Reporting Practices & Ethics Essay Example for Free

Reporting Practices Ethics Essay Financial management can be defined as both an art and a science of organizing the financial resources of an organization in such a way as to achieve maximum output from the finances that are available to the organization. (Brigham Ehrhardt, 2004). Financial management is one of the key aspects that each organization including healthcare facilities need to put more emphasis on to increase efficiency. The four elements of financial management There are four fundamental elements that guide the art of financial management (Baker Powell, 2005) these include: i) Financial accounting and reporting This element of financial management enables both the financial managers and the general managers to be able to undertake the legal reporting responsibilities by providing the information and data that can be scrutinized. ii) Financial Analysis It is an indicator of the performance of an institution or a company. It can be used to expose potential shortcomings or any weaknesses which the management should put more focus on to be able to meet both short and long term goals of the institution. iii) Financial planning Budgeting The first two elements of financial management i. e. financial accounting and reporting and financial reporting, lead to the third element which is financial planning and budgeting. The financial plans and budgets are prepared from the first two tools and will help to guide the company or institution in both the short run and the long run (Brigham Ehrhardt, 2004). This is an important financial tool that can help to identify any shortfalls or deficits in the internal funds in an institution and thus point to the need for external funding such as debt or equity financing. iv) Financial Activities These are the activities which a company can explore to be able to make up for any deficit in the internal budget. These sources of financing could include: retained earnings, contributions from donors and governments, equity and debt financing and leases or concessions. Generally acceptable accounting Principles There are several principles that can be considered as acceptable in financial management and these include: i) Consistency-this means that across all time periods, all information that is gathered and presented should be the same. It holds that a company/institution cannot for example change the way in which they do their inventory without a valid reason for the change being included in the financial statements. ii) Relevance-this stands for the appropriateness of the information that is contained in the financial statements presented. These statements should be able to help one to predict the future financial state of the company or institution. Reliability-an independent party should be able to verify the information that is presented in the financial statements. The institution must be sure that an independent auditor would come up with the same findings if they were to carry out the same analysis (Brigham Ehrhardt, 2004). This is a great way for the company or institution to prove that it is transparent and can be trusted. iv) Comparability- this means an institution’s financial statements can relate with similar businesses within the same industry. This enables investors to note the differences within an industry to compare the performance of a company in relation to others in the industry. These generally acceptable principles ensure that all the companies are on the same level playing grounds. General Financial Ethical Standards The ethical standards that should be closely observed in financial management include: i) Conflict of Interest It occurs as a result of a clash of the private interests of an individual with the interests of the company. As a result of these actions one is unable to effectively carry out the duties due to him/her in the organization. This can also be as a result of an individual or a member of his/her family receiving personal benefits in an improper way due to the position they hold in the organization (De Boers etal, 2007). Another case that can bring about a conflict of interest is when one at the time of working for a company has associations with a competitor. Thus all staff of a company should report to the executive officers any transaction that is likely to bring about any conflict of interest. ii) Corporate opportunities This deals with the fact that one should always help the company to advance its interests first wherever possible and there should be no use of corporate property or information for improper personal gain. Employees are also prohibited from competing with the company or organization either directly or indirectly. This ensures that the institution always gets top priority from its employees and at such improves business practices. iii) Compliance and Reporting All the employees of financial institutions should make it top priority to identify any potential problematic issues. They should also seek for help whenever they have doubts about the codes of conduct in the financial institution (De Boers etal, 2007). Any violation of this should lead to subsequent disciplinary action. This standard is important as it helps the institution to identify any potential problem way before they occur if all the employees observe this standard keenly. iv) Public Disclosure The information in the public domains should not only be fair and accurate, but also timely and understandable and should include the interest of all the key stakeholders in the institution. Information should not be knowingly misinterpreted or omitted or be presented in such a way as to cause others to do the same. This standard helps the institution to win the confidence of the public and more so the shareholders as it displays that their operations are transparent. v) Fair Dealing Each employee in the institution should strive to be fair in their dealings with all the involved parties and especially the clients, suppliers and service providers as well as employees and competitors alike. This helps the institution to gain goodwill of all the people the deal with and it helps to build the reputation of the institution (Baker Powell, 2005). Reporting Illegal and Unethical Behavior It is the duty of all employees to report any one that is deemed to be going against these ethical standards. This reporting can either be internal or external and it should be treated with utmost confidentiality. References Brigham, E. Ehrhardt, C. (2004). Financial Management: Theory and Practice. Boston Massachusetts: South Western College Publishing. De Boers, P. , Ruud, B. , Wim, K. (2007). The Basics of Financial Management: An introductory course in finance, management accounting and financial accounting. New York : Routledge Publishers. Baker, K . , Powell ,G. (2005). Understanding Financial Management: A Practical Guide. New Jersey: John Wiley Sons Inc.

