The Launching of Credit Card in Romania Essay Example | Topics and Well Written Essays - 750 words

The Launching of Credit Card in Romania - Essay Example The bank which is launching the card is Alpen bank. The objective of the research is to find out whether the launch of credit card into the country will be worth and whether such a launch will be able to generate the sufficient amount of revenues so that the feasibility of the new product is proved in terms of entry-decision. SWOT analysis is carried out to find out the relevant opportunities and issues about the establishment of new credit card business. Market positioning of the bank is analyzed for the successful establishment of the credit card business. SWOT Analysis Strengths The strength of the bank comes from its affluent customers. Majority of customers of the bank belong to the upper strata of the society. Having affluent customers also means that they are more frequent with the use of credit card and the purchase amount is also high. Weaknesses The major weakness of the credit card business comes because of the low growth potential. The growth potential of credit card busi ness is very low in Romania compared to other emerging markets. Lack of consumer experience in terms of management of credit card and related monetary transaction is another weakness, because of which majority of customers opt for cash transactions. The country has suffered a three year long recession which has affected the life style of the common people. Consumers have become price sensitive and opt for cutting budgets with the objective of saving money. This is a weak link for the credit card business because it is a general perception among consumers that holding credit cards leads to higher amount of purchases as compared to cash purchases. Another issue in credit card business is that, most of the times credit card is used for exclusive cash withdrawals rather than using it for real purpose that it purchase. Apart from this, since credit card business is relatively new and unknown to the customers of Romania, huge investments will be needed with respect of advertising, direct marketing and support infrastructure. Opportunities The opportunities from this credit card business can be explained in terms of the political, social and other related factors affecting the country and the credit card industry as well; Political- legal policies, procedure and other corporate obligations in the country are not very stringent, which will help in the smother transaction of the business. Economic- the economic environment of Romania has improved since 2006, after the country entered into the European Union. Since then, the microeconomic trends have been positive and with the increasing income, the disposable income of the households has also increased. This shows the opportunity of the credit card business to bank on the increased economic conditions of the country. Socio-cultural- with the increase in the economic status, it is expected that one third of the Romanian population will prefer branded products. This will increase the overall use of credit cards in the co untry. Technological- with the advent of globalization, more are more companies have stated to market their products and services into more emerging and developing markets. As the availability of technology has become cheaper and readily available, the credit card business can tap on this opportunity. Since credit card business will need technological assistance, the company can use the latest technology available to gain a sustainable competitive advantage over the competitors. Environmental- the use of credit cards is totally free from creating environmental hazards. The use of online transactions will also decrease the use of paper which will influence the environment in a positive manner. Threats Similarly, the threats from this credit

Certified Public Accountant Essay Example for Free

Certified Public Accountant Essay No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning or otherwise, except as permitted under Sections 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc. , 222 Rosewood Drive, Danvers, MA 01923, website www. copyright. com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley Sons, Inc. , 111 River Street, Hoboken, NJ 070305774, (201)748-6011, fax (201)748-6008, website http://www. wiley. com/go/permissions. To order books or for customer service, please call 1(800)-CALL-WILEY (225-5945). Printed in the United States of America. ISBN 978-0-470-87810-1 Ethical Decisions in Accounting Learning Objectives After studying this module you should be able to: Understand the importance of ethics Know the history of ethics in accounting Incorporate ethics into your decision process Know ethical standards for accounting professionals Understand ethical implications of the U. S.transition to IFRS Appreciate lessons learned from recent business scandals. SECTION 1 — THE IMPORTANCE OF ETHICS Ethics is an important part of your accounting education and it will play an increasingly important role in all aspects of your professional life. This module is intended to give you an overview of the study of ethics. It is a starting point for the discussion of ethics that will continue throughout all of your accounting studies. We will begin with a definition of ethics and then review some ethical theories that provide a framework for developing ethical standards for accounting students and professionals. Finally, we will discuss why ethics is important to you as you prepare for a career in accounting. DEFINITION OF ETHICS What exactly is ethics? According to Webster’s Dictionary ethics is â€Å"a discipline dealing with good and evil and moral duty, and with moral principles and practice. † Accounting ethics basically involves applying moral principles to accounting and business decisions. Business ethics is a more general form of applied ethics that relates moral principles to business situations. Business ethics examines behavior toward the outside world considering ethical principles and business codes of ethics. Ethical Decisions in Accounting | 1 Simply put, ethics is doing the right thing. It is not easy to define ethics because ethics can be different for different people. You have your own personal values and these values are very important in the decisions you make. When you are in business you will be required to follow codes of conduct that are established by your company and by any professional associations that you belong to. Following the ethical standards of these organizations is important, but you should always bring your own personal values into your business model. ETHICAL THEORIES Philosophers have developed many theories to provide a framework for making ethical business decisions. These theories provide a point of reference for developing codes of conduct for companies and professional associations. Most ethical codes in business are based on the following moral theories: Rights theory. The moral choice is the choice that best protects and respects the moral rights of those involved with a decision. This theory suggests that humans have a dignity that is based on their human nature and their ability to freely choose what they do with their lives. Therefore they have a right to be treated as ends and not merely as means to other ends. Utilitarian theory. The ethical action is the action that provides the most good or does the least harm. The ethical business action is the one that produces the greatest good and does the least harm for all who are affected— business stakeholders such as customers, employees, shareholders, the community, and the environment. Common good theory. The relationships of society are the basis of ethical reasoning and respect and compassion for others is the basis for moral decisions. This theory addresses the common conditions that are important to the welfare of everyone. Virtue theory. Ethical actions should be consistent with ideal virtues that provide for the full development of humanity. Honesty, courage, compassion, generosity, tolerance, love, fidelity, integrity, fairness, self-control, and prudence are examples of virtues. Fairness theory. Ethical actions treat all human beings fairly based on some standard that is defensible. We might pay people more, based on the difficulty of their work or the greater amount that they contribute to a company. IMPORTANCE OF ETHICS Information provided by accountants and auditors is relied upon by people who make decisions about companies and organizations. For example, if you are considering buying stock in a company you need accurate and reliable information upon which you can base your decision. Lenders such as banks and financial institutions need reliable information to determine if they will loan money to companies. Government agencies such as the Internal Revenue Service collect taxes based on the financial information provided by companies. People