Behavioral Decision Analysis And Intervention Design Essay

We often, in our daily life, experienced a considerable number of social, political, and economic events in which our existing mental models are frequently updated through learning to adapt with changing scenarios and environments. Perhaps, we have intrinsic mechanism to adapt with all these events. As these issues are in common in our everyday life and fosters few questions: Why people donate money to raise funds for the public goods, e.g., public park and services when they don’t have to do so? Or, what derives individual’s decision to engage in a pro-environmental behavior? More specifically, what types of behavioral interventions are effective in habit formation? Or, how individual form their personal and social trust based on perceived risks in conflict management. The issue of learned behavior (Pavlov and Anrep, 2003) is a central one in phycology, specifically in behavioral decision analysis and intervention design. In economics, most of the theories are mostly related to behavioral decision theory. In resource and environmental management, most of the theories dominated by Norm-Activation theory (Schwartz, 1977), planned behavior (Ajzen, 1991), or value-belief-norm theory (Stern et al., 1999), and infrequently learning and updating in explaining individuals learned behavioral strategy. Since the recent frameworks are mostly static in nature, explaining individual’s learned behavior under changing environment is not conveniently identifiable. I, to simplify this,Show MoreRelatedInterview with an Information System Analyst679 Words   |  3 Pagesinformation that is practical as well as being timely and accurate to support decision-making about discipline systems. Informaiton is collected by school personnel relating to events of discipline in their school and the information is entered into the system. The system is web-based, protected software. Question: What are the benefits of this system? Answer: The system provides summaries of of this information for using in the design of behavior support that is effective for individual students as wellRead MoreAn M-Health Application for Adolescents with Type 1 Diabetes1181 Words   |  5 Pageseffective self-care of type 1 diabetes mellitus, adolescents with diabetes require decision-support aids to effectively analyze a blood glucose result and take appropriate action to optimize glycemic control (Hood, Peterson, Rohan, Drotar, 2009). Therefore, mobile technology-based intervention can be effectively implemented to help in this case. For this application, a user-centered design attitude was useful during the design phase of the product, leveraging a base remote patient monitoring system. TheRead MoreEmotional Therapy1403 Words   |  6 Pagesthat means for their child’s life. With a growing prevalence rate of ASD, many parents face the similar struggle in determining what type of treatment will provide the best outcomes for their child. Two popular treatment choices are applied behavioral analysis (ABA) and skills training. According to the National Institute of Mental Health (2017), ASD is a group of developmental disorders that impacts 1 in 68 children and includes â€Å"a spectrum† of symptoms, skills, and levels of disability. IndividualsRead MoreThe Behavior Analyst Certification Board, Inc.994 Words   |  4 Pagesanalyst (a) designs programs that are based on behavior analytic principles, including assessments of effects of other intervention methods, (b) involves the client or the client-surrogate in the planning of such programs, (c) obtains the consent of the client, and (d) respects the right of the client to terminate services at any time.† Within guideline four, Least Restrictive Procedures 4.10 dictates, â€Å"The behavior analyst reviews and appraises the restrictiveness of alternative interventions and alwaysRead MoreThe Application Of Mobile Technologies For Public Health1704 Words   |  7 Pagespersonal confidence that the threat will be averted. The application of mobile technologies to health behavior interventions is rapidly growing and existing health behavior theories and models have served for many years as guide to eHealth researches, intervention development and delivery (Riley et al. 2011).Thus, the framework used to inform this study and its subsequent intervention is similar to models used in other successful eHealth researches. Since this study aims to educate and motivateRead MoreSsrd Example Paper1472 Words   |  6 PagesRESEARCH DESIGN Single Subject Research Design Abstract The following paper presents the use of an ABA single subject research design in evaluating a 16 year old foster youth’s behavior, and the use of an intervention on decreasing negative behavior and increasing positive behavior. Use of the ABA design, factors to be evaluated, treatment variables, implementation of the research design, data gathering, and data analysis are all discussed. Limitations of single subject research designs are alsoRead MoreWhy Learning Theories Are Relative And How They Affect Behavior Essay1647 Words   |  7 Pagesregards to knowing how they learn and behave under a variety of situations. While it’s likely that change in a person’s learning abilities and behaviors will occur throughout their career, the change will be more positive if the proper learning and behavioral techniques are applied. Therefore it helps to understand why learning theories are relative and how they can be used to change behavior. Learning Defined Learning can be defined as a process by which our behavior, knowledge, skills, abilities andRead MorePhysical Based Programs As Interventions For At Risk Youth Essay1717 Words   |  7 PagesLubans, Plotinikoff and Lubans (2012) conducted a systemic review of physical based programs as interventions for at-risk youth. Significant increases in social emotional wellbeing were identified for outdoor adventure programs, sport and skill based programs, and physical fitness programs. However, the researchers report that the risk of bias in the existing studies is high. None of the studies reported power calculations to detect the hypothesized effect. Additionally, few of the studies reportedRead MoreChild Adolescent Population And Developmentally Impaired Persons Essay1747 Words   |  7 Pagesof assault and injury for both. Both reviews focus on incidences of seclusion and restraints and ways to reduce usage. The articles aim to answer what the current state of evidence is supporting r estraints and reduction methods. Nonetheless, interventions are needed to reduce restriction and restraint utilization in children and persons with developmental disabilities (Menon, Raghavendra, Bernard 2010) Phenomenon of Interest The article Initiatives to reduce the use of seclusion and restraintsRead MoreApplied Behavioral Analysis Essay1320 Words   |  6 PagesUnit 6 – Case Study Applied Behavioral Analysis II – PS365-01 Kaplan University August 13, 2012 Behavior modification is field within psychology that specializes in identifying relationships between a specific behavior and environmental events as well as creating and instituting procedures that help individuals to change a particular behavior. When behavior analysts conduct research they use research designs that help them to identify whether a change in the targeted behavior or dependent

Globalization in Argentina Essay - 1323 Words

Globalization in Argentina has affected the country in numerous ways. There are many positives and negatives. Until 1999 globalization seemed to be the reason the country was so prosperous. Pope John Paul II stated, â€Å"From the ethical point of view, can be positive or negative. In fact, there is an economic globalization which brings some positive consequences, as the phenomenon of efficiency and increased production and, with the development of relations between countries in economic, can strengthen the process of unity among peoples and make a better service to the human family. However, if globalization is ruled merely by the laws of the market applied to suit the powerful, leads to negative consequences. Such, for example, the†¦show more content†¦The reforms caused a period of success followed by worse conditions. These policies made the rich get richer and the poor get poorer. Towards the end of the 1990s the country experienced rising unemployment and decreasing wages. The privatization of industries in addition to the international debt and government corruption led to many citizens distrusting the government and failure to pay taxes thus keeping the problems still at large. Unfortunately, the fragile Argentine economic infrastructure, while seemingly strong, was not able to withstand the downturn in the world economy after the severe correction of the both the Dow Jones Industrial Average and NASDAQ stock markets in the United States in March 2000 and the terror attacks of September 11, 2001. The widespread economic failure caused the Argentine peso to become devalued and this caused extreme inflation in prices. In June of 2002 the peso was valued at just $0.26 of a U.S. dollar. The unemployment rates skyrocketed as well hitting over 25% in most parts of the country and the poverty rate increased from 30% in 1999 to over 50% in 2002. The benefits of globalization in Argentina were short-lived but still vital in the countries development. The benefits of globalization in Argentina at the time were economic growth, prosperity and increased productivity during the 1990s. ArgentinaShow MoreRelatedLatin American Culture Essay examples1050 Words   |  5 PagesLatin American