Case Study- The BBDE Health Center: A Case Study of Business Ethics
1. What decisions or actions taken by the individuals in this case are questionable?
The first problems identified in this case was that the company had no laws and regulations.
No one was willing to stand up to the CEO and tell him where he was going wrong.
The CEO is more concern about the color of the carpet laid than setting corporate strategies.
He ignored all the important issues in the company.
Mr. Rulan thought he had mastered accounting, and had very little interest in expanding on what he learned in is one college accounting class,
The company was paying the expensive for a person that did not work for…show more content… What do you think each individual or group should do? What do you think each individual or group would do? Explain.
I think the CEO should take some accounting classes, but I think he will continue as is. Mr. Rulan believed he mastered accounting a long time ago so, for him to take those classes would be asking a lot. Mr. Rulan seems stern in his thinking, therefore, I believe he would have to swallow his pride deeply to sit in those accounting classes.
I think the controller should request an independent audit, but I believe he will speak to the BoD. He knows something isn't right, but has pin pointed to what is exactly.
I think the BoD should implement policies to have more frequent audits, and believe they will do just that. The more red flags thrown up the more curious the board members will become.
5. The Institute of management Accounts’ Statement of Ethical Professional Practice can be found at http://www.imanet.org/PDFs/Statement%20of%20Ethics_web.pdf. What guidance does the statement offer Don Blake? Which of the standards apply? Do you think the guidance provided by IMA is appropriate for this situation? Defend your answer?
Yes, the guidance provided by IMA, is appropriate for this situation. This statement told Don the steps in rectifying the problems or situations he believes are unethical in the company. It also points out the chains of commanders to go through if the above supervisor doesn’t resolve the