Derivative Markets Essay Example for Free

Derivative Markets Essay Last dozen of years are characterized by rash growth of volumes of national and international markets of derivative finance instruments or derivative markets. By opinion of experts, appearance and development of derivative markets is the most important event of economic life within last twenty five years. In the very name of these instruments – â€Å"derives† lays the fact that they appeared and started to develop on basis of floaters and futures almost for all types of exchange products (starting with oil and gas and ending with soy beans and orange juice), and also for exchange index, percent rates, rate of exchange, etc. Presently new types of derivates appeared: on the basis of sea freight rates (London), cost of microprocessors, permissions for environment pollution (USA), etc. To the first generation of derivates specialists relate futures and stock option plans, which are used at organized markets (exchanges) in form of standardized contracts, and also popular at non-exchange market (market OTC – over-the-counter) (William Falloon pp. 26-28) currency swaps, stock option plans and inter-bank agreements regarding forward rate agreement. From the very beginning the main functions of derivates was to provide distribution of risks among participants of business deal, connected with change of stuff price, rates of exchange, percent rates, stock rates, exchange indexes, etc. Nowadays operations with derivates are still the main way of insurance from different risks and risk management. The first signs at derivative markets became successful issue of currency futures in 1972 at Chicago Mercantile Exchange; the second issue of percentage futures followed in 1975 at Chicago Board of Trade. In the first half of 1980-s rapid growth (Remolona, Eli, M., pp. 28-43) of operations with derivates, followed with appearance of more and more new types of derivates. In 1980 appeared New York Futures Exchange; in 1982 London international Financial Futures and Options; in 1986 – MATIF Marche a terme international de France in Paris; in 1988 Swiss Options and Financial Futures Exchanges, etc. At these and other organized (exchange) markets trade is fulfilled by standard (typical) contracts, which are sold or at exchange auctions (MATIF in France), or with help of automatized information systems (for example, Globex). Final calculations for all deals are made by computational (compensational) palates (George Benston and Shehzad Mian pp. 217-246) The first â€Å"legal† operation of currency swap (exchange of dollar to Swiss francs) was made in August 1981 between American company IBM and International Bank of Reconstruction and Development. Market of percentage swaps appeared in the United States by initiative of company â€Å"Sallie Mae†. The major part of swap operations was executed by leading international banks, which in the beginning were present as mediators between participants of currency swaps. In succeeding years banks became to work as active participants of derivative deals, acting at their own cost and in their own interests.   When in the first half of 1980-s derivative market was developing mainly in the United States, in the second half derivative market started to develop quickly in Europe and Japan. Volume of world market of swap operations increased from 200 milliard dollars in 1985 to 2900 milliard dollars in 1990. Such quick growth was stipulated with legal standardization of contracts, development of information systems and means of communications. According to data of questionnaire which was executed by International Swaps and Derivatives Associations, volume of world derivative market for the beginning of 1993 was 5.4 trillion dollars, including percentage swaps – 3.9 trillion dollars, currency swaps – 860 milliard dollars, cap and floor operations – 577 milliard dollars. By approximate estimation of magazine Swap Monitor, volume of derivative markets was much higher – 7 trillion dollars (at the same date of 1993). In the United States only 6 banks control 90% of derivative markets. In France 80 banks act at the market of currency contracts; at option market – 24 banks. Volume of operations with derivates at exchange and non-exchange markets, which make French credit institutions and which are shown at their balance, in 2.2 times exceeds amount of their balances. By information of International Calculations Bank, already in 1991 volume of OTC market was 4500 milliard dollars. From that time its volume significantly increased. Quick growth of derivative market volume in the beginning of 1990-s is connected with increasing of instability and uncertainty at world financial markets, also influenced by such events as was at Persian Gulf, collapse of USSR, crisis of European system of currency, etc. besides, progress in the field of informational technology, which allowed to process big volumes of information almost immediately and great funds, involved in financial turnover, give grounds to speak about existence of real industry of derivates. As we already spoke about, quick growth of derivative market was accompanied by appearance of new and new their types and kinds; this process developed and continues to develop in legal and non-official market. Financial instruments, which represent different combinations of derivates of the first generation, quickly were added to the first derivate generation (for example, combination of percentage options â€Å"cap/floor†, swaptions – combination of swap and option. In the beginning of 1990-s appeared such exotic instruments as swaps for non-typical indexes, annulated swaps, options for