Managing Business Ethics Straight Talk About How to Do It Right 6th Edition By Trevino - Test Bank

Managing Business Ethics Straight Talk About How to Do It Right 6th Edition By Trevino – Test Bank

 

Instant Download – Complete Test Bank With Answers

 

 

Sample Questions Are Posted Below

 

 

 

File: Chapter 5, Ethics as Organizational Culture

 

 

 

Matching

 

 

 

Reference: Matching Key Terms and Definitions

1. a) Strong organizational culture
2. b) Weak organizational culture
3. c) Socialization (or enculturation)

 

 

 

1. Standards and guidelines that are known and widely shared by all.

 

Ans: a

Response: See page  152.

Difficulty: Easy

 

 

 

2. Subcultures within divisions or departments that are more likely to guide behavior.

 

Ans: b

Response: See page  152.

Difficulty: Easy

 

 

 

3. Process promoted through formal and informal transmission of norms.

 

Ans: c

Response: See page  152

Difficulty: Easy

 

 

 

Reference: Matching Key Terms and Definitions

1. a) Heroes
2. b) Norms
3. c) Rituals
4. d) Myths

 

 

 

4. Symbolically tells employees what the organization wants them to do and how it expects them to do it.

 

Ans: c

Response: See page  181.

Difficulty: Easy

 

 

 

5. Standards of behavior that are accepted as appropriate by members of a group.

 

Ans: b

Response: See page  180.

Difficulty: Easy

 

 

 

6. Symbolic figures who set standards of performance by modeling certain behaviors.

 

Ans: a

Response: See page  179.

Difficulty: Easy

 

 

 

7. Anecdotes about a sequence of events drawn from an organization’s history.

 

Ans: d

Response: See page  182.

Difficulty: Easy

 

 

 

True/False

 

 

8. Organization cultures vary widely, even within the same industry.

 

Ans: True

Response: See page  151.

Difficulty: Easy

 

 

 

9. Organization cultures are maintained through formal systems alone.

 

Ans: False

Response: See page  153.

Difficulty: Easy

 

 

 

 

10. An ethical culture is maintained through alignment between the formal and informal systems.

 

Ans.: True

Response:  See page 153.

Difficulty: Easy

 

 

 

11. A 2006 study found that 82 percent of Americans would prefer to be paid less but work for an ethical company than be paid more and work for an unethical company.

 

Ans.: True

Response: See page 155

Difficulty: Medium

 

 

12. The US Sentencing Guidelines call for more attention to developing and maintaining the ethical culture of the organization.

 

Ans: True

Response: See page  156.

Difficulty: Easy

 

 

 

13. Unethical leaders can just as negatively affect the culture of a company as ethical leaders can affect the ethical culture.

 

Ans: True

Response: See page 161

Difficulty: Medium

 

 

14. An ethically neutral leader is not clearly unethical, but is perceived to be more self-centered and more focused on the bottom line.

 

Ans: True

Response: See page 163.

Difficulty: Medium

 

 

 

15. Research has found that executive ethical leadership is critical to investors but not the employees.

 

Ans. False

Response: See page 165.

Difficulty: Difficult

 

 

16. Research has found that employees working in organizations with an enforced code of ethics report that they engage in less unethical behavior.

 

Ans: True

Response: See page 169.

Difficulty: Easy

 

 

 

17. Most people, according to cognitive moral development, are looking outside of themselves for guidance on decision-making. This means that stated organizational policy can be an important source of guidance foe employees in making decisions.

 

Ans.: True

Response: See page 170.

Difficulty: Difficult

 

 

 

18. Alignment of the goals and rewards of an organization with the organization’s values is essential because employees will generally do what is measured and rewarded.

 

Ans.: True

Response: See page 173.

Difficulty: Moderate

 

 

 

19. Loyalty is paramount in business and employees who question unethical direction or an unethical boss are doomed.

 

Ans: False

Response: See page 174.

Difficulty: Moderate

 

 

20. Today, with advances in technology, very few modern organizations are bureaucratic.

 

Ans: False

Response: See page 174.

Difficulty: Medium

 

 

 

 

21. The more a firm demands unquestioning obedience to authority, the more likely the firm will experience higher levels of unethical conduct among their employees.

 

Ans: True

Response: See page 175.

Difficulty: Medium

 

 

 

 

22. Given the less hierarchical organizational structures that are more common place today, it is less important for to have strongly aligned ethical culture to guide employees in their independent decision-making.

 

Ans: False

Response: See page 175-176

Difficulty: Difficult

 

 

 

23. Companies that look for advice from consultants will do well to find a “spray and pray” plan.

 

Ans: False

Response: See page  189.

Difficulty: Easy

 

 

 

24. The only way to determine if the culture is aligned to support ethical behavior is to conduct regular, comprehensive audits of all relevant cultural systems, both formal and informal.

 

Ans: True

Response: See page 190.

Difficulty: Easy

 

 

 

 

Multiple Choice

 

 

25. Weak organizational cultures are:

 

1. a) desirable if an organization has many subcultures.
2. b) desirable if an organization wants diversity of thought and action.
3. c) desirable if an organization wants behavioral consistency.
4. d) undesirable in all situations.

