Analysis of Importance of Ethics in Accounting and Financial Decision Making by Shanker - Article Example

What the article requires people involved in accounting and finance was the same thing that was asked of us when I worked as a customer service representative for a contact center. We were always reminded to be truthful to our customers like telling them our real name, giving them the correct picture of the situation or problem, and the like. We were also reminded not to disclose to others vital information of our customers like their credit card number and phone number. I think the company I worked for is okay.

But in order to improve the company’s relationship with its clients, management should continue emphasizing to the employees the importance of practicing good ethical behavior. Ethics is important in accounting and financing because being truthful and honest allows one to gain the trust of other people. When we work with others and observe acceptable behavior, we not only help the company grow but we also help ourselves too. The Sarbanes-Oxley Act emphasizes the importance of providing true and accurate facts in financial statements.

The said act also requires companies to be transparent in their financial and accounting activities. The Sarbanes-Oxley Act puts into action the principles Shanker laid down in her article. The Act clearly espouses the importance of confidentiality and earning the trust of the people around you as stated by Shanker in her article.