Public Budgeting Essay Example for Free

Public Budgeting Essay Public budgeting touches every sector of the economy and it thus demands clear and accurate contribution of all the parties involved which include policymakers, financial institutions and the public at large. A national budget is a document which once approved by the legislature gives the government the mandate to collect revenue, incur debts on behalf of the public and come up with means of expenditure for the country to achieve certain goals (Cargill and Garcia, 2005). A budget outlines the origin and the application of public resources and for this reason, it plays a central role in the government processes, economic, political, legal and administrative functions of a country. Budgeting is responsible for shaping the macroeconomic status of a country, reflect the political power of the actors who are involved in different stages of the budgeting process, determine which projects get funded with how much and at what level and come up with proper budgetary reforms of both the technical and political budgeting. In this case, monetary control is necessary for a country to achieve the desired level of growth and stability of its economy. It is the responsibility of central banks to conduct monetary policies for the purposes of monetary control. A monetary policy can be defined as a deliberate effort by the Central Bank to influence the economic activities of a country through variation of the money supply, limited control of the amount of credit available and the use of interest rates which are consistent with political objectives of the country. Some of the objectives achieved by the monetary policy include stabilization of the prices of goods and services, stability of exchange rates, availability of employment and maximization of the outputs as well as high rates of economic growth. Most monetary authorities employ operations in the open markets, bank rate regulation policies and credit control policies to control monetary values and achieve the above named objectives. The federal reserve Banks in U. S for instance uses credit control policies to increase or decrease the amount of money and credit present in the U.  S economy at any given financial year. If the monetary value increases, the credit control is said to be on the loose end and to control this, the interests rates for the financial institutions tend to drop, the amount of money spent by businesses and individual consumers increase and the employment opportunities also increase as well. However, if too much money is located to any one sector of the economy when budgeting, it might lead to inflation and a decline in the monetary value of the dollar might result. On the other hand, if too little money is available in the economy, levels of unemployment in the country might increase. An example of how monetary policy and credit controls are applied in public budgeting was seen back in the early 1970s where the Federal Reserve Banks in the U. S facilitated rapid credit expansion to combat unemployment in the country. However, this move led to inflation of the economy forcing the Central Bank to implement a monetary policy in 1979 to slow down the high inflation rates and regulate its public budget plan (Carrigan, 2004). From a different perspective, money can be used to estimate the amount of credit in a country. For instance, some contemporary research findings indicate that the U. S GDP in the year 2006 was around 12. 98 trillion dollars and such values are very important in the process of public budgeting to ensure that money is available to every one in the community. Apart from being affected by monetary and credit control policies, public budgeting is an inherently political process. Political governance and politics related to budgeting affect the operations and reforms of public financial budgeting systems. Several studies carried out on the Ghanaians, Mozambique and Malawian political systems show a significant gap between the formal and informal systems budgeting systems with practices such as clientelism, rent seeking and patronage which lead to dysfunctions and distortions leading to an interference with the public budgeting procedures (Donald, 2002). Many research findings have indicated that the budget making process is more of a political process than a technical one. In this case, it is not possible to separate any reforms made on a technical budget from the political environment on which they are embedded. Therefore, for any reforms on a public budget to be effective, they have to be technically viable, administratively sound and politically feasible. Power politics in budgeting are responsible for shaping the rules of the game including ownership, time schedules, sequence of reforms and a review of the governments commitment to such reforms. Budget politics offer as many challenges as the opportunities since power politics in itself is not only a mitigation of risks but is also an opportunity to seize up the economy of a country. Understanding the politics of budgets thus facilitates effective implementation of reforms and it also helps to identify and support change in the public financial management. According to the Journal of Association Budgeting and Financial Management, understanding the relationship between power politics and budgeting helps a nation to understand and appreciate the institutional factors which affect the proper functioning of budgetary reforms. In addition, good fiscal governance helps to identify factors which might trigger pro-poor changes, streamline the checks and balances and aid proper budgetary reforms. Political governance of a country affects the functioning of all the financial systems and the sustainability of the budget reforms (Cargill and Garcia, 2005). For instance, studies of the power politics in the U. S have shown that the political economic factors have a significant effect on the trajectory change as well as the credibility of its federal government commitment to budgetary reforms. These studies also suggest that the demand for better political governance and financial accountability is a major driver for budgetary reforms in the public budgeting systems. In addition, the political power of a state influences public budgeting in the redistribution of wealth and allocation of resources depending on the priorities. Public budgeting as a political process reflects a public consensus, a relative power and financial accountability of the whole process. Conclusion.  From the discussion above, it is clear that public budgeting is very important for the proper functioning of all the sectors of the economy in a country. As indicated above, most budgeting processes have shown a political inclination rather than a technical one. The political stability of a country affects its economic stability, the monetary value of its currency and the availability of credit facilities both in its local financial institutions as well as the international financial institutions. The monetary policies and the credit controls by the central banks influence the amount of money available for public budgeting. On the other hand, the political power of a state affects the implementation of budgetary reforms which are important for budgeting in any country. It can thus be concluded that, there is a very close relationship between monetary and credit controls, budgeting and power politics in the process of public budgeting.

