d. The sale of the consulting practice by Arthur Anderson did not allow the company to avoid conflicts of interest because they still were working both internal and external audits, so the external audits were checking the work of the internal audits. e. As a shareholder of a company, you would not be happy with a “nice guy” auditor. Instead, you’d want someone who would tell it like it is and not be afraid to shake things up and let his views be known. The “interested party” who would be happy with the description of David Duncan would be Enron, which was looking for a pushover. f. While most auditing firms are LLC or LLP, Arthur Anderson and David Duncan can be held liable to some degree for the obstruction of justice they
Without transparency Zwahlen cannot confirm the working conditions of the employees of his dealers and manufactures. And the lack of cooperation from the suppliers eliminates the ability for transparency. If Zwahlen waited to terminate relations with the existing suppliers the outcome could be detrimental to the company. Veillon would be viewed negatively by the public, nongovernmental organizations and his employees. Customers may decide to boycott Veillon for their involvement with forced child labor, which can bring more harm to the company.
The stress of the audit partner is tremendous and choosing that profession is one that I would prefer not to undertake. The anxiety and pressure to certify that a company’s financial records are in good standing can be daunting. 3.) Independent auditors are sometimes perceived as the “necessary evil” by corporate executives because of the possibility of exposing corruption. To change this point of view an auditor can try to explain their intent to educate and improve the company’s policies, which can in turn lower costs.
With Mr. Parker being clearly motivated to merge, I would like to consider motivations for Mr. Baily to oppose the merger. When Mr. Bailey was initially approached regarding a merger with USO he expressed concern regarding the financial stability of the UOC versus the financial stability of the USO. The UOC is financially stable due to a reserve fund that is in place due to their current business model. These funds allow the UOC to be flexible and maintain stability if they only cut projects that do not meet their fund-raising goals. The USO does not have this flexibility and could not operate within their current successful business model.
These points are just a guideline to obtain quality from a business; however, many of these points contradict the practice of “Salesmen of the Month” awards shown in the article. Firstly, one reason Deming would not approve of “salesmen of the month” tactics would be that this idea disagrees with his point stating that businesses should “end the practice of awarding business”. This tactic awards those who obtain business, which could lead the other employees to feel as if they are inadequate to the top “salesmen of the month”. This also ties in with Deming’s other point stating that businesses should “remove barriers that rob people of pride”. In the article the top 3 salesmen of the month each are shown their own individual profiles, while the other employees are simply grouped together into one generic heading titled “The rest of sales staff”.
It puts people of the country at risk when the government is so open and willing to go to war. One thing that is good with Machiavelli’s government is the idea that, “it is better to be feared than loved”. If a leader is just loved that is good but the people will not follow him, which means there is no government at all. A leader who is feared may not be the people’s favorite but at least he will have his orders followed. Lao-Tzu and Machiavelli have two very different views on government, but Lao-Tzu’s method is the superior
In practice, Goldman was providing false information to its clients because the company it created was not truly as profitable as the inflated share price would indicate. The executives at Goldman were fully aware of this but yet they continued to layer additional companies into the strategy because it would only appear successful as long as the market continued to grow. In the use and application of this practice, Goldman was lying through both commission and omission; and its lies not only affected its clients, but the market as a whole. By taking advantage of this particular strategy, Goldman Sachs was contributing to a factor that led to the stock market crash in 1929 (Jennings, 2012) During the 1990s, within the financial investing market, there had been a standard underwriting practice that required a private company to demonstrate a
In this case, it appears that you are supportive of the takeover bid despite the potential of losing your board seat within the newly merged company. Hence, I take it that you are clearly looking out for Cyanamid’s best interests for the long term. Avoid the media Expressing your frustration to the media about the boardroom processes may help vent your feelings in the short term but it could have negative consequences. It will not only jeopardize Cyanamid’s reputation during the current negotiations with AHP, but a board member speaking to the media will typically be seen as a display of betrayal of the company and the board. In my experience, corporate boards of directors typically believe that someone who has gone to the media has no place on the board.
Perhaps they believe that the employees are contributing to the revenue losses and are stealing merchandise. These are all self destructive in nature and could impact their ability to remain in business and keep good employees. Making the decision to close two stores without adequate justification drastically reduces it footprint in the market place. It appears that either the store supervisor or manager is not engaged with the employees and consumers; do not have sufficient training on company ethics policies to enforce them; or they do not have a fully robust ethics program in place to address to ongoing issues. PART B Company Q can take some immediate steps which I believe would turn a downward trend in to positive results.
This alerted Mao as he thought if Lin achieved this power within the hierarchy of the CPC, it would leave him on the sidelines and would hinder Mao’s image of a powerful leader of China. This contributed to his fall as Mao was worried that Biao may gain more power than him, that would make Mao look weak which could’ve hindered his image of a strong, admired and respected power. Additionally, Mao was worried that without