Corporate Social Responsibility Today
Ethics and Compliance
Sustainability
Strategy
100

Which is one of the negative social effects of global technological forces? 

A. Complexity of privacy issues

B. Economic imperialism by developed economies

C. Decreasing foreign investment in developing economies

D. Increasing ethnocentrism

What is...A! 

Complexity of privacy issues

Because of technology and integration of information, privacy issues have become much more ubiquitous and complex. Privacy issues range from employer-employee privacy to compliance questions raised by government requests for customer data from corporations. In response to the prevalence of issues, many countries have instituted privacy laws.

100

Why is ethics an intrinsic part of a corporate social responsibility program?

A. Ethics allows for the adherence to the letter of the law.

B. Ethics dictates behavioral guidelines for an organization.

C. Ethics is based on laws and regulations.

D. Ethics increases external stakeholders’ influence.

What is...B!

Ethics dictates behavioral guidelines for an organization.

Ethics is a set of behavioral guidelines an organization expects all to follow. Compliance is based on laws and regulations and allows for adherence to the letter of the law.

100

Which best illustrates the principle of sustainability in the workplace?

A. Changes to a headquarters location are weighed against the effects on stakeholders.

B. Global HR policies are reviewed to make sure they comply with local laws and regulations.

C. Competitive business practices are aligned with local norms in each operating region.

D. The organization implements a flat structure, with few layers of decision-making authority.

 

What is...A!

Changes to a headquarters location are weighed against the effects on stakeholders.

Sustainable workplace policies focus on long-term effects and the integrated needs of people, the environment, and economic needs. Including a careful assessment of a change that would affect a large number of employees and the surrounding communities is sustainable.


100

Which approach best helps a company achieve its commitment to develop a community volunteerism program as part of a sustainability strategy?

A. Assign a project to an HR specialist to research what other companies are doing.

B. Ask applicants about their community volunteer interests during the interview.

C. Survey employees to gather feedback on community volunteer interests.

D. Mandate a community volunteer activity for each department to take on.

 

What is...C!

Survey employees to gather feedback on community volunteer interests.

By ensuring that community volunteer programs align with the interests of the organization’s employees, it is more likely to garner interest and support from current employees. This will make the program more likely to succeed than the other options.


200

Which traditional HR area of focus is affected by employees being given opportunities to act on their interests in promoting social and environmental responsibility espoused by the organization’s mission and values? 

A. Employee contract

B. Recruiting

C. Engagement

D. Accountability and measurement

What is...C!

Engagement

Engagement is affected, either positively or negatively, by whether employees are given opportunities to act on their interests in promoting social and environmental responsibility espoused by the organization’s mission and values.

200

Which term describes a system of rules and processes put in place to ensure compliance with local and international laws, accounting rules, ethical norms, and environmental and social codes of conduct? 

A. Rule of law

B. Compliance

C. Governance

D. Ethics

What is...C! 

Governance

Governance is the system of rules and processes an organization puts in place to ensure its compliance with local and international laws, accounting rules, ethical norms, and environmental and social codes of conduct. Good governance is the outcome of a thoughtful assessment of an enterprise’s legal, ethical, and civic obligations to the communities it serves and the development of systems that support fulfillment of these obligations.


200

HR has been asked to identify ways to improve recruitment and retention efforts through community engagement. Which step should HR take first?

A. Discuss different candidate selection strategies.

B. Conduct a social audit.

C. Change organizational policies and procedures.

D. Draft a new leave policy.

 

What is...B! 

Conduct a social audit.

A social audit might help the employer identify ways in which it could improve its employer brand as a sustainable and socially responsible organization. Changing the type of employees being recruited would probably limit the talent pool available to the employer. Drafting new policies and procedures on candidate selection without an audit would be costly and risky. A new leave policy might appeal to some employees but may not be effective in reducing turnover or increasing retention.

200

HR has determined that it is necessary to implement a corporate social responsibility (CSR) strategy. Leadership has already committed to the idea. What is the next step?

A. Reporting

B. Implementing

C. Assessment

D. Employee buy-in

What is...C! 

Assessment

Assessment allows the organization to determine where it currently is at with CSR and what is lacking.

300

Leadership has requested HR to design a program to allow employees to telecommute. How will this advance the organization’s sustainability? 

A. By reducing costs for the organization

B. By allowing the organization to apply for ISO 26000

C. By allowing the organization to apply for SA8000

D. By reducing organization’s carbon footprint

What is...D! 

By reducing organization’s carbon footprint

There are seven areas in which HR has a role when advancing sustainability. How people work is one of those areas; it can affect the organization’s carbon footprint.

300

Which is the most important reason for a global organization to have a values-based corporate social responsibility (CSR) strategy? 