Bdo Benchmarking Assignment Essay Example for Free

Bdo Benchmarking Assignment Essay When considered in general terms Turnbull described it as: â€Å"All influences affecting the institution processes, including those for appointing the controllers and/or regulators involved in organising the production and sale of good and services†¦.. it includes all types of firms whether or not they are incorporated under civil law. † (Turnbull, 2002:181) Factoring in all other definitions, in its simplest terms it can be defined as the â€Å"exercise of power over corporate entities† (Clarke, 2004). It is not the same as the management and the running of the company, it is concerned with how the Board of Directors, who are the governing body of a company, supervise management, because it is they who are responsible for holding the management of a company accountable and ensuring the company is being ran in a way which is favourable towards the shareholders and other stakeholders. It is the Directors’ responsibility to develop strategy and policies for the ompany and to determine the direction the management should take the business in and the Directors have overall responsibility for the performance of the company (Tricker, 2012). While the phrase ‘corporate governance’ wasn’t coined until the 1960’s and not commonly used until the 1980’s, it has really been in a gradual process of evolution since the 16th century and joint venture trading. One of the major developments in world economies which brought the need for corporate governance to the fore was the introduction of limited liability companies in the 19th century. What this meant was when companies were incorporated they became a separate legal entity, separate from their shareholders and with similar legal rights to buy, sell and transfer shares and assets, to employ people and to sue and be sued in the name of the company. This meant the liability for any company debts lay with the shareholders and not the management or the company. Add to this the fact that because of the introduction of the stock market, shares could be easily bought and sold, meaning the shareholders could be vast in numbers and have a large geographical spread. Due to the fact that all corporate entitites need to governed, the implications of this were that the management (executive control) and the shareholders (owners) were often separated (Tricker, 2012). Situations such as these, are where corporate governance is deemed to be most necessary because there is a root assumption, that members of management who do not own the company are likely to be more reckless with someone else’s money, i. e. the company’s, than they would be with their own money (Having Their Cake, 2013). This is known as the agency dilemma, which will be expanded upon later. Electing a Board of Directors who have the interest of the shareholders at the forefront of their mind, allows members to indirectly oversee the actions undertaken by the management, in order to ensure that as agents of the shareholders, the management is performing in line with the best interests of the corporation (Lashgari, 2004). 1. 2. Selection of a Case Company However, as Turnbull pointed out in ‘Corporate Governance: Its scope, concerns and theories’ (2002), having a restriction of only publicly traded corporations in studies of corporate governance, limits the validity of any onclusions drawn about the most efficient arrangements for corporate institutions with regards to good governance practices and the effect they have on a company’s performance. As Jensen said in 1993: â€Å"Privately held entities could provide the most form of enterprise. † (Jensen, 1993, cited in Turnbull, 2002). It was with this in mind that I chose BDO LLP UK (BDO), which is an incorporated partnership company in the UK, which is owned and ran by its members/partners. It is a company which offers financial accounting, audit, tax and business consultancy services (BDO LLP UK website, 2013). . 3. About the UK Financial Accounting and Audit Sector With the ever increasing focus on corporate governance for companies across the World, not just in the UK, audit firms such as BDO, KPMG and Deloitte are becoming more important because it is there job to ensure that companies are adhering to regulations laid out in the UK Corporate Governance Code (2010, revised in 2012). It should naturally follow that audit companies will have extremely good corporate governance practices put in place, however, this is not necessarily the case. Since 2000 there have been a number of high profile scandals within the International Corporate Financial Accounting industry, for example, Enron were found to be inflating revenues and hiding debts and there was also the Bernard Madoff â€Å"Ponzi Scheme†, where the real scandal was that the robbing of millions of pounds worth of people’s money, escaped the attention of auditors and regulators. ). Due to such scandals, many national regulators implemented new corporate governance requirements to improve standards (Mitchell Van der Zahn, 2009). In the UK new regulations with regards specifically to audit companies were also introduced, targeted directly at a certain group of companies. As of January 2010, 95% of the auditing work in the UK was being carried out by 8 firms, BDO being one of them. It was deemed that such companies had built upon their reputation to gain dominance in the UK market and the Financial Reporting Council (FRC) felt it was in the Public’s interest for these companies to be transparent and in order to maintain public trust be exemplars of best corporate governance practice. This led to the introduction of the Audit Firm Governance Code (2010) by the Institute of Chartered Accountants in England and Wales (ICAEW), which drew from aspects of the 2010 UK Code and established principles such as the appointment of independent non-executives within the governance structure of their company. While such rules did not apply outside of the targeted companies, it was the hope of the ICAEW that it would provide a benchmark of good governance for other companies to follow (ICAEW website, 2013). With such a bold statement being made about the importance of corporate governance in this field of work, it seemed to me to be an obvious choice to choose one of the 8 companies on the ICAEW’s list for my case-study. 1. 4. About BDO LLP UK As detailed earlier BDO LLP UK is an incorporated partnership company in the UK, which is owned and ran by its members/partners and it provides financial accounting, audit, tax and business consultancy services. It is the 6th largest accountancy firm in the UK and is a member of the BDO International Network, which itself is the 5th largest accounting organisation in the World. In an attempt to break into the top 4 big firms in the UK, BDO LLP UK completed a merger with PKF, a rival firm, in April 2013 (Keynote, 2013). After researching BDO LLP UK, it became very clear that corporate governance was of the upmost importance to the company. Not only did it have specific areas on its website dedicated to corporate governance and corporate social responsibility but it also had a number of relevant publications regarding corporate governance. One article for example, ‘Making Internal Audit Relevant’, discussed the high quality of corporate governance in the UK found by studies carried out by the FRC, it went on to say that this was underpinned by the UK Corporate Governance Code and that it was vital in maintaining the attractiveness of the UK market, to encourage new investment (BDO LLP UK website, 2013). My research also found that BDO had carried out a joint study with the Quoted Companies Alliance, which considered the introduction of a mandatory corporate governance code for small and mid-capital audit companies in the UK. Just as a point of fact, this was a proposition that 92% of such companies agreed with. One of the major indications that BDO think corporate governance is vital to the success of a company is that they produce an annual transparency report, which has an appendix of a statement of compliance with the Audit Firm Governance Code (2010). They have also went to great lengths to create a summary report in 2012 for businesses which they audit, detailing any changes to corporate governance regulations and focusing on leadership and effectiveness, reporting, risk, audit, remuneration and investor relations (Corporate Governance for TMT Businesses, 2012). It seems to be an interesting idea to look at a company who places so much emphasis on good corporate governance, not only for itself but also the companies it works for, to see if they do comply completely with the codes and if they are in fact â€Å"exemplars† of good practice. . Theories of Corporate Governance There are various theories and philosophies with regards to corporate governance, all of which, as a collective, have laid a foundation for the development of different corporate governance systems around the world (Lashgari, 2004). This paper will look at a number of these theories and how they relate to BDO, in order to gain a better understanding of th e governance standards at BDO. 2. 