options, etc. One of novelties for Parisian exchange was issue of bons doption, which gives right to the buyer for purchase of actions or debentures by fixed price. During the last four years number of diversities of such warranties increased from 15 to 500, they are in easy access to any investor, even those who doesn’t have big amount of money. Appearance of new types and kinds of derivates is stipulated not only by increasing demands of clients in more perfect means of insurance from risks (Ludger Hentschel and Clifford Smith Jr., pp. 101-126), but also by constant perfection of informational technology and equipment, mechanisms of price formation and models of risk management. At the same time legal standards of regulating operations with derivates were developed and perfected; new forms of standard contracts appeared. Operations with derivates started to be used more frequently not only for insurance from risks and risk management, but for aims of speculation, i.e. receiving profit from them. By opinion of experts, nowadays the following subjects take place at the derivative markets: Industrial companies, which can use operations with derivates to reach such aims as: Decreasing of indebtedness burden at the expense of getting necessary financial means by possible cheap price; Increasing of flexibility in management of financial holdings, not limited by usage of debentures or short-term commercial documents; Perfection of management cash balance and regulation of financial flow, connected with cash inflow and cash spending; Fast receiving of necessary funds by relatively low prices in case unexpected needs in financing take place; Perfection and dynamics of process management by liquid assets of enterprise. Although enterprises, which use all enumerated possibilities of operations with derivates, are quite rare, from now on these operations cannot be ignored by those enterprises, who intend to lead dynamic strategy of management by thief financial resources. Different investment funds, which control investment portfolio, use operations with derivates as flexible means of funds management. Special companies or funds (so-called stockjobbers), which make derivative operations to receive profit, because those operations allow even with small expenses to get big profit, indeed, in condition of favorable circumstances for such stockjobber. In such a way American fund Quantum Fund, which belongs to famous financier George Sores, and which is specialized on currency deals, including derivates as well, since 1969 every year increased its income for 35%; today it exceeds 4 milliard dollars. Totally in the United States there are more than 3 thousand of such funds, which manage approximately by 25 milliard dollars, which are used only for speculative operations. There are 23 similar funds, which are legally registered in France. Individual stockbrokers, which make operations with derivates at their own expense. Activity of those subjects, which in the USA are called â€Å"local† and in France â€Å"negociateurs independants de parquet†, assists in increasing of liquidity financial market. Special companies-organizers of the market, including compensational palates, which control execution of contracts and execute calculations, receiving definite commissions. In such a way in France company MATIF received for each operation of purchase or sale of pressing contract 6.25 francs, what allowed to increase own funds to 800 million francs. In 1993 MATIF worked up 72 million of contracts, whereas at Chicago Mercantile Exchange were sold 179 million of contracts. Banks, working in legal and non-official market, receive the biggest income from derivative operations. Supervision instances controlling bank activities (for example, there is Bank Commission in France) are anxious because of uncontrolled growth of bank derivative operations. Operations with different kinds of options, especially related to such indexes, which change quickly, as shares indexes, prices for non-ferrous metals, raw materials, etc. give the biggest concern. Supervision instances don’t limit usage of derivative operations in order to insure credit and market risks (Sanjiv Ranjan Das pp. 7-23), but at the same time they establish rule of paying capacity, in accordance with which amount of own derivate funds of certain credit enterprise should cover credit (risk of unredeemed credit) and market risks. Other aspects of regulation non-organized markets are not developed enough. In all leading Western countries development of those measures is behind the tempo of growth of OTC market capacity, where calculation (compensational) palates are absent and business deals have long-term character. For organized derivative markets the main problems still are guaranteeing security and control. Compensational palates watch timeliness of final calculations and amount of deposits of their members, which operate at derivative market. These deposits guarantee that they will fulfill their obligations: in case amount of deposit is lower than definite level, it should be filled up immediately. In such a way, at MATIF’s accounts are 20 milliard francs, paid-in by its members as guarantee of calculations. Financiers work to standardize contracts for derivative deals in the international level. In such a way, created in 1985 International Swap and Derivatives Association worked out frame contract for derivative operations, consisting of two parts: in the first part there are obligatory common statements (ways of calculations and their regulation, declarations of the parties, procedures of canceling the contract, etc), and in the second part there are statements, which