Ethics and Compliance
Wall-mart is an international company that has been in business for many years. There are many reasons that can be associated with its success. The management of the company ensures that ethics and compliance in the financial environment of the organization is carefully addressed. This is an important issue because if it is ignored, it can lead to problems in the operations of the organization.
The lenders to the company have the confidence of lending the company. Being aware that wall mart has a good financial reporting system, the lenders are aware that there are no risks associated with lending funds to the company. This is as long as they evaluate the reports of the company. The company therefore benefits from funds that can be easily accessed. The ethics prevents misappropriation of the company’s funds by the employees (Ferrell, 2011).
Several procedures have been put in place to ensure that the ethics are followed. The management of the organization emphasizes on excellence in performance of duties, serving of the customers diligently and ensuring that respect to other people is observed. Honesty is an important factor in the organization hence employees are expected to disclose the financial transactions correctly. Any manipulation of financial statements is unacceptable and punishable. Diversity in the work environment is emphasized and in case of any question involving ethics, employees must consult the management. Internal controls are put in place in the organization to ensure that all these ethical behaviors are honored (Ferrell, 2011).
In conclusion, wall mart has invested a lot in ensuring ethics in the organization are observed. These ethics have facilitated the success of the company. They ensure that there are fewer conflicts in the organization and the other stakeholders in the organization are comfortable with the operations of the organization.
References.
Wulf, Katharina. (2012). Ethics and Compliance Programs in Multinational Organizations. Gabler.
Ferrell, O. C., Fraedrich, J., & Ferrell, L. (2011). Business ethics: Ethical decision making and cases. Mason, OH: South-Western Cengage Learning.