Free Essays on The Stranger (The Outsider): Relationships :: Camus Stranger Essays

Relationships in The Stranger (The Outsider)  Ã‚   On the surface, Albert Camus's The Stranger (The Outsider) was about a misguided man and his sudden, fatal tribulation. Covertly, a second, more heart-grasping plot occurred in the novel. It involved a misfortuned widower and his side-kick of a dog. This scenario can be sharply contrasted to Meursault's insensitivity toward all life (and beyond). Purposefully, this contrast will evidently prove the case that Camus employed a broad range of multipersonality to enhance his novel and, perhaps, to illustrate the keen differences in people. Salamano, the widower, was afforded the dog shortly after the passing of his wife. Apparently, he showed no regard or value for her, for "he hadn't been happy with her, but he'd pretty much gotten used to her" (Camus 44). The dog was to fill the void in his life. He often pampered the dog and lavished it with gifts. When the dog took ill, he nourished it back to a considerable health. However, soon afterward he became indifferent to the dog. He began verbally and physically abusing the dog. His second "marriage" mirrored the one with his wife profoundly. The dog eventually ran off to escape the punishment, and once again Salamano experienced a life of solitude. He did not get over this loss as well or as soon as the one of his wife. He came to the realization that he had taken life for granted. To prove this, he rarely socialized prior to his dog's disappearance; after losing the dog, though, he offered his hand to Meursault in kindness (Camus 46). Meursault, in contrast, does not change his mental attitude at all in the novel. His time was precious, for he could correspond with no one unless arrangements had been made in advance. He was very disrespectful and unsensitive, and he was very open about this fact. One aspect of his attitude was the relationship between him and Marie. She was only a sex object to him. He based their relationship solely on sex and sexuality. He most definitely talked with her, but he did not truly care for her.

Estore at Shelll Essay

In recent years there has been shift in the fuels and lubricant marketplace that has resulted in more price-sensitive customers and a growing downward pressure on Shell Canada’s margins. Due to the financial pressure to reduce costs, Shell Canada launched an online, self-serve â€Å"eStore† to their agricultural customers in hopes of streamlining their business, cutting costs and salvaging their shrinking profit margins. The purpose of this case report is to address and analyze the issues surrounding eStore, identify the best alternative to solve the key issues and determine the most appropriate method of implementation. It is anticipated that these findings will illustrate the strengths and weaknesses of potential solutions, which will in turn lead to actual implementation of the best solution. Key issues encompassing Shell’s shrinking profit margins, communication and delivery and technology were identified and discussed. Using a SWOT analysis and the Porter’s Five Forces model, internal and external factors affecting the eStore business plan were analyzed. In accordance with the analysis, three alternatives were generated including the redesign of eStore website, abandonment of the online project and the generation of alternative self-serve strategies. After considering which solution would best serve the eStore initiative at Shell Canada, it was determined that continuing with the project and redesigning eStore would be most effective and a plan of implementation was established. It is recommended that Shell Canada follow the implementation plan in order to attain maximum success for eStore. Despite some reluctance of agricultural customers to adopt an online ordering system, there are clear opportunities for Shell’s eStore initiative to succeed in this market. Introduction As a leading manufacturer, distributer and marketer of refined petroleum products, Shell Canada limited is one of the largest integrated petroleum companies in Canada. With consolidated earnings of $810 million and $9. 5 billion in assets in 2003, Shell Canada was ranked the 14th largest company in the country. In recent years there has been a shift in the fuels and lubricant marketplace that has resulted in more price-sensitive customers and a growing downward pressure on Shell’s margins. The agricultural segment s specifically underperforming and because of this, Shell hoped to effectively implement an online ordering system that would decrease the need for costly rural sales representatives. After the initial launch in September of 2002, it was noted that eStore was not as successful in attracting and retaining customers as initially planned. This report will outline key issues, conduct internal and external analysis and prepare an action plan to implement the best solution to achieve success in Shell’s eBusiness initiative. Key Issues Shell has three key issues that need to be addressed before deciding how to best proceed with the implementation of eStore. Shrinking Profit Margins in the Agricultural Segment With the shift in the agricultural segment towards price-sensitive customers, Shell Canada is currently experiencing a growing downward pressure on margins and is thus faced with the need to minimize costs. The remoteness of Shell Canada’s agricultural