Business Problems: Corporate Fraud Free Writing Sample

Executive summary

Corporate fraud is a major challenge that has persisted in the business environment for the past decades. Despite the numerous efforts made to curb this problem, some of the approaches are reactive, while others have been counterproductive. This report identifies the trend of the occurrence of corporate fraud through a brief problem history. A brief discussion of the possible solutions that organizations should adopt is outlined. Some of the propositions made include the formation of effective organizational management teams and boards of directors coupled with the adoption of effective risk management practices and reward management. The advantages and drawbacks associated with each of the three solutions are evaluated. Finally, the report recommends the formation of an effective management team and a board of directors as the most feasible solution in dealing with corporate fraud.

Introduction

Corporate fraud is one of the major problems facing organizations. Fraud is the misrepresentation or deception committed by an entity or individual in pursuit for unauthorized gains by the entity, individual, or another party. This report entails an analysis of corporate fraud as one of the business problems that have persisted over the past decades. A brief history of the problem is provided in order to illustrate its impact on businesses’ long-term operations. Additionally, the report evaluates the significance of the problem, and hence the need to manage it.

This goal is achieved through the proposition of various solutions that organizational leaders should adopt in their strategic management practices. Some of the propositions evaluated include the formation of an effective management team and a board of directors, implementation of an effective reward management scheme, and risk management practices. Finally, a recommendation on the most feasible solution that organizational leaders should consider is illustrated.

Problem history

All organizations are subject to fraud irrespective of their type and size. In most cases, fraud employs unethical and illegal practices. Insiders such as employees are the main perpetrators of corporate fraud. Fraud has adverse effects on an organization’s corporate reputation and image. Moreover, fraud undermines an organization’s financial strength due to the losses incurred. Corporate fraud has increased remarkably over the past one year.

It is estimated that in 2012/2013, over 70% of companies in different sectors encountered different types of fraud, which is an increment from the 61% level (Maurer par. 1). The high rate of globalization is one of the factors that are exposing businesses to fraud. Most organizations pursuing growth objective through internationalization have not implemented effective strategies to prevent risk (Maurer par. 3).

Numerous attempts to eliminate fraud have been made, but some of the initiatives that organizations have adopted are reactive, hence tripling its adverse impact. For example, some organizations invest a substantial amount of money in investigating the cause of fraud. Alternatively, some firms adopt legal procedures through court cases, thus leading to reputational damage. Maurer (par. 3) identifies corporate policy and budget constraints as some of the major hindrances in fighting corporate fraud.

Discussion of solution

Despite the increased exposure of businesses to fraud due to the high rate of globalization, available literature shows that the practice is mainly an inside job. This assertion means that employees in different levels of management commit most incidences of fraud. Therefore, it is possible for organizations to deal with fraud internally through the implementation of effective corporate governance practices. Bhasin (26) asserts that corporate governance entails the internal mechanism adopted and controlled by an organization. The mechanisms aim at nurturing accountability, transparency, and promoting corporate fairness. Bhasin (26) further argues that corporate governance is paramount due to the agency relationship between organizational owners and managers.

Organizational leaders should consider a number of issues in order to fight corporate fraud through corporate governance. First, they should form a strong management team and a board of directors, which should focus on fostering a culture of corporate integrity. Secondly, firms should adopt effective risk management practices. Thirdly, firms should formulate an attractive reward scheme in order to minimize the likelihood of employees engaging in corporate fraud.

Developing an effective management team and board of directors

Firms should seek to strengthen their corporate governance structures by constituting a strong team. The team should be comprised of managers and board of directors. A number of issues should be considered during the formation of the management team and board of directors. First, the board of directors should be comprised of internal and external parties. Kovacich (76) asserts that a board of directors comprised of outsiders is more likely to be firm in entrenching corporate governance measures as compared to team comprised of insiders. This aspect means that integrating outsiders into the board of directors reduces complacency in implementing the formulated anti-fraud policies.

Complacency is one of the major hindrances in organizations’ quest to fight fraud (Maurer par. 5). Tunley (68) further corroborates that complacency amongst senior managers due to failure to understand the effect of fraud is one of the major hindrances in fighting corporate fraud. Furthermore, the team should be relatively small in order to eliminate the free-rider problem, which mainly occurs when the directors are dispersed, hence limiting decision making. A lean board of directors can make decisions. Additionally, the burden of responsibility is relatively high in a board of directors comprised of a few individuals.