Culture Latin America represents 1/10 of the worlds population, and geographically can be located from the land extensions of Mexico, until the Patagonia at Argentina. Some of the most relevant elements of todays culture in Latin America are; Religion, Values, Attitudes, Social structure, Social stratification, Language and Gift-giving hospitality. The predominant religion throughout history in Latin America has been Catholicism. From big cities to small villages, churches, basilicasRead MoreTo most of us, globalization—as a political, economic, social, and technological force—appears all1700 Words   |  7 PagesTo most of us, globalization—as a political, economic, social, and technological force—appears all but unstoppable. The ever-faster flow of information across the globe has made people aware of the tastes, preferences, and lifestyles of citizens in other countries. Through this information flow, we are all becoming—at varying speeds and at least i n economic terms—global citizens. This convergence is controversial, even offensive, to some who consider globalization a threat to their identity and wayRead MoreGlobalization Is Not a Substitute for Development1122 Words   |  5 PagesCountries, that have achieved higher economic growth throughout the years, have achieved this, not by following the dictates of the Washington Consensus exactly, but rather by applying them in an unorthodox fashion. Nevertheless in recent years globalization has become a replacement for a sound development strategy. In his article Trading in Illusions, Dani Rodrik (2001) argues against the line of thinking promoted by these international organizations and proposes that development programs should beRead MoreEssay on Brazil: Embracing Globalization?1519 Words   |  7 PagesBRAZIL: EMBRACING GLOBALIZATION? Background This case focuses on Brazils development strategy since World War II and on the change of the economic model following the debt crisis of the 1980s. At the time of the case Brazilian officials are deciding whether regional integration or globalization offer the best route to economic prosperity and development. This case illustrates the challenges that developing countries face in defining trade policy. It also introduces the role of regional tradeRead MoreArgentina Essay727 Words   |  3 PagesArgentina is very close to my heart because it is where half of my family was born. That is why I have chose it to research. The IMF(International Monetary Fund) and world bank have invested in Argentina. There has been a lot of ups and downs. More downs than ups. The IMF started supporting Argentina in late 2000 and early 2001. This was while Argentina was having some major problems with their economy and hyperinflation. Also diminishing access to capital markets(2003, July). This left themRead MoreBrazil : Embracing Globalization1343 Words   |  6 PagesBrazil : embracing globalization This case is about Brazils development strategy since World War II and about the change of the economic model following the debt crisis of the 1980s. In 2000, Brazilian officials were pondering whether to go for regional integration (Mercosur) or globalization to ensure the countrys economic prosperity and development. Import-substitution strategy After the Great Depression of the 1930s, Brazil followed an import substitution strategy which consistedRead MoreEssay about Globalization and SC Johnson1550 Words   |  7 Pages Globalization is the shift toward a more integrated and interdependent world economy (Hill, 2005). Globalization has several different areas including the globalization of markets and of production. The Globalization of markets is the blending of different markets from different nations into one large global marketplace. Cross-border trading has made it easier to sell internationally. Companies can sell standardized products efficiently and effectively all over the world thus helping to buildRead MoreThe World s Largest Salt Flats1658 Words   |  7 Pagesdiscovery of an abundant supply of Lithium in the Salar de Uyuni has, once again, reignited Bolivia’s hopes of gaining economic advancement on an international scale. Bolivians, however, must overcome their incredulous outlook toward the concept of globalization in order to achieve success. Their execution strategy must embrace the concept of political-economic, social-environmental, and scientific-technological interdependence among multinational organizations in order to achieve their pursuit for economicRead MoreGlobalization of Wal-Mart1177 Words   |  5 PagesDerek Moore 9/13/12 GEB3356, Omanwa Minicase: â€Å"The globalization of Walmart† As the world’s largest retail store in the world, Walmart wants to be in every market that they can be prosperous in. They know they rule the United States market, so why not try to expand overseas and dominate those markets as well. Now that they have reached limits on expansion here in the U.S., the next step was to test the water in other nations. As they began to go international, there were many critics saying theyRead MoreA Short Note On Constructivism And International Institutions920 Words   |  4 PagesConstructivism and International Institutions As technology leapt forward, facilitating and promoting the rapid spread of both goods and ideas throughout the world, the twentieth century saw the beginnings of true globalization and with it the birth of many international institutions. From organizations and documented agreements to global norms for state interaction, these institutions have changed the face of global politics and drawn analysis from all over the theoretical spectrum. Liberal theorists

What if everyone was smart Free Essays

What if the world we lived in was perfect? As long as I live doubt the world we live would get perfect. Things that would make up is if everyone was wealthy, they had perfect knowledge, and if they have the same style. If everyone was wealthy the following would happen. We will write a custom essay sample on What if everyone was smart? or any similar topic only for you Order Now Good things about being everyone being wealthy would be know one would be homeless and could live comfortably and not have to worry about bills or gas money. Everyone can afford anything they want. It would be easy for everyone to purport there families no matter how large. The bad things about everyone being wealthy would be criminals could spend money on things that would mess up the world. There would be too much trash for the earth to even contain. Also there would be know point to people even working since everyone’s rich. If everyone were rich it would be both good and bad for the world. There would basically be no point of there even being school. If everyone was smart this would happen. The good things are rodents made by companies would have no error to it and would always work correctly. Another good thing would be. Know one would be confused about anything so there would be know need to look things up at the library or on the web. Also having perfect knowledge would help anyone in life or death situations. The bad things about everyone being smart would be this. Criminal would be as smart as police officers. Knowing everyone would make everything seem pointless. There would be no point in learning things. There are many dumb people in the world we live in now. But if the everyone was smart the would be a much better place to live in. Have you ever said to yourself what if everyone had the same style? If they did know would make fun of the way you dress. Everyone would compliment you on what you wear. You would also be able to fit in with your friends easily. The bad things about this people will eventually get tired of seeing people wear the same thing. You will continue to have a conversation about the same topic over and over again. Every,Inhere you everyone around you would act and dress similar which can get weird fast. A perfect world have people with same style. However it would be weird seeing someone dress and act like you. A perfect world would be one with everyone being wealthy, smart, and having the same style. Imagine waking up in a 15 bedroom mansion and enough money to feed 15 countries. How bout being able to know everything thing there is to know about life. Last but not least what if know one made fun of you because everyone has the same style. Doesn’t living in a perfect world sound great. The problem is know one would know how it is to live in one. How to cite What if everyone was smart?, Papers

Auditing Chapter 2 free essay sample

