reliability and validity
independence
veracity
Question 24
The concept of ethics auditing emerged from the movement to audit and report on companies’ broader ________ initiatives.
Answer
product development
legal compliance
risk management
public relations
social responsibility
Question 25
Which of the following is a statement that attests that the financial statements made in an audit are fairly stated, without limitations?
Answer
Adverse opinion
Qualified opinion
Unqualified opinion
Favorable opinion
Disclaimer of opinion
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