...Ethics and Compliance David Livingston, Raul Lopez, Robert Morrison, Tyler Norwood FIN/370 Finance for Business University of Phoenix May 7, 2011 Joe Brennan Ethics and Compliance Even though there are federal rules and regulations governing work place behavior, what if there were no boundaries for ethics and compliance, would Amazon continue to follow the same procedures set by the federal laws to ensure ethical behavior within the work place. How does Amazon differ from other organizations when it comes to ethical behavior? One way is because Amazon adheres to a strict conflict of interest policy regarding customers, employees, and Amazon follows strict policies on record keeping and financial integrity. Team C will depict Amazon’s policy and procedures for ethical and SEC compliance, explain the function of monetary markets in the United States, and assess Amazon’s monetary performance for the previous two years by means of financial ratios. Team C will explain Amazon’s financial health in reference to the debt, return of equity, and daily receivable ratios. As part of their code of business conduct and ethics policies, Amazon established basic guiding principles to help steer their employees to do what is ethically and morally right to reassure their investors that they are doing what is right for the investors and the public. Of course Amazon must be in compliance with the governing (a) laws, (b) rules and (c) regulations set forth by local and federal governments...
Words: 1037 - Pages: 5
...Ethics and Compliance Team C has chosen Lowe’s as our organization. The role of the ethics and compliance in Lowe’s financial environment will be assessed and the procedures the company has in place to ensure ethical behavior will be described. An explanation of how the financial markets work within the United States, identifying the processes that Lowe’s uses to comply with SEC regulations. Attached are the annual report and SEC filings for the past two years. With the financial information from Lowe’s, Team C will select one ratio from each of the ratio categories to include liquidity, asset management, debt management, profitability, and market value. It will be discussed the trend for each ratio and whit it says about the organization’s financial health. Lowe’s values it reputation for maintaining high ethical standards in its workplaces and around the world where ever they do business (Lowe’s, 2012). The company states that integrity is one of their core values and that every employee must comply with all governmental laws, regulations and rules while acting on behalf of the company. All employees of Lowe’s should avoid in any conduct that is inconsistent with the company’s ethical principles, even if it is legally permissible. Lowe’s also requires all vendors and suppliers to comply with their code of conduct and business ethics, failure to do so will result in termination of the business relationship. Lowe’s requires all personnel (including family members...
Words: 2692 - Pages: 11
...Ethics and Compliance: Wal-Mart Stores, Inc. Wal-Mart CEO Mike Duke wrote this statement on ethics."Wal-Mart started out with a single discount store in Northwest Arkansas and in less than 50 years grew to become the world’s largest retailer, with thousands of stores and clubs and millions of associates. Our culture of ethics and integrity has been a constant throughout that transformation. From the beginning, it has defined who we are as a company, and how we as associates treat each other, our suppliers and our customers” (Wal-Mart Statement of Ethics). Therefore, Wal-Mart representatives are responsible for making sure their personal financial activities do not conflict with their responsibilities to the company. Financial conduct can happen when employee judgment is influenced by personal financial gain. If the representative has a financial interest in a vendor, have substantial financial interest in a competitor, get personal compensation from a vendor and using confidential company information. The ENRON collapse in November 2001 is an example of employee ethics gone wrong. ENRON had one of their employee’s audit company audit ENRON. This is a huge example of how ethics did not play a role in the compliance of the company financial environment. The ENRON scandal made the business and financial world rethink the laws or lack thereof, in place for businesses and their finances. ENRON was so far ahead of the game they were named America’s Most Innovative Company...
Words: 1072 - Pages: 5
...Ethics and Compliance FIN/370 August 13, 2012 Christopher Hernandez Ethics and Compliance Wal-Mart Stores, Inc. is one of the most well-known and successful retail stores in the country. Wal-Mart fosters the pricing philosophy of “everyday low prices” (Wal-Mart, 2010, p. 3), which helps the company remain a leading competitor within the retail industry. Another reason for Wal-Mart’s success is its attitude of leading by integrity. Wal-Mart Stores, Inc. is a worldwide conglomerate. The company understands to stay competitive it must adhere to ethical guidelines and regulations. The following will illustrate the role of ethics and compliance within Wal-Mart’s financial environment, its procedures for ethical behavior, financial markets in the United States, SEC regulations, Wal-Mart’s financial performance for the last two years, and its financial health. The Role of Ethics and Compliance According to Wal-Mart’s CEO, Mike Duke, ethics and integrity has been a part of the company’s culture since its inception in 1962 (Wal-Mart, 2008). Ethics and compliance play major roles within the company’s financial environment. “Wal-Mart has a Statement of Ethics applicable to all associates” (Wal-Mart, 2003, para. 1). The CEO and Senior Financial Officers must conduct business in an honest and ethical manner. The Senior Financial Officers include the corporate controller, financing and tax associates, accounting officers, and the CFO. They must comply with the laws set...