Chapter 2 The CPA Profession 2-1The four major services that CPAs provide are: 1. Audit and assurance services Assurance services are independent professional services that improve the quality of information for decision makers. Assurance services include attestation services, which are any services in which the CPA firm issues a report that expresses a conclusion about the reliability of an assertion that is the responsibility of another party. The four categories of attestation services are audits of historical financial statements, attestation on the effectiveness of internal control over financial reporting, reviews of historical financial statements, and other attestation services. 2. Accounting and bookkeeping services Accounting services involve preparing the clients financial statements from the clients records. Bookkeeping services include the preparation of the clients journals and ledgers as well as financial statements. 3. Tax services Tax services include preparation of corporate, individual, and estate returns as well as tax planning assistance. . Management consulting services These services range from suggestions to improve the clients accounting system to computer installations. 2-2The major characteristics of CPA firms that permit them to fulfill their social function competently and independently are: 1. Organizational form A CPA firm exists as a separate entity to avoid an employer-employee relationship with its clients. The CPA firm employs a professional staff of sufficient size to prevent one client from constituting a significant portion of total income and thereby endangering the firms independence. 2. Conduct A CPA firm employs a professional staff of sufficient size to provide a broad range of expertise, continuing education, and promotion of a professional independent attitude and competence. 3. Peer review This practice evaluates the performance of CPA firms in an attempt to keep competence high. 2-3The Public Company Accounting Oversight Board provides oversight for auditors of public companies, including establishing auditing and quality control standards for public company audits, and performing inspections of the quality controls at audit firms performing those audits. -4The purpose of the Securities and Exchange Commission is to assist in providing investors with reliable information upon which to make investment decisions. Since most reasonably large CPA firms have clients that must file reports with the SEC each year (all companies filing registration statements under the securities acts of l933 and l934 must file audited financial statements and other reports with the S EC at least once each year), the profession is highly involved with the SEC requirements. The SEC has considerable influence in setting generally accepted accounting principles and disclosure requirements for financial statements because of its authority for specifying reporting requirements considered necessary for fair disclosure to investors. In addition, the SEC has power to establish rules for any CPA associated with audited financial statements submitted to the Commission. 2-5The AICPA is the organization that sets professional requirements for CPAs. The AICPA also conducts research and publishes materials on many different subjects related to accounting, auditing, management advisory services, and taxes. The organization also prepares and grades the CPA examinations, provides continuing education to its members, and develops specialty designations to help market and assure the quality of services in specialized practice areas. 2-6Statements on Standards for Attestation Engagements provide a framework for attest engagements, including detailed standards for specific types of attestation engagements. -7The PCAOB has responsibility for establishing auditing standards for public companies, while the Auditing Standards Board (ASB) of the AICPA establishes auditing standards for private companies. The ASB previously had responsibility for establishing auditing standards for both public and private companies. Existing auditing standards were adopted by the PCAOB as interim auditing standards for public company audits. 2-8Generally acce pted auditing standards are ten general guidelines to aid auditors in fulfilling their professional responsibilities. These guidelines include three general standards concerned with competence, independence, and due professional care; three standards of field work including planning and supervision, understanding the entity and its environment, including its internal control, and the gathering of sufficient appropriate evidence; and four standards of reporting, which require a statement as to presentation in accordance with generally accepted accounting principles, inconsistency observed in the current period in relation to the preceding period, adequate disclosure, and the expression of an opinion as to the fairness of the presentation of the financial statements. Generally accepted accounting principles are specific rules for accounting for transactions occurring in a business enterprise. Examples may be any of the opinions of the FASB. 2-9Auditors can obtain adequate technical training and proficiency through formal education in auditing and accounting, adequate practical experience, and continuing professional education. Auditors can demonstrate their proficiency by becoming licensed to practice as CPAs, which requires successful completion of the Uniform CPA Examination. The specific requirements for licensure vary from state to state. 2-10For the most part, generally accepted auditing standards are general rather than specific. Many practitioners along with critics of the profession believe the standards should provide more clearly defined guidelines as an aid in determining the extent of evidence to be accumulated. This would eliminate some of the difficult audit decisions and provide a source of defense if the CPA is charged with conducting an inadequate audit. On the other hand, highly specific requirements could turn auditing into mechanical evidence gathering, void of professional judgment. From the point of view of both the profession and the users of auditing services, there is probably a greater harm from defining authoritative guidelines too specifically than too broadly. -11International Standards on Auditing (ISAs) are issued by the International Auditing and Assurance Standards Board (IAASB) of the International Federation of Accountants (IFAC). ISAs are designed to improve the uniformity of auditing practices and related services throughout the world by issuing pronouncements on a variety of au dit and attest functions and promoting their acceptance worldwide. A CPA who conducts an audit in accordance with GAAS may not comply with ISAs because there may be additional ISA requirements that extend beyond GAAS requirements. 2-12Quality controls are the procedures used by a CPA firm that help it meet its professional responsibilities to clients. Quality controls are therefore established for the entire CPA firm as opposed to individual engagements. 2-13The element of quality control is personnel management. The purpose of the requirement is to help assure CPA firms that all new personnel are qualified to perform their work competently. A CPA firm must have competent employees conducting the audits if quality audits are to occur. 2-14A peer review is a review, by CPAs, of a CPA firms compliance with its quality control system. A mandatory peer review means that such a review is required periodically. AICPA member firms are required to have a peer review every three years. Registered firms with the PCAOB are subject to quality inspections. These are different than peer reviews because they are performed by independent inspection teams rather than another CPA firm. Peer reviews can be beneficial to the profession and to individual firms. By helping firms meet quality control standards, the profession gains if reviews result in practitioners doing higher quality audits. A firm having a peer review can also gain if it improves the firms practices and thereby enhances its reputation and effectiveness, and reduces the likelihood of lawsuits. Of course peer reviews are costly. There is always a trade-off between cost and benefits. 2-15Firms may belong to Center for Audit Quality and the Private Companies Practice Section (PCPS) Firm Practice Center. The mission of the Center for Audit Quality is to foster confidence in the audit process and to aid investors and the capital markets by advancing constructive suggestions for change rooted in the profession’s core values of integrity, objectivity, honesty and trust. The PCPS Firm Practice Center provides practice management resources for firms of all sizes. In addition to these resource centers, the AICPA also provides the Governmental Audit Quality Center and Employee Benefit Plan Audit Quality Center to provide resources for performing quality audits in these unique and complex audit areas. 2-16a. (1)b. (2)c. (3)d. (3) 2-17a. (2)b. (1)c. (2)d. (3) 2-18a. The comments summarize the beliefs of many practitioners about the Sarbanes–Oxley Act and the PCAOB. The arguments against the Act can be summarized as four arguments: 1. Costs of complying with the Act are excessively high, especially the requirement to report on internal control over financial reporting, and will discourage companies from becoming public companies. 2. Relative cost for local audit firms is excessively high. 3. Additional oversight is not needed because sufficient quality controls have already been implemented by most audit firms. 4. Three other things already provide assurance of adequate quality: a competitive economic environment, legal liability, and auditing standards. To support these comments, it can be argued that the profession has generally functioned well with relatively little controversy and criticism. The arguments against these comments are primarily as follows: 1. Reporting on the effectiveness of internal control over financial reporting will provide benefits in improved controls, resulting in higher quality financial reporting and reduced losses from fraud. 2. The increased confidence in financial reporting will increase access to capital and lower the cost of capital by reducing information risk. 2-18 (continued) 3. Changes in the scope of CPA practices and other threats to audit quality required government regulation. 