rely on the accountants who prepare financial reports. Knowledge of ethics will help you to make good decisions that will give proper information to those who rely on you. With proper information, better decisions will be made. 2 | Ethical Decisions in Accounting Business decisions can affect many people or stakeholders. For example, when you make a decision for your company it can affect the owners and employees of the company, banks who provide resources to the company, customers of the company, and people in the community where the company is located. In addition to the effect of your decision on the profits of the company, your decision may also have other non-financial factors that have important effects on stakeholders. What if you were considering two alternative projects for your company: (1) a project that would make significant profit for your company and also pollute the environment with harmful chemicals; (2) another project that would earn less profit but would have no negative effects on the environment and would not harm any stakeholders. Which project would you choose? Should non-pecuniary factors enter into the decision process? If you consider factors that are not fiscal-only in nature, then how do you measure them? Often, the most important factors in a decision are the ones that cannot be easily measured. Because some things cannot be measured easily, however, does not mean that we should not consider them in our decisions. That is the main point about the importance of ethics in accounting—an awareness that ethics is an important part of business decisions. We often use the cost-benefit decision model to evaluate business projects. We list the costs on one side and the benefits on the other side and the greater number often decides the project. If the benefits are greater than the costs we accept the project; if the costs exceed the benefits the project is rejected. Where does ethics fit into the process? More Profit Less Profit Ethical issues deserve a place in the costbenefit model. It is really quite simple— you consider the possible costs and benefits of ethical issues and place them on the scale along with other costs and benefits. Because ethical issues often are difficult or impossible to measure does not mean that they are not important or that they should not be considered in the decision. A more ethical decision is likely to result if ethical factors are at least brought into the picture when making business decisions. Again, awareness of the ethical implications of business decisions is the key to good business decisions. Not all decisions use the cost benefit model. Some decisions involve choosing different courses of action, such as recording accounting transactions when different alternatives are available under generally accepted accounting principles. You will need to choose the correct action according to the circumstances involved, and not based solely on the amount of profit your company can make. As the U. S. moves toward adopting international accounting standards, the accounting guidance will be based more on principles than on specific rules. The use of judgment will likely play a more prominent role in making accounting choices and ethical principles will play an even more important role in business decisions. Ethical Decisions in Accounting | 3 DISCUSSION QUESTIONS 1. Soon you will graduate from college and get a job. What ethical codes of conduct will you have to follow? How will your personal values affect your business decisions? What penalties are there for failure to follow ethical standards? 2. Look at the ethical standards of the AICPA or the IMA included in section 4 of this module. What principles will guide you in making accounting choices? SECTION 2 — THE HISTORY OF ETHICS IN ACCOUNTING In the wake of recent, high-profile accounting scandals, you might think that ethics is a relatively new topic to the field of accounting. Actually, ethics has been an important part of accounting since methods of keeping financial records gained momentum in the thirteenth century. A code of ethics now applies to all accounting professionals and ethics has become an integral feature of accounting education. BRIEF HISTORY OF ETHICS IN ACCOUNTING Luca Pacioli, an Italian mathematician and Franciscan friar, described a method of keeping financial accounts in 1494 when he published his first book Summa de Arithmetica, Geometria, Proportioni, et Proportionalita (translated â€Å"everything about arithmetic, geometry, and proportions†). In this book he wrote about many topics, including the first ever double-entry bookkeeping system, cost accounting – and accounting ethics. Over the years, ethical standards have been developed by many different professional associations, government agencies, and private companies. These organizations created ethical codes of conduct which their members or employees are expected to follow when they perform their professional work. An important organization in the early development of accounting ethical standards was the American Association of Public Accountants (AAPA) which was created in 1887. During that year, accounting became a profession, or a group of people whose members must meet certain standards to engage in the practice of accounting. In 1907, the AAPA incorporated professional ethics into its membership rules. However, membership in the AAPA was voluntary and therefore the ethical standards of the AAPA could not be enforced on a widespread basis. The AAPA was later renamed to the American Institute of Certified Public Accountants (AICPA). The code of ethics of the AICPA is a major force in applied accounting ethics in today’s business world. The ethical standards of the AICPA are fully described in Section 4 of this module—Ethical Standards for Accounting Professionals. Members of the AICPA are Certified Public Accountants (CPAs) who must comply with the AICPAs ethical standards. Noncompliance could result in losing a license to practice as a CPA. 4 | Ethical Decisions in Accounting ETHICS IN THE ACCOUNTING PROFESSION In the middle of the twentieth century the Commission on Standards of Education and Experience for Certified Public Accountants identified seven characteristics of a profession: 1. A specialized body of knowledge 2. A formal education process to acquire the specialized body of knowledge 3. A standard of professional qualifications to enter the profession 4. A standard of conduct 5. Recognition of status 6. An acceptance of social responsibility7. An organization devoted to the advancement of the social responsibility Characteristic 4—requiring a standard of conduct and characteristic 6—accepting social responsibility, relate most directly to accounting ethics. What standards of conduct should accountants follow and what is the social responsibility accountants have toward the public they serve? Standards of conduct and accounting codes of ethics as developed by current professional accounting organizations are more fully addressed in section 4 of this module—Ethical Standards for Accounting Professionals. A professional must accept a moral responsibility to act in the best interests of the public. This means that business must look beyond profits to the common good and be sure not to harm the public good. The purpose of business is to make a profit, but profit should not be the only motive for business. Adam Smith maintained that business should seek a profit within the ethical principles of justice and fairness. Therefore, a business professional must protect the public interest while pursuing the profit motive. Many would argue that acting in the best interest of the public is also in the best interest of the company. In other words, ethics is good for business and makes the company successful even as the company looks out for the common good. ETHICS IN ACCOUNTING EDUCATION Colleges and universities in the U. S. have included ethics in their curricula since Harvard University was founded as the oldest institution of higher learning in the United States. Many colleges since then have included ethics courses in their liberal arts programs. In the 1980’s, however, applied accounting ethics really gained momentum and many colleges in the U. S. started incorporating ethics into accounting and business classes. This incorporation of ethics into business and accounting is called applied ethics because the ethical principles learned in the philosophy classes is applied to practical accounting situations in accounting classes. With applied ethics, students get to add a new dimension to their business decision process—soft ethical issues in addition to the hard numbers traditionally used to evaluate business projects. DISCUSSION QUESTIONS 1. Some argue that ethics cannot be taught in college because students have already formed their values when they come to college. Do you think ethics should be included in the accounting curriculum in colleges and