Word Count 942
Introduction
The purpose of this paper is to do a case analysis of Satyam computer Services present the key facts of the paper, identify the main issue that management had and theorize a solution to the main issue.

Key Facts
Satyam Computer Services Limited was an indispensable part of Indian IT Industry. The company was the fourth biggest software company in India, which was founded by Mr. B. Ramalinga Raju. Raju started his career as an entrepreneur after obtain degrees in commerce and a Master of Business Administration in Ohio University America and he later became the Founder-Chairman of Satyam Computer Services. Listed on both the Indian stock exchange and the New York Stock Exchange. The company had major global US and Australia companies as clients. Over 20 years, Satyam was stating employing 53,000 people with operations in 66 locations world wide. Satyam Computers lost its brand image on January 8, 2009 when Mr Raju who had resigned earlier as CEO announced to the Indian stock exchange that financial fraud had been committed to the tune of over US$1 billion dollars over a number of years. He said that he was trying to cover up losses that the company had. In latter court proceedings prosecutors alleged that Satyam had 13,000 fictionist employees and these salaries were being siphoned off to front companies and two family owned companies to fund land purchases. Mr Raju brother was a managing director.
Management Problem.
Corporate geed was at the heart of Satyams’ problem led by Mr Raju whose unethical behaviour led the board of directors on a slippery slope to demise. Satyams’ global presences provided an enabling environment for abuse and delusion.
“First, it is a public-owned company that can raise capital inexpensively if its existing shareholders assigned it a high value. Second, it is a publicly owned company in which Mr. Raju could own a very small fraction of ownership stock. He could overstate profits with the objective of influencing other shareholders. The overstatement never hurt him because his own share in the real profits had remained very small.
Third, Satyam could preserve its fictitious profits without having to pay big taxes because its profits were protected significantly from the normal tax laws”. (Economic Challenger, 2009)

Theory for their Demise
Ethics: “defines the set of standards of what is good or bad or right or wrong in a person’s conduct and ethical behaviour is accepted as right, good or proper in the context of a governing moral code”.( Schermerhorn, J.R. 2011,pg 140). Mr Raju and the company ethics unfortunately at sum point turn to be bad and wrong when they began fudging the books and was caught up in lies and debt to cover company losses and the siphoning of US$4 Million per month to fund land purchases which the company was not involved in.
Individualism View: The decisions and behaviour were to promote his (Mr Raju) long term self interest (Schermerhorn, 2011) with his brother MD and CFO fully involved. When people pursue self interest they become self regulating. Raju books manipulation. Raju's brother falsifying records attests to this.
Cultural Relativism: It is suggested that there is no one right way to behave and their behaviour was the normal way of doing things. The value and practices were in the setting of India. When in Rome do as the Romans do attitude. (Thompson, D. 1996,pp 48-62). The auditors failed to discloses the abnormalities in the balance sheet and received twice the normal audit fee for their services. A westerner would suspect bribery however this in India is normal practice. To get things done, money and influence within high levels of management play a pivotal role. Enforcement is also very lax (Sheth,2008)

Corporate Social Responsibility: The classical View: Managements only responsibly in running a business is to maximize profits (Schermerhorn, 2011). Mr Raju along with his team were too focus on Satyam's own fraud, they ignored responsibility towards stakeholders such as shareholders, customers, society.
Rationalisations: People rationalize to justify or convince themselves basically four different ways
That their behaviour is not really illegal.
That their behaviour is in the best interest of everyone.
That their behaviour will not be found out.
The organisation will protect them.
All four ideas are plausible in Mr Raju and directors thinking. (Gellerman,1986)
Theory X : “Assumes people dislike work ,lack ambition, are responsible and prefer to be led” (Schermerhorn, J.R. 2011, p 95). India ‘s complex caste /religion, values play a factor with Mr Raju being a lower caste as he was a son of a farmer but was torn with the western ideals that were taught at Ohio University.

Recommendation/Solution
“Corporate Governance is beyond the realm of law; it stems from the culture and mindset and cannot be regulated by legislation alone” (Murthy Report, 2003).
Satyam corporate governance needs to be a independent which is currently not, a Governance is aimed at making activities of corporations visible and honest, (Martin, 2009) and the practices around corporate governance are designed such that they facilitate consistent monitoring of “top manager’s strategic decisions” (Hitt et al, 2001). This helps an organization in achieving the dual purpose of setting ethical goals and monitoring their implementation, on a regular basis (Smith, 2009).
Adopting a middle ground between cultural relativism and ethnical imperialism would have allowed Satyam to develop a global strategy for its 66 locations.
Conclusion
I have stated the key facts surrounding Satyam Computer Services fall from being one of India’s success stories, with a view to outline the key management problem and suggest how a company that trades globally needs to operate to be successful in an ever changing world. .

References
Donaldson, T. 1996, "Values in tension: Ethics away from home" "Satyam's Scandal: An Eagle Eye", 2009, Economic Challenger,
Gellerman, S.W. 1986, "Why 'good' managers make bad ethical choices", Harvard Business Review, vol. 64, no. 4, pp. 85.
Hitt, M.; Ireland, Daune R. and Hoskisonn, Robert E., 2001, ‘Strategic Management:Competitiveness and Globalisation’
Martin, D. 2009, Corporate Governance: Practical Guidance on Accountability Requirements’
McGregor, D. 1960, The Human Side of Enterprise
Schermerhorn, J.R. 2011, Management: foundations and applications, John Wiley, Milton, Qld.
Smith, P. A. 2009, ‘Gulf aims to take lead in corporate governance’
Subhash Jha 2008, Chindia Rising: How China and India Will Benefit Your Business, AMDISA Secretariat, New Delhi.