Unethical Behaviour by Financial Reporters in an Organization
Introduction
The word "ethics" is often in the news these days. Ethics is a philosophical term derived from the Greek word "ethos" meaning character or custom. This definition is germane to effective leadership in organizations in that it connotes an organization code conveying moral integrity and consistent values in service to the public.
Formally defined, ethical behaviour is that which is morally accepted as "good" and "right" as opposed to "bad" or "wrong" in a particular setting.
For an individual to exhibit ethical behaviour, the mechanism must have adequate provisions to ensure that there is no victimization of employees who follow this procedure. It also suggested that companies should take measures to ensure that this right of access is communicated to all employees through means of internal circulars. The employment and other personnel policies of the company shall contain provisions protecting it from unfair termination and other unfair prejudicial employment practice.
There is absolutely no room for unethical behaviour in the professional world. This statement is exceptionally important for publicly traded companies and their accounting practices. From financial officers to accountants to auditors, and so on, there is no greater impact on stakeholders when these persons perform unethically.
Reasons for Behaving Unethically
There are multiple reasons for which one might consider acting unethically when preparing financial information. The most obvious reason may be quite simply, for self-interest—greed.
An accountant may embezzle funds from his or her employer for financial gain. Or perhaps the Chief Financial Officer of a publicly traded corporation may prepare financial statements to appear as though the company is performing much better than it actually is, because he or she wants their stock portfolio to increase.
Another example for why unethical behaviour might exist is from corporate pressure. An accountant may feel pressured from his or her
The word "ethics" is often in the news these days. Ethics is a philosophical term derived from the Greek word "ethos" meaning character or custom. This definition is germane to effective leadership in organizations in that it connotes an organization code conveying moral integrity and consistent values in service to the public.
Formally defined, ethical behaviour is that which is morally accepted as "good" and "right" as opposed to "bad" or "wrong" in a particular setting.
For an individual to exhibit ethical behaviour, the mechanism must have adequate provisions to ensure that there is no victimization of employees who follow this procedure. It also suggested that companies should take measures to ensure that this right of access is communicated to all employees through means of internal circulars. The employment and other personnel policies of the company shall contain provisions protecting it from unfair termination and other unfair prejudicial employment practice.
There is absolutely no room for unethical behaviour in the professional world. This statement is exceptionally important for publicly traded companies and their accounting practices. From financial officers to accountants to auditors, and so on, there is no greater impact on stakeholders when these persons perform unethically.
Reasons for Behaving Unethically
There are multiple reasons for which one might consider acting unethically when preparing financial information. The most obvious reason may be quite simply, for self-interest—greed.
An accountant may embezzle funds from his or her employer for financial gain. Or perhaps the Chief Financial Officer of a publicly traded corporation may prepare financial statements to appear as though the company is performing much better than it actually is, because he or she wants their stock portfolio to increase.
Another example for why unethical behaviour might exist is from corporate pressure. An accountant may feel pressured from his or her
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