Dead Organizations The Value Of Essay

PAGES
2
WORDS
622
Cite

After the passage of the Sarbanes-Oxley (SOX) Act and full auditing of the Enron finances it became clear that there were multiple sets of financial records, each designed for a specific audience (Petrick, Scherer, 2003). What had happened is that the undefined, ambiguous and difficult-to-audit areas of the value chain, left unchecked, began to gravitate into unethical practices and reporting to further support the unrealistic projections of profit (Petrick, Scherer, 2003). The same dynamic occurred at Tyco, MCI and others. Arthur Anderson was responsible for the auditing of the Enron financials and was guilty by association, perpetuating the fraud involved in the massive operations underway (Petrick, Scherer, 2003). Conclusion

In analyzing these companies who rise and fall so quickly, key lessons can be learned. First, the entire value chain of any complex business must be completely transparent. So transparent it can survive a SOX Audit (Petrick,...

...

Second, firms must disclose the transaction workflows and audited results of transactions themselves over time. The lack of traceability for transactions in Enron, Tyco and others led to double-counting and inflating overall financial results. Third, the foundational assumptions of business models must be tested to ensure a very high level of autonomy delivered value to customers, not just claims of greater returns on investment or cost savings over time. All of these factors will serve to clarify the true operations and value of a given enterprise.

Sources Used in Documents:

References

Petrick, J.A., & Scherer, R.F. (2003). The Enron scandal and the neglect of management integrity capacity. American Journal of Business, 18(1), 37-49.

Sherman, W.S., & Chambers, V. (2009). SOX as safeguard and signal: The impact of the Sarbanes-Oxley act of 2002 on U.S. corporations choice to list abroad. Multinational Business Review, 17(3), 163-179.


Cite this Document:

"Dead Organizations The Value Of" (2012, June 12) Retrieved April 25, 2024, from
https://www.paperdue.com/essay/dead-organizations-the-value-of-59221

"Dead Organizations The Value Of" 12 June 2012. Web.25 April. 2024. <
https://www.paperdue.com/essay/dead-organizations-the-value-of-59221>

"Dead Organizations The Value Of", 12 June 2012, Accessed.25 April. 2024,
https://www.paperdue.com/essay/dead-organizations-the-value-of-59221

Related Documents

Organizational Structure There is one structural issue that will be examined. The hierarchical structure of CI is causing problems that affect the contingency factors most important to the CI organization including, Strategy, Sales cycle, and culture (Cengage, 2010). In the case study, Daly has assessed internal and external weaknesses and threats due to strategic direction. The analysis reveals two internal threats to the organization that stem from the hierarchical organizational structure and

Organizational Accountability Review of Taiwan's Disaster Management Activities In Response To Typhoon Morakot Taiwanese System of Government 174 Responsibility of Emergency Management in Taiwan 175 Disasters in Taiwan 175 Citizen Participation 189 Shafritz defines citizen participation as follows: 192 Public Managers, Citizen Participation, and Decision Making 192 The Importance of Citizen Participation 197 Models of Citizen Participation 199 Citizen Participation Dilemmas 205 Accountability 207 Definitions of Accountability 207 The Meaning of Accountability 208 The Functions of Accountability 213 Citizen Participation and Accountability 216 Accountability Overloads

Function #1: Mitigation At this stage, gradual and long-term steps are taken to ensure that disasters do not occur, or that, when they do, they cause minimal damage. Actions at this stage include the identification of hazards, the research of the causes which generate the disaster, the creation of means in which to modify the causes of the disasters, the development of means which reduce the community's vulnerability to the disaster,

.....multinational organization determines to integrate its leaders. Which of the leaders will experience the greatest challenges to their power, influence, and authority: the Eastern leaders coming into Western offices or the Western leaders coming into Eastern offices? Why? This question is problematic because it has several underlying assumptions that need to be addressed. First, there is no indication of where the multinational organization is based, which would impact its core organizational

And the loss of the employees subsequently translates in the loss of intellectual capital, the decreasing of the ability to serve customers' needs, as well as the generation of additional costs with staff replacement. But aside from this, the absence of a mission statement also generates lack of vision and credibility among the public, the business partners and other categories of stakeholders, who are unable to envision the company's future. Still,

Values of Rock N Roll Music
PAGES 14 WORDS 3491

Rock 'N Roll Music - the Diary of Youth Rock n' roll is best described as a "hybrid of many musical styles: white country and western, black guitar blues and rhythm and blues, and both black and white gospel music." (De Curtis) Rock ' roll began in the early 1950's as a dancing music strictly for teenagers and became known in the 1960's as simply rock music. This was because rock no