customers provides unique challenges in managing communication, delivery and sales settlement, therefore there is a need for a more streamlined process in managing these customers. Using local sales representatives in the agricultural segment is costly, and thus Shell is faced with the need to move towards a more efficient, self-serve strategy for these customers. In order to effectively decide on an implementation strategy for eStore, Shell Canada needs to determine an optimal self-serve strategy to satisfy these customers. Communication and Delivery The second key issue is centered upon the lack of sufficient marketing of eStore. After the initial implementation of eStore, Shell Canada noted a pattern whereby customers had signed up for an account only to not use it again or use the system only perfunctorily. Feedback from the customers indicated a range of issues, including a lack of familiarity with eStore and a preference to use other options such as their local sales representatives, or the call center to place their orders. Some customers had not heard of eStore, and those who had, did not see the added value of eStore, and were concerned that an online solution was no better than either placing their orders directly through the 1-800 call center or faxing orders in directly. Many preferred to do business with their local sales representative as they valued the personal relationship of dealing with someone in their own community. Shell is faced with the need to develop a strong marketing platform that will attract customers to eStore in order to increase usage levels. Technology A user experience review of eStore by RareMethod consulting group also indicated a number of technological issues with the eStore website. While some customers saw the value, many found it cumbersome to use and experienced inconvenient interface-related issues. Some customers found the website cryptic and often encountered trouble when typing the Web address. If they failed to type the secure connection URL, it appeared as if the system was non-responsive. Also, the passwords automatically generated by eStore were often too complex for the customers to remember. They required the customer to remember a random sequence of letters and numbers in order to conform to the strict security guidelines. The log-in screen was confusing to customers as it presented what appeared to be two separate log-in panes, one for customers, and one for employees. As these two options were not clearly labeled, customers who chose incorrectly would be presented with an error notification, and would invariably stop trying to log on. The e-mails customers were receiving from eStore were also confusing. Instead of receiving e-mails from eStore, customers were receiving e-mails from eBusiness, and having no familiarity with eBusiness, would often ignore them. In order to enhance the user experience and retain customers on the system, Shell must eliminate these cumbersome interface-related issues and design a website that is more user-friendly. Given these key issues, the following ranking was created based upon their importance and urgency. Shell’s greatest strength is arguably the relationship they have developed with their agricultural customers. By taking advantage of the rapport the local representatives have built with their rural customers, Shell can effectively use these employees as distribution channels to promote eStore. By using Shell International, Shell Canada can also capitalize on considerable resources and expertise to develop an effective implementation strategy. The Electronic Customer Access to Shell (eCATS) initiative by Shell International to develop a generic electronic store can be used as the basis for the self-serve application needed in the Canadian marketplace. By using eCATS as their platform, Shell Canada is able to considerably reduce the development costs. Capitalizing on these strengths will allow Shell to effectively implement eStore in their target market. Weaknesses  Although assessed above as a strength, the relationship the local representatives have built with the rural customers is concurrently one of Shell’s weaknesses when considering the implementation of eStore. Because customers have been able to enjoy a personalized working relationship with members of their own community, they could be hesitant to adopt an impersonal online system that will remove the valued relationship they have with their local representatives. The lack of sufficient marketing for the eStore project is also one of the weaknesses Shell faces in implementing eStore. Many of Shell’s customers have never heard of eStore, and those have do not see the added value in using an online system. Even the local representatives are not fully on board as many feel their time is better spent dealing with client issues rather than promoting eStore. Other weaknesses pertain to technological and user-interface related issues. The customers that have tried eStore are not currently satisfied with the online system and as a result, eStore is experiencing low usage levels. Opportunities Due to the remoteness of many of Shell’s agricultural customers, there is an unfulfilled need to develop a system that makes communication, delivery and sales settlement easier and more efficient for these customers. An online, self-serve strategy provides customers with an easy, convenient way to place orders and gives Shell