Words: 1854 - Pages: 8
...Ethics and Compliance Leslie Hope, Quo-vades Simonton, Teresa Duncan, Kizzy Richardson FIN/370 August 2, 2012 Professor Franklin Olivieri Ethics and Compliance This paper contains analyzed data of the organization Lowe’s Home Improvement Stores. Lowe’s is a home improvement store that provides its customers with the supplies needed for any improvements around the home. The discussion hereafter will assess the role of ethics in the financial department and describe the procedures the company has to encourage ethical behavior. Next, explain the role financial markets in the United States. Followed by how Lowe’s complies with Securities and Exchange Commission (SEC) regulations. Lastly, provide an evaluation of the company’s financial performance last two annual periods, followed by the calculations of ratios for each year. The ratios include current, debt, return on equity, and days receivable along with an explanation for trends. The code of business conduct and ethics at Lowe’s improvement stores starts with the board of directors down to the newest employee. Everyone associated with or represented by Lowe’s is required to read and adhere by the code of conduct. Lowe’s values its reputation as a leader when complying with governmental regulations involving ethics. Lowe’s applies ethics in its financial dealings by requiring, under Section B of the code of conduct. That “employees and members of their immediate families should not have any financial interest, direct...
Words: 1628 - Pages: 7
...Ethics and Compliance Paper Shalom J. Duarte, Chris Campbell, Eric Newhart, & Ron Reda FIN/370 June 18, 2013 James Campbell Ethics and Compliance Paper Strategic planning and financial preparation are vital to ensure the success of big retail corporation such as Lowes. This type of planning happens when a company sets up both long term and short term goals for their strategic marketing and planning to achieve financial success. Strategic initiatives can be created in various areas, such as in the area of new products being rolled out and new departments being created. In particular a strategic plan, determines a company’s long term goals and then identifying the best approach for achieving those goals. From the financial perspective, financial planning initiatives are long-term plans aimed at generating capital with objectives focused on greater return on assets, growth in market share, and at solving foreseeable problems. When Strategic plans are met, such as plans focused on certain products or departments, it helps the overall health of the company’s financial status in different areas such as with the store’s revenue, over head spending control, and maintaining a store’s budget. Both Strategic and financial planning share the same company goals for success and the understanding of where the financing must come from to accomplish these goals. Lowes is a leader in home improvement and is committed to never stopping improvement. Lowes mission is to deliver...
Words: 1534 - Pages: 7
...Pepsi Co. Ethics and Compliance In this paper, Team E will analyze PepsiCo’s 2008 and 2009 annual reports and SEC filings. This analysis will help to assess the role of ethics and compliance in PepsiCo’s financial environment by describing the procedures that PepsiCo has put in place to ensure ethical behavior and identifying the processes PepsiCo uses to comply with the SEC Regulations. Then the annual reports will be used to evaluate PepsiCo’s financial performance for the last two years. The ratios that will be used to calculate PepsiCo’s financial performance will be Return on Sales, Asset Turnover, Assets-to-Equity, Return on Equity using the DuPont Framework, and Days Sales Outstanding. These ratios will help discover trends that will determine the financial health of PepsiCo. Ethical Procedures The number of issues Ethics and Compliance Officers in a company face is substantial. The issues range from sexual harassment to data protection and privacy. The Supreme Court and the Federal Sentencing Guidelines for Organizations (FSGO) hold organizations responsible for the unethical conduct of their employees. Most companies implement a solid Ethics and Compliance Program to prevent employees from engaging in unethical behavior. Ethics and Compliance Programs are also in place to protect Stakeholders interest as well. Every year, Ethisphere Magazine honors companies who go well beyond just making statements about doing business ethically. These honorees put their...
