Preview

Mcbride Financial Services Governance Evaluation Paper

Better Essays
Open Document
Open Document
2060 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Mcbride Financial Services Governance Evaluation Paper
Running head: MCBRIDE FINANCIAL SERVICES GOVERNANCE EVALUATION

McBride Financial Services Governance Evaluation

McBride Financial Services Governance Evaluation
This paper will introduce possible corporate governance problems that led up to the scandals in the early 21st century. McBride, an online mortgage financial services organization, might be allured by tempting, unethical practices if they choose not to accept a previously proposed solution to their organizations’ structure. The influence of the governance rating system will be discussed and the implications this influence would have on the McBride organization. Two governance rating methodologies will be discussed and what effects they would have on …show more content…
There are a lot of regulations overseeing the governance of companies but the companies are still very flexible in how they handle and install the rules. There is a governance rating service that “ISS has rated companies with a proprietary analysis that results in a "Corporate Governance Quotient" (CGQ) for the company. The information is gathered with a yes or no answer and sometimes a “not available”, this is not reliable information. There are three main concerns in regards to potential conflicts. One is if the governance analysts are one in the same as the consultants, two is the ISS and the competitors administer on companies through proxies or ratings pressure and third is the one-size-fits-all model. (Rose, 2007). How Hugh McBride has reacted has been imprudent, leaving the assumption that once the proposed solution has been instilled the reaction will be to ignore the potential problems that could arise or find away around them. Hugh McBride does not want to be bothered with the details he wants to run McBride the way he wants and he will find someone to do just
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Better Essays

    HCA 545: Role Of Governance In Health Care Organizations
    • 1175 Words
    • 5 Pages

    HCA 545: Role Of Governance In Health Care Organizations

    The failure of the Enron Corporation in the late 2001, apart from signaling the largest corporate bankruptcy in the USA, has raised several questions about the effectiveness of the contemporary accounting, auditing, and corporate governance practices. The committee followed all the rules that were put in place by the board. “However, it is said that the audit committee deserves much of the blame for Enron’s collapse and the corporate governance movement deserves much of the blame for the Enron audit committee. Governance experts say the audit committee’s lack of independence made it less inclined to question management.” (Lavelle, 2002). Businesses collapsing, like Enron, can be prevented. “Those executives can be criminally penalized for misleading auditors. For a successful corporate governance, board members should be properly inducted, trained and developed. The pros and cons of different types of corporate governance need to be explored and best practice disseminated. There needs to be more company sponsored practical researcher on governance, rather than the black box it often is at present.” (Vinten,…

    • 1175 Words
    • 5 Pages
    Better Essays
    Read More
  • Better Essays

    Northern Rock Plc
    • 1975 Words
    • 8 Pages

    Northern Rock Plc

    4. Agha, M G and Qatinah, A. (). Lehman Brothers and Corporate Governance Failure. Available: http://www.slideshare.net/adnanqatinah1/lehman-brothers-case-study2. Last accessed 09 Feb 2013.…

    • 1975 Words
    • 8 Pages
    Better Essays
    Read More
  • Better Essays

    Corporate Govenance- Business Strategy
    • 841 Words
    • 4 Pages

    Corporate Govenance- Business Strategy

    “Corporate governance is a term that refers broadly to the rules, processes, or laws by which businesses are operated, regulated, and controlled. The term can refer to internal factors defined by the officers, stockholders or constitution of a corporation, as well as to external forces such as consumer groups, clients, and government regulations” (2006).…

    • 841 Words
    • 4 Pages
    Better Essays
    Read More
  • Powerful Essays

    Corporate Governance
    • 2329 Words
    • 10 Pages

    Corporate Governance

    Lack of proper corporate governance can be a disaster for campanies. In recent years, major Australian companies such as HIH, One.tel and Harris Scarfe failed under dramatic and high profile circumstances. As a result, executive and non executive directors from each of these companies have spent time in jail. They were vastly different companies, operating in different industries, and failed for very different reasons. However, there was one common link between them. All had poor corporate governance. In this paper, I would like to take the One.tel collapse as one example and analyse how it went collapse through its poor corporate governance.…