4. Regulation of public company audits will not affect most audit firms that do not have public company audit clients. b. There is no correct answer to this question. Different people reach different conclusions, depending on the weights put on the various arguments. Time is needed to effectively assess both the costs and benefits of the Act. 2-19a. Engagement performance . Human resources c. Engagement performance d. Engagement performance e. Relevant ethical requirements f. Monitoring g. Acceptance and continuation of clien ts and engagements h. Human resources i. Human resources j. Leadership responsibilities 2-20a. Rossi and Montgomerys primary ethical consideration is their professional competence to perform all of the audit work for filing with the SEC. In addition, if Rossi and Montgomery have performed bookkeeping services or certain consulting services for Mobile Home, they will not be independent under PCAOB and SEC independence requirements. The firm must also be a registered firm with the PCAOB. b. The filing with the SEC, in addition to normal audited financial statements, will require completion and registration with the SEC of Form S-1 which includes an audited summary of operations for the last five fiscal years as well as many additional schedules and descriptions of the business. Each quarter subsequent to the filing, Form 10-Q must be filed; and within 90 days of the end of each fiscal year Form 10-K must be filed with the SEC. In addition, Form 8-K must be filed whenever significant events have occurred which are of interest to public investors. These forms must be filed in conformity with Regulation S-X, which requires considerable disclosures in addition to those normally required in audited financial statements. 2-21 BRIEF DESCRIPTION OF GAAS |HOLMES ACTIONS RESULTING IN FAILURE TO COMPLY WITH GAAS | |GENERAL STANDARDS | | |The auditor must have adequate technical training and |It was inappropriate for Holmes to hire the two students to conduct | |proficiency to per form the audit. |the audit. The audit must be conducted by persons with proper | | |education and experience in the field of auditing. Although a junior | | |assistant has not completed his formal education, he may help in the | | |conduct of the audit as long as there is proper supervision and | | |review. |The auditor must maintain independence in mental attitude|To satisfy the second general standard, Holmes must be without bias | |in all matters relating to the audit. |with respect to the client under audit. Holmes has an obligation for | | |fairness to the owners, management, and creditors who may rely on the | | |report. Because of the financial interest in whether the bank loan is | | |granted to Ray, Holmes is independent in neither fact nor appearance | | |with respect to the assignment undertaken. |The auditor must exercise due professional care in the |This standard requires Holmes to perform the audit with due care, | |performance of the audit and the preparation of the |which imposes on Holmes and everyone in Holmes organization a | |report. |responsibility to observe the standards of field work and reporting. | | |Exercise of due care requires critical review at every level of | | |supervision of the work done and the judgments exercised by those | | |assisting in the audit. Holmes did not review the work or the | | |judgments of the assistants and clearly failed to adhere to this | | |standard. | 2-21 (continued) |BRIEF DESCRIPTION OF GAAS |HOLMES ACTIONS RESULTING IN FAILURE TO COMPLY WITH GAAS | |STANDARDS OF FIELD WORK | | |The auditor must adequately plan the work and must |This standard recognizes that early appointment of the auditor has | |properly supervise any assistants. advantages for the auditor and the client. Holmes accepted the | | |engagement without considering the availability of competent staff. In| | |addition, Holmes failed to supervise the assistants. The work | | |performed was not adequately planned. | |The auditor must obtain a sufficient understanding of the|Holmes did not obtain an understanding of the entity or its internal | |entity and its environment, including its internal |control, nor did the assistants obtain such an understanding. There | |control, to assess the risk of material misstatement of |appears to have been no audit at all. The work performed was more an | |the financial statements whether due to error or fraud, |accounting service than it was an auditing service. | |and to design the nature, timing, and extent of further | | |audit procedures. | | |The auditor must obtain sufficient appropriate audit |Holmes acquired no evidence that would support the financial | |evidence by performing audit procedures to afford a |statements. Holmes merely checked the mathematical accuracy of the | |reasonable basis for an opinion regarding the financial |records and summarized the accounts. Standard audit procedures and | |statements under audit. |techniques were not performed. | |STANDARDS OF REPORTING | | |The auditor must state in the auditor’s report whether |Holmes report made no reference to generally accepted accounting | |the financial statements are presented in accordance with|principles. Because Holmes did not conduct a proper audit, the report | |generally accepted accounting principles (GAAP). should state that no opinion can be expressed as to the fair | | |presentation of the financial statements in accordance with generally | | |accepted accounting principles. | 2-21 (continued) |BRIEF DESCRIPTION OF GAAS |HOLMES ACTIONS RESULTING IN FAILURE TO COMPLY WITH GAAS | |The auditor must identify in the auditor’s report those |Holmes improper audit would not enable him to determine whether | |circ umstances in which such principles have not been |generally accepted accounting principles were consistently applied. |consistently observed in the current period in relation |Holmes report should make no reference to the consistent application | |to the preceding period. |of accounting principles. | |When the auditor determines that informative disclosures |Management is primarily responsible for adequate disclosures in the | |are not reasonably adequate, the auditor must so state in|financial statements, but when the statements do not contain adequate | |the auditor’s report. |disclosures the auditor should make such disclosures in the auditors | | |report. In this case both the statements and the auditors report lack| | |adequate disclosures. |The auditor must either express an opinion regarding the |Although the Holmes report contains an expression of opinion, such | |financial statements, taken as a whole, or state that an |opinion is not based on the results of a proper audit. Holmes should | |opinion cannot be expressed, in the auditor’s report. |disclaim an opinion because he failed to conduct an audit in | |When the auditor cannot express an overall opinion, the |accordance with generally accepted auditing standards. | |auditor should state the reasons therefor in the | | |auditor’s report. In all cases where an auditors name is| | |associated with financial statements, the auditor should | | |clearly indicate the character of the auditors work, if | | |any, and the degree of responsibility the auditor is | | |taking, in the auditor’s report. | | 2-22a. International auditing standards. b. PCAOB auditing standards. c. PCAOB auditing standards (reporting in the U. K. will be under international auditing standards). d. Generally accepted auditing standards. e. International auditing standards. f. PCAOB auditing standards (due to the publicly-traded debt). 2-1International Standards on Auditing (ISAs) are issued by the International Auditing and Assurance Standards Board (IAASB (http://www. ifac. org/IAASB/). Visit the IAASB’s website to answer the following questions: 1. What is the primary objective of the IAASB? Answer: The objective of the IAASB is to serve the public interest by setting high-quality auditing and assurance standards and by facilitating the convergence of international and national standards, thereby enhancing the quality and uniformity of practice throughout the world and strengthening public confidence in the global auditing and assurance profession. International Standards on Auditing (ISA) are used by auditors in countries that have adopted ISAs as their auditing standards. 2. What is the IAASB’s due process that it follows when setting standards? Answer: The IAASB follows a due process in setting standards. The standards-setting Public Interest Activity Committees (PIAC) identify new projects based on review of international developments and consultation with the Public Interest Oversight Board. †¢ The project may be assigned to a task force, which considers whether to hold a public forum or roundtable. †¢ Dra ft pronouncements are exposed for a minimum of 90 days. †¢ The task force considers all comments and whether re-exposure is needed. †¢ The PIAC votes on the approval or withdrawal of the pronouncement. Affirmative vote of at least two-thirds of the members, but not less than 12, is required to approve an exposure draft. Internet Problem 2-1 (continued) 3. The IAASB is committed to transparency. How does the IAASB make public information related to standards setting activities? Answer: The IAASB is committed to transparency. Where practicable, meetings are broadcast over the Internet or recorded. Meeting agendas and minutes are published on the International Federation of Accountants (IFAC) website. All exposure drafts are subject to public exposure for a minimum of 90 days. (Note: Internet problems address current issues using Internet sources. Because Internet sites are subject to change, Internet problems and solutions may change. Current information on Internet problems is available at www. pearsonhighered. com/arens).

