MAN3065 Final Exam Review
What did the Sarbanes-Oxley Act put more pressure on ethics officers to monitor? Correct Answer:
financial reporting
Codes of conduct and codes of ethics _______________ Correct Answer: are formal statements that
describe what an organization expects of its employees
If a company determines its ethical performance has been less than satisfactory, _____. Correct Answer:
centralization may reduce the opportunities lower-level managers and employees have to make
unethical decision
All of the following are responsibilities of an ethics officer EXCEPT _____. Correct Answer: making
government laws related to business ethics
The Federal Sentencing Guidelines for Organizations (FSGO) _____. Correct Answer: encourages
companies to assess their key risk areas and customize a compliance program to address these risks and
satisfy key effectiveness criteria
A common mistake that U.S.-based multinational firms make when developing an ethics and compliance
program for international offices is _____. Correct Answer: transferring their "American" programs to
the firm's international operations
Which of the following is NOT a responsibility of an ethics officer? Correct Answer: developing and
implementing marketing strategy
To be effective, ethics training must start with a foundation that includes _____. Correct Answer: a code
of ethics
What do values orientation strives to develop? Correct Answer: shared values
Which of the following statements best describes the primary implication of "bad apple-bad barrel"
theory? Correct Answer: Organizations can influence ethical behavior by hiring people with high ethical
standards and developing an ethical corporate culture.
The FSGO utilizes a "carrot and stick" philosophy to encourage organizational compliance. What is the
ultimate "stick" the FSGO uses? Correct Answer: being fined or put on probation
Which of the following scenarios is unethical but not illegal? Correct Answer: While having a latte at
Starbucks, you run into a friend who works as a salesperson at a competing firm. Your friend winds up
chatting about how there is going to be a change in management at her firm. When you get back to your
office, you tell your supervisor what you heard.
Keys to successful ethics training include all but _____. Correct Answer: leaving clear opportunities for
employees to engage in unethical behaviors
, Programs designed to foster ethical behavior are more controversial today because unethical and illegal
business conduct continues to occur, even in organizations that have implemented the programs.
Correct Answer: True
Software is becoming popular in helping to prevent misconduct because it provides reports of employee
concerns, complaints, or observations of misconduct that can then be tracked and managed. Correct
Answer: True
Formal controls _____. Correct Answer: includes input controls such as proper selection of employees,
effective ethics training, and strong structural systems (including communication systems)
Which of the following best describes an ethics audit? Correct Answer: It is a major component of an
ethics program.
The process of assessing and reporting on a business's performance in fulfilling the economic, legal,
ethical, and philanthropic responsibilities expected of it by its stakeholders is called a _____. Correct
Answer: social audit
The strategic importance of ethics auditing includes all of the following EXCEPT _____. Correct Answer:
avoidance of fines in case of an infraction
Which of the following items do NOT have a strong impact on whether an ethics program is successful?
Correct Answer: the level of employee compensation
What is one of the greatest organizational benefits of conducting an ethics audit? Correct Answer:
improved relationships with stakeholders who desire transparency
Which of the following is a means of measuring process variations that cause defects considered as
unacceptable deviations from the mean or target? Correct Answer: Six Sigma
A management system that focuses on all the elements that contribute to organizational performance
and success, including financial, customer, market, and internal processes is defined as the _____.
Correct Answer: Balanced Scorecard
The measuring of social, financial, and environmental factors (or people, places, and planet) that
recognizes business has a responsibility to positively influence a variety of stakeholders, including
customers, employees, shareholders, community, and the natural environment is defined as _____.