universities? Ethical Decisions in Accounting | 5 2. Do you feel that good ethical behavior is good for company profits? Describe a situation in which making a decision in the interest of the public good would increase the profitability of a business in the long run. SECTION 3—ETHICS IN THE DECISION PROCESS While you are in college studying accounting you will need to develop a thinking process that will guide you in making business decisions. When you graduate from college and enter the accounting profession you will use the knowledge you learned in college to help your company be successful and to create a better society. Learning accounting is not just about learning numbers, but also about learning to make good decisions. ETHICS IN ACCOUNTING EDUCATION How can you incorporate ethical decision-making when you study accounting? Many organizations exist that provide guidance to universities regarding how to incorporate ethics into accounting education programs. In addition, there are many tools students can use to solve an ethical dilemma. Some ethics tools with links to good web sites are provided at the end of this section. The main way you can bring ethics into your decision process, however, is simply to be aware of ethical issues in accounting situations and to consider these ethical issues as part of your decision model. The need for ethics in education is apparent in light of recent high-profile business fraud cases. In the United States, the American Assembly of Collegiate Schools of Business (AACSB) is the accrediting body for business schools. AACSB makes the education standards for business schools, and the AACSB standards do include ethics. Because ethical values differ among countries and cultures, there is no universally accepted code of ethics. Nonetheless, there are basic ethical principles that cross international borders, and International Federation of Accountants (IFAC) has attempted to provide some guidance for teaching ethics in all countries. International Education Standards (IES) prescribe standards of generally accepted ethical principles in the education of accounting students. The standards express the benchmarks that you are expected to meet in your accounting education program. They establish the essential elements of the content and process of education and development at a level that is aimed at gaining international recognition, acceptance and application. The standards cannot legally override local laws and regulations but will provide an authoritative reference for informing and influencing local regulators regarding generally accepted ethical principles. The International Accounting Education Standards Board (IAESB) recognizes the wide diversity of culture, language, and educational, legal, and social systems in the countries of the member bodies and of the variety of functions performed by accountants. Therefore, each individual member body will determine the detailed requirements of the education programs. International Education Standards for Professional Accountants are intended to establish only 6 | Ethical Decisions in Accounting the essential elements on which ethical principles for all professional accountants and accounting students should be based. The IAESB has issued eight International Education Standards. These standards cover the entry requirements for accounting education programs, as well as the experience and continuing professional development requirements you will be required to follow when you become an accounting professional: INTERNATIONAL EDUCATION STANDARDS (IES). IES 1: Entry Requirements to a Program of Professional Accounting Education IES 2: Content of Professional Accounting Education Programs IES 3: Professional Skills IES 4: Professional Values Ethics and Attitudes IES 5: Practical Experience Requirements IES 6: Assessment of Professional Capabilities and Competence IES 7: Continuing Professional Development: A Program of Lifelong Learning and Continuing Development of Professional Competence IES 8: Competence Requirements for Audit Professionals IES 4 prescribes the professional values, ethics and attitudes you should acquire during your education program. The aim of this standard is to ensure that you are equipped with the appropriate professional values, ethics, and attitudes to function as a professional accountant. IFAC recognizes that the accountancy profession throughout the world operates in environments with different cultures and regulatory requirements. IFAC has, nevertheless, established an international Code of Ethics for Professional Accountants. Professional values, ethics and attitudes relate directly to IFAC’s mission to develop and enhance the profession to enable it to provide services of consistently high quality in the public interest. IES 4 requires that university accounting programs should provide you with a framework of professional values, ethics, and attitudes for exercising professional judgment and for acting in an ethical manner that is in the best interest of society and the profession. The required values, ethics, and attitudes of professional accountants include a commitment to comply with local codes of ethics which should be in conformity with the IFAC Code of Ethics. The coverage of ethics in accounting education programs should include: the nature of ethics differences of rules-based and principles-based approaches to ethics compliance with fundamental ethical principles professional behavior and compliance with technical standards concepts of independence, accountability, and public expectations social responsibility ethics and law consequences of unethical behavior to the individual, the profession, and to society Ethical Decisions in Accounting | 7 ethics in relation to business and good governance whistle blowing, conflicts of interest, ethical dilemmas and their resolution. IES 4 recommends that the presentation of ethics may be treated, at least initially, as a separate subject in the accounting program. As you progress through your accounting curriculum and gain a wider knowledge of other subjects, your business curriculum will likely integrate the various topics covered in other business courses. This will encourage you to look for the possible ethical implications of problems being discussed in your accounting classes and in other business classes you are taking. As an accounting professional you will also need to understand relevant codes of ethics. You can study ethical standards for accounting professionals using the AICPA code of ethics and the IMA ethical standards. You also can examine the ethical standards of other professions and discuss other potential approaches for ethical standards in the accountancy profession. You know from your own accounting education program that you often learn best when you are actively involved learning process, using techniques such as: case studies role playing discussion of selected readings and videos analysis of real life business situations involving ethical dilemmas discussion of disciplinary pronouncements and findings seminars using speakers with experience in corporate or professional decision making Such active learning strategies give you a greater awareness of the ethical implications and potential conflicts that may arise from having to make difficult accounting decisions. It is important for you to learn from your ethical experiences. You should consider an experience, what went well, what did not work, and what approach may be taken in the future in similar circumstances. In this way, you will develop a decision model for ethical accounting choices. All accounting professional associations have codes of ethics that you will be required to follow. Unfortunately, fraud and ethical lapses persist in the business world. What can you do to improve ethical behavior? Awareness of ethical issues and a business decision model that incorporates ethics will help you to apply ethics in your business decisions. Just as you learn to apply financial models in your business decisions, you can also learn ethical models and apply them to business decisions. When you practice ethical situations in your accounting and business classes in college you will be better prepared to make good ethical decisions after you graduate and enter the accounting profession. How can accounting professionals incorporate ethical thinking into their business decisions? Accountants are good at working with numbers, but they need to look beyond the numbers when evaluating business projects. Ethical issues often are not easily measureable in dollars but their impact on accounting and business decisions may be significant and very important. The first step in the process is to be aware that there may be some ethical issues that could affect your decision. Again, awareness is the key. When you bring ethical considerations into the decision process then at least you are considering the possible ethical implications for people who