RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012

RajeevKumar-BUS510-BC 2011-Module01_05072012

BUS510-BC2011 Dr. Bari Courts May 7, 2012

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Essay Question/Considering Ethics: Institute of management accountants (IMA) has developed principals and ethical standards, which remind us that society expects companies and professional accountants to exhibit the highest level of ethical behavior. IMA ethical principles include honesty, fairness, objectivity and responsibility. IMA has published the following standards of ethical conduct for its members Management accountants and members have an obligation to comply with these standards. Competence: Management accountants have the obligation to improve on a continuous basis in order to insure a high level of professional competence. Confidentiality: Taking into account the nature of the information supplied by the management accounting, it is important to ensure its confidentiality. Integrity: Management accounting practitioners must maintain integrity. They must avoid conflicts of interests, and refuse presents or benefits that might influence their current or future actions. Credibility: Credibility expected from management accountants is related to their obligation to communicate the information fairly, objectively, even if this information is not in the favor of those who requested it. The global economy has shifted the power to impact the world in lasting way from government to multinational companies and we see cross-border operations of economic activities such as production, investment financing, technology utilization and marketing.

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Due to the globalization of markets, an ever-increasing number of marketers and business people have to deal with ethical conflicts in cross-cultural settings. International business ethics is becoming very important in view of the globalization of business activity. Companies all over the world have been forced to come to grips with the costs and consequences of unethical behavior that result from cultural differences. There is no true global consensus on what is morally correct. By refusing to deal with countries or business that engage in unethical practice these companies can have a real effect on introducing common ethical standards for business across the world. The key question is that can we remain competitive and follow ethical standard for outsourcing, sustainability, and social responsibility. Global business, which includes outsourcing, must be very careful with business ethics. Some people do consider outsourcing completely unethical but we cannot deny the fact that outsourcing is now an absolute necessity to be competitive in market. If you really want to outsource ethically, work as if an ethical outsourcing compliance code is already in place. If, everyone who is outsourcing outsources ethically, people will stop calling outsourcing unethical. Have some set of rules and principles for you when it comes to business and outsourcing and follow them. Sustainability is the ability to meet the needs of the present without compromising the ability of future generations to meet their own needs. To move towards environmental sustainability, companies are introducing Green Initiative ways of doing business that do not have negative consequences on the earths resources. They have also recognized the need to be socially responsible carefully considering how their business affects employees, consumer and local citizens. Many companies have introduced means of

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Giving Back to their local communities by monetarily supporting local school and charities. Businesses are now viewing sustainability and social responsibility as opportunities for innovation and business development. Corporate social responsibility and environmental sustainability are well recognized as a business strategy to define and defend an organizations position in the marketplace. Ethical compliance presents a strong public image and upholds the integrity and character of an organization. Whether personal or professional, not many of us will want to associate with unethical individuals. It makes a lot more sense to do business with ethical organizations as it has a direct influence on the overall functioning of a business.

Microsoft Standards of Business Conduct (USA): Please find the business practices of Microsoft as follows. Microsoft manages their business in compliance with laws and regulatory requirements. Regulatory Compliance: Microsoft is aware of and obeys the laws and regulations that govern the global management of business. International Business Activities: Microsoft acknowledges and respects the diverse cultures, customs, and business practices it encounters in the international marketplace. Bribery and Anti-Corruption: Microsoft prohibits corruption of government officials and the payments of bribes or kickbacks of any kind, whether in dealings with public officials or individuals in the private sector.

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Anti-Boycott Requirements: Microsoft complies with U.S. law that prohibits participation in international boycotts that are not sanctioned by the U.S. government. Trade Controls: Microsoft is committed to maintaining compliance with all laws and regulations governing the import, use, export and re-export of its products, components, goods, services and technical data. Fair Competition and Antitrust: As a global business, Microsoft encounters laws and regulations designed to promote fair competition and encourage ethical and legal behavior among competitors.

Microsoft builds and maintains the trust and respect of their customers, consumers, partners, and shareholders. Responsible Leadership: Microsoft manages business responsibly in order to maintain the confidence, respect, and trust of customers, consumers, partners, shareholders, and other audiences. Fair Information Practices: Microsoft business is built around technologies to manage information, and it treats that information with confidentiality and integrity. Vendors: Microsoft vendors must adhere to the highest standards of ethical behavior and regulatory compliance and operate in the best interest of Microsoft. Financial Integrity: Microsoft honestly and accurately record and report business information.

