A Project Manager has been working on quality process of a project at a major defense contractor. The Project Manager discovers that an employee has been reselling some repair material that he has dec

The correct answer is A. Report this to the company. When a Project Manager discovers unethical or fraudulent behavior, the first and most appropriate step is to report it internally to the company (A). Organizations have internal policies, compliance departments, and legal teams equipped to investigate and handle misconduct. Escal

Governance

Question

A Project Manager has been working on quality process of a project at a major defense contractor. The Project Manager discovers that an employee has been reselling some repair material that he has declared as scrap material at a small profit. The item is very costly. What should the Project Manager do?

Options

AReport this to the company
BReport this to Homeland Security
CReport this to General Accounting Office (GAO.
DReport the employee to the local authority

How the community answered

(34 responses)

A
82% (28)
B
6% (2)
C
3% (1)
D
9% (3)

Explanation

When a Project Manager discovers unethical or fraudulent behavior, the first and most appropriate step is to report it internally to the company (A). Organizations have internal policies, compliance departments, and legal teams equipped to investigate and handle misconduct. Escalating directly to Homeland Security (B), the GAO (C), or local authorities (D) bypasses the company's internal process and is premature without first giving the organization the opportunity to respond. External reporting to government agencies may be warranted later if the company fails to act, but the correct first step is always to report through proper internal channels.

Topics

#Ethics#Professional Conduct#Organizational Integrity#Compliance

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