an opportunity to more effectively manage these customers and generate sales. Also, while a competitor analysis showed that there were many competitors in the market such as Imperial Oil, Irving Oil, UFA, PetroCanada and Federated Co-op, none was pursuing initiatives similar to eStore. Because these companies are likely experiencing the same margin compression, this gives Shell the opportunity to salvage profit margins and simultaneously increase their market share by providing customers with the innovative offering of an electronic store. Streamlining business using an online system would not only attract new customers, but it would also cut costs and relieve some of the pressure on Shell’s margins. Threats Although Shell Canada has few external factors that would seriously threaten the implementation of eStore, there are a few considerations to keep in mind. With the shift in the agricultural segment towards price-sensitive customers, Shell Canada must find ways to satisfy these customers in order to maintain their business. Shell must ensure that an online store is the most effective way to keep these customers, not deter them. Also, although no other company has currently developed an electronic store, there is nothing stopping them from developing one in the future. If Shell is unable to effectively implement their eStore, another competitor could easily learn from Shell’s mistakes, and develop a more effective online system that would satisfy the particular customers Shell was trying to attract. Porter’s Five Forces Analysis The ‘Porter’s Five Forces’ model was designed primarily to conduct industry analysis. It may aid a company to understand both the â€Å"strength of their current competitive position and the strength of the position that they are looking to move into. The model is used to identify whether new products, services or businesses have the potential to be profitable† (Porter’s Five Forces, 2010). Figure 2: Illustration of Porter’s Five Forces Model Source: http://www. quickmba. com/strategy/porters. html Supplier Power- Low  The supplier provides the input for the final product or service, and therefore the supplier for Shell’s eStore is the developer and platform owner. Although implementation of the online system requires the development of at least some the applications since they are not readily available in the marketplace, Shell has extensive resources to draw upon from within the organization therefore making the supplier power low. Members of the Calgary IT group were involved with the development of eCATS and Shell Canada has a strong information architecture already established to guide the implementation of eStore. Buyer Power- High With the shift in the agricultural segment from traditional based farming methods to business-class farming, the fuel and lubricant market currently consists of highly price-sensitive customers. As business-class farmers make up a vast majority of Shell’s agricultural business at 95 per cent, these customers control about 2 percent of Shell’s total market share, and make up a significant source of revenue. Since there are no associated switching costs, customers can easily choose to do business with any company offering the lowest price. As well, customers can decide which services best meet their needs and implementing an electronic store website is only as useful as the number of users. If few people make the transition, regardless of the services eStore can offer, the system will be virtually useless. Threat of Substitutes- High Although substitution is currently not a threat as no other companies have developed an eStore, it is likely that another company could easily develop the same initiative in the near future. While the internet is not heavily regulated in Canada, there is no way for Shell to develop a patent on their eStore system. Another company could not only follow suit, they could learn from Shell’s mistakes and make their own store more effective. Although Shell Canada had the cost-saving advantage of using eCATS as their platform foundation, technology is getting cheaper and companies may be easily able to buy better, more effective online applications off the shelf. Similarly, if Shell fails to satisfy customers with an online ordering system, ustomers may look to other companies that offer the representative relationship they prefer. Barriers to Entry- Low The marketplace in which eStore will conduct business is online, and therefore there are very few barriers to entry. Because there is little regulation online, other companies can easily enter this marketplace with similar initiatives. Moreover, it is often the case that the second version of an IT system is better than the first, therefore other companies can see what Shell has done with eStore, and make their version even more efficient. Competitive Rivalry- High  Taking into consideration the aforementioned factors, competitive rivalry can be considered high. With price sensitive customers in the agricultural segment occupying 2% of the market share, and many players in the market, the company that offers the lowest price will assume this customer base. Shell’s online initiative could potentially set them apart from the competition by offering an innovative, more efficient way of doing business. By reducing their own costs, the savings could then be passed on, at least partially, to the customer in the form of lower prices.

