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SBL Leadership, culture and ethics

8 ACCA Strategic Professional questions with answers and explanations.

Printable worksheet with answer key

All questions with answers
  1. A leader who sets a compelling vision and inspires followers to look beyond their own interests is best described as:

    • 1 Laissez-faire
    • 2 Transactional
    • 3 Custodial
    • 4 Transformational
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    Correct answer: Transformational

    Transformational leaders inspire and motivate with a vision, while transactional leaders rely on rewards and penalties for performance.

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  2. A manager agrees clear targets with staff, pays a bonus when they are met and takes corrective action when they are not. This is mainly which style?

    • 1 Charismatic
    • 2 Servant
    • 3 Transactional
    • 4 Transformational
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    Correct answer: Transactional

    The exchange of reward for performance, with correction of deviations, is the core of transactional leadership.

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  3. In Handy's four cultures, which is based on rules, procedures and clear job descriptions, and is typical of a large bureaucracy?

    • 1 Person culture
    • 2 Role culture
    • 3 Task culture
    • 4 Power culture
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    Correct answer: Role culture

    Role culture (Apollo) relies on formal structure and procedures. Power culture centres on one dominant figure.

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  4. In Schein's model of culture, which level is the deepest and the hardest to see or change?

    • 1 Dress code and office layout
    • 2 Artefacts
    • 3 Espoused values
    • 4 Basic underlying assumptions
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    Correct answer: Basic underlying assumptions

    Basic assumptions are taken for granted beliefs. Artefacts are visible but are the surface level.

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  5. Which of these is the best example of 'tone at the top' in ethical culture?

    • 1 Staff attend annual ethics training
    • 2 Directors follow the code of conduct themselves and act on breaches
    • 3 A whistleblowing line is available
    • 4 The code of conduct is printed in the annual report
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    Correct answer: Directors follow the code of conduct themselves and act on breaches

    Ethical culture is shaped mainly by what the board and senior management do, not only by what documents say.

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  6. An approach that judges an action by whether it produces the greatest good for the greatest number is called:

    • 1 Virtue ethics
    • 2 Deontology
    • 3 Utilitarianism
    • 4 Relativism
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    Correct answer: Utilitarianism

    Utilitarianism is a consequentialist approach that looks at outcomes. Deontology looks at duties and rules.

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  7. At which level of Kohlberg's moral development does a person follow rules and laws mainly to maintain social order?

    • 1 Instrumental
    • 2 Pre-conventional
    • 3 Post-conventional
    • 4 Conventional
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    Correct answer: Conventional

    The conventional level is based on meeting expectations of others and respecting law and order.

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  8. A company has a written code of ethics but promotes only those who hit sales targets, even if they break the code. Which culture issue does this show?

    • 1 Stakeholders have too much power
    • 2 The code of conduct is too long
    • 3 Reward systems send a message that conflicts with the stated values
    • 4 The board is too independent
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    Correct answer: Reward systems send a message that conflicts with the stated values

    People act on what is rewarded. A gap between stated and practised values weakens the ethical culture.

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