Chapter 5 definitions

Question 1

Ethics

Answer 1

Knowing the difference between right and wrong in the workplace setting. It serves as the invisible hand that guides us to make decisions.

Question 2

Ponzi scheme

Answer 2

Investment fraud that involves the payment of purported returns to existing investors from funds contributed by new investors.

Question 3

Ethics wheel

Answer 3

Societal, Individual, Professional, Business culture.

Question 4

Triple yes rule

Answer 4

1. Does the decision I’m making fall in the accepted values to all organizational environment?
2. Would I be willing to have this decision communicated with the stakeholders and have the idea on the front page of a newspaper?
3. Would the people in my life with whom I have a significant relationship with approve of and support my decision?

Question 5

Ethical decision making process

Answer 5

1. Identify if an ethical dilemma exists.
2. Recognize the dilemma and gather facts about it.
3. Evaluate the alternative perspective of the various ethical solutions.
4. Choose what you think the best alternative is.
5. Initiate actions and monitor your results.

Question 6

Integrity

Answer 6

Most important skill that can be brought to a workplace; honesty, reliability, ethics, moral judgement.

Question 7

Zones of decision making

Answer 7

Green zone: Acceptable
Grey zone: Unclear decision, could result questionable business practices
Red zone: Unethical behaviour

Question 8

Board of directors

Answer 8

The governing body of a corporation, compromising individuals chosen to oversee the management of the organization. Oversees its stakeholders and shareholders.

Question 9

Whistleblowing

Answer 9

The process through which an individual informs someone in authority of a dishonest act.

Question 10

Code of conduct

Answer 10

Name for a statement that describes the required responsibilities, and rules of behaviour of an organizations employees.

Question 11

Forensic accounting

Answer 11

Integration of accounting, auditing, and investigative skills.

Question 12

Corporate social responsibility

Answer 12

The understanding that the purpose of an organization is to create and pursue shared value through a partnership where both objectives are met.

Question 13

Better job of understanding consumer perception and expectations relating to CSR leads to

Answer 13

The delivery and support of their product/service value proposition will be more successful in winning the public’s trust.

Question 14

CSR pyramid

Answer 14

Strategic partnering, Philanthropy, Operational initiatives, Personal projects.