Mildred Pirelli supervises salespeople in a department store. One day she walked around her department to observe the salespeople in action. She saw a salesperson approve a charge card purchase without following the company’s policy of verifying the signature on the charge card.

a. How should Pirelli respond to this variance from company policy?

b. Should the way Pirelli obtained the information (personal observation) influence her choice of how to act? Explain.