Words: 1660 - Pages: 7
...Ethics and Compliance Paper FIN/370 FINANCE FOR BUSINESS Dr. Terry Dowdy Univ. of Phoenix Leslie Morris Mauney, Derek Mazon, Stephanie Landry, Victoria Wilbert, Donna Spoljarick, Tihesha Horton Ethics and Compliance Paper Microsoft In today’s fast pace society corporate America seems to be above scrutiny. The time of the watch dog presence seems to have become lack and almost non existent. Giant corporations offer extremely attractive salaries and bonus packages to their employees. Employees in exchange do a good job but loyalty to the company is the most important thing. One mega giant is Microsoft as a company they boast of integrity, honesty, openness, and personal excellence. The company holds itself accountable to their customers and all of their employees by providing the best product at the most economical price possible. Microsoft is focused on employee training as well as employee promotion from within. These guidelines are the reason that Microsoft feels the employees will do noting to jeopardize the reputation of the company or any of its subsidiaries. Ethics and Compliance Microsoft values the employees and the values that were created in a foundation for the business. Microsoft Company manages their business in compliance with laws and regulatory requirements. They obey laws and regulations that are governed by global management. When it comes to their financial integrity...
Words: 1612 - Pages: 7
...Ethics and Compliance Team B FIN 370 April 23, 2012 Thien Ngo Ethics and Compliance Complying with the SEC Regulations The Securities Act of 1933 had two main purposes. The first purpose of the Securities Exchange Commission or SEC is to require investors to files significant information regarding the securities for public sale. The second purpose is to stop any fraud, or misrepresentation in the sale of these securities. The SEC is responsible to enforce laws to make sure organizations complying with the laws created. The Security Exchange Act of 1934 regulates the transactions of securities in the secondary market where Wal-Mart’s securities are exchanged. The SEC’s powers include enforcing the Securities Act, the Exchange Act, Sarbannes- Oxley Act of 2002, and other legislature (Sarkar, n.d.). Wal-Mart keeps the public and the SEC well informed of all significant information by the many publications they create and reports they must file according to the law. Wal-Mart creates an Annual Report, periodic news releases, Quarterly Reports, Global Sustainability Reports, Proxy Statements, and many more. These periodic filings are required to be filed with EDGAR, an online filing system. EDGAR stands for Electronic Data Gathering, Analysis, and Retrieval system. EDGAR’s purpose is to ensure efficiency and fairness of the securities market. Wal-Mart requires any person who owns more than 10% of securities of the organization to file reports of ownership and...
Words: 349 - Pages: 2
...products they stock. The following paper will talk about the processes created in order to be certain that ethical behavior is upheld, find practices used to comply with the Security Exchange Commission regulations, as well as calculate the financial performance used throughout the previous two years using financial ratios. Additionally, the trends for all ratios and the financial wellbeing will be argued as well via the 2011 and 2012 financial records for Starbucks. Starbucks has progressed immensely as a corporation based on the history of the company, not only in America, but abroad as well. The Standards of Business Conduct for Starbucks located in the employee’s training guide was created to uphold Starbucks Global Business Ethics Policy. The notion is implied that everyone employed by Starbucks will be held accountable for acting ethically as well as to report any unethical or doubtful behavior by anyone employed by Starbucks. Starbucks is also committed to holding anyone accountable and does not retaliate on anyone who reports questionable behaviors. Howard Schultz who is the Chairman, President and CEO of Starbucks stated a few years...
Words: 1854 - Pages: 8
...A Business Code Of Ethics YourFirstName YourLastName University title Introduction A chief executive officer cannot simply make the decision that is best for her without considering the interests of other employees, stockholders, customers, suppliers, creditors, and so forth. Integrity is the cornerstone of ethical business practices. Failure to build a business on integrity carries costs. For example, deceptive business practices may harm a company's standing in the community, decrease employee productivity, reduce customer loyalty, build resentment among employees, increase the likelihood of further unethical behavior by employees, and cause scrutiny by government agencies. Although the costs of some of these consequences are difficult to quantify, there is no doubt that they can be substantial. Evaluate chosen strategy King and Spalding is a legal firm that was founded in 1885, Atlanta. It has a total of 800 lawyers across the U.S, Europe, Asia and Middle East. Ethics Programs Companies frequently create ethics programs to establish and help maintain an ethical business environment. Some of the most common elements of ethics pro-grams at King & Spalding include written codes of ethics, employee hotlines and ethics call centers, ethics training, processes to register anonymous complaints about wrongdoing, and ethics offices. Ethics programs may include any combination of these elements. However, according to a recent survey, an ethics program with multiple...
