Leonard_Brooks

Ethics & Professionalism in the Classroom : 

Ethics & Professionalism in the Classroom Ethics & Professionalism in Accounting Deloitte/Federation of Schools of Accountancy Faculty Consortium May 20, 2004 in Chicago Prof. Len Brooks Rotman School of Management, Univ. of Toronto

Ethics & Professionalism : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 Ethics & Professionalism Vision Recent Scandals & Reform Reputation Success Roles Key values, characteristics and techniques Governance expectations Key classroom/learning issues Further Info

Ethics & Professionalism : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 Ethics & Professionalism Perspective … Hopeful Today some of us are extremely fortunate We live in interesting times We study business & professional ethics We understand the problems Remedial action is underway

Ethics & Professionalism : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 Ethics & Professionalism Reputation is Key When I joined the profession E & P, fiduciary duty, assurance role 80s & 90s revenue growth, return, efficiency Post-Enron E & P, fiduciary duty, effectiveness honesty, integrity, conflicts of interest … Tylenol …what were they really selling?

What makes a good reputation? : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 What makes a good reputation? Credibility Reliability Trustworthiness Responsibility Corporate Reputation Fombrun, p. 72 Stakeholders views are key

Accountability-Value-Culture Chain : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 Accountability-Value-Culture Chain GO CAUTION STOP CORPORATION ACTIONS BEHAVIOUR STAKEHOLDER SCREEN INFLUENCES Primary Other ACHEIVEMENT OF STRATEGIC OBJECTIVES Governance Mechanism Formulation of Strategic Objectives Customers Employees Capital Markets Current: Shareholders Lenders Environmentalists Host Communities Governments NGOs Media DETERMINANTS OF VALUE…Success = f(Trust + Respect) CORPORATE CULTURE VALUES ETHICS PROGRAM &CODE TOP MANAGEMENT SUPPORT STAKEHOLDER SYNERGIES CHARACTER PERCEPTION OF: TRUST RESPECT RELATIVE IMPACT RELATIVE SALIENCE LOCAL CULTURE

Stakeholder Lessons : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 Stakeholder Lessons Ethical values that guide action are under scrutiny Broad support is needed, not just by current management, or current shareholders PAs really should serve the public - that is whom GAAP should protect Lack of support leads to failure & reform - corporate governance, professional accounting

What does Corp. Gov. reform mean? : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 What does Corp. Gov. reform mean? Redefinition of roles & responsibilities Agency, Fiduciary, ... Rededication to ethical values Development of new governance techniques Ethical guidance & culture Failsafe systems - whistleblower systems Risk management - including ethics risks Ethical decision making

What should a PA know? : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 What should a PA know? All of the story! Why? To fulfill their role as: Assurance provider Scorekeeper Manager Expert

Bringing E & P into the Classroom : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 Bringing E & P into the Classroom Urgency & Relevance Needed Always a problem Learning styles of business students: YB4WAT (70%/61%) Learning Objectives (75%/72%) Where are they /have been /are going Interaction/hooks…Cases (70%/61%) But now we have Enron, Arthur Andersen, WorldCom … Reform of the accounting profession

Integrate or Stand-alone : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 Integrate or Stand-alone Yes!!! Can you really cover the whole story through integration alone? Not hardly!

For Success : 

Prof. Len Brooks, Rotman School of Management, University of Toronto, 2004 For Success Be Well & Be Ethical For further info Business & Professional Ethics for Directors, Executives &Professional Accountants South-Western, a Division of Thomson Learning, 2004 brooks@rotman,utoronto.ca