Correct Answer: Triple Bottom Line
An ethics audit is a _____. Correct Answer: systematic evaluation of an organization's ethics program
and/or performance to determine its effectiveness
Both ethics auditing and financial auditing employ _____. Correct Answer: objective reporting
The Better Business Bureau's International Torch Award for Marketplace Ethics may be useful to help
what type of companies with their ethics audit? Correct Answer: companies with fewer resources
What did the Sarbanes-Oxley Act put more pressure on ethics officers to monitor? Correct Answer:
financial reporting
Codes of conduct and codes of ethics _______________ Correct Answer: are formal statements that
describe what an organization expects of its employees
If a company determines its ethical performance has been less than satisfactory, _____. Correct Answer:
centralization may reduce the opportunities lower-level managers and employees have to make
unethical decision
All of the following are responsibilities of an ethics officer EXCEPT _____. Correct Answer: making
government laws related to business ethics
The Federal Sentencing Guidelines for Organizations (FSGO) _____. Correct Answer: encourages
companies to assess their key risk areas and customize a compliance program to address these risks and
satisfy key effectiveness criteria
A common mistake that U.S.-based multinational firms make when developing an ethics and compliance
program for international offices is _____. Correct Answer: transferring their "American" programs to
the firm's international operations
Which of the following is NOT a responsibility of an ethics officer? Correct Answer: developing and
implementing marketing strategy
To be effective, ethics training must start with a foundation that includes _____. Correct Answer: a code
of ethics
What do values orientation strives to develop? Correct Answer: shared values
Which of the following statements best describes the primary implication of "bad apple-bad barrel"
theory? Correct Answer: Organizations can influence ethical behavior by hiring people with high ethical
standards and developing an ethical corporate culture.
The FSGO utilizes a "carrot and stick" philosophy to encourage organizational compliance. What is the
ultimate "stick" the FSGO uses? Correct Answer: being fined or put on probation
Which of the following scenarios is unethical but not illegal? Correct Answer: While having a latte at
Starbucks, you run into a friend who works as a salesperson at a competing firm. Your friend winds up
chatting about how there is going to be a change in management at her firm. When you get back to your
office, you tell your supervisor what you heard.
Keys to successful ethics training include all but _____. Correct Answer: leaving clear opportunities for
employees to engage in unethical behaviors
, Programs designed to foster ethical behavior are more controversial today because unethical and illegal
business conduct continues to occur, even in organizations that have implemented the programs.
Correct Answer: True
Software is becoming popular in helping to prevent misconduct because it provides reports of employee
concerns, complaints, or observations of misconduct that can then be tracked and managed. Correct
Answer: True
Formal controls _____. Correct Answer: includes input controls such as proper selection of employees,
effective ethics training, and strong structural systems (including communication systems)
Which of the following best describes an ethics audit? Correct Answer: It is a major component of an
ethics program.
The process of assessing and reporting on a business's performance in fulfilling the economic, legal,
ethical, and philanthropic responsibilities expected of it by its stakeholders is called a _____. Correct
Answer: social audit
The strategic importance of ethics auditing includes all of the following EXCEPT _____. Correct Answer:
avoidance of fines in case of an infraction
Which of the following items do NOT have a strong impact on whether an ethics program is successful?
Correct Answer: the level of employee compensation
What is one of the greatest organizational benefits of conducting an ethics audit? Correct Answer:
improved relationships with stakeholders who desire transparency
Which of the following is a means of measuring process variations that cause defects considered as
unacceptable deviations from the mean or target? Correct Answer: Six Sigma
A management system that focuses on all the elements that contribute to organizational performance
and success, including financial, customer, market, and internal processes is defined as the _____.
Correct Answer: Balanced Scorecard
The measuring of social, financial, and environmental factors (or people, places, and planet) that
recognizes business has a responsibility to positively influence a variety of stakeholders, including
customers, employees, shareholders, community, and the natural environment is defined as _____.
Correct Answer: Triple Bottom Line
An ethics audit is a _____. Correct Answer: systematic evaluation of an organization's ethics program
and/or performance to determine its effectiveness
Both ethics auditing and financial auditing employ _____. Correct Answer: objective reporting
The Better Business Bureau's International Torch Award for Marketplace Ethics may be useful to help
what type of companies with their ethics audit? Correct Answer: companies with fewer resources
