- What is the primary ethical concern related to labor practices in supply chain management?A) Ensuring high product qualityB) Minimizing transportation costs
C) Preventing exploitation and ensuring fair wages and safe working conditions for workers
D) Maximizing inventory turnover
Answer: C) Preventing exploitation and ensuring fair wages and safe working conditions for workers
- Which of the following practices is considered unethical in supply chain management?A) Transparency in supplier selectionB) Providing clear and honest product information to customers
C) Engaging in bribery or corruption to secure contracts
D) Implementing environmentally sustainable practices
Answer: C) Engaging in bribery or corruption to secure contracts
- What is ‘Greenwashing’ in the context of supply chain ethics?A) Implementing genuine sustainable practices in supply chain operationsB) Misleadingly promoting products as environmentally friendly when they are not
C) Adopting green technologies in supply chain processes
D) Reporting accurate environmental impact data
Answer: B) Misleadingly promoting products as environmentally friendly when they are not
- How can companies ensure ethical sourcing in their supply chains?A) By only focusing on cost reductionB) By implementing strict supplier codes of conduct and regularly auditing suppliers for compliance
C) By minimizing communication with suppliers
D) By concentrating solely on increasing production efficiency
Answer: B) By implementing strict supplier codes of conduct and regularly auditing suppliers for compliance
- What is a key component of maintaining ethical transparency in supply chain operations?A) Hiding supplier information to protect business secretsB) Disclosing information about supplier practices, labor conditions, and environmental impact
C) Only reporting positive supply chain metrics
D) Limiting stakeholder access to supply chain data
Answer: B) Disclosing information about supplier practices, labor conditions, and environmental impact
- What ethical issue arises from outsourcing production to countries with lower labor standards?A) Enhanced product innovationB) Potential exploitation of workers and avoidance of stricter labor laws
C) Reduced production costs
D) Improved supply chain efficiency
Answer: B) Potential exploitation of workers and avoidance of stricter labor laws
- How can companies address ethical issues related to child labor in their supply chains?A) Ignoring the problem if it reduces costsB) Ensuring that all suppliers adhere to strict child labor regulations and conducting regular audits
C) Offering lower wages to reduce production costs
D) Avoiding audits to maintain supplier relationships
Answer: B) Ensuring that all suppliers adhere to strict child labor regulations and conducting regular audits
- What is ‘Conflict Minerals’ and why is it an ethical concern in supply chains?A) Minerals used in conflict resolution; not an ethical concernB) Minerals extracted in conflict zones that fund violence and human rights abuses
C) Rare minerals used in high-tech products
D) Minerals that are conflict-free and ethically sourced
Answer: B) Minerals extracted in conflict zones that fund violence and human rights abuses
- What role does ‘Corporate Social Responsibility’ (CSR) play in ethical supply chain management?A) It focuses solely on maximizing profitsB) It involves integrating ethical practices, such as fair labor practices and environmental stewardship, into business operations
C) It minimizes transparency to avoid negative publicity
D) It primarily addresses marketing and public relations
Answer: B) It involves integrating ethical practices, such as fair labor practices and environmental stewardship, into business operations
- What is an example of an unethical practice related to environmental sustainability in supply chain management?A) Reducing waste through recycling programsB) Implementing energy-efficient technologies
C) Disregarding environmental regulations to cut costs and increase profits
D) Investing in renewable energy sources
Answer: C) Disregarding environmental regulations to cut costs and increase profits