1. Agency Theory In the 1930’s, Berle and Means published ‘The Modern Corporation and Private Property’, it provided the first debate about the agency dilemma and set a basis for agency theory. They suggested that where ownership is separated from management or is widely dispersed, it becomes difficult for owners to have an effective check on the autonomy of corporate managers. The agency dilemma was further refined in the 1970’s, when theories were brought to the fore suggesting agents (managers) are likely to be self-interested and will serve their own interest before those of the principle (owners). Such theories also suggested that in order to counter this problem companies have to incur agency costs, for example, to create incentives to align the interest of the agent with the company and the cost of monitoring the conduct of agents. Many other theorists have a problem with agency theory because it does not even attempt to explore the possibility managers are not self-interested and opportunistic. However, they cannot deny that it has een very influential in developing market-based governance mechanisms and board-based governance mechanisms. Due to BDO being an incorporated partnership and their shares not being publicly traded, we will only look at the board-based mechanisms (Having Their Cake, 2013). Agency theory has caused internal reform of boards, there has been an increase in executive share options schemes, meaning that managers are being offered equity in the company they will manage, in order to â€Å"align their interest† (Having Their Cake, 2013). Agency theory has also led to the introduction of independent non-executive directors onto Boards of Directors, in order to ensure the actions of the management are being sufficiently monitored by the board themselves and role of boards have been greatly elaborated, they are becoming more involved with the setting of objectives of companies and monitoring of any actions taken by management and stricter provisions have been put in place to ensure the separation of the roles of chairmen and chief executive (Cadbury Committee, 1999). When applying agency theory to BDO, it is easy to see that there is a situation of agency and principle, with the fact that there are 193 partners in the firm and only 5 partners who are part of the Leadership Team (LT- management) which is responsible for the overall management of the company and is chaired by the Managing Partner. It is also noticeable from their 2012 ‘Transparency Report’ that all members of the LT have been partners in the company for a number of years, with currently the shortest term being 12 years. This could be considered good governance by BDO because in an effort to avoid the agency dilemma, they ensure their management team is made up of partners, whose interest is already aligned with the interests of the business. The transparency report also states that BDO have a Partner Council (equivalent to a Board of Directors) which is independent from the LT and responsible for the overall governance, in particular the oversight and accountability of the LT. They are also responsible for choosing members of the LT and for electing independent non-executive directors, for which there are 2 at BDO. These independent non-executive directors sit on the LT and report to the partner council of any issues of compliance with governance, policies and procedures, for which they are responsible for providing information on to the LT. The Partner Council is chaired by the Senior Partner who performs a client facing role and is responsible for managing all decisions. He also attends LT meetings in a non-executive capacity to facilitate his oversight role of the governance of the company (Transparency Report, 2012). As we can see the management team is subject to a lot of oversight and monitoring by the Partner Council and the roles of the Senior Partner and Managing Partner are completely separate, this is all a way of ensuring the company has a high standard of governance and to also ensure the management is acting in the best interest of the all the owners. BDO goes to a big effort in organising their governance structure in order to avoid the problems arising from the agency dilemma. 2. 2. Resource Dependence Theory This theory originated from studies performed by Pfeffer and Salancik (1978), they suggest that board members and non-executive directors can provide a firm with a vital set of resources. Non-executive directors are appointed with the expectation that they will support the organisation with its problems and to be a source of expertise which executives can draw upon for skills and advice and they can also be a source of contacts and information which they have gained through their past experience (Having Their Cake, 2013). At different stages in the life-cycle of companies, they have very different needs from their non-executive directors. To young entrepreneurial companies, non-executive directors can be a cheap source of legal, financial or operation management skills, while publicly listed companies are in need of network connections such directors can provide, for example, sources of finance. They can also provide the benefit of attaching a good reputation to their company. Mature businesses, with which we are most concerned because BDO falls into that category, can use non-executive directors for their relevant market or managerial experience and from the consumer confidence which can be gained from that person’s good reputation being affiliated to their company (Having Their Cake, 2013). Applying this theory to the independent non-executive directors of BDO, we can clearly see from the Transparency Report (2012) that both have experience of past non-executive director roles and both bring their own experience in a relevant field, Lesley MacDonagh with a high level of experience of law and business management which she gained from being a Managing Partner at Law firm Lovells and Lord David Currie having experience of business management from eing a Dean of Cass Business School and a past Chairman of OFCOM and he also has sound knowledge of the legal system from being a member of the House of Lords. This places them perfectly for their positions of overseeing the governance of and business management of BDO. 2. 