can be changed by wish of the parties. In June 1993 report of 30 leading specialists for financial operations was published, where they formulated recommendations to banks and other enterprises, which lead operations with derivates or are their final users. By opinion of experts, these enterprises should give acces to that market only for professionals. Many experts point at explosive character of derivative market, because there can appear chain reaction of bankruptcy (domino effect). Non-exchange market is more dangerous in this respect, where the business deals are often concluded â€Å"for the word of honor†. Unexpected collapse of one of the banks can cause chain reaction of bankruptcies of other banks. By words of A. Taylor, president of Royal Bank of Canada, derivates represent bomb of delayed-action, which, once exploded, can completely ruin world financial system. Although derivative deals have a lot of risk and can provoke the crisis, you cannot live without them in the modern financial markets, because they assist in increasing of liquidity and effectiveness of financial markets, decreasing of cost for market transactions (deals). As was written in French magazine â€Å"Expansion†, future experts, probably, will examine derivates as financial novelty, which saved world economical growth from paralysis. Works Cited: George Benston and Shehzad Mian, 1995 Financial Reporting of Derivatives: An Analysis of the Issues, Evaluation of Proposals, and a Suggested Solution, Journal of Financial Engineering, September, pp. 217-246. Sanjiv Ranjan Das, 1995 Credit Risk Derivatives, Journal of Derivatives, Spring, pp. 7-23. William Falloon, 1992 How Appetites are Growing for OTC Equity Derivatives, Futures Magazine, January, pp. 26-28. Ludger Hentschel and Clifford Smith Jr., 1995 Controlling Risks in Derivatives Markets, Journal of Financial Engineering, June, pp. 101-126 Remolona, Eli, M., 1992-3 The Recent Growth of Financial Derivative Markets, Federal Reserve Bank of New York Quarterly Review, Winter, pp. 28-43.

Jane Kenyon’s The Blue Bowl Essay -- Poems Poetry Analysis

Kenyon’s criticism of burial and the mourning process and the manner in which it fails to provide a sense of closure for those who have lost a loved one is the main underlying theme in The Blue Bowl. Through her vivid description of both the natural setting and the grief-stricken emotional overtone surrounding the burial of a family’s house pet and the events that follow in the time after the cat is put to rest, Kenyon is able to invoke an emotional response from the reader that mirrors that of the poem’s actual characters. Her careful use of diction and the poem’s presentation through a first-person perspective, enables Kenyon to place the reader in the context of the poem, thus making the reader a participant rather than a mere observer. By combining these two literary techniques, Kenyon present a compelling argument with evidence supporting her critique of burial and the mourning process.   Ã‚  Ã‚  Ã‚  Ã‚  Kenyon’s choice of a first person perspective serves as one of two main techniques she uses in developing the reader’s ability to relate to the poem’s emotional implications and thus further her argument regarding the futility of mankind’s search for closure through the mourning process. By choosing to write the poem in the first person, Kenyon encourages the reader to interpret the poem as a story told by the same person who fell victim to the tragedy it details, rather than as a mere account of events observed by a third party. This insertion of the character into the story allows the reader to carefully interpret the messages expressed through her use of diction in describing the events during and after the burial.   Ã‚  Ã‚  Ã‚  Ã‚  The diction Kenyon employs for her description of the poem’s physical and psychological setting serves as Kenyon’s primary means for presenting her argument regarding the nature of the mourning process and its failure to help those who have lost loved ones. The poem’s first stanza begins as follows, â€Å"Like primitives we buried the cat with his bowl. Bare-handed we scraped sand and gravel back into the hole(1-4).† The first two words, â€Å"like primitives,† give the reader immediate insight into Kenyon’s opinion regarding the nature of the burial itself. She sees it as a means of coming to grips with death that is less evolved than the mental state of those that it attempts to help. When the first stanza is interpreted as a whole, the reader is... ...ten through mourning, thus allowing her to illustrate one last example supporting her argument regarding the failure of burial and the mourning process to provide a sense of closure for those who have lost a loved one.   Ã‚  Ã‚  Ã‚  Ã‚  Through the careful use of diction presented through a first-person perspective, Kenyon is able to use The Blue Bowl as a medium for social commentary regarding what she sees as a primitive mourning process that does not help those who undertake it. Through a careful analysis of the poem, the reader is able to understand Kenyon’s critique of the mourning rituals that humans use to alleviate the grief caused by the death of a loved one and interpret the shortcomings that Kenyon finds. Kenyon’s use of perspective combined with specifically chosen diction enables her to present a social commentary regarding what she believes to be the inherent shortcomings in the emotional effects of the burial itself and the sense of closure it is supposed to bring yet fails to achieve during a typical period of mourning. Works Cited Kenyon, Jane. "Poetry 180 - The Blue Bowl." Library of Congress Home. Web. 11 Dec. 2015. .

