1. Introduction 1. 1 Background Over the past 13 years I’ve been employed as an external auditor at various levels, starting my career as Audit Clerk moving up over the years to my present post as a Lead Auditor, while this is a very rewarding career I’m ready for new challenges, experiences and rewards. In the near future I see myself as the Chief Executive Officer (CEO) in my own company and in order to begin this career path I decided to embark on the journey of pursing a Master’s in Business Administration. Originally my topic was going to be focused around transparency and accountability as it is more related on my current career, however I realised that this topic would not greatly aid in my future development as a CEO, it was at this time that I thought it best to choose a …show more content…
I’ve been pondering for two weeks on areas that I wanted to research, until three of my work colleagues had a conversation with about companies in Guyana that were not being socially responsible, they went on to state that they would not continue to purchase from companies that continue to act
Throughout the years, the news covered stories of corporate scandals involving accounting unethical practices. These unethical corporate acts had a tremendous negative impact on these company’s stockholders, investors, employees and the whole U.S. economy. Most of these scandals would have been prevented, if the independent audits of these companies were conducted in an ethical manner. With this in mind, two corporate scandals will be the subjects of further review to understand that an auditor might encounter ethical dilemmas, if independence and objectivity are not part of the audit process.
Maignan, I. (2001). "Consumers' perceptions of corporate social responsibilities: a cross-cultural comparison." Journal of Business Ethics 30(1): 57-72.
must understand the social issues that may have a negative impact on their company. They have a social responsibility regardless of the country that they are in. According to our textbook, Executive Concepts in Business Strategy (2011), “Social responsibility is the obligation an organization (profit-seeking or nonprofit) has to be ethical, responsible, and responsive to the needs of the members in the organization as well as the larger society.” (p. 545) Remember that your period goes after the in-text citation. To support this, Friedman’s doctrine (1970) bout “social responsibilities of business” is that “A corporation is an artificial person and in this sense may have artificial responsibilities, but “business” as a whole cannot be said to have responsibilities, even in this vague sense….the social responsibility of business is to ask precisely what it implies for whom.” (p. 2). All direct quotes >40 words need to be placed in a block quotation. XYZ should have a positive impact on the country by using environmentally safe materials along with not violating any laws by applying for permits and licenses in a timely
Social responsibility in business is very important because it goes hand in hand with creating shareholder wealth. A business should strive to increase their positive effects on society and decrease their negative. In the case study we were given we were asked to examine Company Q’s relationship with social responsibility. Company Q is a small local grocery store located in a metropolitan area. After careful review of Company Q it is very evident that their social responsibility is poor and needs improvement. Recently they closed a few stores in higher crime areas blaming the closures on the stores consistently losing money. Company Q has finally begun to offer
In recent years, general public start to raise questions about the level of audit independence and the quality of audit information, especially after corporate collapses such as HIH, Enron and One.Tel where independent audit reports showed that the companies were making a profit, when in fact they were heavily in debt. This essay is to provide a brief overview of the current regulation of corporate governance in Australia in the role of auditors, and illustrate some gaps in the regulation with examples. In addition, a few recommendations are given accordingly for changes.
An increasing large number of firms are developing mission statements that also attempt to define the social and ethical boundaries of their strategic domain. Some firms are actively pursuing social programs they believe to be intertwined with their economic objectives, while others simply seek to manage their businesses according to the principles of sustainability – meeting humanity’s needs without harming future generations. For example, Unilever has launched a variety of programs to help developing nations wrestle with poverty, water scarcity, and the effects of climate change. The firm’s motives are at least as much economic as moral. As environmental regulations grow stricter around the world, the firm must invest in green technologies or its leadership
The term Corporate Social Responsibility refers to a company’s responsibility to provide a benefit to the society the company affects. Corporate social responsibility incorporates dimensions of corporate responsibility, and corporate policy which include a company’s policy to hire minority or disabled workers, or taking a stance on social and political issues that benefit the community. The social portion of corporate social responsibility includes corporate charitable business contributions and expands on this common social business practice by invoking corporate social initiatives. For example, as a policy, Wal-Mart grocery store managers purchase as much produce and goods from local farmers and distributors they can as opposed to relying on national food distributors. This example of a corporate social initiative provides a greater benefit to the economy of the society surrounding Wal-Mart stores than if Wal-Mart made only charitable contributions to a food bank within the local area. Environmental responsibility is a business’s responsibility to decrease its carbon footprint and produce green products. The trend to produce green products has come into effect since global warming has become a greater concern in the world over the past decade. Reducing the carbon footprint and making green products may increase a company’s cost, but the company can charge more for its products and services to offset the increased cost. Nickels, J. McHugh, and S. McHugh give an example of the Ciba Specialty Chemicals Company, a Swiss textile dye manufacturer who charges more for its dyes than other dye companies because Ciba’s dyes “require less salt than traditional dyes”, and are therefore more expensive to produce (Nickels, J McHugh, S...
Globalization Phase, companies were known locally, regionally and internationally, their products were already improved offering innovative services. However, as The Economist (2007) has highlighted, while more global the companies are more aware of corporate social responsibility they need to be, namely, foreign stakeholders will expect, not only innovative and effective products, but also they will open their doors and invest their money to companies that are social responsible.
In respect of the depreciation charge, the auditor should be concerned with the reasonableness, consistency and accuracy of the depreciation methods used and the related balance of accumulated depreciation. Reasonableness can be tested by considering factors such as the past history of the entity in estimating useful lives of assets and the efforts of management to maintain ongoing review of rates used. Consistency can be checked by reviewing depreciation schedules. Accuracy is verified through recalculation, and this can be done on a selective basis
... shows that customers are more willing to demonstrate loyalty to firms that also show social and environmental responsibility. Firms that fail to provide ethical responsibilities will lose their customer base and face rising market costs. Of late boards have even been set up to ensure that those acting against set standards shall be charged accordingly The policy of putting people before profits must be enforced to face a healthy business environment in the long run.
Vachani, Sushil, and James E. Post. "Creating Socially Responsible Value Chains: Role of Companies, Governments and NGOs." International Business and Management 28 (2012): 17-44.
8. What is the difference between a.. Professional certification and licensure required. Certified Internal Auditor -. A. The certified internal auditor is a certificate.
The arguments for and against corporate social responsibility have captured two points of view. Those who believe that organizations should not be concerned about social responsibility base many of their arguments on the costs involved and whether organizations should shoulder those costs on behalf of society. And those who are in favor feel that organizations benefit from society and, therefore, have an obligation to improve it. Although there is no universal agreement, surveys and other reports express that many organizations are, becoming increasingly active in addressing social
Reed, B. (2011). The Business of Social Responsibility. Retrieved from Dollars and Sense Real World Economics: http://www.dollarsandsense.org/archives/1998/0598reed.html
Corporations that place an importance on corporate social responsibility usually have an easier experience when dealing with politicians and government regulators. In compare, businesses that present an irresponsible disregard for social responsibility tend to find themselves fending off various reviews and probes, often brought on at the assertion of public service organizations. The more positive the public insight is that a corporation takes social responsibility seriously; the less likely it is that innovative groups will launch public campaigns and claim government inquiries against it.