may be affected by the decision you make. 8 | Ethical Decisions in Accounting Accounting professionals who are CPAs must fulfill continuing education requirements to maintain their CPA license. Continuing education in ethics is required in most states. Many CPA firms and large companies have ethics specialists to provide training and serve as resources to address ethical issues. ETHICS TOOLS What are some tools that you can use right now as an accounting student to help you solve ethical dilemmas and develop a process for making ethically good decisions? One tool might be to follow a defined set of steps in making an ethical decision. The Markkula Center for Applied Ethics at Santa Clara University suggests the following process for making an ethical decision: Recognize an ethical issue Get the facts Evaluate alternative actions Make a decision and test it Act and reflect on the outcome There are also many web sites with resources that will help you learn and apply ethical principles. Here are some websites you can review throughout your accounting career: Ethics Toolkit www. ethics. org/page/ethics-toolkit Cyber Students www. scu. edu/ethics-center/cydent Toolbox, Quiz, and More http://cba. lmu. edu/academicprograms/centers/ethicsandbusiness/toolbox. htm A Framework for Thinking Ethically http://www. scu. edu/ethics/practicing/decision/framework. html Ethics Cases. www. scu. edu/ethics/practicing/focusareas/cases. cfm? fam=BUSI DISCUSSION QUESTIONS 1. As an accounting student, how are ethical issues addressed in your accounting curriculum? How can you include ethical issues in a cost-benefit decision model? 2. How should ethical issues be considered in making business decisions? In other words, because ethical factors often cannot be measured, how would you evaluate the effect of ethical issues when you are making a business decision? Ethical Decisions in Accounting | 9 SECTION 4—ETHICAL STANDARDS FOR ACCOUNTING PROFESSIONALS. Having discussed the importance and history of ethics in accounting and some ethical theories that form the basis of accounting ethics, we now turn our attention to the ethical standards of professional organizations. These are the rules that you will need to follow as an accounting professional. We will start with a preview of professional associations of public accountants and management accountants. Then we will look at the American Institute of Certified Professional Accountants’ Code of Professional Ethics and the Institute of Management Accountants’ statement of ethical professional practice. PROFESSIONAL ASSOCIATIONS. As an accounting professional you will belong to a professional accounting association such as the American Institute of Certified Professional Accountants (AICPA) or the Institute of Management Accountants (IMA). Professional accounting organizations have codes of ethics that you will be required to follow as a member of that organization. Violations of ethical codes can result in disciplinary action, loss of your professional license, and possible legal prosecution. In addition to the national accounting organizations, states also have licensing bodies and professional associations that have codes of ethical conduct. The National Association of State Boards of Accountancy (NASBA) promotes ethical standards through its Center for Public Trust, www. centerforpublictrust. org. Of course, in addition to the ethical standards of professional associations, you also will be required to follow your company’s code of ethics and your personal value system. AICPA CODE OF PROFESSIONAL CONDUCT It is important to know that following ethical standards does not mean simply following the law. You need to distinguish between ethical standards and legal rules. As a CPA when you accept membership in the AICPA you assume an obligation of self-discipline above and beyond the requirements of laws and regulations. The Code of Professional Conduct of the AICPA consists of two sections—(1) the Principles and (2) the Rules. The Principles provide the framework for the Rules, which govern the performance of professional services by members. Principles The six principles of the AICPA code express the professions recognition of its responsibilities to the public, to clients, and to colleagues. 1. Responsibilities In carrying out their responsibilities as professionals, members should exercise sensitive professional and moral judgments in all their activities. 10 | Ethical Decisions in Accounting 2. The public interest Members should accept the obligation to act in a way that will serve the public interest, honor the public trust, and demonstrate commitment to professionalism. 3. Integrity To maintain and broaden public confidence, members should perform all professional responsibilities with the highest sense of integrity. 4. Objectivity and independence A member should maintain objectivity and be free of conflicts of interest in discharging professional responsibilities. A member in public practice should be independent in fact and appearance when providing auditing and other attestation services. 5. Due care A member should observe the professions technical and ethical standards, strive continually to improve competence and the quality of services, and discharge professional responsibility to the best of the members ability. 6. Scope and nature of services A member in public practice should observe the Principles of the Code of Professional Conduct in determining the scope and nature of services to be provided. Rules The bylaws of the American Institute of Certified Public Accountants require its members to adhere to the Rules of the Code of Professional Conduct. Members must be prepared to justify departures from these Rules. Rule 101—Independence. A member in public practice shall be independent in the performance of professional services as required by standards promulgated by bodies designated by the AICPA. Rule 102—Integrity and objectivity. In the performance of any professional service, a member shall maintain objectivity and integrity, shall be free of conflicts of interest, and shall not knowingly misrepresent facts or subordinate his or her judgment to others. Rule 201—General standards. A member shall comply with the general standards of professional competence, due professional care, planning and supervision, and sufficient relevant data. Rule 202—Compliance with standards. A member who performs auditing, review, compilation, management consulting, tax, or other professional services shall comply with standards promulgated by bodies designated by the AICPA. Rule 203—Accounting principles. Prohibits a member from expressing an unqualified opinion on financial statements that contain a material departure from GAAP. Rule 301—Confidential client information. A member in public practice shall not disclose any confidential client information without the specific consent of the client. Rule 302—Contingent fees. A member shall not charge a fee on condition that no fee will be charged unless a specific finding or result is attained. Ethical Decisions in Accounting | 11 Rule 501—Acts discreditable. A member shall not commit an act discreditable to the profession. Rule 502—Advertising and other forms of solicitation. A member in public practice shall not seek to obtain clients by advertising or other forms of solicitation in a manner that is false, misleading, or deceptive. Solicitation by the use of coercion, over-reaching, or harassing conduct is prohibited. Rule 503—Commissions and referral fees. A member shall not for a commission recommend or refer to a client any product or service when the member also performs an audit for that client. Rule 505—Form of organization and name. A member may practice public accounting only in a form of organization permitted by law or regulation whose characteristics conform to resolutions of the AICPA. IMA STATEMENT OF ETHICAL PROFESSIONAL PRACTICE The IMA ethical standards are based on the overall principles of honesty, fairness, objectivity, and responsibility. Members must act in accordance with these principles and encourage others in their organization to do so. Based on these principles the IMA requires its members to adhere to the following ethical standards: Competence 1. Maintain an appropriate level of professional expertise by continually developing knowledge and skills. 2. Perform professional duties in accordance with relevant laws, regulations, and technical standards. 3. Provide decision support information and recommendations that are accurate, clear, concise, and timely. 4. Recognize and communicate professional limitations or other constraints that would preclude responsible judgment or successful performance of an activity. Confidentiality 1. Keep information confidential except when disclosure is authorized or legally required. 2. Inform all relevant parties regarding appropriate use of confidential information. Monitor subordinates activities to ensure compliance.