Legal Considerations in the Business Environment Essay

While there are many legal factors to consider as XYZ Construction (XYZ) transforms from a private to a publicly owned company and expands operations globally, this paper will focus on the employment and labor laws, along with legal considerations that influence company operations. It is important to keep in mind that XYZ uses a mix of manning methodologies throughout the company; a full time staff as the core of the company, while maximizing the use of contracted labor in the execution of projects. Employment Law Employment law is a broad category of law that encompasses all areas regarding employee/employer relationships except for the negotiation process and collective bargaining, which is covered by the narrower focused category of labor law. Employment laws consist of thousands of federal and state statutes, regulations, and judicial decisions that are designed to govern the rights and duties of employers and workers. The US Department of Labor (USDOL) reports that there are 180 federal laws alone managed by 28 different agencies within the department. (United States Department of Labor [USDOL], 2014) Employment laws are focused on providing a safe and fair work place for employees and employers, alike, and have their origins in the constitution. They were founded based on public outcry against oppressive practices during the industrial revolution. The first laws founded in the 1920s were focused on fair wages, compensation for injuries, a standard work week, and on eliminating child labor. In the 1960s and 70s, statutes focused on anti-discrimination and unsafe work environments. Current issues involve employee health care, equal pay for men and women and the current debate on raising the federal minimum wage. There were also several issues addressed by the US Supreme Court of great importance to employment law including workplace discrimination and retaliation (Brill et al, 2013). The predominance of employment law disputes fall into two categories: wage and hour violations and discrimination in the workplace. Federal law provides for baseline rules regarding wage and hour standards, to include a minimum wage of $7.25 per hour and 40 hours as the standard work week. Many states have passed laws that establish a higher minimum wage, which is within their constitutional right. In these situations, XYZ is compelled to pay the higher minimum wage of that state. There is an emerging effort across the United States to raise the federal minimum wage to $9.50 per hour. In some  cases, this will place the federal wage higher than some states, meaning XYZ would have to pay the federal wage as it would trump the state legislation. It is prudent for XYZ to negotiate appropriate compensation on multiyear contracts as this new legislation works through the process. The standard work week, on the other hand, is prevalent across the United States and any worker that exceeds this threshold is entitled to overtime pay compensation. These rules exist to control the work environment for employees and mandates that time and a half be paid on every hour exceeding 40 within a given work week. The law also stipulates that XYZ will maintain basic payroll records and post notices to the workers regarding changes in the work environment. As XYZ experiences delays within projects, the pressure to push the work crews to make up these delays grows. While working overtime to meet customer requirements and project timelines are acceptable, supervisors must ensure adherence to the various employment laws; not doing so could lead to unfair labor practice disputes and costly legal battles (Brill et al, 2013). Another area that is a basis of employment law disputes is discrimination in the workplace. Prohibiting discrimination based on ethnicity, religious beliefs, gender, age, or disability was established with the Civil Rights Act of 1964 and refined with subsequent legislation throughout the years. The Supreme Court handed down two significant decisions in 2013 that clarify evidentiary standards for discrimination claims, both are viewed as beneficial to the employer. First, the courts ruled that retaliation with discrimination as a motivating factor was not sufficient. The plaintiff must prove that discrimination was the basis for the retaliation, making the burden of proof much greater (Brill et al, 2013). Second, the courts clarified the definition of a supervisor under Title VII of the Civil Rights Act. They ruled that the title of â€Å"supervisor† is limited to those who have authority to take a tangible employment action, meaning â€Å"a significant change in employment status, such as hiring, firing, failing to promote, reassignment with significantly different responsibilities, or a decision causing a significant change in benefits.