Question 1

Which of the following managers has a staff role?

Accepted Answer

A)  Production manager 
B)  Assembly line supervisor 
C)  R&D manager 
D)  Divisional manager 
A)  Production manager 
B)  Assembly line supervisor 
C)  R&D manager 
D)  Divisional manager

Question 2

The stakeholder group with the ultimate authority over the organization's resources is the employees.

Accepted Answer

A) True 
 B)False

Question 3

You are the owner of a factory that makes candy bars. One morning, you notice an employee intentionally inserting an insect into a piece of candy. You can't stop the line of production in time, and therefore can't find the piece of candy. It is mixed in with thousands of other pieces. After analyzing the situation, you determine that regardless of the cost, you cannot let a bad piece of candy enter the marketplace. Consumers are not paying for insects, and you just couldn't live with yourself if someone got sick because of your lack of action. You therefore destroy several semi loads of candy to make sure the piece does not get sold to a consumer. Does your solution align with the utilitarian, moral rights, or justice model of ethics? Describe why.

Accepted Answer

Moral rights. The framework is

Question 4

Customers are usually the largest outside stakeholder group.

Accepted Answer

A) True 
 B)False

Question 5

Outside stakeholders include shareholders, managers, and the workforce.

Accepted Answer

A) True 
 B)False

Question 6

The chain of command in a large organization is as follows:

Accepted Answer

A)  Board, CEO, executive vice presidents, presidents. 
B)  CEO, president, executive vice presidents, vice presidents. 
C)  CEO, president, senior vice presidents, executive vice presidents. 
D)  President, divisional managers, executive vice presidents, vice presidents. 
A)  Board, CEO, executive vice presidents, presidents. 
B)  CEO, president, executive vice presidents, vice presidents. 
C)  CEO, president, senior vice presidents, executive vice presidents. 
D)  President, divisional managers, executive vice presidents, vice presidents.

Question 7

Managers are sometimes able to pursue their own interests at the expense of other stakeholders because managers:

Accepted Answer

A)  are the most powerful outside stakeholders. 
B)  have control over organizational resources. 
C)  own the organization. 
D)  have the ability to initiate a takeover. 
A)  are the most powerful outside stakeholders. 
B)  have control over organizational resources. 
C)  own the organization. 
D)  have the ability to initiate a takeover.

Question 8

Who is the chief operating officer (COO) of an organization?

Accepted Answer

A)  The executive vice president of operations 
B)  The chairman of the board 
C)  The president 
D)  The CEO 
A)  The executive vice president of operations 
B)  The chairman of the board 
C)  The president 
D)  The CEO

Question 9

Because humans have free will, the law has very little impact on ethical behavior.

Accepted Answer

A) True 
 B)False

Question 10

Behaving ethically can reduce transaction costs through the reputation effect.

Accepted Answer

A) True 
 B)False

Question 11

A manager following the utilitarian model when faced with a moral decision would most likely examine what produces the greatest good for the greatest number of people.

Accepted Answer

A) True 
 B)False

Question 12

Vice presidents are part of ________ management.

Accepted Answer

A)  line 
B)  functional 
C)  corporate 
D)  divisional 
A)  line 
B)  functional 
C)  corporate 
D)  divisional

Question 13

The Johnson & Johnson case discussed what management's course of action was after cyanide-laced Tylenol was discovered on store shelves. Using the three ethical models (utilitarian, moral rights, and justice), discuss what the thought processes or alternative solutions managers might come to when faced with a similar situation.

Accepted Answer

This question is a good application of t

Question 14

All stakeholder groups are equally important.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following is not one of the reasons that unethical behavior occurs?

Accepted Answer

A)  Pursuit of self-interest 
B)  Unrealistic stakeholder expectations 
C)  Personal ethics 
D)  Outside pressure 
A)  Pursuit of self-interest 
B)  Unrealistic stakeholder expectations 
C)  Personal ethics 
D)  Outside pressure

Question 16

Determining management's rewards and incentives is primarily the responsibility of ________.

Accepted Answer

A)  the board of directors 
B)  the shareholders 
C)  the CEO 
D)  corporate management 
A)  the board of directors 
B)  the shareholders 
C)  the CEO 
D)  corporate management

Question 17

Roger observed his manager charging personal long distance calls to the company. Roger sent an anonymous letter about the incident to an outside board. Roger:

Accepted Answer

A)  is on an ethics committee. 
B)  was behaving unethically. 
C)  is a whistle-blower. 
D)  is an ethics officer. 
A)  is on an ethics committee. 
B)  was behaving unethically. 
C)  is a whistle-blower. 
D)  is an ethics officer.