Training in Extreme Conditions

Training in Extreme Conditions Training is the acquisition of knowledge, skills, and competencies as a result of the teaching of vocational or practical skills and knowledge that relate to specific useful competencies. Training has specific goals of improving ones capability, capacity, productivity and performance. (Wales) Body’s physiological response during exercise: Physiological response to exercise depends on intensity, duration and frequency of exercise and also depends on environment surroundings. During exercise requirement of oxygen and substrates in skeletal muscle are increased simultaneously leads to increase removal of metabolites and carbon dioxide. Chemical, mechanical and thermal stimuli affect alterations in metabolic, cardiovascular and ventilator function in order to meet these increased demands (Stokes). Adenosine triphosphate is a high-energy phosphate molecule that initiate muscle contraction, immediate source of energy supplies to muscle are initially provided by energy sources like ATP and Phosphocreatine before other aspects of metabolism are activated. Pulmonary ventilation increases as increase in respiratory rate to cope up increase in oxygen demand (Stokes) Some enzymes (ATPase) are able to use the energy stored between ADP and Pi bond. Water is involved is called hydrolysis. Each molecule of ATP releases 7.3 k cal.(30.7 kj) Energy can also provided by acetylate kinase reaction where ATP is produced from the conversion of two molecules of adenosine diphosphate(ADP to adenosine monophosphate(Amp) and ATP. (Stokes)Phosphocreatine stored in the muscle is a high-energy source for skeletal muscle it contributes energy in first 10 seconds of high intensity activities such as sprinting and are rapidly depleted but they provide important energy source in first few seconds of exercise before other aspects of metabolism are activated. (Stokes) resynthesis of ATP from energy-dense substrates glycolysis is a pathway by which glycogen and glucose are converted to two pyruvate molecules in the presence of oxygen, pyruvate enters the Krebs cycle via acetyl coA. Each turn of the Krebs cycle produces hydrogen carriers that enter the electron transport chain (ETC) and ultimately donate H+ to oxygen to form water, allowing ETC to proceed, however, when oxygen is not present, ETC cannot proceed which prevents flux through the Krebs cycle and result in a build up of pyruvate(Stokes. If it was allowed to continue the glycolysis may stop and no further ATP would be synthesized. Fortunately, pyruvate can accept the hydrogen carrier, forming lactic acid yields only 3 moll ATP per molecule of glycogen, but this can occur in absence of oxygen. In contrast, complete breakdown of glycogen via glycolysis, the Krebs cycle and the ETC yields 39 ATP per molecule of glycogen. (Stokes) Fatty acids are more energy dense than glycogen and there are very large stores of fat in adipose tissue, all energy stored as fat is stored as glycogen, body mass would increase by 50 Kg. Fatty acids are catabolized and enter into the Krebs cycle and ETC. A fully oxidized fat yields 129 molecules of ATP. The rate of resynthesize of fat is too slow to be of great importance during high intensity training. During exercise ventilation might increase from values around 5-6 liters min to >100 liter min. in an average young male, resting oxygen consumption is about 250 ml min and in endurance athlete during internes exercise might reach 5000 ml min (Stokes).Changes which occur in arterial pH, PO2 and PCO2 values during exercise are usually small, the increased reliance on glycolysis results in increased accumulation of lactic acid, which initially leads to an increase in PaCO2. Ventilation increases abruptly in the initial stages of exercise and is then followed by a more gradual increase. (Stokes) Oxygen requirements of working skeletal muscles ar e dramatically elevated above resting requirements. Resting blood flow to muscle is usually 2–4 ml†¢100 g muscle−1 min−1, but might increase to nearly 100 ml†¢100 g muscle−1 min−1 during maximal exercise. The circulatory changes which occur are increase blood flow to muscle leads to increase in cardiac output which leads to increase oxygen consumption. (Stokes) In the body maximum efficiency for conversion of energy nutrients into muscular work is 20-25%, the remaining is released in non-usable form of heat which raises body temperature this heat is due to increase metabolism in the body during exercise and blood supply to skin is increased which in tern stimulates sweat glands which starts sweating which causes heat loss. (Stokes) Training in Heat (Rg) This report discuss the temperatures that are considered hot, how the physiology of a human body adjusts an increase in temperature, what the stages of illness that are caused by heat, along with precautions that should be taken while exercising in heat. Generally the human body tries to maintain a certain body temperature range. This helps it function within its optimal levels. The normal human body temperature is 37 °C. Increases in body temperature of 2 °C to 3 °C generally do not result in causing ill effects. However, increases in body temperature above 40 °C to 41 °C can be associated with a variety of heat-related problems (Astrand.P, 1986). During exercise, constant heat is produced as a bi-product of metabolism and muscular contraction. This heat increases the core temperature of the body, which alarms its thermoregulatory mechanism, returning the body back to a homeostatic state. There are two important functions contributing to this mechanism are increase in blood flow to the skin, facilitating cooling and increasing sweating. This sweat helps evaporate the heat and lowers the core temperature. The result of the aforementioned mechanism leads to cardiovascular strain due to the increase in blood flow to skin, blood flowing to the muscles and the decrease of blood plasma volume, due to sweat loss. This leads to a cardiovascular drift. Cardiovascular drift is due to the competition of the blood flow toward the skin and muscles. This leads to a decrease in stroke volume, meaning in order to maintain cardiac output we would have to increase heart rate. Increasing heart rate helps provide proper blood supply to skin and working muscles. The process of the body’s core temperature increasing occurs when the blood perforates the hypothalamus. The hypothalamus then signals the rest of the body to reduce its exercise intensity (Phil wallace, 2013) . Exercising in hot climates without proper acclimatization can lead to a severe consequence called â€Å"Heat illness.