Effect of Storytelling on Vocabulary Learning For Elementary School Students in Saudi Arabia Schools

Introduction Storytelling is one of the popular forms of learning in elementary schools all over the world. In Saudi Arabia, storytelling is an integral part of the syllabus for elementary school children. It is considered an important tool useful in improving the imagination of learners within the classroom.Advertising We will write a custom proposal sample on Effect of Storytelling on Vocabulary Learning For Elementary School Students in Saudi Arabia Schools specifically for you for only $16.05 $11/page Learn More Its interactive nature makes it easy for the teachers to determine the capacity of individual learners. Recent studies have strongly suggested that storytelling is the best way through which learners can have a better understanding of vocabularies. According to Mansour and Shorman (2011), schools in Saudi Arabia are now using storytelling as a technique of teaching learners new words as a way of improving their mastery of the language. It is important to conduct a research to determine if it true that storytelling techniques indeed improves one’s capacity to understand vocabulary. Language is a powerful tool not only in the field of education but also the normal life of an individual. Irrespective of the language that one is striving to learn, the most important process of understanding that language is by mastering its vocabulary. For instance, one most have a basic understanding of basic vocabularies used in English or Arabic in order to communicate effectively in these two languages. It becomes even more critical if the language is used as a mode of communication when teaching other subjects. In this study, the researcher will be interested in investigating the effect of storytelling on vocabulary for elementary school students in Saudi Arabia schools. Literature Review Understanding the concept of storytelling Story telling is one of the oldest forms of passing knowledge, advice, and cultural practices from o ne generation to another through the word of mouth that has remained popular to this generation. Sofi (2015) defines storytelling as â€Å"The interactive art of using words and actions to reveal the elements and images of a story while encouraging the listener’s imagination.† This definition brings out fundamental aspects of storytelling that makes it easy to understand this concept. In this definition, storytelling is referred to as an art. It means that it requires some mastery to tell a good story. It requires some skills, just as those needed in other art disciplines to bring it out in its purest form. Storytelling must be interactive. The audience must stay as active as the storyteller for the process to be a success. In this interactive art, the storyteller will be using words to create images that the listener must interpret in order to understand what is being talked about. Finally, the definition states that storytelling encourages imagination. Both the liste ner and the story teller must be very imaginative for a storytelling session to be successful.Advertising Looking for proposal on education? Let's see if we can help you! Get your first paper with 15% OFF Learn More The storyteller must use his imaginative skills to bring out a powerful story that will capture attention of the audience (Eckert McConnell, 2013). His or her choice of words must be carefully selected to bring out the right image in the mid of the listener. On the other hand, the audience must be imaginative when listening to the story. He or she must have the capacity to create the events the narrator is talking about in his or her mind. The events must be live and must closely relate to what the narration is all about. Storytelling still remains a popular concept in elementary schools all over the world. According to Mansour and Shorman (2011), the art of storytelling has been in existence for so many years and in almost all the communities around the w orld. It was and still remains one of the most popular forms of entertainment. It was the primary source of fiction that is currently defining the field of entertainment both for children and adults in the modern society. Jacobs (2010) notes that storytelling in the modern society has become more popular in the entertainment sector than in education sector. However, it is important to note that storytelling has been a critical component of learning process. In the olden days when reading and writing had not been invented, Jacobs (2010) says that the society relied heavily on storytelling as the only way of passing knowledge from one generation to another. It was a better tool compared to proverbs that needed abstract thinking to come out with proper meaning. Impact of storytelling techniques on vocabulary learning According to Soltani, Hamid, and Azizmalayeri (2015), learning English vocabulary is one of the most important aspects of learning the language, especially among English a s second language learners. These learners on what they hear to understand the basic of this language and to be fluent in speaking it. A research by Eckert and McConnell (2013) found out that learning of the vocabulary is one of the most challenging tasks for elementary school children who already have learnt their first language. Understanding the meanings of some vocabularies and how they can be applied in a sentence properly become challenging. Some of them end up using the language in a wrong manner because they do not understand how to fit in the new word into their knowledge bank. For a person learning the language for the first time, especially at elementary level, learning of vocabulary is very important but challenging process.Advertising We will write a custom proposal sample on Effect of Storytelling on Vocabulary Learning For Elementary School Students in Saudi Arabia Schools specifically for you for only $16.05 $11/page Learn More The best way of enabling elementary learners to understand the language is to come up with ways of enabling them to understand the vocabulary. Storytelling is one of the best ways of doing this. According to Soltani, Hamid, and Azizmalayeri (2015), storytelling enables learners to understand the meaning of new words in a practical context. Based on the way a given vocabulary is used in a sentence, a learner is able to deduce its meaning without necessarily going to the dictionary. Storytelling promotes imaginative thinking among the learners. As Sofi (2015) says, learning of vocabulary requires some form of imagination. A learner can only deduce meaning of new words during storytelling if they have the flow of the story in their minds. This means that they must be imaginative enough not only to follow the story, but also get meanings of new words by closely relating it to the context under which it is used. Elementary school children always find storytelling sessions very interesting (Soleim ani Akbar, 2013). They, therefore, properly concentrate during such sessions, improving their ability to learn new things. It is at such moments that they should be taught new vocabularies that will enrich their spoken and written English. Saudi Arabia, like most of the other Arabic countries, uses Arabic language in most of the elementary schools as the basic mode of communication. Sofi (2015) says that Arabic is the official language that is popular among the locals. When they go to Madrassas, the language they use is Arabic. They also learn to read and write for the first time using Arabic. This makes English language completely alien to them. Currently, some primary schools have started offering English as one of the primary subjects that a learner must take. However, a good number of the Saudi students are exposed to the language for the first time when they are in high school. They spend only four years learning the language before joining university where English language pl ays a very critical role in one’s own success. Storytelling comes in as an important tool of learning the vocabulary because they have limited time to learn the language. Using dictionaries to improve their vocabulary is still important, but storytelling makes it possible for the learners to know so many things about the vocabulary. It makes it possible for the learner to know its meaning, the context under which it should be used, its relevance in a sentence, and pronunciation. Under normal circumstances, it may take a while for a learner to have all these aspects of a vocabulary when using books. That is why the current curriculum emphasizes on storytelling among elementary school students (Soleimani Akbar, 2013).Advertising Looking for proposal on education? Let's see if we can help you! Get your first paper with 15% OFF Learn More Research Questions and Hypotheses When conducting a