    • 2329 Words
    • 10 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Enron, Board Governance and Moral Failings
    • 3525 Words
    • 15 Pages

    Enron, Board Governance and Moral Failings

    Keywords Directors, Ethics, Responsibility, Corporate governance Abstract The failure of the Enron Corporation has brought attention to the roles played by the chief executive officer and other executives of the modern corporation. Its failure has also produced discussion of further regulations that will, it is hoped, prevent another collapse similar to that of Enron. This article argues that the central reason for Enron’s crash was not a lack of regulations or the deceptions of executives but rather a failure of the board of directors of Enron to function in a morally and ethically responsible manner.…

    • 3525 Words
    • 15 Pages
    Powerful Essays
    Read More
  • Good Essays

    Ethics - Cases
    • 803 Words
    • 3 Pages

    Ethics - Cases

    A company’s corporate governance exists in order to prioritize and support the shareholders’ interests in accordance with laws and expectations of the stakeholders through oversight, monitoring, and controlling the company’s activities and personnel (Brooks, Pg. 218). Many companies used to hold and continue to hold flaws in their governance structures that allow management to operate their businesses to further their own personal self-interests instead of increasing the shareholders’ values. The three cases that I believe illustrates the most ineffective corporate governance system include: Nortel, Adelphia, and Tyco.…

    • 803 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Leiman Brothers
    • 4837 Words
    • 20 Pages

    Leiman Brothers

    Bris, Arturo. THE LEHMAN BROTHERS CASE: A corporate governance failure, not a failure of financial markets . report. Lausanne: ISBN , 2010.…

    • 4837 Words
    • 20 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Executive Compensation
    • 2110 Words
    • 9 Pages

    Executive Compensation

    In the aftermath of major scandals and bailouts in the United States, the world`s and the public’s confidence in public corporations, has been shaken. With the publicized scandals of Enron and other corporations in the United States, the faith in public corporations fell as fast as the stock market. Investors had no confidence in corporations or in their boards. Measures needed to be taken to form regulations to provide stronger accountability, to prevent these types of scandals from happening and to rebuild the confidence of investors. Corporate governance of publicly traded companies was no longer an option, it became a must. The public and the media demanded laws to protect future investors and shareholders (Colley, Jr, Doyle, Logan, & Stettinius, 2005).…

    • 2110 Words
    • 9 Pages
    Powerful Essays
    Read More
  • Good Essays

    Enron Scandal
    • 493 Words
    • 2 Pages

    Enron Scandal

    The Enron scandal is the most significant corporate collapse in the United States since the failure of many savings and loan banks during the 1980s. This scandal demonstrates the need for significant reforms in accounting and corporate governance in the United States, as well as for a close look at the ethical quality of the culture of business generally and of business corporations in the United States. Boards of directors need to pay closer attention to the behavior of management and the way the company is making money. In too many American companies, board members are expected to approve what management proposes-or to resign. It must become acceptable and mandatory to question management closely. There is little chance the U.S. governance rules will be changed to make boards responsible to the employees as well as to the shareholders. However, board members would be foolish not to pay more attention to how employees and customers and business partners are treated. These greatly…

    • 493 Words
    • 2 Pages
    Good Essays
    Read More
  • Best Essays

    The Effects of Regulatory Responses to the Recent Corporate Failures
    • 1741 Words
    • 7 Pages

    The Effects of Regulatory Responses to the Recent Corporate Failures

    Various corporate governance procedures have evolved over the years to manage financial crisis and respond to corporate misbehaviours; starting from the Glass-Steagall and Bretton Woods agreements which were developed to deliver a stable economy after the World War II to the Cadbury and Greenbury reports, both of which gave birth to the Combined Code. Infact, the passage of the Sarbanes-Oxley Act in the US was accelerated to curb the prevalent financial crisis and management impropriety which became even more apparent with the failure of Enron and Worldcom…

