Also, through the acquisition of Second National Bank, Citi has the distinction of being the first bank in New York to provide separate banking services for women. As a result of all this and more, Citi vowed that these issues would not happen again.
The company also broke the law, which speaks for itself. At the end of11 of the 13 member board were independent.
Here's a chart to lose sleep over. While in the past, employees had periodic training on the Code, it appears that the training was ad hoc, but according to the Corporate Citizenship Report, in earlyCiti rolled out a formalized ethics training program for all employees.
The situation became especially critical when Hurricane Ella was expected to make landfall in New York during peak hurricane season in September. Although the traders were manipulating rates to make more profit, they were doing outside of the law.
It did not follow its own ethics plan. After the financial crisis ofno other industry would have as many critics as the financial industry. Utilitarians would take this into account and ultimately consider this an unethical decision.
The key areas that the principles apply to are; ethical business practices Integrity, transparency and community engagement ; human rights in the workplace; environmental sustainability; and management systems and implementation.
In London, at 4: Canadian Professional Engineering and Geoscience: To meet the regulation, Citi would need a minimum of 9 independent directors. Employee training has seen a remarkable increase since the financial crises.
Progress informed by the past, and inspired by the future.
Citi maintains a compensation philosophy that attempts to align compensation with their overall Mission statement. The refocused mission as stated on the corporate website is: This was the best thing Citigroup could have done to ensure that the same problem does not occur.
In addition the dampener was electricly powered, very risky considering a power failure during a hurricane is relatively typically and would render it ineffective. These people are referred to as stakeholders. You can visit http: These and other scandals in Japan Private Banking and the European bond market led to the Federal Reserve in to publicly announce that they would not approve any major Citigroup mergers and acquisitions, until the company resolved their issues.
A separate Charter exists for each committee that outlines the mission, duties and requirements regarding independence of the committee members. Telling the truth would align with the equality distribution, as described by utilitarianism, because everyone would be treated equally with the same knowledge.
They broke the law, plead guilty, but the price being paid does not seem high enough for what they did. Under sustaining the environment performance indicator, Citi includes metrics for e-communications, clean energy, greenhouse gas emissions and using ESRM screening criteria for financial transactions.
Employees are expected to read and sign the Code, not necessarily as a condition of employment, but as a formalized agreement to abide by the standards of behavior outlined therein.
Despite the critics of the financial industry, Citi, through sound leadership, ranks well on the triple bottom line accounting metrics that forms the foundation of Corporate Social Responsibility.
Instead, employees are now under very close watch, even though they were not all involved in the scheme. Retrieved September 17, This comprehensive document outlines the guidelines and policies with respect to the responsibilities, term, expected qualifications, and compensation of the Board and the committees thereof.
Utilitarianism states an action is ethical if it provides the greatest benefit to the most number of people with intensity, duration and equality distribution factors considered . Corbat said in an interview. To meet the regulation, Citi would need a minimum of 9 independent directors.
Based on the stated vision, mission and principles, in my opinion, Citi can be described as a focused team, rewarded based on talent and merit, operating in an innovative culture with one clear goal to deliver transparent and prudent financial products globally.
In the National Society of Professional Engineers NSPE Board of Ethical Review BER had reviewed a hypothetical case very similar to the Citicorp fiasco and concluded that the need to avoid widespread panic did not justify the preservation of the facts and lack of public communication.
The three key focus areas of their citizenship efforts are; delivering financial solutions at affordable costs, sustaining the environment 4 and valuing Citi employees. When an individual or small business breaks the law they are often revoked of their rights. The Mission statement is: In addition to the three key focus areas covered above, the report also covers corporate governance, which is covered in the section that follows, as well as, how Citi serves the customer and maintains sustainable and diverse supply chain relationships.
Case Analysis on Citigroup - Free download as Powerpoint Presentation .ppt), PDF File .pdf), Text File .txt) or view presentation slides online. (Citi, ) The purpose of this paper is to conduct a review and overall ethical assessment of Citi which will include an overview of the mission, vision and values, ethics and compliance codes, leadership, corporate social responsibility as well as the corporate governance structure.
Human Subjects Research (HSR) HSR provides foundational training in human subjects research and includes the historical development of human subject protections, ethical issues, and current regulatory and guidance information.
What is Citigroup's major ethical problem that has faced or currently facing? What kinds of ethical programs are already in place to insure Citigroup is in ethical compliance?.
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See Also This Related BrainMass Solution. Business Analysis Citi, Exxon. Jul 30, · In effect, Citi created a range of rules and internal controls to try to stop the kind of fast-and-loose practices in its research department that landed the bank in legal trouble. It might not be enough, Mr.
O’Brien argued in the International Journal of Business Governance and Ethics. Case Analysis on Citigroup - Free download as Powerpoint Presentation .ppt), PDF File .pdf), Text File .txt) or view presentation slides online.
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