Role Of The Board Of Directors And Chief Executive Officer

1592 Words Sep 8th, 2015 7 Pages
Assignment 2 - Accounting Quality

Presented by: Niambi Walker
Acc573-Financial Reporting and Analysis
To: Professor Brandy Havens
Strayer University
August 16th 2015

Assess the roles of the Board of Directors and Chief Executive Officer of a public company for establishing an ethical environment that generates quality accounting and reliable financial reporting for use by shareholders and investors. Provide support for your assessment
A code of ethics and ethical values are key elements of the internal control process of public companies. The adequacy of an ethics system and the way of life of an organization should be a matter of concern and top priority to the Board of Directors and CEO. Having a code of ethics although is not a guarantee against corporate misconduct. An effective ethics system involves constant reinforcement of strong values. One of the roles of a CEO in a company is to develop and sustain a corporate culture that encourages ethical values and integrity therefore encouraging a culture of ethical corporate conduct. Another role of theirs is to help uphold and protect their corporation’s reputation with clients, the public, and government and regulatory organizations. Ethical leaders like CEO’s are perceived to be moral people and because they are at the top of the corporate chain they are seen as honest and trustworthy.( Mastracchio,2015) The decisions that that make should be based on ethical decision rules and values, and they…
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