3. Stewardship Theory This theory, which originated from the works of Donaldson (1990), suggests that directors can have motives which are ‘pro-organizational’ and counters the assumption by agency theorists that management aims are based in self-in terest and are not aligned with those of the shareholders. Donaldson even goes as far as to suggest that negative investor assumptions of the management will have the opposite effect to what was intended and can actually weaken the leadership of a company by weakening the management’s authority when splitting the decision making power between the board and the management. Donaldson also put forward the theory that inside managers and directors have possibly spent their lives working for the company they govern and because of this not only have a strong understanding of how the company is ran, therefore are able to make superior decisions, but also they will have naturally built a strong affiliation and personal investment in the success of the company. He also points out that decisions made by a board of outsiders could be of a lower quality because they would not be in a position to fully understand the company because they would not have access to the same informal knowledge sources and would lack any information which could inform them of the contextual nature of any business situations. All this in turn could lead to low firm performance (Nicholson and Kiel, 2007). As was stated earlier, BDO has a LT which is made up of partners who have been working for the company in a particular field and have been a partner for a number of years. The field they are responsible for as part of the LT is relevant to the field they have been previously working in, for example the Head of Audit and Tax, Paul Eagland has been a Tax Partner for 17 years. This ensures that any decisions that are being made are informed with the necessary knowledge to make the correct decision for the company. Also, as has been stated previously working for the company has long has built a strong affiliation to the company and its success. With regards to the non-executive director element of the board, it is made up of both independent members who come from outside the company (such as mentioned previously) and Directors such as the Senior Partner who has been with the company for a number of years, this allows for any gaps in the knowledge of the directors to be covered because there is an overlap between the meetings of the LT and the Partner Council when the Senior Partner sits in on LT meetings as an affiliated non-executive director. This ensures that the company is practicing good governance and that the board cannot be misled by the management as to how the company is being ran and if the interests of the other Partners are being looked after (Transparency Report, 2012). 2. 4. Stakeholder Theory Freeman (1980’s) put forward a whole new idea in terms of corporate governance theories, he argued that it should not simply be just the shareholders’ or partners’ interests which should be considered when making business decisions, he suggested that companies should be ran with the interests of all stakeholders in mind. Other stakeholders include employees, who have invested their time and skills in the company and have an invested interest in the company’s success, in order for them to ensure job security. This, Freeman classes as a direct interest in the success of the company, other direct stakeholders include customers and suppliers. What Freeman classed as having an indirect interest in the performance of the company includes the community as a whole and the environment (Having Their Cake, 2013). There is a major problem with this theory, which is that it is hard to operationalize because it is difficult to decide the weight that should be given to different stakeholders but accepting this difficulty, some theorists have suggested that while ultimately they are accountable to the shareholders, they must take into account the interests of other stakeholders when making decisions. This demand for ‘stakeholder value’ is legitimised through a number of examples, take globalisation; the spread of business and corporations across the world has led to environmental damage, an increase in corporate corruption and excessive executive pay has been, for example with RBS, to come hand-in-hand with company downsizing which has a direct impact on employees. In the name of good corporate governance, the increase in the value of stakeholder interests has led to an increase in business ethic codes and heightened corporate practice visibility and corporate reports of social responsibility and environmental matters (Having Their Cake, 2013). According to BDO’s website and their Transparency Report (2012), the company takes the interests of various stakeholders into account when making decisions about how the business is run, in a number of different ways, through policies and procedures: * Ethical Requirements The company has a Professional Services Manual and an Audit Manual, which contain rules relating to ethical conduct of employees, management and Partners. It is easily accessible on the company intranet and is supplemented with training and is designed to comply with International and UK Ethics Standards. The Partners and staff sign annual declarations as to their compliance to the code and the company has an Ethics Partner who is tasked with providing guidance as to correct ethics and also with maintaining compliance. * Client Relationships BDO has 5 core values which all partners and staff are committed to, they are; honesty and integrity, taking personal responsibility, mutual support and strong and personal client relationships. To aid in these values and to help deliver a quality service to clients, the company has robust client and engagement procedures. They carry out risk assessments on every potential client, before signing a contract and this helps to ensure that not only is the company secure but also that they provide the client with the sufficient standard and amount of staff they are in need of. The HR department also has clear policies and procedures when it comes to recruitment in training, to ensure the company has a sufficient number of staff who are competent and meet the required ethical standards, all in the name of providing a quality service to clients. * Employee Relationships BDO have an inclusive culture when it comes to recruitment and training and development, it provides every staff member with the same opportunities to progress regardless of differences. They have strong policies and procedures regarding regular reviews, which are performed bi-annually. They also seek to adopt the most relevant recruitment selection tools, in order to ensure the fit and quality of those joining the company. They also provide employees with ‘learning maps’ and ‘career and performance wheels’, which helps with career development and ensures promotions only occur when the staff member is ready. This all aids in the success of the company. * Corporate Social Responsibility BDO actively support and develop the local community, they have an established network of over 20 champions in the UK, tasked with â€Å"stimulating local ideas and initiatives† to help developing the community. They have a Community Volunteering Policy, allowing employees to take 6 days a year to volunteer, and they are not restricted to volunteer at certain organisations. It can be whatever is important to them. BDO ensure the negative impact their business has on the environment is minimised and have an Environmental Policy which can be accessed at the follow address: http://www. bdo. uk. com/about-us/corporate-social-responsibility/environment. Considering this, it could be said that with regards to ‘stakeholder value’ BDO practices good corporate governance. . BDO Governance in Practice 3. 1. Transparency Report Due to the EU’s 8th Directive on transparency reporting being adopted, in April 2008 the Professional Oversight Board published the Statutory Auditors (Transparency) Instrument (2008), requiring auditors of companies with a public interest to publish annual transparency reports. It also detailed requirements that such reports must meet, including systems of q uality control, independence practices and procedures and information about the company, i. e. he structure and the management. The BDO Transparency Report (2012) is available at: http://static. bdo. uk. com/assets/documents/2012/09/Transparency_Report_for_the_52_weeks_ended_29_June_2012. pdf . Transparency reports are used to demonstrate the quality of audit processes and practices of a company and are also used to encourage a high level of confidence and trust from stakeholders and the business community. BDO also provided a statement of compliance with the Audit Firm Governance Code (2010), which can be seen in Appendix A. The transparency includes details of the Governance Structure of the UK Firm, including the management and implementation of independent non-executive directors, the values of the company, the Internal Quality Control System, the Risk Management Control System and details the policies and procedures regarding independence, whistleblowing, professional development and partner remuneration. 3. 