A. To be in compliance for local legislation

B. To avoid business scandals

C. To create a foundation to make ethical decisions

D. To build a better corporate brand

What is...C! 

To create a foundation to make ethical decisions

The values established create the foundation for ethical decisions. Avoiding business scandal, being in compliance, and building a better brand can also be considered reasons, but the values-based CSR strategy is the key to all decisions.

300

An organization is looking to become an employer of choice and achieve increased success in its current markets. To accomplish this, there has been a greater desire to incorporate a CSR strategy. How best should HR support this change?

A. By redefining stakeholders

B. By achieving sustainability

C. By creating a code of conduct

D. By managing philanthropic initiatives

 

What is...A!

By redefining stakeholders

HRM must engage both internal and external stakeholders to identify ways in which the organization can contribute to the social and environmental vitality of those most affected by the company’s actions.

300

An organization gains many benefits from its employees volunteering in the community. How can volunteering help the employees?

A. By improving the company culture

B. By building skills

C. By increasing branding

D. By providing time off

What is...B! 

By building skills

Volunteering can allow employees to learn new skills while helping in the community.

400

An organization has redefined its brand to demonstrate a commitment to corporate social responsibility (CSR). Which phase of the CSR maturity curve is the organization in? 

A. Review

B. Transformation

C. Compliance

D. Integration

What is...B!

Transformation

Transformation is the phase in which organizations redefine themselves.

400

Which is the best first step a retailer should take to make sure that its products have been ethically produced?

A. Develop community-based programs to improve living conditions for all.

B. Publish a code of ethics that includes the behavior of suppliers.

C. Make sure that suppliers comply with local labor laws.

D. Know the provenance of every component of every product.

What is...D! 

Know the provenance of every component of every product.

The first step is to know exactly where every "ingredient" in the products it sells comes from, not just what happens at final assembly but in procurement and manufacture of raw ingredients or components. The firm can then assess whether conditions at every stage in the supply chain are truly ethical.


400

Which is the most significant impact of the triple bottom line?

A. It provides a universally accepted definition of corporate citizenship for all organizations.

B. It enables governments to quantify sustainability efforts through measurement of relevant data.

C. It enables organizations that are less effective financially to still claim success.

D. It serves as the foundation for measurement and reporting of sustainability performance.

 

What is...D!

It serves as the foundation for measurement and reporting of sustainability performance.

The triple bottom line has become the foundation for measurement and public reporting of CSR or sustainability performance by multinational corporations. That in turn is significant because it allows fair and consistent comparisons and evaluations of corporate sustainability performance.


400

At which point in the corporate social responsibility (CSR) strategic process should a global organization decide on using local leadership?

A. Infrastructure creation

B. Plan implementation

C. Assessment

D. Executive commitment

What is...A! 

Infrastructure Creation

The infrastructure creation step involves creating the infrastructure that will be responsible for guiding, overseeing, administering, reviewing, and championing the CSR strategy. For a global corporation, that includes determining whether local departments, divisions, or individuals will be responsible for local efforts and how these will coordinate with global goals and initiatives.


500

What is the relationship between corporate social responsibility (CSR) and sustainability? 

A. Sustainability has completely replaced CSR.

B. CSR focuses on social concerns; sustainability focuses on environmental concerns.

C. CSR encompasses sustainability.

D. Sustainability focuses externally while CSR focuses internally.

What is...C!

CSR encompasses sustainability.

The definition of CSR has broadened from the traditional areas of ethics, governance, corporate philanthropy, and volunteerism to include sustainability.

500

What is an organization's adherence to the laws, regulations, policies, and procedures that govern employment practices, the physical workplace, and the treatment of employees?

A. Ethics

B. Compliance

C. Standardization

D. Shared Value

What is...B! 

Compliance

Compliance is the state of being in accordance with all national, federal, regional, and/or local laws, regulations, and/or other government authority requirements applicable to the places in which an organization operates.

500

How are local cluster developments used in corporate social responsibility?

A. To create shared value

B. To move up the sustainability maturity curve

C. To create a sustainability sweet spot

D. To broaden the range of stakeholders

 

What is...A! 

To create shared value

Porter and Kramer argue that the success of most organizations is dependent on a cluster of other organizations (related businesses, suppliers, schools) and infrastructure (roads, communication networks, water and energy supply). Shared value results when organizations build and enhance the local cluster and improve the conditions of those operating in it, benefiting the organization and its community.


500

An organization is moving from employees working in silos to a team environment. Which corporate social responsibility activity best supports this initiative?

A. Outside training

B. Team building

C. Joining an internal committee

D. Employee volunteerism

What is...D! 

Employee Volunteerism

All activities listed will help with employees learning to work within a group, but employee volunteerism is the only one that can be part of a corporate social responsibility activity.