† This illness is categorized into different stages based on the pathological events occurring at that time. (wordPress, 2012) Figure taken from (Ali Al-Nawaiseh, 2013) The different stages of heat illness are: Heat Cramps: It is thought to be due to the ingesting water with no salt during restitution from thermal dehydration. Clinical Feature Defined by a painful muscle cramp. Heat exhaustion: It is caused by sweat loss that results from exposure to high environmental heat or hard work. Clinical Feature Defined by clinical symptoms that involve a high body core temperature and signs of cerebral ischemia such as weakness, fatigue, discomfort, anxiety, dizziness, and headache. Heat syncope: It reflects cardiovascular failure caused by reduced venous return to the heart due to excessive seat loss. Clinical features Includes dizziness, fainting, and pale face. Heat stroke: It is the most severe heat-related disturbance and can be fatal. Clinical Feature – Core temperatures greater than 40 °C accompanied by hot and dry skin, indicative of impaired thermoregulation. It is also associated with delirium, convulsions or coma, indicating, impaired central nervous system function. Figure taken from (Yamazaki, 2012) Heat Acclimatization: Heat acclimatization is a process which body adapts to temperature change. It happens for the first 10-15 days of initial change, but major change occurs for the first 3 to 4 days. Heat acclimation improves endurance exercise performance in the heat, and thermal comfort at a given exercise rate. The primary adaptations that occur during heat acclimation are: Increased plasma volume by 10% – 12%, earlier onset of sweating, higher sweat rate, reduced salt loss in sweat, reduced blood flow to skin and increased synthesis of heat shock proteins There are many precautions that need to be taken while exercising in hot environments few of them are â€Å"obtain players or exercisers history of previous heat illnesses. Allow a period of seven to the ten days for acclimatization. Instruct players to wear appropriate clothing during the acclimatization period. Take regular measurements of the WBGT index. Encourage players to adequately replace fluids. Record body weight of players before and after, during practice and matches. Identify susceptible players. Constantly be vigilant and monitor players for signs of heat illness. Players must have unlimited access to water†. (International Hockey Federation (FIH), 2010) Training in Cold Conditions (Tyler) Exercising in cold temperatures is a complex idea. There are many factors and variables that need to be taken into account before contemplating or beginning to exercise in a cold environment or during a cold season. There are four major topics that we will be discussing: A) Metabolic changes B) Cardiovascular changes C) Thermal aspects and D) Adaptations. Choosing the correct diet for exercising in the cold can be tricky. After researching the subject there has shown to be no one significantly superior style of diet, whether it is carbohydrate, fat or protein dominant. However, one study did show that more work was achieved after a 3-day high carbohydrate diet (600g/day) as opposed to a 3-day normal diet (300g/day) [Thorp et al. 1990]. This would indicate an important relationship between exercise performance in a cold environment and carbohydrate intake. A study conducted by â€Å"Doubt and Hsieh in 1991 and Jacobs et al in 1984, 1985† shows us that venous lactate concentrations are higher with exercise in cold temperatures, which is due to the inverse relationship between muscle temperature and glycolysis. Lactate values have shown to be higher in colder temperature (-2 °C), these values also seemed to increase at a slower rate than they did at warmer temperature (+24 °C); indicating that there may be a temperature-relate d delay in lactate release. Samples were taken at the end of each incremental increase in workload throughout the study, leading to these results (Therminarias et al. 1989). Ventilation experiences an increase when the body is exposed to a colder environment. However, the differences between ventilation in a cold environment and that of warmer environment diminish as we increase our exercise workload (Therminarias et al. 1989). As we know, during respiration our lungs work to bring in oxygen and expel carbon dioxide. However, if there is an increase in ventilation, this could result in the reduction of end-tidal carbon dioxide. Maintaining higher levels of CO2 within the body could eventually lead toward impaired mental function in persons working in a cold environment (Cooper et al. 1976). When we introduce our body into a cold environment, our body reacts. This is usually in the form of the cutaneous thermal receptors sending distress signals to our central nervous system via afferent signalling. The body uses two mechanisms to account for higher VO2 during exercise in a cold environment. 1) A flux in our total body heat occurs (Nadel 1984; Park et al. 1984; Rennie 1988; Sagawa et al. 1988) 2) Our net mechanical efficiency is decreased (Pendergast 1988). If a flux in total body heat occurs, the body responds via negative feedback. First the body’s thermal receptors detect an unwanted change in body temperature at the skin. These receptors send a message via afferent messaging to the central nervous system which determines the best way to return the body back to its homeostatic state. A signal then is sent from the brain, to the hypothalamus which responds by sending its own message to our muscles forcing them to repeatedly contract at an express pace, this is commonly referred to as â€Å"shivering.† The more the body shivers, the more heat that is produced which in turn raises the body’s core temperature. After a homeostatic balance is regained, we begin to stop shivering as the â€Å"heat-promoting† portion of the hypothalamus begins to shut down. When considering the efficiency of our body to perform specific actions, we need to take into account how the cold temperature will affect us. Cold muscles tend to have a reduced contractile force, regardless of whether or not the kinetic energy requirement has been altered. This means that the body may have to try and recruit additional motor units to meet the required work output (Blomstrand et al. 1986). Exposure to a cold climate causes significant peripheral vasoconstriction, resulting in elevation of blood pressure. Cold temperature has the ability to affect cardiac output through an increase in intrathoracic blood volume, which is secondary to peripheral vasoconstriction (Pendergast 1988). The increase in intrathoracic volume is indicated through larger increases in stroke volume (McArdle et al 1976) or total body insulation (Rennie 1988). Increasing the intrathoracic blood volume has shown to increase both left ventricular end-diastolic and end-systolic dimensions at rest and during exercise (Sheldahl et al. 1984). Exposure to cold temperatures during exercise can sometimes lead to injury, such as a non-freezing cold injury or frostbite. This can be seen early throughout the distal extremities. The distal extremities depend on blood flow to maintain a suitable