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Intellectual Property: Microsoft complies with the laws and regulations that govern the rights to and protection of Microsoft and others' copyrights, trademarks, patents, trade secrets, and other forms of intellectual property. Creation, Retention, and Disposal of Records and Information Assets: Microsoft creates, retains, and disposes of their business records and information assets, both written and electronic, as part of normal course of business in compliance with Microsoft policies and applicable regulatory and legal requirements. Confidential and Proprietary Information: Microsoft respects ethical and legal responsibilities to protect Microsoft confidential and proprietary non-public information and communicate it only as necessary to conduct Microsoft business. Third-Party Software: Microsoft use software and other content information only in accordance with their associated licenses and/or terms of use. Insider Information and Securities Trading: In the course of doing business for Microsoft or in discussions with one of its customers, vendors, or partners, we may become aware of material non-public information about that organization. Individuals who have access to this type of information are called "insiders." We discuss this information on a limited, "need to know" basis internally, and do not share it with anyone outside Microsoft. Conflicts of Interest: Microsoft employees are expected to act in the best interests of Microsoft and to exercise sound judgment unclouded by personal interests or divided loyalties.

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Microsoft promotes a diverse, cooperative, and productive work environment. Openness, Honesty, and Respect: Microsoft strives to be open, honest, and respectful in sharing ideas and thoughts, and in receiving input. Diversity: Microsoft promotes and supports a diverse workforce at all levels of the company. Microsoft is a responsible, caring member of the global community. Citizenship and Community Service: Microsoft encourages the support of charitable, civic, educational, and cultural causes. Respect for the Environment: Microsoft complies with applicable laws and regulations regarding the use and preservation of our land, air, and water.

The Code of Business Conduct and Ethics (Code) of Jet Airways (India) Limited: The Code of Business Conduct and Ethics (Code) has been adopted by Jet Airways (India) Limited to comply with applicable law and the rules and regulations of the Stock Exchanges on which the securities of the Company are listed. Please find the business practices of Jet Airways (India) Limited as follows. Guidelines for conduct of directors: Each director should seek to use due care in the performance of his / her duties, be loyal to the Company, act in good faith and in a manner such director reasonably believes to be not opposed to the best interests of the Company. Corporate Business Opportunities: Jet Airways prohibits workforce using Company resources or information, or their position as directors or employees, for personal gain; and competing with the Company, directly or indirectly.

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Conflicts of interest: Each employee and director should avoid having his or her private interests interfere with the interests of the Company or his or her ability to perform his or her duties and responsibilities objectively and effectively. Company Property: In carrying out their duties and responsibilities, all employees and directors should endeavor to protect the Company's assets and proprietary information, and ensure that the Company and its employees only for legitimate business purposes of the Company are using the same. Confidential Information: Employees and directors should maintain the confidentiality of confidential information entrusted to them in carrying out their duties and responsibilities, except where disclosure is approved by the Company or legally mandated or if such information is already in the public domain. Fair Dealing: In carrying out their duties and responsibilities, employees and directors should endeavor to deal fairly, and should promote fair dealing by the Company, its employees and agents, with customers, suppliers and competitors. Compliance with laws and regulations: In carrying out their duties and responsibilities, directors and employees must comply with applicable laws, rules and regulations. Insider Trading: Employees and directors should observe all applicable laws and regulations including the Company's policies and codes as applicable to them with respect to the purchase and sale of the Company's securities. Encouraging the reporting of illegal or unethical behavior: Directors and employees should endeavor to promote ethical behavior and to encourage employees to report evidence of illegal or unethical behavior to appropriate Company personnel.

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Record keeping and reporting: The Company requires honest and accurate recording and reporting of information in order to make responsible business decisions. No rights created: This Code sets forth guidelines for conduct of the employees, officers and directors of the Company. Waiver and Amendments: Any amendment to this Code must be approved by the Board of Directors and publicly disclosed as required by any applicable law or regulation. Compliance Standards and Procedures: Company workforce must work to ensure prompt and consistent action against violations of this Code.

References http://www.jetairways.com/EN/VN/AboutUs/CodeOfConduct.aspx http://www.microsoft.com/about/legal/en/us/compliance/buscond/default.aspx

RAJEEVKUMAR-BUS510-BC 2011-MODULE01_05072012 Memorization Exercise Let study managerial accounting. Its all about planning, controlling and directing. Cost benefit analysis helps in making decision Delivery of products or service to customers is distribution. There are manufacturers, three types of inventory Raw material, work in progress and finished goods inventory. One day CEO will be my designation; COO and CFO would be under my consideration. But confuse, I own what kind of company either manufacturing or marketing or may be service globalization. Let study managerial accounting. Its all about planning, controlling and directing.

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