Arthur Andersen, Llp and Management Planning

Arthur Andersen, LLP, violated its legal, ethical, and social responsibilities by compromising the principles of the Independent Auditor. The high society failed its legal responsibility when a company official Michael Odom told employees to bring down shredding documents relating to the Enron audits, when Arthur Andersen lawyers determined an investigation into their be practices by the SEC was essential (e.g., Klein and Long, 2002). This impacted management proviso by adhering to the companys retention policy and destroying documents only when it knew these documents were potentially damaging to the company, preferably of following the legal guidance that would have prevented the destruction of documents in the face of potential litigation. The company violated its own extreme ethical responsibilities as an objective auditor when it overlooked and allowed indistinct accounting processes, instead of challenging them, even if it meant losing a guest and a valuable source of income.

This indicates a failure in management planning, in that the managers of the company allowed themselves and their employees to depart from the companys original purpose and tarnish its theme as a fair and honest problem, because they allowed the ends (profits) to justify the means (overlooking questionable accounting practices). The company also failed in its social responsibility to unless the greater good and minimize public harm when it allowed its reputation be ruined by losing its objectivity during the Enron audits. This resulted in the business laying off tens of thousands of employees and shaking the publics swan in independent audits. This destroyed any long-term, strategic planning because the company was simply unable to perform its main purpose. whizz of the most far-reaching factors that will impact all levels of planning for Arthur Andersen, LLP, is the entrap of the scandal on public perception. Arthur Andersen was involved in the both largest... If you want to get a full essay, order it on our website: Ordercustompaper.com

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