ICAEW SE · Chapter 7 · Question 12 of 18
A board consistently reaches quick unanimous decisions and members are reluctant to challenge the chief executive. Which of the following would be most effective in reducing the risk of groupthink?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) Inviting independent members to challenge proposals and asking for alternative options to be considered before decisions are made
Explanation
Groupthink occurs when the desire for harmony leads a group to reach decisions without critically evaluating alternatives. It can be reduced by encouraging diverse views, independent challenge, considering alternatives and ensuring all members have full information. The other options would make groupthink worse.
More Ethics and public trust MCQs
- Q14Which of the following is part of ICAEW's regulatory role in maintaining public trust?
- Q15A student member of ICAEW is unsure how to respond to an ethical dilemma at work and wants confidential advice. Which ICAEW resource would…
- Q16What is a key advantage of a principles-based code of ethics, such as the ICAEW Code, compared with a rules-based code?
- Q17Which statement best describes the relationship between the IESBA Code of Ethics, the ICAEW Code of Ethics and the FRC Ethical Standard?
- Q18An accountant faces a situation that is not specifically addressed anywhere in the ICAEW Code of Ethics. What should the accountant do?