research, it is always important to come up with research questions that will help in guiding the process of collecting both primary and secondary data. The questions help the researcher to avoid collecting data which are not relevant to the study. In this study, the researcher had specific research questions that will define data collection process. The following is the main research question for the research project. What is the effect of storytelling technique on vocabulary learning for elementary school students in Saudi Arabia schools? The above research question will be supported by a number of other research questions. They include the following: How often do elementary school teachers use storytelling technique to teach vocabulary? How effective is storytelling technique when it comes to teaching vocabulary among elementary school students? Based on these questions, the researcher developed the following open and explanator y hypotheses: H1: Storytelling technique has a positive impact on vocabulary learning for elementary school students in Saudi Arabia schools. H2: Teachers are using storytelling technique more often in teaching vocabulary. H3: Storytelling is an effective way of teaching vocabulary among elementary school students. Methodology Participants The researcher will use primary data to address the research gaps that exists in the findings made from the literatures. Primary data will be collected from sampled participants. In total, there will be 60 students who will take part in this study. The first 30 students will be used as control group. The other thirty students will be the experimental group. The participants will be sampled from local elementary schools. The two groups must be in the same class but different streams in order to enhance the validity of the study. Ensuring that the participants are in the same class was important because the learners were expected to have same capaci ties. The participants will be aged 12-14 years. Language teachers in the chosen classes will also take part in the study. Instruments To facilitate this study, the researcher will use a number of instruments. The research will use questionnaires for the pretests and posttests do determine changes brought about by the storytelling session. The research will involve the use of videos and written materials about specific stories relevant to the learners. Videos will help in testing their listening skills while written materials will test their reading skills. Procedure The researcher will identify a specific local school and seek for permission from the administrators and relevant teachers. The researcher will explain to them the relevance of this study. The language teachers in the classes identified for the study will be allowed to be present when the researcher will be using videos and written materials to tell stories to the learners. Before the test, both the control and experime ntal groups will be given pretest to determine their mastery of the vocabulary. The researcher will use 6 lessons to subject the experimental group to stories meant to improve their vocabulary. After the 6 lessons, the researchers will once again be subjected to posttest to measure the effect of the independent variable (storytelling) on the dependent variable (vocabulary learning). Data will then be collected and appropriately analyzed. Analysis Data collected will be analyzed quantitatively. The researcher will use the collected data to respond to the questions set above. The quantitative data analysis will involve simple mathematical tools such as excel spreadsheet to process the data and present the findings. The findings will be presented using tables, graphs, and charts for easy understanding of the information. Anticipated Findings The researcher has reviewed literatures conducted under related topic in other countries, and from the facts presented it is possible to make some conclusions. It is anticipated that the study will confirm a close relationship between storytelling and improved vocabulary among elementary school students. The study will confirm that indeed storytelling technique has a positive impact on vocabulary learning for elementary school students in Saudi Arabia schools. Anticipated Problems The researcher knows that during collection of data may be affected by a number of factors especially given that the process will involve engaging elementary school students aged 12-14. Some of the students may fail to take the experiment seriously. The control group may also fail to remain neutral because they may end up discussing with the experimental group what was shared with them in class. These two challenges may completely distort the data completely. To avoid these problems, the researcher will promise the participants a reward by the end of the experiment to ensure that they remain focused and disciplined throughout the process. The resear cher will also ensure that the control group does not have access to the materials used by the experimental group. The books and videos used will be unique and will be kept away from access by the students as soon as they have been used. Conclusion Storytelling is one of the oldest forms of disseminating knowledge to learners. It was used in the olden days when writing had not been discovered, and it is still in use today. Studies have shown that storytelling technique helps in learning of vocabulary among elementary school students. When the vocabulary is used in a story, it becomes easy for them to understand its meaning and the context under which they should be used. This enables them to master the language better. This study seeks to determine if this claim is true. References Eckert, P., McConnell, S. (2013). Language and gender. New York: Cambridge University Press. Jacobs, H. (2010). Curriculum 21: Essential Education for a Changing World. Alexandria: Association for Superv ision and Curriculum Development. Mansour, N., Shorman. A. (2011). The effect of teacher’s storytelling aloud on the reading comprehension of Saudi elementary stage students. Journal of King Saud University 23(2), 69–76. Sofi, L. (2015). Teaching English in Saudi Arabia Through the Use of Multimedia. Journal of Education 39(1), 1-91. Soleimani, H., Akbar, M. (2013).The Effect of Storytelling on Children’s Learning English Vocabulary: A Case in Iran. International Research Journal of Applied and Basic Sciences 5(1): 104-113. Soltani, N., Hamid, H., Azizmalayeri, F. (2015). The Effect of Pictorial Storytelling on the Development of Vocabulary Learning of Iranian EFL Primary Learners. International Journal of Educational Investigations 2(1) 239-248. This proposal on Effect of Storytelling on Vocabulary Learning For Elementary School Students in Saudi Arabia Schools was written and submitted by user Taraji Michael to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

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Analysis of BAELL II Recommendations CHAPTER 1: INTRODUCTION 1.1. Introduction Operational risk is defined as â€Å"the risk of loss resulting from inadequate or failed internal processes, people and systems, or from external events.† Financial markets in the last two decades have been highlighted by large-scale financial failures due to incompetence and fraud, such as Barings, Daiwa, Allied Irish Banks, Orange County, Enron, along with man-made and natural disasters, such as â€Å"9/11,† Hurricanes Andrew and Katrina. As a consequence, operational risk has been acknowledged to overweigh the importance of credit and market risks. Since 2001, the Basel Committee for the Banking Supervision of the Bank of International Settlements has been requiring banks to set aside regulatory capital amount that would cover potential operational loss. The capital amount must be evaluated on a one-year aggregated basis at a sufficiently high confidence level. Statistical tools are required to accurately assess the frequency and severity distributions. The presence of so-called â€Å"low frequency/ high severity† events poses problems for the modeling of operational risk and calls for models capable of capturing excessive heavy-tailedness in the data. Operational risk is one of the important arms of the risk management triangle the other two being Credit Risk and Market (Treasury) Risk. Any organization, particularly in the banking sector, is squarely exposed to operational risks emanating within or outside the organization. Risk Management Triangle Credit Risk Market (Treasury) Risk. Operational risk Operational risk capital charge is a mandatory requirement in global banking sector. This puts in a lot of stress and strain on a banks management. Operational Risk is also known as Transaction Risk in some countries. In order to efficiently face this new challenge of operational risk in risk management, the prerequisites for efficiently facing the operational risk are enumerated as follows : Ø creation of risk culture ; Ø enterprise wide operational ; Ø risk awareness. Proactive steps at all the levels of operation should operate as a safety valve and in the process, may in turn facilitate lower risk capital charge. 