† (Brill et al, 2013, p.4). Having the authority to direct daily work was not sufficient to link the supervisor to the company in regard to damages or actions tied to a law suit or dispute. However, the company is still liable for discriminatory actions of non-supervisory employees,  especially if it was notified and failed to take action to stop the behavior. This is significant considering that the majority of XYZ’s work force is contracted labor. As such it is imperative that XYZ maintain viable and proactive policies focused on preventing workplace discrimination and include a review of these policies prior to initiating any employment agreement. Labor Law Conducting business in a union environment provides for another layer of complexity to company operations. XYZ’s leadership must be aware of and understand the basics of labor law and the collective agreements negotiated with the unions representing the workforce. Failure to operate within the parameters of the agreement will result in an unfair labor practice dispute, which affects the profit margins of the shareholders. Labor law, also governed by federal law, state law and judicial decisions, provides statutes that mediate the relationship between workers, employers, unions, and the government with the goal of equalizing the bargaining power between employers and employee (Legal Information Institute [LII], 2014). Collective labor laws focus on the rights of employees to unionize, collectively bargain, arbitrate, and strike, while individual labor law focuses on employment contracts between employers and employees (Caraway, 2009). Collective bargaining consists of negotiations between an employer and a group of employees, typically represented by a union, to determine the conditions of employment and results in a collective agreement. The main body of law governing collective bargaining is the National Labor Relations Act (NLRA), which was passed in 1935 (â€Å"Executive Concepts†, 2011). It explicitly grants employees the right to collectively bargain and join trade unions. The National Labor Relations Board (NLRB) is the entity that hears disputes between employers and employees that falls under the purview of the NLRA. The General Council, established by the NLRA, independently investigates and prosecutes cases against violators of the act before the NLRB (LII, 2014). Another aspect of labor law is the act of arbitration, a method of dispute resolution, which is commonly used as an alternative to litigation. A third party arbiter is designated and has binding decision authority for the dispute. While the Federal Arbitration Act (FAA) is not applicable to employment contracts, the Uniform Arbitration Act of 1956 was  adopted by 49 states making arbitration enforceable under state and federal law (LII, 2014). There were two key decisions rendered by the Supreme Court that impact labor law, specifically arbitration clauses and class action waivers in contracts (Brill et al, 2013). The Court held that the FAA directive to arbitrate and the arbitration clauses written into employment contracts take precedence over federal requirements to prosecute disputes through the courts. Additionally, this decision strengthens the ability to enforce class waivers written into contracts. While this appears detrimental to employers, the Court balanced this decision with language further defining the rules surrounding class waivers. The court ruled that a class dispute (one brought by more than one plaintiff) can be settled if the primary plaintiff reaches settlement (Brill et al, 2013). In essence, if an XYZ employee files a dispute that is then applied to a class of employees, but a settlement is reached with the initial plaintiff, then the class action is terminated. Effectively, the Supreme Court ruling strengthens the company’s position in regard to employment contracts and protects the company from overzealous claims. As such, arbitration agreements written into XYZ employment contracts should be carefully worded in order to take full advantage of the Court’s decision. Laws specific to the construction industry Several Department of Labor agencies administer programs that are specifically related to the construction industry. Specifically, the Occupational Safety and Health Agency (OSHA), the Wage and Hour Division, and the Office of Federal Contract Compliance all have specified areas of emphasis that regulate XYZ’s primary line of business. OSHA administers all the occupational safety and health standards for the industry. Given the risk to employees across XYZ’s work sites, OSHA regulations are critical to maintain and pose a significant element of cost to the company. While it is prudent to conduct cost-benefit analysis on enacting safety and health policies, sacrificing employee welfare for the bottom line is a dangerous endeavor and