Words: 1270 - Pages: 6
...CODE OF ETHICS Compliance is the responsibility of all the Company’s directors, officers, managers, and employees.(Capital One,2011). One is responsible for learning the details of the policies, procedures, laws and regulations applicable to one's job and for seeking guidance when needed. It is important to avoid misconduct that violates the law, this Code, or Company policies, but also the appearance of impropriety. The point, which a subject is not explicitly explained in this Code, does not relieve an employee of their responsibility to maintain the highest ethical standards under all circumstances. If one has any concern about whether their actions or inactions could violate a law, it should be discussed with their manager. While no Code of Ethics can or should replace thoughtful behavior or common sense, it can help cultivate a culture that values and rewards honesty, integrity, and accountability. (Avon, n.d.). The principles detailed in the Code will guide in “doing the right thing” and in preserving the Company’s reputation for acting with integrity at all times. TRADE REGULATION Most states have enacted trade regulation laws to ensure fair competition. These laws prohibit price-fixing and other "anti-competitive agreements, deceptive acts, and unfair competitive methods." (Pension Consulting, n.d.). Some forms of joint activities are legally permissible, but others are not. Under no circumstances, should you illegally or improperly...
Words: 2229 - Pages: 9
...Ethics and Compliance Program An ethics and compliance program is essential for all organizations contrary to the beliefs that some may have. Effective ethical and compliance initiatives are a combination of high moral, spiritual, with ethical beliefs that are formulated and executed with obedience to the law as well. Some feel that ethics are derived from logical reasoning or observation. Others may feel it is the gut feeling that decides ethics. Companies with no ethical program stand the risk of limited or no success with unethical behavior. Leadership must be the leading example of the ethical and compliance program. Planning an ethical and compliance program could be a huge undertaken in the beginning, but the benefits are astounding and worthwhile (Rae & Wong, 2012). This plan for the 186th Air Refueling Wing’s (186 ARW) Communication Flight in Meridian, MS will reside within the Quality Assurance (QA) shop whose office sits beside the commander. The QA shop will maintain and update the plan as necessary. This plan will establish an ethics and compliance program that will consist of knowing the importance of ethics and compliance guidelines, establishing and maintaining the code of conduct to include the formal letter from the Communication Flight Commander, method of code introduction, establishing an ethical culture, handling ethical issues to include reporting, and knowing the policy regarding Corporate Social Responsibility (CSR) initiatives to include its...
Words: 1983 - Pages: 8
...Ethics and Compliance for Lowe's Corporate ethics and compliance with financial regulations are crucial for the success of companies in today’s marketplace. Organizations thus find themselves defining and outlying their policies to ensure business is conducted ethically. Organizations which are involved in the financial markets in the United States also must outline their policies and procedures to ensure they are in compliance with all Securities and Exchange Committee (SEC) rules and regulations. This includes providing complete and accurate information in their financial reporting so that investors can make informed decisions when considering investing in a particular company. One company that does all of the above is Lowe’s Companies Inc. Lowe's, its board of directors, executive leadership team, and stakeholders take ethics and compliance seriously and their committed to protecting their culture of integrity (Lowe's, 2012). The board of directors oversees the sound governance practices that have guided the success of the organization for decades. Through constructive engagement with management and shareholders, and informed by their core values, the board provides oversight and counsel that strengthens the culture of integrity, accountability, and responsible business practices (Lowe's, 2012). “The Company has a share repurchase program that is executed through purchases made from time to time either in the open market or through private transactions. The Company also...
Words: 1516 - Pages: 7
...Ethics and Compliance Paper If the associate is new to the field or recently moved into a new position, each associate has the reasonability and held to a high level in compiling with the policy’s and regulations. With corporations becoming more diverse, it is important each company has policy’s set in places so each associate does not break the law or policy’s the company has set in place. In this paper we will be discussing Wal-Marts role of ethics and compliance in the financial environment, describe procedures Wal-Mart has in place to ensure ethical behavior, Identify the processes Wal-Mart uses to comply with SEC regulations, evaluate Wal-Marts financial performance during the past 2 years, and closing Discuss the trends for each ratio and what it tells you about the organizations financial Health. Wal-Mart believes that the highest level of communication and ethics are required to be successful. They have what is considered an open door policy for those associates that feel they must discuss a matter pertaining to ethics with the management. They are required under their policy to address any issues in a timely fashion. They have what is called a statement of ethics. A requirement for all employees is to be familiar with the statement. Their ethics helpline is available for all associates to use so that they can remain anonymous if they have a complaint (Wal-Mart, 2011). The decisions that guild Wal-Mart and its leaderships are the 3 basic beliefs, 1) Respect...
Words: 1489 - Pages: 6
