Business ethics, governance system and risk management are very important issues for any organization. Lack in sufficient attention on these aspects has shown to result in the collapse of companies, such as Enron and WorldCom. The combination of effective governance and management systems and consideration of ethics during decision making will help to eliminate this threat. This report highlights Mercury’s current governance arrangement and associated risks, and evaluates its decisions in the light of governance arrangements and ethics.
Mercury’s faces potential damages both non-financial and financial because of recent campaigning and publicity by rival newspapers about phone hacking and airbrushed photograph. As a result, the company may be involved in costly legal action, which has already happened against Mirror group, where 20 claimants took legal action against mirror group over phone hacking allegation. Readers have already started to boycott the products of Mercury, which will reduce the company’s revenue and eventually do damage to the shareholders’ wealth.
Inhaltsverzeichnis (Table of Contents)
- Executive summary
- Introduction:
- Exposure to reputation risk: (A)
- Manage risk
- Proposed changes in UK press regulation: (B).
- Similarities:..
- Differences:
- Impact on Mercury
- Mercury's current corporate governance arrangement: (C)
- Positive issues in current governance..
- Inadequacy of company's current corporate governance arrangement..
- Decision is robust or not:.
- Decision to use airbrushed photograph is ethical or not: (D).
- 1. Would it be profitable:
- 2.
- Is it legal:..
- 3. Is it fair:
- 4.
- Is it right:..
- 5.
- Is it environmentally sound:..
- Decision:
- References:.
- Corporate governance practices and ethical considerations within a business context
- Reputational risk management, including identification, assessment, and mitigation strategies
- The impact of proposed changes in UK press regulation on corporate governance
- Analysis of a specific ethical decision made by Mercury, using a framework of ethical considerations
- The role of risk management in mitigating potential ethical and financial risks
- Executive summary: This section introduces the importance of business ethics, governance systems, and risk management for organizations, highlighting their impact on business success and the consequences of neglecting these aspects.
- Introduction: This section provides an overview of the report's structure and outlines the four key sections, including a focus on Mercury's current governance arrangement, associated risks, and an evaluation of a specific decision in light of these aspects.
- Exposure to reputation risk: (A) This section delves into the potential damages, both financial and non-financial, that Mercury may face due to recent campaigning and publicity surrounding phone hacking and airbrushed photographs.
- Manage risk: This section outlines strategies for managing reputational risk through the implementation of an Enterprise Risk Management (ERM) system, fostering risk awareness, and putting in place control measures to minimize potential risks.
- Proposed changes in UK press regulation: (B) This section analyzes the similarities and differences between the new Independent Press Standard Organization (IPSO) and UK's general approach to corporate governance, exploring aspects such as regulatory bodies, underlying principles, and provisions for whistle-blowing.
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This report aims to evaluate Mercury's corporate governance practices, associated risks, and ethical decision-making, focusing specifically on the company's exposure to reputational risk and the proposed changes in UK press regulation.
Zusammenfassung der Kapitel (Chapter Summaries)
Schlüsselwörter (Keywords)
The report centers around the key concepts of corporate governance, risk management, ethical behavior, and business ethics. These concepts are explored through the analysis of Mercury's current governance arrangements, the company's exposure to reputational risk, and the ethical implications of its decision-making processes.
- Quote paper
- Kamrul Islam (Author), 2015, Mercury's business ethics, governance system and risk management, Munich, GRIN Verlag, https://www.grin.com/document/456106
