Enron Failure

The misadventure of Enron Corporation became a symbol of the excesses of corporations during the economic dampen of the 1990s in the United States. Once billed as Americas Most Innovative Comp some(prenominal) by part magazine, Enron became one of the largest bankruptcies in U.S. history in celestial latitude 2001. The comp whatevers collapse resulted from the reporting of false profits, and by using accounting methods that failed to follow generally accepted procedures. inborn and external controls failed to detect the financial losses disguised as profits for several years. Enrons failure was a result of a breakdown of corporate structure and a failure of leadership. Without consort honourable leadership, ethical standards can non be established in any(prenominal) organization. Leadership affects the workplace and helps to communicate the ethical standards, vision and detonative charge that serve as a platform for the trading operations of any company. Enrons manager s brought the company to the brink of ruin, and many of Enrons employees disconnected their jobs and a hefty portion of retirement savings invested in Enron stock. The neglect of ethical leadership at Enron enabled a finis to develop among management that it was all about the notes!

plot of ground the desire for money, greed and power is not a sweet concept in corporations, Enrons failure was not just now the result of a lack of ethical rules and legal guide rakes and requirements. At Enron, leadership had created a culture that pushed the envelope, a culture that encourage and rewarded risk taking, a cultu re that was fixated on the bottom line and n! ot ethics. The cardinal problem at Enron was not a lack of aw beness, or a lack of clean reasoning, scarce rather the absence of moral leadership and the neglected phylogenesis of a moral corporate culture. Ethical thinking and detailed thinking are an essential part of leadership. Corporate leaders should jazz how to think, know what they think, and know what they value. If the leadership of an organization is ethical and values...If you want to nurture a full essay, order it on our website: OrderCustomPaper.com

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