Exam 5: Managing Responsibly and Ethically

Refer to the scenario below to answer the following questions. An Ethical Dilemma (Scenario) Max Proffit, director of research and development for NexGen Products Company, has learned that a new material has been developed in his department that will help reduce production costs without any accompanying loss in quality. He has discussed the potential savings with his two assistants, Angel Lee and Moe Gaines, as well as the vice-president of product development, Rush Onward. Angel has stated her opposition to the use of the new material because its durability and fire-resistant properties have not been fully tested nor certified by the company's third-party testing laboratory. Moe argues that the initial tests that their R&D department has run indicated minimal problems with both durability and fire resistance. Rush stated that he has been in several meetings lately where the need to increase earnings-per-share has been repeatedly emphasized by the company president. Rush has told Max that a decision has to be made within the week about the use of the new material in NexGen's products. -Angel's opposition to the use of the new product is an indication that she probably __________.

Refer to the scenario below to answer the following questions. Approaches to Social Responsibility (Scenario) Marco was confused. His management class was focusing on social responsibility, and his assignment was to find examples of businesses that used different approaches toward social responsibility. He had three good examples but was not sure which case was an example of which concept. The first business was a fishing company that had been subject to protests from environmentalists. In their efforts to balance the interests of shareholders and other stakeholders, the company decided to change their harvesting methods so that dolphins would no longer be caught with the tuna. The second company was a fast-food restaurant whose primary objective was to maximize profits for its owners. Restaurant employees were paid minimum wages and benefits in accordance with local labour laws. The third business was a bank that spent millions of dollars a year on charitable causes. The bank's managers felt they had an ethical responsibility to do the right things and act in ways that are good for society. -The approach taken by the fishing company is generally thought to be more __________ than the approach taken by the bank.

An organization's __________ can help guide managers' decisions and actions.

Which of the following determinants of ethical issue intensity considers how close the potential victims are?

Which of the following is true concerning the impact of organizational culture on ethical behavior?

According to research, the single most important influence on an individual's decision to act ethically or unethically is __________.

Which of the following is a basic definition of ethics?

Which of the following statements is true concerning organizations whose structures and cultures permit unethical behaviour?

Refer to the scenario below to answer the following questions The Environmental Study (Scenario) You have just been challenged by your supervisor to study and report your findings on approaches that organizations use when dealing with the environment and when pursuing the goal of going green. Your boss tells you to study the four major approaches, differentiate among them, and report to him in a week. -How can managers identify the ethically questionable applicants even before they became part of the workforce?

Refer to the scenario below to answer the following questions The Environmental Study (Scenario) You have just been challenged by your supervisor to study and report your findings on approaches that organizations use when dealing with the environment and when pursuing the goal of going green. Your boss tells you to study the four major approaches, differentiate among them, and report to him in a week. -Under what approach is the organization driven to look for ways to respect and preserve the earth and its natural resources?

In the preconventional stage of moral development, individuals make a clear effort to define moral principles apart from the authority of the groups to which they belong or of society in general.

Whistle-blowers raise ethical concerns to others inside and outside the organization.

At the principled level of moral development, an individual values the rights of others and upholds absolute values and rights regardless of the majority's opinion.

Refer to the scenario below to answer the following questions The Environmental Study (Scenario) You have just been challenged by your supervisor to study and report your findings on approaches that organizations use when dealing with the environment and when pursuing the goal of going green. Your boss tells you to study the four major approaches, differentiate among them, and report to him in a week. -Under what approach does the organization work to meet the environmental demands of multiple groups of people including employees, suppliers, or the community?

Refer to the scenario below to answer the following questions. Approaches to Social Responsibility (Scenario) Marco was confused. His management class was focusing on social responsibility, and his assignment was to find examples of businesses that used different approaches toward social responsibility. He had three good examples but was not sure which case was an example of which concept. The first business was a fishing company that had been subject to protests from environmentalists. In their efforts to balance the interests of shareholders and other stakeholders, the company decided to change their harvesting methods so that dolphins would no longer be caught with the tuna. The second company was a fast-food restaurant whose primary objective was to maximize profits for its owners. Restaurant employees were paid minimum wages and benefits in accordance with local labour laws. The third business was a bank that spent millions of dollars a year on charitable causes. The bank's managers felt they had an ethical responsibility to do the right things and act in ways that are good for society. -The approach taken by the fast food restaurant also follows the __________ view of social responsibility.

Refer to the scenario below to answer the following questions. Two Opposing Views of Social Responsibility (Scenario) The board of directors of Acme Generating Corporation is meeting to consider the construction of a new electricity generation facility somewhere along the Muspetan River basin. The city of Muspetan has a high Air Pollution Index and the increasing amount of garbage is adding to the city's woes. Director Appleton would like the facility to be a coal-burning plant located in a remote area because the cost involved is moderate. Director Witworth wants a nuclear plant because this will not add to the city's already serious pollution problem, while taking care of its electricity requirements. Director Jossleman wants a plant that uses combustible fuels collected from the city's garbage. He wants the plant to be located near the downtown government area so that the steam could be used for heating the government buildings after it has passed through the generating turbines. -Director Witworth is following which of the social responsibility views?

Refer to the scenario below to answer the following questions The Environmental Study (Scenario) You have just been challenged by your supervisor to study and report your findings on approaches that organizations use when dealing with the environment and when pursuing the goal of going green. Your boss tells you to study the four major approaches, differentiate among them, and report to him in a week. -A key component of any ethics program is employees who act as _____________ because they are willing to step forward and expose unethical behaviour.

Refer to the scenario below to answer the following questions. Moral Development (Scenario) Jerri has been daydreaming about stealing some money from the petty cash file at her employer's office in order to pay some overdue bills. But in reviewing the chapter on ethics from her management course, she learns that there are three levels of moral development, each composed of two stages. She becomes ashamed about her idle thoughts of stealing and reads on to try to learn more about the levels and stages of moral development. -Although Jerri has thought about stealing, she has never actually done so. If fear of punishment was her primary reason for not stealing, Jerri would be operating at the __________ level of moral development.

The most meaningful conclusion that one can draw from the research on social responsibility and economic performance is that __________.

The most outspoken advocate of the classical view of social responsibility is Milton Friedman.