2. Statement of Compliance with the Audit Firm Governance Code One of the most important aspects of the Transparency Report is the Statement of Compliance with the Audit Firm Governance Code. Some of the key aspects of which include compliance with: * the owner accountability principle- the Partnership Council reviews decisions made by the Leadership Team, the management * the management principle- strategic and operational leadership is provided by the LT * the professionalism principle- the whole firm is committed to quality work and professional judgement and values. The firm’s management and the Head of Risk and Quality reinforce the appropriate ‘tone at the top’, instilling professional and ethical values in the firm. BDO employees are expected to comply with an internal code of conduct * the Involvement of independent non-executives principle- BDO appointed Independent Non-Executives in July 2008, comply with the same independence requirements as our partners and employees and they have sufficient experience and expertise to command the respect of the partners * the Compliance Principle- BDO have policies and procedures to ensure they comply with professional standards and applicable legal and regulatory requirements * the whistleblowing policy- all actions arising out of incidents of whistleblowing, are reported to the Head of Risk and Quality who will make an annual report the Internal Reporting Principle- LT, Partnership Council, Audit Committee and Risk Committee are supplied with information in a timely manner and in a form and of a quality which enables them to discharge their duties * the Financial Statements Principle- BDO publish annual audited financial statements in accordance with UK GAAP While BDO provide a very clear statement about how compliant they are with regards to the Audit Firm Governance Code, we must look at the FRC’s ‘BDO LLP- Audit Quality Inspection, 2013’ which considered the corporate governance compliance of BDO in order to get a true understanding of their standard of corporate governance compliance. 3. 3. FRC Annual Review of BDO The FRC found that in most areas there were appropriate policies and procedures in place for its size and client base and they found that all the statements that were made in the Transparency Report were consistent with their understanding of BDO’s policies and procedures of the firm. However, when the FRC reviewed the audits BDO carried out themselves on other companies, they found that a number of governance codes were not being adhered to: * Firstly, they were not always providing a high standard of quality auditing, failing to challenge explanations and inputs from managers, they did not always report the disclosure deficiencies which were identified to the Audit Committee and there was a lack of adequate communication with the Audit Committee with regards to inaccurate information, which led to safeguards that had been put in place not being properly assessed. Secondly, the FRC found that the audits were not always being reviewed thoroughly enough and audit quality issues and omissions in reports were not being identified. * Thirdly, BDO were found to not have complied fully with ethical standards in a number of different ways; * The business plan inferred that fees should be set lower if non-audit fees are likely to be earned, this goes against their own required ethical standards and their own * Performance evaluation criteria including the cross-selling of non-audit services * The list of entities which partners held shares and could generate a conflict of interests was not up to date. A more robust set of procedures was suggested to ensure that this list was kept up to date in future Lastly, the Internal Quality Review was not of a high enough standard, it did not provide a sufficient level of detail and clarity of explanations of significant findings. 4. Conclusion We can see that BDO go to great lengths to try and ensure that they are fully compliant with corporate governance codes and regulations, not only with their policies and procedures a nd the way the company is managed but also with governance structure of the company and the values and focus of the aims and objectives of the company. They also have a strong focus on transparency and ethics within in their business and this is linked to their value of providing great customer client relationships with professionalism, honesty and integrity. They also go to great lengths to aid the companies with which they work, in complying with corporate governance codes, again this is all in the name of developing excellent quality and trustworthy client relationships, in order to maintain and improve the success of their business. However, as we can see from the FRC review, there are gaps in their governance compliance, in particular with internal reporting and ethical standards, but it will have to be seen in the coming years of reviews if the increase in transparency and an even greater focus on corporate governance will lead to BDO closing such gaps. 5. Bibliography * BDO LLP UK, ‘Transparency Report’, 2012, Available Online at: http://static. do. uk. com/assets/documents/2012/09/Transparency_Report_for_the_52_weeks_ended_29_June_2012. pdf [Accessed 02 May 2013]. * BDO LLP UK Website, 2013, ‘About Us’, Available Online at: http://www. bdo. uk. com/about-us/corporate-social-responsibility/environment [Acc essed 02 May 2013]. * BDO LLP UK, 2012, ‘Corporate Governance for TMT Businesses’, Available Online at: http://static. bdo. uk. com/assets/documents/2012/03/Corporate_Governance_for_TMT_Businesses. pdf [Accessed 02 May 2013]. * Crump, R. , May 2012, ‘Mid-cap market calls for mandatory governance code’, Financial Director Website, Available Online at: http://www. financialdirector. co. k/financial-director/news/2180374/mid-cap-market-calls-mandatory-governance-code [Accessed 02 May 2013]. * Financial Reporting Council, 2013, ‘BDO LLP: Audit Quality Inspection’, FRC Website, Available Online at: http://www. frc. org. uk/Our-Work/Publications/Audit-Quality-Review/Public-Report-BDO-LLP. aspx [Accessed 02 May 2013]. * ICAEW, 2013, ‘The Audit Firm Governance Code’, ICAEW Website, Available Online at: http://www. icaew. com/en/technical/corporate-governance/audit-firm-governance-code [Accessed 02 May 2013]. * Keynote, 2013, ‘Account ancy Marketing Report’, Available Online at: https://www. keynote. co. uk/market-intelligence/view/product/10674/accountancy? edium=download [Accessed 02 May 2013]. * Dr Lashgari, M. , 2004, ‘Corporate Governance: Theory and Practice’, The Journal of American Academy of Business, Cambridge, Available Online at: http://tharcisio. com. br/arquivos/textos/13200724. pdf [Accessed 02 May 2013]. * Mitchell Van der Zahn, J-L. W. , 2008, ‘Special Issue on: Financial Reporting, Transparency and Corporate Governance: Issues in Volatile International Markets’, International Journal of Accounting, Auditing and Performance Evaluation, Vol. 7, Nos 1/2, pp: 61-93, Available Online at: http://www. inderscience. com/info/ingeneral/cfp. php? id=962 [Accessed 02 May 2013]. * Roberts, J. ‘The Theories behind Corporate Governance’, Having Their Cake website, Available Online at: http://www. havingtheircake. com/content/1_Ideas%20that%20shape%20the%20world/fa ct%20and%20opinion/The%20theories%20behind%20corporate%20governance. lnk [Accessed 02 May 2013]. * Turnbull, S. , 2002, ‘Corporate Governance: Its scope, concerns and theories’, Corporate Governance: An International Review, Volume 5, Issue 4, Available Online at: http://onlinelibrary. wiley. com/doi/10. 1111/1467-8683. 00061/pdf [Accessed 02 May 2013]. * Tricker, R. I. , 2012, ‘Corporate Governance: Principles, Policies and Practices’, Oxford University Press: London, (2012). *

Art Deco And Rene Lalique

