Professional Ethics And Governance - Assignment Example

The creativity and the risk taking will provide the decision makers in securing and protecting the risky partnership with the stock of Enron and ensuring that the stock will not fall (Healey and Isles, 2002). The values of Enron that is included in the corporate culture is not balanced and maintained by proper and appropriate attention that is required for increasing the corporate integrity and also acquiring of the customers and not only providing value to its shareholders. The corporate culture of Enron mainly embraces its value which is of large size which is not only considered as the value but also as a strategy in order to attain big mission or objective.

Enron has faced a severe failure partly because of the existence of complexity and partly because of its size and the auditors failed , the bankers and the creditors failed, the management of the company failed and even the regulators also failed to safeguard and control the integrity of the capital market (Erwin, 2011). The combination of the various failures has resulted in the structural problem of the company. Arthur Andersen has been considered as the most influential, high earning and the most ethical accounting firm of the world.

In spite of the rise in the consulting services, the relationship of the firms with its clients the company faced several threats from the investors of its regulators, clients and courts. Andersen failure in maintaining proper audit has both legally and ethically disrupted the various aspects that are related to the development of the ethical standards and accounting theory. The maintenance of quality control which is termed and regarded as the most important element and factor in the accounting profession has also been violated by Andersen (Stevens, 2013).

The corporate culture of Lehman brother can be analyzed by the fact that it failed to face the severe and aggressive recession that prevailed in the year 2008 and it went bankrupt. Lehman