can result in unfair labor practices or criminal charges in the extreme. As XYZ competes and wins government construction contracts, there are several statutes that dictate certain conditions for doing business with the federal government that are administered by the USDOL Wage and Hour  Division and the Office of Federal Contract Compliance. The Davis-Bacon Act requires that companies pay the prevailing wages and benefits of the region. Wage rates and other labor standards for employees are set by the McNamara-O-Hara Service Contract Act. The Walsh-Healey Public Contracts Act requires materials and supply contractors to pay minimum wages and meet other labor standards. Executive Order 11246 requires equal employment opportunity by all construction contractor firms. Lastly, the Copeland Act’s anti-kickback section precludes any persuasion of an employee to sacrifice any part of their required compensation (USDOL, 2014). These dictated standards all affect the cost of projects and, if not accounted for in the bid and estimation process, will detrimentally impact the profit margins of the company as federal construction contracts are executed. Legal Considerations As XYZ begins the global expansion, it is important to realize that US labor laws are not binding in other countries in regard to foreign workers; the host country laws are in play (â€Å"Executive Concepts†, 2011, p.938). However, Congress expressly extended three US labor laws to expatriates working abroad for US firms. The Americans with Disabilities Act (ADA), the Age Discrimination in Employment Act (ADEA), and Title VII all extend extraterritorially (Nie, 2012). While XYZ’s staff is well versed in US employment and labor law, foreign labor law is country dependent and it is prudent to conduct targeted research on the specific country’s legal environment considered for expansion. The International Labor Organization (ILO) has drafted 182 conventions and 190 recommendations in their effort to standardize labor practices globally. Enforcement of these efforts is a country responsibility, and as such, there are still large gaps in adoption and application of the various standards (â€Å"Executive Concepts†, 2011). While it is enticing to reduce expenses by sacrificing some of the more costly US labor law practices while abroad, this practice could damage the company’s sterling reputation negatively affecting all future business ventures. As countries in Asia make the transition to democratic states, the door has been opened for improvements in collective and individual labor law, resulting in the creation of unions and the strengthening of workers’ rights. However, unions in developing counties depend upon government  support and, as such, are politically focused keeping the gap between internationally acceptable collective labor practices and reality relatively large (Caraway, 2009). Across Asia, individual labor rights are in a better position. There is a direct correlation between the wealth of a country and the enforced rights of its workers (Caraway, 2009). The most notable impact of this situation is the prevailing wage in each country and the impact on XYZ’s financial position on projects. Using the field support offices at the forward locations to gather this information is crucial to accurate project estimation and contract bidding. As the company transitions from privately owned to publicly held, there are considerations to keep in mind. First, corporate governance will adjust to account for a larger base of stockholders. There is risk that the focus of the company will also shift to a more stockholder centric view, discounting the requirements of the stakeholders (the employees) (Ecchia et al, 2012). This has the potential to lead to the creation of unfair labor practices as priority shifts from maintaining collective agreements to maintaining larger profit margins for the stockholders. Second, shareholders with large equities could pressure the company to offload portions of the workforce or reduce the employee’s benefits in order to improve profitability (Ecchia et al, 2012). As the union leadership monitors corporate business practices, this could lead to a revolt in the workforce and create an environment ripe for a strike thereby shutting down operations until resolved. Any financial gains made by the reduction would be lost to stagnated operations, and as such should be managed carefully. Conclusion Conducting business in the 21st Century is comparable to traversing the proverbial minefield. Legal missteps can cause insurmountable fines and legal fees as a company struggles to maintain good business practices. Understanding employment and labor law is paramount to maintaining a strong and viable company through transformation and expansion that produces profits for its shareholders. References Banks, K. (2011). Trade, Labor and International Governance: An Inquiry into the Potential Effectiveness of the New International Labor Law. Berkeley Journal Of Employment & Labor Law, 32(1), 45-142. Business Source Complete, Accession Number: 67233021 Barnum, Darold T. (1971) From Private to Public Relations in Urban Transit. Industrial & Labor Relations Review. 