local temperature because their intrinsic capacity to generate heat in limited (Doubt Francis 1989). Our peripheral systems utilize a negative feedback technique to regain a suitable local temperature by alternating vasoconstriction and vasodilation (Rusch et al. 1981). References Wales, J. (, 2013). [Web log message]. Retrieved from http://en.wikipedia.org/wiki/Training Stokes , K. (n.d.). Retrieved from http://ceaccp.oxfordjournals.org/content/4/6/185.full Ali Al-Nawaiseh, M. B. (2013). Physiological Responses of Distance Runners during Normal and Warm Conditions . Journal of Exercise Physiology online, 12. Astrand.P, K. (1986). Textbook of Work Physiology. New York: McGraw-Hill Companies. International Hockey Federation (FIH). (2010). Competition in Hot and Humid Enivironments . Guidence competition in Hot and Humid Enivironments, 10. Phil wallace, M. M. (2013, Novemeber 4). Environmental Ergonomics. St catherines, Ontario, Canada. wordPress. (2012, February 15). Exercise Physiologist. Retrieved March 27, 2014, from wordpress.com: http://exercisephysiologist.wordpress.com/2012/02/15/the-human-homoeothermy/ Yamazaki, F. (2012). Importance of heat acclimation in the prevention of heat illness during sports activity and work. Importance of heat acclimation in the prevention of heat illness during sports activity and work, 8. C.J, Baker-Fulco et al (2001). Nutrition for Health and Performance. J.W, Thorp et al (1990). Work Enhancement and Thermal Changes during Intermittent Work in Cool Water after Carbohydrate Loading. A, Therminarias et al (1989). Influence of Cold Exposure on Blood Lactate response during Incremental Exercise. D.R, Pendergast (1988). The Effect of Body Cooling on Oxygen Transport during Exercise. Medicine and Science in Sports and Exercise. D.W, Rennie (1988). Tissue Heat Transfer in Water: Lessons from Korean Divers. Medicine and Science in Sports and Exercise. T.J, Doubt (1991 ). Physiology of Exercise in the Cold. E, Blomstrand et al (1986). Temperature-induced changes in Metabolic and Hormonal Responses to Intensive Dynamic Exercise. Acta Physiologica Scandinavica . E.R, Nadel (1984). Energy Exchanges in Water. Undersea Biomedical Research. K.E, Cooper et al (1976). Respiratory and other Responses in subjects immersed in cold water. Journal of Applied Physiology . L.M, Sheldahl et al (1984). Effect of Central Hypervolemia on Cardiac Performance during Exercise. Journal of Applied Physiology. N.J, Rusch et al (1981). The Effect of Profound Cooling on Adrenergic Neurotransmission in Cutaneous Veins. Journal of Physiology (London). S, Sagawa et al. (1988). Water Temperature and Intensity of Exercise in Maintenence of Thermal Equilibrium . Journal of Applied Physiology . T.J, Doubt et al (1989). Hazards of Cold Water. W.D, McArdle et al (1976). Metabolic and Cardiovascular Adjustment to Work in Air and Water at 18, 25 and 33C. Journal of Applied Physiology. Y.S, Park et al (1984). Decrease in Body Insulation with Exercise in Cool Water. Undersea Biomedical Research. Howley, E. Powers, S. 2012. Exercise Physiology: Theory and Application to Fitness and Performance. New York, NY: McGraw-Hill. Hue, O. (2011). The Challenge of Performing Aerobic Exercise in Tropical Environments: Applied Knowledge and Perspectives. International Journal Of Sports Physiology Performance, 6(4), 443-454.

Reducing Logistic Costs for Ladner Building Products Essay -- Business

Reducing Logistic Costs for Ladner Building Products Introduction: Ladner is a National building materials distributor with 15-distribution centres nation wide. Recently, the company had been experiencing a loss due to high costs. This issue has become a dangerous problem at Ladner, and top management is now looking to understand the causes of this problem. Recommendations: Ladner can take one or a combination of the following options to improve its situation: - Reducing transportation costs by re-organizing the deliveries and encouraging pick-ups. - Changing staff evaluation methods so that they are aware of costs involved in Ladner's processes. - Changing and re-organizing the customer and product base. Analysis of transportation process: It is easy to see from a first look at exhibit 3 and exhibit 4 (that are provided in the readings) that the delivery process always produces losses. The total cost is always more than what the customer is charged. This is mainly due to customer rebates on delivery charges. Which means this loss in the delivery process is eating up from the profit margins of the company. Ladner has a few options here. They can cancel all delivery rebates for all future deliveries (or reduce them), they can increase the charge on deliveries, and/or they can organize their deliveries better to reduce costs. The latter option is more favourable and is discussed in the following three paragraphs. Taking the Ontario region as an example that represents all regions, one can analyze the two transportation costs: when transporting to a local customer, and when transporting to a customer in a rural region. (See exhibit D) For local runs, the carriers were paid a high hourly salary ($34), and a relatively low per kilometre rate ($0.37). As a result, for Ladner to reduce its transportation costs for local runs, it should minimize the travelling time. In other words, each time the courier should make one trip to serve all customers who are located in the same area and make as many drops as possible. Moreover, it would be useful here to find out what?s the longest segment in the process of delivering to customers? Is it the trip to a certain area, or the drop-off time? If it was the drop-off time, then maybe the deliveries should be organized to minimize drop-offs. Maybe Ladner should... ...afely assume that it can increase its market share in any product if enough effort and promotion is put into it). It will be useful here to find out what are the actual numbers for this trade off? Then Ladner can form a strategy to increase overall profit margins by changing the customer base. For example, if the costs of storage and handling are relatively higher, then Ladner could try to increase sales of industrial products, which have a relatively high profit margin and medium SKU space requirements. On the other hand, it could reduce sales of allied products, which have high SKU space requirements. This product base management can be done in an indirect way as well. It is mentioned in the case that Ladner?s sales staff are evaluated on the basis of product gross margins. This ignores the costs of handling, storage and transportation. Ladner?s management can introduce a new evaluation method that would include these costs. The end result would be that sales representatives would try to sell the most profitable product to the most profitable customer after taking into consideration all the costs. In other words, better customer and product base selection.

