Anz Business Model

Under this task I will explain the ethical issues that business needs to consider in its operating activities and how a business they could improve the ethical of their operations and also I will evaluate the influence of stakeholders exert in one company.

Hartman, E. (2006). Can We Teach Character? An Aristotelian Answer. Academy of Management Learning & Education, 5(1), 68-81

2. Are the roles of the chairperson and chief executive officer (CEO) exercised by different individuals? This clear division of responsibility would help to counterbalance the power and influence of the CEO in the decision making of the company’s directors. Furthermore, this would enhance the supporting role that may be assumed by the chairman in being the CEO’s confidante.

To the extent of prevention of corporate failure, I argue that three ASX principles and recommendations could halt the demise of Dick Smith. Firstly, the 2nd principle which is “Structure the board to add value” by structuring the board with a majority of independent directors would prevent CEO dominance because some suggest that independent outside directors can reduce the influence of dominant individuals (ASX, 2014, p. 17). In accordance with Gallagher and Bennie (2015, p. 20), the independent directors are likely to focus on the company’s objectives and not to make decision relying on others. Furthermore, an addressing of independent directors would reduce the reliance on management, and create the effectiveness on monitoring (Dechow et al. 1996 cited in Christensen, Kent, and Stewart (2010)), as well as capability to lessen the conflict of interest between managers and shareholders (Hardjo & Alireza, 2012, p. 4). Thus, DSE’s board would be more active to monitor the CEO’s performances because independent directors pay attentions to the interest of company (Gallagher & Bennie, 2015, p. 20) and shareholders (Hardjo & Alireza, 2012, p. 4)

“The board’s duty of assuring that there is an effective strategy process has to go well beyond requiring and overseeing the periodic production of a strategic plan” (Morrill, 2013, pg. 14). Every plan that is put in more requires way much more than just coming up with the plan, it requires that there is no steps left out of the final decision and that things are handled in the proper manner. Overall, the governing board has a great responsibility along with the CEO when it comes to handling things in an ethical manner.

The Board is ultimately responsible for all that the organisation does but in order for it to discharge its responsibilities appropriately and effectively, day-to-day and operational management is delegated to the Chief Executive Officer and the SMT .

The board not only selects and works with the CEO’s but it sustains its relationships over time.

Business ethics refers to the consideration of moral decisions and responsibilities in the process of operating a business. Business ethics, practiced throughout the deepest layers of a company, become the heart and soul of the company 's culture and can mean the difference between success and failure. Values drive behavior and therefore need to be consciously stated, but they also need to be affirmed by actions. Ethical business environments are created with foundations of integrity, accountability and commitment.

How the latest edition (3rd) of the ASX Corporate Governance Principles plausibly halts the failure of Dick Smith Electronics will be discussed in this essay. I argue that ASX Corporate Governance Principles is one of the corporate governance practices that many listed entities in Australia should comply with in order to achieve good corporate governance preventing the collapse of corporations and increasing investors’ confidence. Regarding Dick Smith Electronics as a listed entity, it would survive and continuously operate as a biggest Australia electronic retailer if the better application of this practice is fully adopted.

The introduction of the provision of safe harbor on the directors will be having certain obligations on its implementation (Taylor, 2012). The Australian Institute of Company Directors stated that it has been observed where companies went into administration just to avoid the complication of trading insolvent. It further stated that the directors are quite concerned about their own liabilities and their decision making power, which basically obstruct them from choosing trading insolvent (Vadi, Vissak and Olivas-Lujan, 2013). The decision of a director of a company will not be applicable to the company or himself but to the future and present aspect of every person who is involved in the company. Most of the cases notice that the companies are placed in to administration even before it is required due to the structure of the current law (Wardrop, 2011). The Australian Institute of the Company’s Director further laid down that in its opinion, the application of the provision of the safe harbor would actually bring innovative result in the business sector, thereby resulting in increased competition. It stated that will place innovation in the market rather than making a company to struggle, leaving no option in its

ANZ aims to become a super-regional bank. This involves growing presence in the Asia Pacific region and source 25-30% of earnings from their Asia Pacific Europe and America Division by 2017, while also being very focused on growth in the core domestic businesses in Australia and New Zealand. ANZ has an exciting ambition to become a super-regional bank – providing the scale and quality of a global business to customers in our core markets of Australia, New Zealand, Asia and the Pacific.

“ANZ’s objective is to become a super regional bank – strengthening our businesses in Australia, New Zealand and the Pacific – while establishing a significant presence in key markets in Asia”

As what I mention before, the purpose of these modifications is to enhance the assessment of managers’ moral reasoning which finally lead to a better understanding of managers’ moral decision-making process. This article suggests that these adaptions the researcher use may help to resolve the ethical dilemmas at the workplace. The better understanding of managers’ moral decision-making process can help the corporations to have a greater prediction of their organizational ethical behavior. (309) I believe if the CEO and stakeholders understand why the managers make certain decisions when they confront ethical conflict that

By building a leading Sub-Saharan Africa financial services group is our strong desires to deliver growth. The ability to keep going for a very long time in our business performance is driven by our people, structure and reach giving us a true competitive advantage.

The ANZ’s goals of Super Regional Strategy is building the best connected, most respected bank across the Asia Pacific region to achieve superior growth and returns over the longer term (ANZ 2014c, p. 3). Smith is expected to govern and led the management board to make the business decision within the framework of the direction that the board set for the business.