25(1), 95-115. Business Source Complete, Accession Number: 4459252. Brill, Edward A., Fant, Laura M., and Baddish, Noa M. (2013) U.S. Supreme Court Wrap-Up: Hot Topics in Labor and Employment Law. Employee Relations Law Journal. 39(3), 3-8. Business Source Complete, Accession Numbe:r 91640070 Caraway, Tara L. (2009). Labor Rights in East Asia: Progress or Regress?. Journal of East Asian Studies, 9(2), 153-186. ProQuest Research Library, Accession Number: 43381256 Ecchia, Giulio, Gelter, Martin, and Pasotti, Piero. (2012) Corporate Governance, Corporate and Employment Law, and the Costs of Expropriation. Review of Law & Economics. 8(2), 457-486. DOI: 10.1515/1555-5879.1357 Katten, Betsy. (2013) U.S. Supreme Court to Address Labor and Employment Matters in 2013-2014 Term. Employee Relations Law Journal. 39(3), 48-51. Business Source Complete, Accession Number: 91640075 Legal Information Institute. Cornell University Law School. Retrieved from: http://www.law.cornell.edu/wex/employment Nie, Carrie. (2012). Extraterritorial Application of U.S. Employment Laws: Clearing the Murky Conflicting Foreign Laws Defense. International Lawyer, 46(4), 1027-1043, OmniFile, Accession Number: 90233860 Northcentral University (2011). SKS 7000-Executive Concepts in Business Strategy. Custom edition. Retrieved from: http://online.vitalsource.com/#/books/ United States Department of Labor. (2014) Retrieved from: http://www.dol.gov/opa/aboutdol/lawsprog.htm

Role of Ethics, Integrity and Character Essay example

Ethics, character and personal integrity are three of the most important factors in organisation; this essay will determine the role of ethics, character and personal integrity and describe the differences between them. Ethics is about decision-making and actions of human freedom. Ethics is the decision between what is right and wrong in life, when faced with the different directions of the action or alternative goals to pursue, our moral direction to make reasonable decisions. Especially in organizations, ethics plays a very important role. Ethics become the responsibility of the individual for his work in the organization. For example, a moral person who will always complete assigned work with the highest spirit and enthusiasm without†¦show more content†¦It represent an honest, reliable and consistent. Leaders who are integrity can create corporate culture of integrity. for the company to develop in a sustainable way, leaders need to develop the trust and the consensus around shared values . As Kouzes and Posner (2002, pp. 79-80) point out, the development of shared values improves the work environment and productivity. Integrity also strengthens personal effectiveness, corporate loyalt y, and ethical behavior of the employees because they trust in the leaders who had created Culture of integrity, as a result, the performance of the company will highly increase. The difference between ethics and character is ethics always toward to common standard of the whole sociality and was learned through experiences and errors in life. For example, the company starts to work at 8.00am; everyone will arrive before or on time around 8.00 am to work. Character belongs to individual and separate nature, very difficult to get through the learning process and training. For example, self-confident can not learn from any book or lesson while personal integrity is not only all about ethics but also all about character. It is those characteristics of an individual that are consistently considerate, compassionate, transparent, honest, and ethical. The characteristic of trust is closely associated with integrity. To be success, the most important factor you must haveShow MoreRelatedThe Reprehensible Story Of The Enron Corporation1680 Words   |  7 Pagestheir substantial contradictory actions against not only basic ethics but Enron’s published Code of Eth ics. Outlining the reputation of Enron, Kenneth Lay, Chairman and Chief Executive Officer (CEO), in a foreword within Enron’s Code of Ethics stated, â€Å"to be proud of Enron and know that it enjoys a reputation for fairness and honesty and that it is respected.