Certified Internal Auditor (CIA) Part 1: Business Acumen — Question 133

Which of the following organizations has reached the most mature level of corporate social responsibility?

Answer options

• A. An organization that is able to provide goods and services society needs and thus maximizes profit to its owners.
• B. An organization that ensures compliance to legal frameworks of the countries in which it operates and sells its products.
• C. An organization that is willing to make contributions not mandated by law or economics and expects no payback.
• D. An organization that requires its decision makers to act with equity, fairness, and respect for the rights of individuals.

Correct answer: D

Explanation

The correct answer, D, signifies an organization that prioritizes ethical considerations in its decision-making processes, reflecting a high maturity level in corporate social responsibility. Option A focuses merely on profit maximization, while B emphasizes legal compliance without ethical considerations. Option C, although generous, lacks the foundational principles of equity and respect for individual rights necessary for true corporate social responsibility.