Riordan Compliance Plan
Riordan Corporate Compliance Plan
Lesley Yeargin
LAW 531
November 26, 2012
Nicole Harrison
Riordan Corporate Compliance Plan
Riordan is a manufacturing organization in global plastics founded by Dr. Riordan in 1991. According to the Apollo Group, Inc., “The company 's most recent expansion took place in 2000 when it opened its operations in China” (2012, History). Possessing a legal team available to Riordan at all times is necessary for the smooth operation of the organization. As this company has international locations, the law has to be respected in those countries as well. Riordan has a responsibility to anticipate risks and keep them at a minimum. A solid Corporate Compliance Plan will serve in protecting Riordan from unnecessary lawsuits. As Riordan would have much to lose, a plan is needed in case legal action is sought to resolve a dispute. The ultimate goal of a Corporate Compliance Plan is to serve as a guide to determine liability of directors and officers.
Enterprise liability and duty of care are intertwined. In the case of enterprise liability, the entire organization is at fault if the organization is found in violation of the law. The company at large is held responsible for the misconduct or negligence of one or a group of individuals. According to Cheesman, “Duty of care refers to the obligation people owe to each other–that is, the duty not to cause any unreasonable harm or risk of harm” (2010, p. 81). Riordan has the responsibility of keeping their employees safe. As Riordan is a manufacturer in plastics, there are harmful chemicals in which employees are exposed to on a daily basis. Employees must adhere to specific guidelines when producing the chemical components in making plastics. Personal protective equipment or PPE’s is required of employees to wear for limiting or preventing exposure of hazardous materials. Minimal requirements of PPE’s are determined by OSHA (Eye-and-Face Personal Protective Equipment, 2009). The federal
Lesley Yeargin
LAW 531
November 26, 2012
Nicole Harrison
Riordan Corporate Compliance Plan
Riordan is a manufacturing organization in global plastics founded by Dr. Riordan in 1991. According to the Apollo Group, Inc., “The company 's most recent expansion took place in 2000 when it opened its operations in China” (2012, History). Possessing a legal team available to Riordan at all times is necessary for the smooth operation of the organization. As this company has international locations, the law has to be respected in those countries as well. Riordan has a responsibility to anticipate risks and keep them at a minimum. A solid Corporate Compliance Plan will serve in protecting Riordan from unnecessary lawsuits. As Riordan would have much to lose, a plan is needed in case legal action is sought to resolve a dispute. The ultimate goal of a Corporate Compliance Plan is to serve as a guide to determine liability of directors and officers.
Enterprise liability and duty of care are intertwined. In the case of enterprise liability, the entire organization is at fault if the organization is found in violation of the law. The company at large is held responsible for the misconduct or negligence of one or a group of individuals. According to Cheesman, “Duty of care refers to the obligation people owe to each other–that is, the duty not to cause any unreasonable harm or risk of harm” (2010, p. 81). Riordan has the responsibility of keeping their employees safe. As Riordan is a manufacturer in plastics, there are harmful chemicals in which employees are exposed to on a daily basis. Employees must adhere to specific guidelines when producing the chemical components in making plastics. Personal protective equipment or PPE’s is required of employees to wear for limiting or preventing exposure of hazardous materials. Minimal requirements of PPE’s are determined by OSHA (Eye-and-Face Personal Protective Equipment, 2009). The federal
References: Apollo Group, Inc.. (2012). Riordan Manufacturing. Retrieved from https://ecampus.phoenix.edu/ secure/aapd/cist/vop/Business/Riordan/index.asp Cheeseman, H.R. (2010). Business law: Legal environment, online commerce, business ethics, and international issues (7th ed.). Upper Saddle River, NJ: Pearson Prentice Hall. D 'Amato, V. J. (2009). Eye-and-Face Personal Protective Equipment. Chemical Engineering, 116(2), 48- 51. Enterprise Risk Management - Intergrated Framework. (2004, September). Executive Summary, Retrieved from http://www.coso.org/documents/COSO_ERM_ExecutiveSummary.pdf Steinerg, R. M. (2011, March). Using the new COSO risk-management guidance. Compliance Week, 8(86), 36.