In addition to the above elements, the board of directors and management team should develop an extensive understanding of the organization’s mission in order to enhance integrity. The process of selecting the board of directors and the management team should consider a number of elements such as the individuals’ personality, integrity, and performance. Furthermore, the shareholders should evaluate the management team and board of directors’ leadership skills. The significance of assessing the leadership skills arises from the need to nurture a positive organizational culture that transcends the industry expectations.

Risk management practices

The objective of corporate governance is to reduce or eliminate risk. Thus, corporate governance and risk management are correlated positively. In the quest to manage fraud risk, it is imperative for organizational leaders to formulate an effective risk management framework that enables the identification, analysis, evaluation, assessment, and management fraud risks. However, the framework should be designed in accordance with an organization’s exposure to fraud risk. Vallabhaneni proposes that using “structured and systematic risk management methodologies can assist an organization to assess the level and nature of its exposure to internal and external fraud threats” (60). Moreover, an organization can determine its fraud risk profile.

Considering the intricate nature of organizational risk due to the diverse types of risks such as audit, business, security, and enterprise risks, it is essential for organizational leaders to assess the risk based on the overall strategic planning process. For example, the control measures implemented to manage security risk may also serve as fraud control mechanisms.

The risk management process, viz. establishing the context of risk, identification, examination, evaluation, and assessment should guide organizational leaders in developing a fraud control program, which should be comprised of a number of issues. First, it should state clearly the organization’s attitude and approach to fraud. Secondly, the plan should integrate all the internal stakeholders such as employees to ensure that they are adequately informed of the existence of fraud.

Furthermore, involving employees would lead to the development of a strong organizational culture. The risk control actions and the timeline within which they should be implemented should be outlined clearly. However, a poorly developed fraud-risk control plan can increase the likelihood of fraud occurring due to ineffective risk identification. Thus, organizations’ board of directors and managers should ensure that the risk control plan is reviewed continuously to improve its effectiveness.

Reward management

The perpetrators of some of the most famous cases of fraud such as the Enron case are motivated by monetary gains. In order to minimize such risks of fraud, it is imperative for organizations to adopt effective strategic human resource management practices. One of the aspects that firms should focus on entails reward management. Firms should ensure that the benefits received by employees commensurate their efforts.

The reward system adopted should include intrinsic and extrinsic forms of rewards. With reference to extrinsic rewards, organizational leaders should ensure that employees are compensated fairly and equitably through salaries and wages. Other monetary benefits that firms should consider include offering employees rights options, health and insurance schemes, and bonuses.

Conversely, it is crucial for organizations to integrate diverse intrinsic rewards such as employee recognition, job promotion, and establishing a collaborative working environment. Alternatively, organizations should contribute towards their employees’ career progression through the provision of training and development programs. Integrating an effective reward management scheme plays a fundamental role in minimizing the likelihood of unethical practices amongst insiders such as employees. Furthermore, reward management is a fundamental element in nurturing a strong degree of organizational identification amongst its workforce, which leads to goal congruence between employees and the organization.

Despite the effectiveness of reward management, strong personal interests might motivate some employees. Thus, the implemented reward system might not be successful in establishing a culture of integrity and accountability.

Conclusion and recommendation

Corporate fraud is a major business problem that has persisted over the years. Despite this aspect, organizations have an obligation to eliminate this problem in order to attain business excellence and long-term survival. The different suggestions illustrated in this report are feasible in dealing with this problem. However, developing an effective management team and board of directors is the most effective solution in fighting corporate fraud.

The choice of this solution is informed by the view that an effective management team and board of directors will aid in establishing a strong organizational culture. For example, the management team will ensure that employees in different managerial levels understand the organization’s mission, vision, objectives, and goals. Consequently, this aspect will aid in minimizing the prevalence of personal interests over the overall organizational goal.

Additionally, an effective management team will foster the establishment of a good working environment, hence increasing job satisfaction. This goal will be achieved through balancing of various human resource management practices. On the other hand, integrating internal and external parties in the board of directors will play an essential role in entrenching corporate governance structures such as risk management practices. Implementing an effective management and board of directors will also influence the leadership style adopted by an organization. Therefore, the likelihood of succeeding in curbing corporate fraud is high.

Works Cited

Bhasin, Madan. “Corporate accounting fraud; a case study of Satyam computers Limited”. Open Journal of Accounting 2.1 (2013): 26-38. Print.

Kovacich, Gerald. Fighting fraud; how to establish and manage an anti-fraud Program, Amsterdam: Butterworth-Heinemann, 2008. Print.

Maurer, Roy. Corporate fraud on the rise worldwide 2013. Web.

Tunley, Martin. Mandating the measurement of fraud; legislating against loss, Basingstoke: Palgrave Macmillan, 2014. Print.