1.2. Background Risk mapping is often mentioned both in describing various approaches to operational risk management and, in an audit context, in formulating the key steps to control self-assessment, as the cornerstone of the risk identification process. Yet there is little published guidance on how to perform it effectively and on how to ensure that the resulting map is indeed complete and consistent. In other words, although the term is widely used by bankers, auditors, regulators and consultants alike, and although all these professionals  may even agree on what constitutes an acceptable final product, they will most likely give widely different explanations on how to get such product, the resources needed and the costs involved. Risk mapping is difficult for a number of reasons, all of which can be summarized by reminding ourselves that ‘the map is not the territory. No matter how accurate and thorough our analysis is, what really goes on in the business is never exactly what is written in the manual. Here are just a few of the key dimensions: People: Processes are affected by people, and people, no matter how formalized the process is, adapt, interpret and improvise in response to circumstances. Specialization: Very few people really understand a specific business process and its interactions with other people and systems within the bank. When one of these people leaves or is just absent for a while, the potential for an operational failure appears. Processes: Processes change all the time and any mapping becomes obsolete almost overnight after being completed. In this research, I describe a methodology for the mapping of operational risk with the objective of identifying the risks inherent in the different steps of a business process, selecting the key risk indicators (KRIs) (Hoffman, 2002; Davis and Haubenstock, 2002) and designing the most appropriate control activities. In my approach, therefore, risk mapping is the basis for all the key components of operational risk management identification, assessment, monitoring/reporting and control/mitigation as defined by the Basel Committee on Banking Supervision (2003). There is more than one way to map risks. The most common technique is probably the mapping on a probability/severity chart (Figure 1) so as to identify the key priorities for management. The result in most cases helps to distinguish between high severity/low frequency and high frequency/ low severity losses, but which in general gives no indication as to what management actions to take in order to change the existing risk profile. Another way is to map the risks to the phases of a business activity where they can occur and identify the key risk factors and drivers in the process. This leads to a somewhat more complex result, rich in qualitative information rather than in quantitative assessment, but giving very clear indications as to which parts of the process should be changed in order to make a difference to the overall risk exposure. It also allows for the identification of the KRIs that are more relevant to each risk exposure. Pursuing the application of KRIs to operational risk assessment is suggested by the need to capture the various issues we find with purely statistical approaches as well as the impact that managerial decisions may have on the operational risk profile. In market and credit risk measurement, the key managerial decisions are taken in deciding portfolio composition, thereby affecting the resulting risk profile directly and in a manner that measurement models have no problem in capturing. In operational risk measurement, on the other hand, managerial decisions may affect the risk profile in a number of different ways (through changes in control procedures, systems, personnel, to name but a few), none of which any measurement model can capture in a simple and direct way. Statistical approaches in particular will be at a loss in taking into account such changes, as historical data will reflect a risk and control environment which by and large no longer exists. The requirement of the new Bas el Accord (Basel Committee on Banking Supervision, 2004) to base risk assessment on 5 years of historical data if taken too literally will have banks generating risk capital charges on the basis of information largely unrelated to the current and, even less, the future risk and control environment. 1.3. Research Question: This work to start with will take a step back and ask the fundamental question of why do banks fail? Further the work shall research the recommendations of BASEL II and will try to seek the answer for: Will the BASEL II requirements make the systematic goals of safety and stability more achievable for banks/FIs? If yes, how? If no, how? 1.4. Motivation: Appropriate â€Å"Organizational structure† is a precondition for orderly management of any activity/ group working within the purview of organizational capabilities. Operational risk management is all pervasive in terms of activities of an organization e.g. if ‘people factor in operational management is poorly managed in a bank, other activities of the bank e.g. credit/market risk management, are likely to suffer . Similarly, legal aspects of any transaction/ function, if loosely dealt with, increases the likelihood of loss to the organization. Organizational structure for operational risk management needs to be compact and broad-based. The structure must be compatible with :- an organizations size; complexity of operations and area of operations; in tune with its risk appetite. The area of operational risk management is a matter of discretion which comes under the purview of regulatory authorities/banks. Through my research I have tried out to make out a clear and concise understanding of BASEL II accord for Banks/FIs in operational risk perspective. The work shall also try to suggest the suitable customization of BASEL II recommendations and implications of the same for effectively managing operational risk. It may also lead to forecasting the emerging trends in operational risk and ways to mitigate the same. 1.5. Chapter Scheme The chapter scheme of my dissertation is as follows: Chapter 2: This chapter describes the literature review and the findings. Chapter 3: This chapter describes research methodology and some of the variables included in empirical analysis. Chapter 4: This chapter provides the basis of qualitative research. Chapter 5: This chapter gives details of case studies analyzed for research purpose. Chapter 6: This chapter discuses the analysis and the findings. Chapter 7: This chapter includes the conclusion. CHAPTER 2: LITERATURE REVIEW 2.1. Introduction Until very recently, it has been believed that banks are exposed to two main risks. In the order of importance they are credit risk (i.e., counterparty failure risk) and market risk (i.e., risk of loss due to changes in market indicators, such as equity prices, interest rates and exchange rates). Operational risk has been regarded as a mere part of â€Å"other† risks. Operational risk is not a new concept for banks: operational losses have been reflected in banks balance sheets for many decades. They occur in the banking industry every day. Operational risk affects the soundness and operating efficiency of all banking activities and all business units. We begin our discussion with an explanation of the notion of risk. 2.2. Risk and Risk Management In the financial context, risk is the fundamental element that affects financial behavior. There is no unique or uniform definition of risk: different financial institutions may define risk slightly differently, depending on the specifics of their banking structure, operations and investment strategies. The definition of risk also depends on the context. In the economics literature, generally risk is not necessarily a negative concept, and is understood as uncertainty about future or the dispersion of actual from expected results. In the context of business investment, risk is the volatility of expected future cash-flows (measured, for example, by the standard deviation), and in the context of the Capital Asset Pricing Model (CAPM) is the risk of asset price volatility due to market-related factors and is captured by ÃŽ ². Such definitions do not exclude the possibility of positive outcomes. Hence, for the operational risk we need a different definition.