Art Deco And Rene Lalique Art Deco, a popular international art design movement of the 1920s to 1940s influenced the decorative arts like architecture, interior design and industrial design along with visual arts such as fashion, paintings, the graphic arts and films. This style came across as elegant, glamorous, functional and modern in those times. The movement was a blend of many different styles and movements of the early 20th century, including Neoclassical, Constructivism, Cubism, Modernism, Art Nouveau, and Futurism. Its popularity peaked in Europe during the Roaring Twenties and continued strongly in the United States through the 1930s. Art Deco was purely decorative, although many other design movement had political or philosophical roots or intentions. A decline in the popularity of Art Deco was seen in the late 30s and early 40s, but later in the 1980s revived with the popularization of graphic design. Art Deco had a profound influence on many later artistic movements, such as Memphis and Pop art. Linear decorative designs that were reminiscent of modern technology were characteristics of Art Deco, also known Art modern. In order to symbolize the expanse of the machine age, emphasizes was laid on long, thin forms, curved surfaces and geometric patterns. Although the movement was popular in the 1920s and 30s, the movement received its gained its name in the 1960s derived from the 1925 Paris expositions of decorative arts. Art Deco was a modernization of many diverse artistic styles and themes from the earlier period. It took inspiration from Far and Middle East design, Greek and Roman themes, and also Egyptian and Mayan influence. The movement emphasized abstraction, distortion, and simplification by use of geometric shapes and intense colours, it derived these characteristics from the avant-garde painting styles of the early twentieth century, including Cubism, Constructivism, and Italian Futurism. Art Deco is distinguished from Art nouveau and precisionist movement by a more modern look. Art Deco was influenced arts and architecture, primarily the decorative, industrial, and graphic arts. It was also a well-liked style in fashion, furniture, jewelry, and textiles. The most renowned Art Deco artist is glassmaker and jeweler, Rene Lalique. Two well-known U. S. buildings executed following the Art Deco approach include Rockefeller Center and the Chrysler Building. Art Deco, an opulent style, credits its lavishness to the reaction to the forced sternness imposed by World War I. Its rich, festive character fitted it in the modern contexts, including works such as the Golden Gate Bridge, interiors of cinema theaters and ocean liners such as the ÃŽle de France, Queen Mary, and Normandie. To reflect the modernity and efficiency of the train in the united states, Art Deco was employed extensively throughout the train stations in the 1930s. The most significant feature of Art Deco was its dependence upon ornaments and motifs alongside making use of many other distinctive styles. The style is said to have reflected the tensions in the cultural politics of its day, with eclecticism having been one of its defining features. As quoted by F. Scott Fitzgerald, the distinctive style of Art Deco was shaped by all the nervous energy stored up and expended in the War. The style that Art Deco employs is the description of eclecticism. It draws inspiration from a wide variety of sources and has its own unique look that is difficult to define. Its range of characteristics makes it an extremely versatile style, and an enjoyable one to work with, since Art Deco is easily integrated into a wide variety of personal styles making it liked by many and a favorite among collectors. Renà © Lalique 1860 1945 Rene Lalique, one of the few artists who successfully made the transition from the mannered, self-consciously opulent and sinuous Art nouveau(1800s-1900s) artistic culture to the sweeping modern elegant functionality of Art Deco (1910-1940), for which periods he is considered to be one of the worlds greatest glass artists and jewellery designers. His superb work features naturalistic elements inspired by nature, Greek classical themes, and social pursuits of his time such as hunting. Lalique in his work retained the handmade look while he also employed the most modern manufacturing techniques and equipment of his time to mass-produce his work. Museums and glass enthusiasts still collect his clear and frosted glass creations, which were also very popular during his lifetime. Early Years Jewellery Career Born on April 6, 1860 in the village of Aà ¿ in the Champagne region of France, Lalique family moved to Paris when he was two years-old. Beginning at age of 16, Lalique began to work as a trainee with Louis Aucoc, one of the best jewelers of Paris, while continuing his drawing classes at the Ecole des Arts Dà ©coratifs de Paris. He developed a unique naturalist style which was to influence his style as a jeweler while he studied drawing at Sydenham College in London. Lalique worked as a designer for a relative while freelancing on the side for jewelers such as Aucoc, Boucheron, Cartier, Destape, Gariod, Hamelin and Jacta, in Paris. He also studied sculpture modeling and etching. It all began in 1885; Lalique began manufacturing his jewellery designs out of his own workshop. For these he employed non-conventional materials such as translucent enamel, semiprecious stones and ivory. Success followed in 1893 when he won second prize in the Centrale des arts Dà ©coratifs goldsmiths competition for his Chardon glasses and an honourable mention for his Pampas and Satyrs vase. The following year, Lalique exhibited at the Salon de la Socià ©tà © des Artistes Franà §ais in the sculpture section and began creating jewellery for Sarah Bernhardt. Four years later, he won the Grand Prix at the International Exhibition in Brussels and was made a Chevalier de la Là ©gion dHonneur. In 1902, Lalique was living, manufacturing and showing out of his mansion in Paris, which featured his designs on the balconies, entrance and hall. By 1908, he had begun creating fashion accessories such as handbags, scarves and belts as well as perfume bottles for Franà §ois Coty. These bottle designs, which evoked the enclosed fragrance, revolutionized the perfume industry and led to work for other leading perfumers such as Roger Gallet, Houbigant, Molyneux, dOrsay, Molinard and Worth.

The Fifth Element, Sinfield, The Perfect Storm and A River Runs Through It :: Movies Writing Essays

The Fifth Element, Sinfield, The Perfect Storm and A River Runs Through It Authors examine many different sources to become better writers. By drawing on the writings of another author one can enhance their current writing style and also learn new ways to write. The plot, conflict throughout the story and the relationships between the characters are some examples of the parts of a story that an author can look at. Plot is the essence of a story. It is basically an outline of the flow of a story from one event to another. By examining the plot of a work, one can gain insight into another person's style of storytelling and from that style one can then learn ways to enhance his own writing. The movie, The Fifth Element, contains a plot that unravels very creatively. The screenwriter of the movie chose to tell his story from a future time when humans and aliens coexist. His goal is to explain to the moviegoer the idea that four elements, portrayed as rocks, make up life and one essential element holds these four together to create life and combat evil. He begins his explanation through a flashback sequence that displays the initial conflict, an ultimate evil, which will again arise later in the movie. After the flashback, the movie follows a chronological chain of events. The audience is introduced to the main characters, a man and a woman, and then to the rest of the good guys and the villains. T hroughout the course of the movie the characters move through many emotions from fear to hate to sheer joy. In the end, the good guys gather the four elements and are able to combine them together with the essential element, love, to destroy the evil. The creator’s use of common elements such as flashbacks, conflict and the basic concepts of good and evil can be drawn upon to better ones own plot construction. The Fifth Element uses the concept of a tangible evil as the major source of conflict. Sebastian Junger's book The Perfect Storm uses the natural phenomena of a storm as its ultimate conflict. The book takes place on a commercial fishing boat, the Andrea Gail, which gets stuck at sea during a terrible storm. The crew of the boat has to fight the storm in order to save their own lives. This causes a man verses nature conflict in which the man has little chance of winning.

