STRATEGIC MANAGEMENT

QUIZ 2

CHAPTER 3

Submitted by:
NIK MAHMUD ZUHDI BIN NIK MAT

MATRIX NUMBER – P4347

SEMESTER 4 SESSION 2021/2022

MASTER OF BUSINESS ADMINISTRATION (MBA)
ANSWER TABLE PART A

NO. ANSWER
1 A
2 A
3 D
4 B
5 E
6 D
7 E
8 D
9 D
10 A
PART B (10 MARKS)
1) Describe how organizations can create an ethics "culture."

Many organizations have established a code-of-conduct document describing ethical

requirements and providing examples of circumstances that frequently arise in their
industry to foster an ethics culture. Citicorp even created a business ethics board game,
which is played by thousands of employees throughout the world and allows them to
respond to hypothetical ethical issues. Workshops and training on ethics are also essential.
Ethics training programmes should contain messages from CEOs and business owners
encouraging ethical business practices, the creation and discussion of codes of ethics, and
mechanisms for addressing and reporting unethical activity. Integrating ethical
considerations into strategic planning, integrating ethical decision making into the
performance appraisal process, encouraging whistle-blowing, and monitoring
departmental and corporate performance regarding ethics can help firms align ethical and
strategic decision making.
To begin, a company must clearly define its ethical expectations, as well as what is and is
not acceptable within its ethical boundaries. This will aid in the establishment and
implementation of employee rules and guidelines. The following stage is to create a model
for the employees' desired behaviour. Employees can learn from senior managers and
leaders by observing them. Reinforcing the behaviour is the third phase. Carrots, such as
ecognition, rewards, and social stimuli, can be used to reinforce ethical behaviour. Finally,
businesses should establish safeguards so that employees can talk about ethical issues.
encouraging whistleblowing and monitoring departmental and corporate ethical
performance.
"VISA" is an example of a business that has a strong ethical culture. The company has a
robust ethical policy and has implemented various ethics initiatives throughout the years.
It has a long and illustrious history of minor ethical transgressions.
The moral principles that influence business action are known as business ethics. In the
business world, ethical culture is critical. It is critical to create a positive work atmosphere
and to take the appropriate actions. Managers are crucial in identifying whether or not
employees are adhering to the company's values and expectations. Doing business in an
ethical and responsible manner that benefits the corporation, its employees, customers,
society, and the environment.
Using the goals and principles of organisational behaviour, an organisation can build and
preserve ethics and culture by taking the following steps: -
Organizational culture - Workplace ethics should be included into the culture, and
leaders should encourage their staff to work ethically. Employees who conduct
ethically should be chosen, trained, and the organization's priority should be on
retaining them. The importance of ethical standards should be communicated to
employees by the leader.
Corporate policies - The guiding concept should be clear, and the leader should
create a proper framework for evaluating ethical conduct. Employee ethical
behaviour should be valued by the leader, and it should be incorporated in business
and performance reviews, as well as tied to awards or incentives. The consequences
of desired conduct should be considered, and its occurrence should be monitored on
a regular basis.
Enforcing and monitoring organisational ethics - It is critical to have a formal
ethics programme. All personnel should be subjected to an ethical training system
on a regular basis. The focus of the organization's structure and resources should be
on monitoring or committing to an ethical environment. A complaint system, for
example, ensures that people file complaints regarding ethical misbehaviour at
work by giving regular coaching and feedback, training sessions, performance
reviews, and so on. This is accomplished through the use of compliance hotline
numbers. It is critical to establish an ethical panel that can take action against ethical
wrongdoing.
The culture of any company will influence the moral judgement of the employees as well as
other stakeholders which are in touch with the organization. Companies having a strong
ethics culture will have a higher probability of attracting customers in order to maintain
their goods and services in the market.