Vallabhaneni, Rao. Corporate management, governance and ethics best practices, Hoboken: Wiley, 2008. Print.

“Top Girls” A Play By Caryl Churchill

Women have already made a long way towards the establishment of equality. Caryl Churchill in her play Top Girls highlights the issue regarding the success of the women’s movement of the 1970s and 80s, making us doubt that the female accomplishments in the sphere of career are enough for the woman to be happy.

As a matter of fact, the question regarding the woman and her success at the workplace seem to be a central topic of the play. The first act is focused on the celebration of Marlene’s success as she won promotion in pace with a man, Howard Kidd (Churchill, 2013). In spite of the fact that Marlene reached her goal and is successful in career, she paid a big value for it; she gave up her personal life (Churchill, 2013).

Churchill aims to analyze and show the economic and social position of the female of 1970s and 1980s. Joyce is depicted as a symbol of old times, as an opposite to Marlene. Joyce did not reach success in the sphere of career; however, she became a mother and wife (Churchill, 2013). As the play reaches the culmination, it becomes evident that both women do not feel happy as the balance is not found. The primary reason for the disappointment of Joyce and Marlene with their life is that they failed to find a right balance between personal life, family, and work (Churchill, 2013).

The period of 1970-1980 is characterized by the women’s movement, feminism. The primary objective of the movement was to reach equality between male and female and to provide every woman with a possibility of getting the education, work, and socio-economic status on the same level that men have.

Marlene got a promotion; however does she have equal rights with men? Do women are treated equally in the society? Can a woman be happy and successful in work at the same time? All these questions find reflection the play. Joan, a woman that became Pop, states “I thought God would speak to me directly. But of course he knew I was a woman” (Churchill, 2013, p. 14). She says these words with irony. People used to believe that females cannot talk directly to God.

Top Girls addresses three major issues, namely isolation, success, and power. Isolation refers to the role of woman in the society. Churchill highlights that every woman plays a role provided by the community. Marlene, for example, is successful in the business environment; Lady Nijo represents the image of Japanese concubine that is forced to follow every word of her husband (Churchill, 2013). Griselda is also isolated from the society as she is a housewife and should obey her husband (Churchill, 2013).

In terms of success and power, the author of the play aims to highlight the dependence of the women on father and husband. Griselda was forced to marry a man that continued the work of her father, namely constant restrictions. Lady Nijo experienced the power of men as well. However, Churchill aims to stress that feminism movement contributed to the fact that women have a possibility to succeed, although the equality is questionable. The traditional view of the women (Lady Nijo and Griselda) is opposed to the modern type, Marlene and Pope Joan (Churchill, 2013).

In conclusion, it is worth pointing out that the author questions the success of the women’s movement by depicting the situation when the Marlene is successful in business, however, did not found happiness in personal life (Churchill, 2013). Giving up family, private life, child, and a partner, Marlene aims to compete with men and wins, however, there is no happiness in this choice. The balance was not found as it is not enough for the woman to be equal in order to be happy.

Reference

Churchill, C. (2013). Top girls. New York, NY: Bloomsbury.

Civil And Ethical Work Environments For Nurses

Introduction

Professionalism in the activities of nurses-leaders is the key to success not only in the work of nursing services but also in the entire health care system. The examples of successful practice in this area indicate a high ability of employees to take a leadership position both regarding everyday workflow and conflict situations. However, the duties of an experienced leader include not only the capacity to monitor the work of subordinates but also to control compliance with ethical standards. Some conflict situations that lead to the violation of microclimate in the team and negatively affect the work occur in the workplace quite often. Therefore, the central ethical principle of nursing is respect for life, dignity, and rights of patients.

Civility in Nursing Practice

The moral qualities of nurses have always been not less essential than the practical skills necessary for their professional activity. A disease, especially is a chronic malady, is a severe mental trauma for many people. It leads not only to deterioration of physical condition and well-being but also to serious changes in the emotional sphere. A patient who entrusts his or her health to a nurse wants to get efficient and qualified assistance, which includes decency, charity, and responsiveness, as soon as possible. Therefore, society has always made high demands on the moral qualities of the nursing staff.

A nurse assumes certain moral obligations towards patients, communities, and colleagues. According to Johnson (2017), civility in communication is an indispensable condition for the person of such a profession. Correct behavior that corresponds to all ethical norms can help to establish good professional relations and to gain recognition. If it is about leadership, ethics, perhaps, plays an even greater role. It is important not only to conform to the image of a competent nurse but also to be a personal example for colleagues, which requires quite a lot of responsibility.