Pat Barkers Regeneration Essay -- Pat Barker Regeneration Essays

Pat Barker's Regeneration Pat Barker's Regeneration focuses on the troubled soldiers' mental status during World War One. Barker introduces the feelings soldiers had about the war and military's involvement with the war effort. While Regeneration mainly looks at the male perspective, Barker includes a small but important female presence. While Second Lieutenant Billy Prior breaks away from Craiglockhart War Hospital for an evening, he finds women at a cafe in the Edinburgh district (Barker 86). He comes to the understanding that the women are munitions workers. Women's involvement in war work in Regeneration shows the potential growth in women's independence, but at the expense of restrictions placed on men while they were on the front lines of battle. Munition-ettes during World War One took the places of their husbands, fathers, and brothers in order for the men to take up positions in the armed services (Braybon 45). Women working in munitions factories were mainly of the lower class; yet, roughly 9 percent of women working in the factories came from the middle to upper classes (Robb 45). Munition-ettes held responsibilities for making and filling shells and cartridges along with other basic cleaning duties, driving, and intense labor ("Twentieth Century"). They acquired some engineering skills that helped them in producing various weapons ("Twentieth Century"). Munition-ettes took the deployed soldiers' places in the factories as a way to show their patriotism as well as to earn a better living than in domestic jobs. Munition-ettes suffered the flaws in the system of gender bias when looking at equal pay: "many [women] left low-skill, low-wage jobs, especially in domestic service, for better paying skilled labor in ... ...atriots or strictly worked to increase their economic status, all these women were a testimonial to the home front effort as well as the effort to further their independence. Works Cited Barker, Pat. Regeneration. New York: Plume, 1993. Braybon, Gail. Women Workers in the First World War. Totowa, New Jersey: Barnes & Noble Books, 1981. Robb, George. British Culture and the First World War. New York: Palgrave, 2002. â€Å"Twentieth Century: Military The First World War 1914-18.† Dartford Town Archive. 13 April 2003 <http://www.dartfordarchive.org.uk/20th_century/military_ww1.shtml>. Home | By Category | By Page Number | Assignment Last update: 30 April 2003 Site Editor: Karin E. Westman, Assistant Professor of English, Kansas State University Contact Site Editor Karin Westman's Homepage | Department of English | Kansas State University

Warfare in Polygamy Essay -- Marriage Spouse

Warfare in Polygamy Introduction Marriage is a universal trait of human kinship and social organization. It probably developed very early in the course of human social history. In human society, several cultures have used marriage to carry out some widespread functions. Some people are married because of love or romance. Yet, others are married for economic security, economic contribution, heritage, or political reason. However, in spite of these general features, different cultures have developed different pattern of regulations and customs that determine prohibitions and preferences for marriage partners. These regulations and customs are also helped to shape expectations between spouses and in-laws Monogamy is the major form of marriage and is closely associated with most societies of Europe and Asia, while polygyny is found in traditional societies such as Africa. According to "The History of Human Marriage," monogamy, always the predominant form of marriage, has been more prevalent at the lowest stages of civilization than at somewhat higher stages; whilst, at a still higher stage, polygyny has again, to a great extent, yielded to monogamy" (Westermarck, 505). Yet, some polygyny can be found in more advanced societies such as Eurasia. Other regions that are associated with polygyny include Circum-Mediterranean, Insular Pacific, North America, and South America. However, the percentage of occurrence is very different in each society. Because polygyny in different society serves a different purpose, the causation for participation in collective fighting in polygyny of different society will be different. For instance, in Africa, plural marriage is far more general. According "the Factors of Polygamy in African... ...ly support that the causation for women to participate in collective fighting will differentiate across societies and countries. Reference DorJahn, V. "The Factors of Polygamy in African Demography." Continuity and Change in African Cultures.In Herskovits, M., and Bascom, W. (eds.), Chicago: 1959, p. 125-158. Goody, Jack. "Polygyny, Economy and the Role of Women." The Character Of Kinship.Cambridge University Press, London: 1973, p.175-189. Spencer, Paul. "Polygyny as a Measure of Social Differentiation in Africa." ASA Essay in Social Anthropology.Institute For the Study of Human Issues Publisher, Philadelphia: v.3, 1980, p.117-160. Westermarck, E. the History of Human Marriage.London, 1893. White, Douglas R. "Rethinking Polygyny" Current Anthropology.The Wenner-Gren Foundation for Anthropological Research, The U.S., V 29, No 4, 1988, p. 529-571.