Question 18

Which of the following statements about the CEO is false?

Accepted Answer

A)  He or she determines top management's rewards and incentives. 
B)  He or she influences stakeholders. 
C)  He or she is the chief operating officer. 
D)  He or she allocates resources to subunits. 
A)  He or she determines top management's rewards and incentives. 
B)  He or she influences stakeholders. 
C)  He or she is the chief operating officer. 
D)  He or she allocates resources to subunits.

Question 19

The problem of doctors owning stock in hospitals is one of:

Accepted Answer

A)  organizational structure. 
B)  potentially competing goals. 
C)  the conversion process. 
D)  organizational design. 
A)  organizational structure. 
B)  potentially competing goals. 
C)  the conversion process. 
D)  organizational design.

Question 20

Stock-based compensation schemes help solve the agency problem by aligning individual behaviors with corporate strategy.

Accepted Answer

A) True 
 B)False

Which of the following managers has a staff role?

The stakeholder group with the ultimate authority over the organization's resources is the employees.

Customers are usually the largest outside stakeholder group.

Outside stakeholders include shareholders, managers, and the workforce.

The chain of command in a large organization is as follows:

Managers are sometimes able to pursue their own interests at the expense of other stakeholders because managers:

Who is the chief operating officer (COO) of an organization?

Because humans have free will, the law has very little impact on ethical behavior.

Behaving ethically can reduce transaction costs through the reputation effect.

A manager following the utilitarian model when faced with a moral decision would most likely examine what produces the greatest good for the greatest number of people.

Vice presidents are part of ________ management.

All stakeholder groups are equally important.

Which of the following is not one of the reasons that unethical behavior occurs?

Determining management's rewards and incentives is primarily the responsibility of ________.

Roger observed his manager charging personal long distance calls to the company. Roger sent an anonymous letter about the incident to an outside board. Roger:

Which of the following statements about the CEO is false?

The problem of doctors owning stock in hospitals is one of:

Stock-based compensation schemes help solve the agency problem by aligning individual behaviors with corporate strategy.

Organizations and Organizational Effectiveness

Managing in a Changing Global Environment

Basic Challenges of Organizational Design

Designing Organizational Structure: Authority and Control

Designing Organizational Structure: Specialization and Coordination

Creating and Managing Organizational Culture Environment

Organizational Design and Strategy in a Changing Global Environment

Organizational Design, Competences, and Technology

Managing Innovation and Change

Organizational Birth, Growth, Decline, and Death

Decision Making and Organizational Learning

Managing Innovation, Intrapreneurship, and Creativity

Managing Conflict, Power, and Politics

Filters

Exam 2: Stakeholders, Managers, and Ethics

Which of the following managers has a staff role?

The stakeholder group with the ultimate authority over the organization's resources is the employees.

Customers are usually the largest outside stakeholder group.

Outside stakeholders include shareholders, managers, and the workforce.

The chain of command in a large organization is as follows:

Managers are sometimes able to pursue their own interests at the expense of other stakeholders because managers:

Who is the chief operating officer (COO) of an organization?

Because humans have free will, the law has very little impact on ethical behavior.

Behaving ethically can reduce transaction costs through the reputation effect.

A manager following the utilitarian model when faced with a moral decision would most likely examine what produces the greatest good for the greatest number of people.

Vice presidents are part of ________ management.

All stakeholder groups are equally important.

Which of the following is not one of the reasons that unethical behavior occurs?

Determining management's rewards and incentives is primarily the responsibility of ________.

Roger observed his manager charging personal long distance calls to the company. Roger sent an anonymous letter about the incident to an outside board. Roger:

Which of the following statements about the CEO is false?

The problem of doctors owning stock in hospitals is one of:

Stock-based compensation schemes help solve the agency problem by aligning individual behaviors with corporate strategy.

Organizations and Organizational Effectiveness

Managing in a Changing Global Environment

Basic Challenges of Organizational Design

Designing Organizational Structure: Authority and Control

Designing Organizational Structure: Specialization and Coordination

Creating and Managing Organizational Culture Environment

Organizational Design and Strategy in a Changing Global Environment

Organizational Design, Competences, and Technology

Managing Innovation and Change

Organizational Birth, Growth, Decline, and Death

Decision Making and Organizational Learning

Managing Innovation, Intrapreneurship, and Creativity

Managing Conflict, Power, and Politics

Filters