Ethical Accounting Professionals

The organizational behavior influences the ethical behavior of accounting professionals. Bobek, Hageman, and Radtke (2015) studied reasons of potential discrepancies between the leaders and non-leaders of the accounting firms. The firm’s ethical norms directly influence the behavior of its members. The researchers indicated that it is important to identify and understand the factors that affect ethical norms in the organization (p. 125). The firm’s leaders should play a meaningful role in building and supporting the ethical environment. It is essential to analyze motives of perceptions’ inconsistencies in of the ethical setting between the management, partners, and other accounting professionals of the firm. Bobek et al. (2015) examined the …show more content…
(2014) examined the study of Brown (2005), Lin (2009), Pastoriza (2007), and Mayer (2009) to analyze the effect of management ethical leadership on employees’ behavior, organizational performance, and financial results. The theory demonstrated that the company leadership creates an ethical climate they need to achieve expectations. The management behavior has a cascading effect on employee’s actions. Then, it allows the top management guiding collective perceptions and build a favorable organization structure (p. 44). Shin et al. agreed with Menz (2012) and Brown (2005) that management through the decision-making, communication, and sanctions manipulates with the organization environment (p. 44). Senior executives possess the knowledge of Code of Ethics to regulate the justice climate, formulate norms, and limit employees’ …show more content…
(2012) examined the study of Brown (2005), Gramling (2004), Maroney and McDevitt (2008), and Sweeney 2010) to analyze the influence of moral intensity and ethics on the decision-making in accounting. The moral intensity is the most dominant factor that increases the effect of the combined power of internal audit functions and management ethics on financial decisions, reporting, and disclosure (pp. 352-353). Arel et al. agreed with Trevino 1(986) and Prawitt (2009) that numerous factors influence ethical decisions of accountants. Among well-known are the corporate culture and style of the corporate governance (p. 353). The internal audit function is the element and tool of the corporate governance. The Committee of the Sponsoring Organizations of the Treadway Commission (COSO) and Institute of Internal Auditors (IIA) provide a detailed guidance on the implementation of internal control. The effective internal control function and the ethicalness of accounting processes generate ethical financial decisions and reliable financial reporting (pp.

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