The Death of the Moth Analysis

Life is a constant struggle against the ever present chill of death. Fear, betrayal, and cowardice all stems from life’s distaste of death. Human beings naturally rebuke the unknown, so it is only logical that people fight the inevitability of death. However, most people are ignorant of the reality of one day dying, prompting writer Virginia Woolf to write the essay, â€Å"The Death of the Moth†, in order to convey the frailty of life whilst also showing the awesome might of death.In the essay, her main purpose is to show that the moth embodies the human race, and that death is an inevitable fact of life no matter how much the human race struggles to stay alive. Woolf is able to get her purpose across by utilizing her unique style of writing. This is achieved by sympathizing with the moth throughout the essay, switching the narration between her internal personal struggles and external struggles of the moth, and changing the entire tone of the essay when the different t hemes of life and death are explored.Using her distinct writing style, Woolf delves into the wonders of life, and the ever present battle against death. One of the techniques Woolf uses in her writing style is employing empathy within the readers. She strives to create an emotional connection between the reader and the subject of the essay. In this case, Woolf directs her use of empathy with the main character of the story, which is the moth. Even before delving into the life of the moth, Woolf begins to refer to the moth as â€Å"he† instead of â€Å"it†, suggesting that the reader relates to the moth on a more personal level, rather than viewing him as just another insignificant bug.This creates a personal bond between the reader and the moth, resembling that of a companionship. Instantly, Woolf has been able to get the audience interested and emotionally invested in her essay by simply referring to the moth as a â€Å"he†. Furthermore, she proceeds to observe this moth closely, refusing to divert her attention to the happenings around her. As the moth lives his carefree life by vibrantly flying around, Woolf cannot help but pity the insignificance he has in the grand scale of things. ‘â€Å"One could not help watching him. One, was, indeed, conscious of a queer feeling of pity for him.The possibilities of pleasure seemed that morning so enormous and so various that to have only a moth’s part in life, and a day moth’s at that, appeared a hard fate, and his zest in enjoying his meager opportunities to the full, pathetic’† (Woolf 1). She continually pities the fact that the moth continues to make the most of his desperate and futile situation. No matter his frailty and impending doom, the moth continues to carelessly dance around the windowpane, either because he is unaware that he will soon die, or because he chooses not to care about his demise.However, Woolf begins to realize that the moth’s stre ngth is failing him, and she comes to the cold conclusion that he is at death’s door. Not soon after that, the moth senses that his strength is failing him, but even upon knowing his inevitable death, the moth continues to fight. Woolf’s heart goes out to the insect. ‘â€Å"It was superb this last protest, and so frantic that he succeeded at last in righting himself. One’s sympathies, of course, were all on the side of life (Woolf 2)’†. She resolves to root for the moth, and applaud his final protest against death.By the use of her writing style, Woolf has caused the audience to root for the moth’s final efforts along with her. By getting so emotionally invested in this moth, the audience realizes that no matter what happens, death will win, which saddens the readers. Their fellow comrade will fall, and it alerts everybody of the harshness of the situation. In reality people fight to live, but everyone will die just like that moth, and by creating an emotional attachment between the readers and the moth, people begin to understand the frailty of existence through this insignificant moth.In addition to creating empathy, Woolf uses a beautifully poetic method in getting her purpose across, which is exploring the external struggles of the moth while employing those struggles to her own personal demons. She is able to switch the narratives between external and internal conflict without the audience even realizing it. Through the use of her vivid imagery and lucid writing style, Woolf achieves this double narrative story without the readers even consciously aware of it.This use of story-telling gives the readers multiple sides of the story, and is able to relate the tragic happenings of the moth to the even more tragic workings of Woolf’s mind. At first she explores the failing strength of the moth, which is the entire basis of the essay. ‘â€Å"After perhaps a seventh attempt he slipped from the wooden ledge and fell, fluttering his wings, on to his back on the windowsill. The helplessness of his attitude roused me†Ã¢â‚¬â„¢ (Woolf 2). However, she begins to directly correlate these outside and physical experiences to the internal conflict and drama she’s been feeling.‘â€Å"But, as I stretched out a pencil, meaning to help him to right himself, it came over me that the failure and awkwardness were the approach of death. I laid the pencil down again’† (Woolf 2). Upon trying to help the moth, she soon sees how her actions would only prove to be futile, causing her to give up trying to help. This leads internal conflict within her, because she questions the use of fighting to stay alive when death will happen anyways. This causes her to pity the moth, who continually attempts to live, even though there’s no use. The internal trauma Woolf feels comes to a climax when the moth succumbs to death.‘â€Å"Just as life had been strange a few mi nutes before, so death was now as strange. The moth having righted himself now lay most decently and uncomplainingly composed. O yes, he seemed to say, death is stronger than I am’† (Woolf 3). Woolf is amazed at how quickly and easily death came, and how death was an endless wave of mystery. In the end, she comes to terms with the fact that death will always triumph life, no matter how much people fight to live. By using both internal and external conflict to express this ongoing battle, the reader completely grasps the theme of inevitability of death by seeing multiple examples presented to them.The last technique used by Woolf in her particular style is the use of tone and the words she chooses to employ throughout the entirety of her essay. In the beginning of the essay, the tone is light, having a congenial feel to it. The words used by Woolf flow very smoothly, and through the use of the happy and flowing words, she conveys the joys of life. She is basically celebr ating the life and energy of the moth. ‘â€Å"Nevertheless the present specimen, with his narrow hay-colored wings, fringed with a tassel of the same color, seemed to be content with life.It was a pleasant morning, mid-September, mild, benignant, yet with a keener breath than that of the summer months’† (Woolf 1). Woolf was renowned for her colorful language and the constant flow of the text. However, once the idea of death is introduced, the essay begins to take a morbid turn. A sense of foreboding is introduced into the mix, and the style of the writing changes. Instead of the flowing writing style and beautiful imagery, Woolf switches to longer sentences that contain different literary devices and the use of words is choppier rather than flowing.‘â€Å"When there was nobody to care or to know, this gigantic effort on the part of an insignificant little moth, against a power of such magnitude, to retain what no one else valued or desired to keep, moved o ne strangely. Again, somehow, one saw life, a pure bead’† (Woolf 2). Woolf doesn't utilize just words, but emotions in helping us to understand the full impact of death. Upon the introduction of the death of the moth, the demise of Woolf’s usual flowing writing occurs as well. By using different writing styles within the same essay, Woolf is able to achieve her purpose by creating a sense of dread within the reader.The theme of the inevitability of death is portrayed so skillfully by Woolf’s use of imagery and tone. Woolf’s skillful writing style is used to convey the absoluteness of death in a way that no other author is able to accomplish. By using empathy through the moth, conveying internal and external conflict, and using different tones and writing styles within the essay, Woolf was able to accomplish her purpose of showing the frailty of life, and how death will always triumph, no matter the struggle against it. People usually ignore this har sh fact, but Woolf was able to convey it through emotions rather than words, so people easily understood.