PHL Response Paper #2 Essay Example | Topics and Well Written Essays - 750 words

PHL Response Paper #2 - Essay Example Perhaps the three factors that must be understood by businesses when it comes to proper corporate governance are the importance of authenticity or sincerity, the need for transparency or accountability and the essential quality of the golden rule. A corporation must develop a sense of authenticity if it expects a consumer base to believe its claims. However, authenticity, by its very nature, is not something that can actually be bought or conducted on a superficial level. As Matt Endriss, the CEO of Birkenstock says, â€Å"When you are honest only because honesty pays †¦ you risk forgetting the meaning of honesty. When you are socially responsible only because social responsibility pays, you lose any real sense of what responsibility means† (212). By bringing in the question of good behavior for monetary reward, corporations and their leaders reinforce the selfish and self-centered, what’s-in-it-for-me attitude that typically leads to corruption and abuse of the system found in the business world today. This principle can be seen in almost every office complex when employees and employers are constantly engaged in a tug of war of favors, extra effort for extra pay and so forth. At the same time, the consume r is able to see through the false ‘humanitarian aid’ provided by a company used primarily as a means of boosting profit. Yet they recognize the true humanitarian aid provided by a company that acts simply in genuine interest in improving conditions for others. This is the focus of John Maxwell’s work regarding ‘true trust’. As Maxwell points out, â€Å"proper governance built on the element of trust should develop connections with others based on action† (lecture, page 6) and this action should be sincere action if it is to have any meaning. Companies that work to develop transparency are more trustworthy than those who struggle to keep their activities hidden. This both assures the consumer as well as ensures

Project financing and risk management Essay Example | Topics and Well Written Essays - 3500 words

Project financing and risk management - Essay Example The risk teams work extremely hard to help to maintain the reputation as well as financial performance of the NCB Jamaica Ltd ? and also ensure that the bank functions responsibly and assists the business to grow in a meaningful and sustainable way. As corporate responsibility has turned out to be the ‘buzzword’ in the banking business, banks are being forced to enthusiastically engage in providing to sustainable development? given their intermediate position in the financial system. The primary objective of this study is to recognize various risks? particularly the strategic risks faced by the banking industry and how to mitigate them. Strategic risk take place from the inability of an institution to execute suitable business plans and strategies, resource allocation after making apt decisions and its incapability to adjust to the changes occurring in its business environment. It is very important for banks to be serious in improving, measuring and reporting their risks as well as goals and objectives of their organization? as they will ultimately be bound to fight on benchmarking with competitors. 2. Introduction and Background. Jamaica is the third major island in Caribbean. National Commercial Bank Jamaica Ltd. (NCB Jamaica) is Jamaica's major provider of the financial services with 37.5% marketplace share by assets of the profitable banking sector. NCB offers a wealth of financial services in the course of its network of 42 locations and more than 170 ABMs island wide. These services consist of savings accounts and chequing, facilities of the credit card, commercial and personal loans, insurance, and wealth management. National Commercial Bank Jamaica Limited, jointly with its subsidiaries, offers different financial banking and products and services primarily in Jamaica. â€Å"National Commercial Bank Jamaica Limited reported consolidated earnings results for the fourth quarter and year ended September 30, 2012. For the quarter, the company reported net profit of JMD 2,685,498,000 or JMD 1.10 per basic and diluted share compared to net profit of JMD 4,616,324,000 or JMD 1.87 per basic and diluted share a year ago†. http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=20357150 The First Caribbean International Bank is a major Caribbean banking unit with assets in excess of US $9.5 billion and it is the second major institution among public traded financial organizations in the area with a market capitalization of above US $2 billion. The fundamental strategic principle of NCB Jamaica philosophy includes taking into account the interest of the stakeholders, customers, employees and their satisfaction. Strategic risk is a function of: †¢ A bank’s strategic aims †¢ Strategies of business developed in order to accomplish the goals †¢ Resources set up in search of these aims and the superiority of implementation †¢ Resources required accomplishing both tangible and intangible business strategies It consists of channels for communication, delivery networks, managerial capacities and capabilities and operating systems. The internal characteristics of an organization must be assessed against the impact of competitive, technological, economic, and regulatory and the other environmental changes. Strategic risk may occur due to several factors. â€Å"The primary risk to inflation in the 2011/12 financial year is the exchange rate and the pass through effect on prices if there is accelerated depreciation.