Employees comply with laws and regulation - GAAP, environmental regulations, etc.
are correctly accounted for and recorded on financial statements
Business information is accurate - all assets, liabilities, revenues, etc.
Assets are used for business purposes only - the company doesn’t pay for personal expenses.
External – auditors, SEC, anylasts, bankers.
Internal – employees, Board of Directors.
groups that monitor and report on corporate abuses, can be both internal and external.
Organizational Structure of a Corporation Their efforts determine the success of the company Enron’s vision… Organizational Structure of a Corporation Manage day – to – day operations Responsible for creating the action plan to achieve the vision Enron’s vision… Organizational Structure of a Corporation Establishes corporate policy, appoints the CEO and other officers, reviews operations through financial reports Create the mission statement of the corporation which defines the company’s vision (the direction and future of the company) and values (how the company is going to get there)
To determine the health of the company and value of stock.
corporate financial reports from the corporation and approved by auditors.
stock anylasts, - the Securities and Exchange Commission (SEC),.
Organizational Structure of a Corporation The Smartest Guys in the Room:Ken Lay & Jeff Skilling
#Enron the smartest guys in the room download movie#
The following clip, from a movie “Wall Street” provides insight to America’s feeling of corporations and the pursuit of wealth….Wall Street - Greed Is Good.flv.
In 1985 corporate mergers and management are negotiated to form what will be ENRON, and Kenneth Lay is placed at the helm.