BMO Leadership & Ethics 2

Question 1

A manager discovers that a high-performing employee has been falsifying expense reports. What is the most ethically appropriate first action?

Accepted Answer

Confront the employee privately and report to HR per policy

Answer

Ethical leadership requires addressing misconduct through proper channels—private confrontation and HR reporting upholds integrity while following due process.

Question 2

Which leadership theory suggests that effective leadership depends on matching style to the maturity level of followers?

Accepted Answer

Situational leadership

Answer

Situational leadership (Hersey & Blanchard) prescribes adapting directive versus supportive behaviors based on follower competence and commitment.

Question 3

An organization's code of ethics is MOST effective when it:

Accepted Answer

Is integrated into daily operations, training, and performance reviews

Answer

A code of ethics becomes a living document only when embedded in culture through ongoing training, role modeling, and accountability mechanisms.

Question 4

Which of the following best describes 'ethical relativism' in a business context?

Accepted Answer

Moral standards are culturally determined and vary by context

Answer

Ethical relativism holds that right and wrong are defined by cultural norms, meaning practices acceptable in one culture may be unethical in another.

Question 5

A leader who focuses on inspiring a shared vision and fostering innovation is demonstrating which leadership style?

Accepted Answer

Transformational

Answer

Transformational leaders motivate through vision, intellectual stimulation, and individualized consideration rather than rule-following or authority alone.

(BMO) Business Management Officer Certification Practice Test

(BMO) Business Management Officer Certification Practice Test

BMO Leadership & Ethics 2