Importance of Leadership and Accountability

Management in the working environment of nurses is of particular significance since the quality of a particular department depends on the proper organization of the entire process of the activity. Regardless of the specifics of a medical institution, it is important to create a favorable working environment and to achieve mutual understanding among colleagues. An effective leader is an employee who can rally the team and make sure that there are no conflict situations or misunderstandings during the work (Clark, 2017). A competent leadership position contributes to the maintenance of civil and ethnic work environments and improves the efficiency of the team.

Accountability is another important criterion for a successful job in nursing. It is known that the order can be achieved if all employees fulfill their duties and do not shy away from immediate tasks that managers entrust with them. As Clark (2017) notes, the scope of nurses’ responsibilities also includes working with documentation, which requires professional training and knowledge of such work. As a rule, if people have sufficient competence to perform their duties, the leaders of teams do not have to monitor their colleagues regularly. Well-coordinated work, however, is one of the proofs of the successful activity of a manager.

Relationship of Incivility and Ethics in the Workplace

The concepts of incivility and ethics in the workplace are incompatible, especially when it comes to nursing. The duty and tasks of a nurse are to help patients with a variety of ailments. A professional worker of this sphere uses those skills that are correct in the conditions of rendering assistance: politeness, correctness, care, etc. If nurses neglect the performance of their immediate duties and violate the norms of behavior and morals, it inevitably affects not only their reputation but also the reputation of the whole medical institution. An experienced leader should ensure that all employees conduct their activities concerning ethical standards imposed on them. Otherwise, the competence of a nurse is questioned.

Rather difficult working conditions and heavy stress affect the morale of nurses (Lim & Bernstein, 2014). Sometimes, it leads to nervous breakdowns and quarrels in a team. However, none of the reasons are objective when it comes to helping patients. The profession of nursing involves resistance to psychological pressure and altruism. Consequently, impolite employees can not be considered professionals, and non-observance of ethics is a rather good reason for management to consider the issue of dismissal of such nurses.

Leadership Methods to Prevent Unethical Behavior

The successful activity of leaders in nursing proves the high level of competence of the management apparatus. Sometimes, various cases of unethical or unprofessional behavior occur among employees. It is possible to use several techniques that can help to establish a workflow and avoid potential conflicts. There are quite a lot of methods, the fundamental basis of which is psychological training and an individual approach to each employee.

One of these methods is a diagnostic questionnaire that helps to make a general picture of the situation and analyze the data. As a rule, questions about employees’ satisfaction with the work process, as well as possible problems that they face is the basis of such research. As Johnson (2017) claims, professional leaders do not ignore the answers of their colleagues. In the case of unfavorable trends, they will do everything possible to prevent violations of the norms of behavior in the future.

Another technique is the participation of staff in specialized psychological training. According to Lim and Bernstein (2014), if employees with pronounced inclinations to nervous breakdowns or conflicts attend such activities regularly, their morale will stabilize, and it will become easier for them to adapt to the work environment. It is not enough just to allow a person to attend such courses; it is important to convey their importance and to make it clear that such help will have a positive impact on the whole team.

Professional Code of Ethics and Its Benefits

A professional code of ethics provides clear moral guidelines for the activities of nurses. This set of rules contains the most important aspects of health workers’ practice and identifies key spheres that need to be developed and adhered to (Clark, 2017). It has many points that determine the optimal behavior of nurses, their appearance, attitude towards patients, etc. If leaders of collectives urge their colleagues to follow the rules of this document, it means that they care about the prestige of their medical institution. There is almost everything in the code a junior medical professional should know for the professional performance of their duties. This document stimulates a civil and ethical working environment and helps improve the microclimate in a particular team.

Thus, it is evident that the primary moral principle of nursing is respect for life, dignity, and rights of patients, as well as following all the rules of professional behavior and ethics. The task of an experienced leader is to monitor the work of his or her colleagues and provide a friendly atmosphere in the team. The violation of the norms of behavior with patients and other medical staff is rather a serious reason to doubt the professionalism of a nurse.

References

Clark, C. (2017). Creating & sustaining civility in nursing education (2nd ed.). Indianapolis, IN: Sigma Theta Tau International.

Johnson, C. E. (2017). Meeting the ethical challenges of leadership: Casting light or shadow (6th ed.). Thousand Oaks, CA: Sage Publications.

Lim, F. A., & Bernstein, I. (2014). Civility and workplace bullying: Resonance of nightingale’s persona and current best practices. Nursing Forum, 49(2), 124-129.

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