U.S. States With No Income Tax

While individuals and businesses in all 50 states pay federal income tax, residents in 41 states also pay state income tax. Seven states have no state income tax  at all: Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming. In addition, the states of New Hampshire and Tennessee tax only the interest and dividend income of their residents gained from financial investments.   Of particular interests to retired persons or those nearing retirement, while federal taxes still apply, there is no additional state income tax on Social Security benefits, withdrawals from IRAs and 401(k)s, and payouts from pensions in these nine states. State income tax is typically based on the taxable income or adjusted gross income reported on the taxpayers annual federal income tax return. Key Takeaways The states of Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming do not tax the incomes of their residents.The states of New Hampshire and Tennessee tax only income from interest, dividends, and financial investments.Due to the needs of these nine states to provide services and maintain infrastructure, other non-income taxes, such as sales taxes, property taxes, and fuel taxes can be higher than in states with income tax. Not Always Cheaper to Live There The fact that a state does not have an income tax does not necessarily mean that its residents pay less in taxes than residents of states with an income tax. All states must generate revenue and they do so through various taxes including income taxes, sales taxes, property taxes, license taxes, fuel taxes, and estate and inheritance taxes, just to name a few. In states without state income tax, higher sales, property and other assorted taxes can exceed the annual cost of a state income tax. For example, all states except Alaska, Delaware, Montana, New Hampshire, and Oregon currently charge sales tax. Food, clothing,  and prescription drugs are exempt from sales tax in most states. In addition to states; cities, counties, school districts, and other jurisdictions impose real estate and sales taxes. For cities that do not sell their own utilities, like electricity and water, these taxes represent their main source of revenue. Still, it is worth noting that during 2006 and 2007, the seven states with no income tax whatsoever, Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming, led the nation in net population growth. However, the nonpartisan  Center on Budget and Policy Priorities has reported  that a states income taxes have little influence over whether people ultimately decide to live there. How Do These States Get By Without Income Tax? Without revenue from income tax, how do these states pay for the basic functions of government? Simple: their citizens eat, wear clothes, smoke, drink alcohol, and pump gasoline into their cars. All of these and more goods are taxed by most states. Even states with income tax tend to tax goods and services in order to reduce their income tax rates. In states without an income tax, sales taxes and other fees, such as vehicle registration fees, tend to be higher than in states with income tax. For example, Tennessee, where only investment income is taxed, has the highest sales tax in America. When combined with local sales taxes, Tennessee’s 7% state sales tax results in a combined effective sales tax rate of 9.45%, according to the independent and bipartisan Tax Foundation. That’s more than twice the combined sales tax rate in tourist-laden Hawaii. In Washington, gasoline prices are usually among the highest in the nation, largely due to its gasoline tax. According to the U.S. Energy Information Administration, Washington’s gas tax, at 37.5 cents per gallon, is the fifth-highest in the country. Non-income states of Texas and Nevada also have higher-than-average sales taxes, and according to the Tax Foundation, Texas also has higher-than-average effective property tax rates.   And So, Higher Costs of Living for Some Those extra taxes help to result in higher-than-average costs of living in some of the non-income tax states. Data from the independent Center for Regional Economic Competitiveness, Florida, South Dakota, Washington, and New Hampshire all have higher than the median costs of living than in most states with an income tax. So the bottom line is that there is just not enough concrete evidence to say whether or not it is really cheaper to live in a state with no income tax.