† Even though Kenneth Lay spoke to the company as a whole on manners in ethics and good conduct, it was he and a number of other high placedRead MoreMilitary Ethics1692 Words   |  7 PagesMilitary Ethics PHI208: Ethics and Moral Reasoning Prof Whitney Easton 10 March, 2014 â€Æ' Military Ethics This paper will discuss the topic of military ethics using the utilitarian theory. It will also incorporate the ethical system of virtue ethics. â€Å"Military ethics is about our learning what is good and true and then having the courage to do and be what and who we ought to. For military ethics is not about his or her successes or failures; it is not about their virtues or vices. MilitaryRead MoreDefining Police Ethics And Ethics1044 Words   |  5 PagesRunning head: Defining Police Ethics Defining Police Ethics Juan C. Sanchez American Public University, CMRJ 308 August 23, 2015 In today’s society, professional values and ethics play a very important role in law enforcement. In order to lead a successful career in the police force, a person must have a strong principle of value and a great knowledge of what ethics. Any person in law enforcement that chooses not to follow the principles of value and ethics will most likely not haveRead MoreEthics in Academics1315 Words   |  6 PagesEthics In An Academic Environment Attending The University of Phoenix, we are required in Gen 300 to write a research paper on Ethics In An Academic Environment. In this research paper, you will be able to understand the ethics and environment and how they both are in our everyday surroundings. We will also explain how Ethics in an Environment affects everyone on a day-to-day basis whether good or bad. Ethics in an Academic Environment plays a very important part of our lives. Ethics is theRead MoreBusiness Ethics, Corporate Social Responsibility, Integrity, And Integrity1318 Words   |  6 Pagessocial role responsibly. Business ethics, have been created in recent years as responses to an increasing sense of corporate wrong doing. This essay attempts to discuss what business ethics are for improvement of business behavior to the satisfaction of the â€Å"constituents† of business, i.e. the major stakeholders. In addition, the essay describes how similar ethics can be applicable to a University setting, e specially playing a role in the society. It also explains the concept of integrity and itsRead MoreEthical Analysis : Ethics And Ethics909 Words   |  4 Pagesalways obvious nor are they based on what is right or wrong or what is good or bad (Gonzalez-Padron, 2015). They are choices made by managers at all levels and stakeholders who follow the company’s core values, ethics policies and moral compass. One leader who is an example of integrity and ethics is Bill Daniels, who opened and operated a small insurance agency in Wyoming. Analyzing Bill Daniel’s ethical tradition, decision approach, and moral development will provide a foundation to Bill’s businessRead MoreHow Ethics Influences Leadership1596 Words   |  7 PagesHow Ethics Influences Leadership In order to draw a correlation of ethics to leadership and provide an overview, I find that I must first place the elements of the correlation into the following contextual reference: definitions offered in the textbook, the objectives of the lesson(s), and finally our societal or cultural paradigms at play. In our textbook Supervision by Certo, ethics is defined as the principles by which people distinguish what is morally right and leadership as the managementRead MoreA Code Of Conduct A Coach941 Words   |  4 Pagesmodel to solve new or familiar problems they may encounter on their team. For coaches at every level a philosophy or code of ethics is needed to prevent unethical behavior that could resolute in fines, suspensions, or the dissolution of a program. To set a code of conduct a coach must base an ethical model primarily on what is referred to as normative ethics. With normative ethics a coach can outline what is considered acceptable moral standard resulting in a definition of what is right or wrong behaviorRead MoreBusiness Ethics : Ethical And Ethical Issues1360 Words   |  6 Pages INTRODUCTION: Business ethics can be defined as the set of moral values and codes or standards of conduct in an organization. According to Wikipedia – â€Å"Business ethics (also corporate ethics) is a form of applied ethics or professional ethics that examines ethical principles and moral or ethical problems that arise in a business environment. It applies to all aspects of business conduct and is relevant to the conduct of individuals and entire organizations.† The particulars and specifics of theRead MoreLying to Patients and Ethical Relativism910 Words   |  4 Pagesshould ever steal) Objective vs. Subjective (Telling right from wrong) Paternalism vs. Autonomy Paternalism – authority of restricting the freedom and responsibilities of those lower than them Autonomy is a binomial 1) Enlightenment ethics – celebration of the individual’s reason, free will, self seat of values, 2) Politics – celebrating of the individual’s ability to know what is best for the government, religion, or public opinion. Medical field turns from med paternalism to