Euron and Government

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  • Topic: Enron, Jeffrey Skilling, Kenneth Lay
  • Pages : 1 (277 words )
  • Download(s) : 81
  • Published : May 6, 2013
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Euron and the Government
Business Ethics
4/20/2013
Natalie Ponce

Effective leaders are good at getting followers to their common goal or objectives in the most effective and efficient way. Moreover unfortunately for Enron, in the ken Lay and Jeffery skilling were too focused on profits that nothing else mattered. In the beginning of the company Ken and Jeff were very efficient in growing their company from small oil and gas pipeline firm into one of the largest entities in its industry. Furthermore As the company grew and so did the demand of upper management. Ken Lay was never satisfied and always wanted more in his efforts to achieve this he implemented coercive power to shape his corporate culture. Moreover this power was most prevalently seen in the company employee review process further wittingly nickname rank and yank if the employees if Enron ranked in the bottom 20% in regard or perfomarnance they would be conveniently railroaded out of the company. Also, Ken Lay only wanted the best of the best working for him; he thought he was motivating individuals to be the interest that drove his company into bankruptcy and gave birth to the greatest financial scandal of the time. The primary responsibility of any auditing firm is to ensure the accuracy and validity of a company of any auditing firm is to ensure the accuracy and validity of a company’s financial statements. Investors and stakeholders both internally and externally use this certified information to make critical business decisions. Also, when I think about The Enron scandal, or any scandal for that matter, I often wonder how the individual involved justify their actions.
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