 

Ans: b

Response: See page  152.

Difficulty: Medium

 

 

26. Which of these is NOT a part of informal system in an organization?:

 

1. a) Norms
2. b) Rituals
3. c) Language
4. d) Decision processes

 

Ans: d

Response: See page  153.

Difficulty: Medium

 

 

 

27. Why did the US Sentencing Commission begin to focus on the ethical culture of the organization in 2004?

 

2002. a) Researchers had just recently introduced the idea of an “ethical culture” in 2002.
2003. b) More and more consultants were discussing “ethical culture” in their programs.
2004. c) Prior to the change, organizations used formal programs as “window dressing”.
2005. d) None of the above

 

Ans: c

Response: See page  156.

Difficulty: Medium

 

 

 

 

28. The “moral person” component of ethical leadership:

 

1. a) Tells employees how the leader expects them to behave.
2. b) Tells employees how the leader is likely to behave.
3. c) Shows that ethics and values are an important part of the leader’s message.
4. d) Demonstrates a reputation for ethical leadership among employees.

 

Ans: b

Response: See page  159.

Difficulty: Medium

 

 

 

29. According to the Executive Ethical Leadership Reputation Matrix, ___________ is an executive characterized as a weak “moral person” and a strong “moral manager.”

 

1. a) Unethical leader
2. b) Ethical leader
3. c) Ethically neutral leader
4. d) Hypocritical leader

 

Ans: d

Response: See pages  159.

Difficulty: Easy

 

 

 

30. According to the Executive Ethical Leadership Reputation Matrix, ___________ is an executive characterized as a strong “moral person” and a strong “moral manager.”

 

1. a) Unethical leader
2. b) Ethical leader
3. c) Ethically neutral leader
4. d) Hypocritical leader

 

Ans: b

Response: See pages 159.

Difficulty: Easy

 

 

31. ______ are symbolic figures who set standards of performance by modeling certain behaviors, and they can be the organization’s formal leaders.

 

1. a) Heroes
2. b) First-line managers
3. c) Large investors in an organization
4. d) Hypocritical leader

 

Ans: a

Response: See pages 179.

Difficulty: Easy

 

 

 

32. “The way we do things around here” addresses an organization’s

 

1. a) heroes.
2. b) rituals.
3. c) norms.
4. d) myths.

 

Ans: c

Response: See pages 180.

Difficulty: Medium

 

 

 

33. _____ tell people symbolically what the organization wants them to do and how it expects them to do it.

 

1. a) Heroes
2. b) Myths
3. c) Norms
4. d) Rituals

 

Ans: d

Response: See pages 181.

Difficulty: Medium

 

 

34. When an organization “cares” about multiple stakeholders, including employees, customers, and the broader community and public, it is said to have which of these?

 

1. a) Benevolence climate
2. b) Self-interest climate
3. c) Rule-based climate
4. d) Fairness climate

 

Ans: a

Response: See pages 185.

Difficulty: Medium

 

 

 

35. Under which of these climates little attention is given to the social consequences of one’s actions?

 

1. a) Benevolence climate
2. b) Self-interest climate
3. c) Rule-based climate
4. d) Fairness climate

 

Ans: b

Response: See pages 185.

Difficulty: Medium

 

 

 

 

36. Which of the following is false?

 

1. a) Any attempt to change an organization’s ethics must consider the entire cultural system.
2. b) A cultural system includes both formal and informal systems.
3. c) An effective culture change may take as long as 1 to 2 years.
4. d) New rules and values must be reinforced via training programs and reward systems.

 

Ans: c

Response: Culture changes are not short-term and may take as much as 6 to 15 years.  See page 191.

Difficulty: Medium

 

 

 

Short Answer

 

 

 

37. Briefly describe what is meant by alignment of ethical culture. Provide an example of how an ethical culture might be misaligned.

 

Ans: Students should be able to demonstrate that ethical culture consists of informal and formal systems that must be sending the same message.  Therefore, a reward system that focuses strictly on the bottom line and makes no allowances for how a goal is met is misaligned with the organization’s ethical culture.

Response: An ethical culture consists of both an informal and formal system of communication.  If messages from the informal and formal system differ, then the ethical culture of an organization is out of alignment.  For example, a CEO may state in speeches to the employees that “our company cares about the environment.”  However, if the reward system focuses strictly on the bottom line and makes no allowances for how goals are met, the ethical culture is misaligned.

Difficulty: Difficult

 

 

 

38. Briefly describe and provide examples of three steps involved in changing an organization’s culture.

 

Ans: Students should include steps related to diagnosis, implementation, and subsequent evaluation.

Response: Changing an organization’s culture is a multi-dimensional process that must be taken seriously.  The major steps include a detailed diagnosis of the current culture, implementation of the new plan, and evaluation after the plan is in motion.  The implementation of the plan is probably the most difficult step because it involves the “art” of changing the informal systems as well as the informal systems.

Difficulty: Difficult