Hiding obligations off of the company balance sheet

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Reference no: EM132946300

Challenges in Compliance, Finance, Human Resource, Marketing and Production (economicsdiscussion.net)

1. Ethics in Compliance. Compliance means conforming to relevant laws, regulations, policies, standards, procedures, or contractual obligations. These may be external or internal obligations. Organizations that follow high Ethics comply with the law and ensure an ethical climate inside throughout the organization.

2. Ethics in Finance. Financial statement fraud can surface in many different forms, although once deceptive accounting practices are initiated, various systems of manipulation will be utilized to maintain the appearance of sustainability.

Common approaches to artificially improving the appearance of the financials include:

a. Overstating revenues by recording future expected sales

b. Capitalizing operating expenses

c. Inflating assets' net worth

d. Hiding obligations off of the company's balance sheet and incorrect disclosure.

e. Insider trading, executive compensation

3. Ethics in Human Resource. HR includes numerous ethical pitfalls that can damage a company's reputation or financial sustainability if not handled properly. Understanding the importance of ethics in human resources is crucial for any business owner, whether in a local startup or a multinational powerhouse. The ethics of human resource management (HRM) covers those ethical issues arising around the employer-employee relationship, such as the rights and duties owed between employer and employee.

The issues of Ethics faced by HRM include:

a. Discrimination issues, affirmative action, sexual harassment.

b. Issues surrounding the representation of employees and the democratization of the workplace.

c. Issues affecting the privacy of the employee, workplace surveillance drug testing.

d. Issues affecting the privacy of the employer-whistle-blowing.

e Issues relating to the fairness of the employment contract and the balance of power between employer and employee: slavery, indentured servitude, employment law.

f. Ocupational safety and health.

4 Ethics in Marketing. Marketing ethics is the area of applied ethics which deals with the moral principles behind the operation and regulation of marketing.

The issues of Ethics faced through marketing are:

a. Price Discrimination, Price war, Price skimming

b. Misleading advertisement

C. Black market Grey market

5 Ethics in Production. Ethics in production is a subset of business Ethics that is meant to ensure that the production function or activities are not damaging to the consumer or the society.

a. Ethical problems arising out of use of new technologies that are deleterious to health, safety and environment, genetically modified food radiations from mobile phones, medical equipment etc.

b. Defective services and products.

c. Products those are innately deleterious like alcohol, tobacco, fast motor vehicles, warfare, chemical manufacturing etc.

d. Animal testing.

e. Pollution, global warming, increase in water toxicity and diminishing natural resources.

Note: Please Help me with my report. Please explain to me in Filipino so I can understand and give Example in each Challenges.

Reference no: EM132946300

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