    • 1741 Words
    • 7 Pages
    Best Essays
    Read More
  • Powerful Essays

    Collapse of Enron
    • 4172 Words
    • 17 Pages

    Collapse of Enron

    In addition to crippling investor confidence and provoking questions about the sustainability of a deregulated energy market, Enron’s collapse has precipitated a complete reevaluation of both the accounting industry and many aspects of corporate governance in America.…

    • 4172 Words
    • 17 Pages
    Powerful Essays
    Read More
  • Good Essays

    Royal Ahold Scandal
    • 21884 Words
    • 88 Pages

    Royal Ahold Scandal

    No. 2005–57 ROYAL AHOLD: A FAILURE OF CORPORATE GOVERNANCE AND AN ACCOUNTING SCANDAL By Abe de Jong, Douglas V. DeJong, Gerard Mertens, Peter Roosenboom March 2005…

    • 21884 Words
    • 88 Pages
    Good Essays
    Read More
  • Best Essays

    Corporate Governance, Accountability and Ethics in Goldman Sachs
    • 2587 Words
    • 11 Pages

    Corporate Governance, Accountability and Ethics in Goldman Sachs

    The greatest modern financial crisis is still unraveling the aftershocks now I feel is the most serious in Europe. In fact, the lifting of the mortgage crisis in the United States and bankruptcy homeowners damaged in progress, but is no longer news. The ultimate responsibility of the crisis, the responsibility of the nature and extent of the problem has not been a satisfactory answer. Therefore, the community has finally improved, responsibilities more solid. It involves the practice of, and vigorously promote low-quality products to customers of big banks, while hedging bets on their own account in the opposite direction. Crime here, is not hedged, but the lack of transparency to customers. Asked to assume greater responsibility and market regulators and government officials, as well as the Board of Directors of the Company, has been a positive impact of the financial crisis. Place to ensure duty-bound, and that corporate responsibility is indeed hope that the Board of Directors and the field of market regulation will be a lasting crisis. Clear from the lessons of the financial crisis has moved from the board of directors of the CEO and the Executive Board to shirk its responsibility for the operation of enterprises and survival. The responsibility of the enterprises has laid a lot of executives. The focus of governance is to provide appropriate security and protect shareholders' interests. This pressure led to the revolution of the economic value added, does not seem any security for many investors. The problem is that the lack of transparency to the business by the Board. It is this transparency, to provide the Board with sufficient confidence, it is recommended that the projections will be achieved. This essay will examine some of the Goldman Sachs’ corporate governance principles with specific regards to code of conducts and principles of responsibilities.…

    • 2587 Words
    • 11 Pages
    Best Essays
    Read More
  • Best Essays

    Governance Regulations Among Australia, South Africa, and United Kingdom
    • 1236 Words
    • 5 Pages

    Governance Regulations Among Australia, South Africa, and United Kingdom

    Business conditions and regulatory initiatives have resulted in a variety of codes and regulations to meet the needs of local capital markets[i]. For instance, in the United States, several major corporate and accounting scandals such as those perpetrated by Enron, WorldCom, Tyco International, and Adelphia communications resulted in the enactment of laws and rules to restore and maintain confidence in the financial markets. Other nations experienced similar situations and enacted rules and regulations to promote consumers and investors’ confidence in the financial market. This paper examined the major events that led to the enactment of corporate governance regulations in Australia, South Africa, and the United Kingdom (UK). And analyzed the similarities and differences among the regulations, and opined on the most comprehensive regulation.…

    • 1236 Words
    • 5 Pages
    Best Essays
    Read More
  • Powerful Essays

    empowerment
    • 71228 Words
    • 285 Pages

    empowerment

    Corporate governance is a term that, over the last two decades, has now found its way into…

    • 71228 Words
    • 285 Pages
    Powerful Essays
    Read More

Related Topics