Topic
The Implication of Leadership and Organizational Culture on Accounting Fraud
Instructions
For this paper, you are to pick one issue. Some examples are: sexual harassment, high-turnover, outdated processes, fraud, unsafe work environment, ineffective communication, misuse of social media, etc., that is taking place in your own organization, or an organization of your choosing (i.e., Enron, Walmart, Volkswagen, Yahoo, etc.).
You will then choose 2 of the 3 concepts (organizational culture, leadership, ethics) to examine your central issue with. In other words, you are analyzing how the 2 components you chose, negatively impact and perpetuate your central issue.
Once the issue is examined, you will then discuss recommendations that could help decrease your central issue, as well as help the culture, leadership and/ or ethical climate (depending on which 2 concepts you chose).
Before completing this paper, please review the Expectations for the Final Research Paper document.
Answer Preview
Leadership entails the act of using company resources and applying management practices that help in attaining the set goals. Additionally, it involves taking swift and decisive steps at ensuring that the company develops a cutting edge over its rivals (Chen, 2010). To that end, leadership plays a significant role in influencing substantial operations of the firm. The financial department in any organization is one of the core pillars since it enables a company to meet its financial obligations. However, some leaders often use their leadership positions to misuse and misappropriate company financial resources to enhance their personal gains (Chen, 2010). Such actions have always backfired hence affecting their respective company’s financial stability. In extreme cases, some firms have become liquidated from such activities. To that end, financial fraud is among fundamental unethical behavior at the workplace that could negatively impact on the sound financial status of the company.
The style of leadership massively contributes to how a company will perform financially. In cases of financial fraud, transactional leadership has been blamed for taking a center-stage in perpetuating the unethical behavior (Elangkovan and Said, 2013). Leaders have a role to play in providing ethical leadership that can help a firm avoid issues such as financial fraud. Therefore, the tone at the top of the hierarchical structure in leadership should be instrumental in communicating the ethical standards required at the workplace (Zahra, 2007).
Word Count: 2300