Case Study- The BBDE Health Center Essay

842 Words Feb 20th, 2014 4 Pages
Case Study- The BBDE Health Center: A Case Study of Business Ethics

1. What decisions or actions taken by the individuals in this case are questionable?

 The first problems identified in this case was that the company had no laws and regulations.
 No one was willing to stand up to the CEO and tell him where he was going wrong.
 The CEO is more concern about the color of the carpet laid than setting corporate strategies.
 He ignored all the important issues in the company.
 Mr. Rulan thought he had mastered accounting, and had very little interest in expanding on what he learned in is one college accounting class,
 The company was paying the expensive for a person that did not work for
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3. List each action that the CEO, the controller, and the board of director could take at the end of the case. What would be the consequences of each course of action?
1. The CEO could take accounting classes. According to the IMA Statement of Ethical Professional Practice, each member has a responsibility to "Maintain an appropriate level of professional expertise by continually developing knowledge and skills." Consequences: He would glean a better understanding of accounting principles. There will likely be a reduction in some of the work issues.

2. The CEO could continue as is - after all he was the mastermind behind the company.

1. The controller could request an independent audit by either the Government or another agency.

2. The controller could keep the status quo; i.e not change anything. After all, he does not have any concrete evidence.

3. The controller could speak directly to the board without the presence of the CEO.
1. The BoD can implement policies to have more frequent audits.

2. The BoD can implement a policy to change board members every 5 years or less (I think everyone has been there for at least 10 years? They may have gotten comfortable).

3. The BoD can establish regulations regarding family members' use of the company's resources.

4. The board can bring in Leadership Trainers for all the board members; they will help with the

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