Culture Influences the Lives of Individuals Essay

The novel â€Å"Kite Runner† by Khaled Hosseini vividly portrays the impact of culture on personality and even destiny of the main characters. Khaled Hosseini describes unique Afghan culture, its traditions and rituals, social norms and human relations which have a great influence on decisions of the protagonist and his life. Thesis using different themes and motifs, Hosseini creates a powerful life story portraying that culture and national identity determine destiny of a person, his life choices and relations with others. The book is based on the ideas of friendship and family relations, generation gap and immigration, cultural assimilation in America and cultural identity. In the interview Hosseini comments that â€Å"Because the themes of friendship, †¦ the uneasy love between fathers and sons are universal themes and not specifically Afghan, the book has been able to reach across cultural, racial, religious, and gender† (cited Azad 2004). The protagonist of the novel, Amir, is faced by cultural traditions of his nations, misunderstanding with his father and feeling guilt. Hosseini portrays family relations typical for many Afghans based on a man’s power and dominance and oppression of women in this culture. This theme is closely connected with generation gap and inability of Amir’s father to understand his only son. In contrast to many young people of his culture, Amir loves literature and poetry. He is portrayed as a radical whose circumstances and temperament lead him into a very different experience. Literature and story writing are not considered as a good profession for a man like Amir belonging to high social classes. The conflict between this cultural tradition and Amir’s desire to become a writer creates a tension and misunderstanding between Amir and his father. The idea of friendship and close peer relations between men is another theme which runs through the novel. When he was a child, Amir betrayed Hassan and defamed him. Many years have passed, but he feels guilty because of his weakness and disloyalty. Using this theme, Hosseini portrays that much human behavior is based not on the underlying values people hold, but on their compliance to the pressures exerted by the social world around them which can be resisted only at a high price. Everyone lives by cultural and social rules whose existence they are well aware of, but that they cannot resist their social world mostly rules them. In the explanations that the people in this book give of their lives, the dominant form personal level takes is that of the world of other people. Amir ponders: â€Å"I wondered if that was how forgiveness budded †¦ with pain gathering its things, packing up, and slipping away unannounced in the middle of the night† (Hosseini 198). The novel vividly portrays a conflict between Afghan culture and the Soviet Union traditions spread in this land. On the other hand, through minor characters of Afghan military, Hassan and his wife, Hosseini depicts different cultural traditions and national identity of two opposite cultures. Patriotism is not always a delusion and there may be values in one’s country that are worth defending, even dying for. However, states’ molding of their citizens into a common way of life is under challenge today. It is under challenge in part because of the resurgence of ethnicity and ethnic identity. These ideas of self echo Hosseini’s interpretation of culture: both self and culture are seen by some as belonging to a particular place, bounding and shaping the beings therein, and by others as radically open and free. In his interview Hosseini comments: â€Å"It’s hard not to feel some guilt in a country where privilege and poverty are basically next door to each other† (Jolly 2006). The themes of immigration and assimilations help readers to perceive cultural differences between Afghan and American cultures based on different values and religious traditions. In contrast to Afghanistan, American culture is based on collective consciousness. This contradiction can best be resolved by considering self and culture in a common phenomenological framework: a framework based on how people experience the world. For Afghan people, their experienced are based on revolutions and military struggle, constant tension to be killed and master-servant relations. Through the character of Sohrab, a nephew of Amir, Hosseini depicts a strong bond between relatives and importance of blood relations. In spite of great risk and Taliban rule, Amir returns to Kabul and saves his nephew Sohrab. Through this theme, Hosseini depicts that this choice of values and identities is not really free. People pick and choose themselves in accordance with their class, gender, religious belief, ethnicity, and citizenship, as well as all the exigencies of their own personal molding, from a cultural frame; they pick and choose themselves in negotiation with and performance for others. â€Å"Hosseini gives his readers credit by being subtle about his metaphors, such as the fact that Afghanis live among war and kite flying is children playing at war, preparing for it† (Most Readers Loved This Novel 2005, G3). For Amir, his half-brother Hassan, choice is not free, but it seems to be free: as if, from the vast array of available cultural choices as to what one might believe, how one might live, they make their choices and live and believe accordingly. For the most part, these men characters shape themselves in ways close to home, in congruence with their membership in home societies. Following Makhmalbaf (2001) â€Å"transformation changes the socioeconomic infrastructure that in turn breaks the traditional culture and creates a more modern one, exporting oil and consuming the products of industrialized countries† (29). The facts, events and destinies of the characters described by Hosseini show that culture is the main factor which determines human life and personality. According to Hall and Gay (1996): â€Å"The cultural shaping of self occurs at what may analytically be viewed as separate levels of consciousness† (34). In the novel, lives of all characters are shaped by a particular language and set of social practices that condition them as to how they comprehend self and world. All characters think in language and behave in accordance with Afghan cultural values and norms of their ethical group. In sum, the novel portrays that the self universally is made of past memories and future anticipation linked to an ever-shifting present. Amir’s experience in America shows that human self-identity does not disappear in the other country determining life goals and behavior. Human personality is culturally shaped: people of different cultural backgrounds clearly have different ways of experiencing the world.

Student Working During the School Year

Research has shown that the number of students who decide to work during the school year is increasing every year. Students who try to combine their studies with working life can be affected in different ways. There are many reasons why high school students should not have part-time jobs. Some of the most important are premature exposure to older adults, losing academic focus, and developing a taste for money early. The first reason why high school students should not work is that they will be early exposed to older adults. When teenagers interact with adults in working environment, they can be manipulated because older adults are people with more experiences about life. Older adults often have lives and more complicated backgrounds, so they do not have the same interests and activities, that these teenagers have. As a result, older adults can influence adolescents negatively. For instance, these teenagers can be encouraged to use drugs or alcohol, have sexual lives early or solve problems with violence. All these factors can produce physical and mental changes and affect the teenagers goals. Besides, premature exposure to older adults, working students can also lose academic focus. When teenagers work, they do not have enough time to handle their school responsibilities because they often feel tired and fatigued. This situation can affect concentration and memory, which are essential parts of school performance. Therefore, students can fail their classes, get low GPAs or drop out of school entirely. Some parents encourage their children to work to appreciate the value of money. It is true that children need to learn how they can manage money wisely. However, teenagers need to be encouraged to study because they should be aware that education is very important to achieve success. Teenagers need to be motivated to appreciate more the permanent value of education than the fleeting value of money, Because nowadays many companies require workers with high GPAs, adolescents need to focus on their studies early. If they achieve appropriate school performance, they will have more opportunities to get better jobs with good salaries in the future. In conclusion, high school students should not have part-time jobs in order to avoid premature exposure to adults, losing academic focus, and developing a taste for money early.If teenagers worry about their education, they will have one of the best tools to achieve success.