[1] For the purposes of operational risk modeling and analysis, the definitions from insurance are more appropriate, as the notion of risk in insurance has a negative meaning attached to it. Risk is perceived as the probability and impact of a negative deviation, the probability or potential of sustaining a loss, â€Å"a condition in which there is a possibility of an adverse deviation from a desired outcome that is expected or hoped for† [2], or â€Å"an expression of the danger that the effective future outcome will deviate from the expected or planned outcome in a negative way† [3]. As the next step, we need to distinguish operational risk from other categories of financial risk. A comprehensive framework of risk management is applicable equally to all types of bank (Iqbal and Mirakhor, 2007). The process of risk management is a two (2) step process. The first is to identify the source of the risk, i.e. to identify the leading variables causing the risk. The second is to devise methods to quantify the risk using mathematical models, in order to understand the risk profile of the instrument. Once a general framework of risk identification and management is developed, the techniques can be applied to different situations, products, instruments and institutions. It is crucial for all banks to have comprehensive risk management framework as there is growing realization among IBs that sustainable growth critically depends on the development of a comprehensive risk management framework (Greuning and Iqbal, 2007). A robust risk management framework can help banks to reduce their exposure to risks, and enhance their ability to compete in the market (Iqbal and Mirakhor, 2007). A reduction in each institutions exposure will reduce the systemic risk as well. Hence, it is necessary that banks have in place a comprehensive risk management and reporting process to identify, measure, monitor, manage, report and control different categories of risks. 2.2.1. Understanding Risk and Risk Management It is important for staff of banking institutions to understand the aspect of risk in the banking operations and the risks that are inherent and exposed in their business operations. Better understanding of risk management is also necessary especially in the financial intermediation activities where managing risk is one of the important activities. A study conducted by Boston Consulting Group (2001) found that the sole determining success factors is not the technical development but the ability to understand risk strategically and also the ability to handle and control risk organizationally. Secondly, in order to realize a risk based management philosophy, the attitude and mindset of the employees need to be changed whereby they must be brought to understand that managing risk is crucial for success. This implies that there must be intensive training, clearly defined structures and responsibilities, as well as commitment to change. In addition, it was identified that banks in North A merica and Australia concentrate on risk management primarily to enhance their competitive positions. Meanwhile in Europe, Asia and particularly in South America, risk management is considered primary from the perspective of regulatory requirements. Then, Al-Tamimi and Al-Mazrooei (2007) found that the UAE banks staff have good understanding of risk and risk management, which might give an indication about the ability of these banks to manage risks efficiently in the future. Moreover, understanding risk and risk management had positive effect on risk management practice although it is insignificant. 2.2.2. Requirement for Risk Management Risk management framework is important for banks. The risk management strategy must be integrated with its overall corporate strategies (e.g. Froot and Stein, 2004). In conjunction with the underlying frameworks, basic risk management process that is generally accepted is the practice of identifying, analysing, measuring, and defining the desired risk level through risk control and risk transfer. BCBS (2001) defines financial risk management as a sequence of four (4) processes: (1) the identification of events into one or more broad categories of market, credit, operational and other risks into specific sub-categories; (2) the assessment of risks using data and risk model; (3) the monitoring and reporting of the risk assessments on a timely basis; and (4) the control of these risks by senior management. BCBS (2006), on risk management processes, require supervisors to be satisfied that the banks and their banking groups have in place a comprehensive risk management process. This woul d include the Board and senior management to identify, evaluate, monitor and control or mitigate all material risks and to assess their overall capital adequacy in relation to their risk profile. In addition, as suggested by Al-Tamimi (2002), in managing risk, commercial banks can follow comprehensive risk management process which includes eight (8) steps: exposure identification; data gathering and risk quantification; management objectives; product and control guidelines; risk management evaluation; strategy development; implementation; and performance evaluation (e.g. Baldoni, 2008; and Harrington and Niehaus, 2009). 2.2.3. Risk Identification There are few conceptual studies on risk identification of financial institutions (e.g. Kromschroder and Luck, 2008; Luck 2008;; Pausenberger and Nassauer, 2000; Tchankova, 2002; Barton et al. 2002 ) and few empirical studies that include risk identification of banks (e.g. Al-Tamimi, 2002; Al-Tamimi and Al-Mazrooei, 2007). Risk identification is the first stage of risk management (Tchankova, 2002) and a very important step in risk management (Al-Tamimi and Al-Mazrooei, 2007). The first task of the risk management is to classify the corporate risks according to their different types (Pausenberger and Nassauer, 2000). The first step in organizing the implementation of the risk management function is to establish the crucial observation areas inside and outside the corporation (Kromschroder and Luck, 2008). Then, the departments and the employees must be assigned with responsibilities to identify specific risks. For instance, interest rate risks or foreign exchange risks are the main do main of the financial department. It is important to ensure that the risk management function is established throughout the whole corporation; i.e. apart from parent company, the subsidiaries too have to identify risks, analyze risks and so on. Pausenberger and Nassauer (2000) also state that it is advisable for most corporations to implement early warning systems. An early warning system is a special information system enabling the management board to identify risks in time by observing the development of defined indicators (Luck, 2008). Other instruments that could be used to identify risks are checklists of possible disturbances or breakdowns, risk workshops, examination of corporate processes, internal inspections and interviews, loss balance, etc. It is advisable to make use of the knowledge and skill of external experts, for instance, forecasts of banks about the development of interest rates or foreign exchange rates. There are many other approaches for risk identification, for instance, scenario analysis or risk mapping. An organization can identify the frequency and severity of the risks through risk mapping which could assist the organization to stay away from high frequency and low severity risks and instead focu s more on the low frequency and high severity risk. Risk identification process includes risk-ranking components where these ranking are usually based on impact, severity or dollar effects (Barton et al. 2002). According to him, the analysis helps to sort risk according to their importance and assists the management to develop risk management strategy to allocate resources efficiently. 2.3. Operational Risk Operational Risk is one of the important arms of the risk management triangle -the other two being Credit Risk and Market (Treasury) Risk. Any organization, particularly in the banking sector, is squarely exposed to operational risks emanating within or outside the organization (Levine and Hoffman, 2004). There was no precise definition of operational risk until Basel Accord II came into being in June 2004. Furthermore, for the first time in the history of global banking, operational in capital charge has been made a mandatory requirement in banking. This certainly puts in a lot of stress and strain on a banks management. Operational Risk is also known as Transaction Risk in some countries in order to efficiently face this new challenge in risk management, the prerequisites are -creation of risk culture and enterprise wide operational risk awareness. Proactive steps at all the levels of operation will operate as a safety value and in the process, may facilitate lower risk capital charge (Bagchi, 2006). As it has been mentioned that until the release of Basel Accord II in June 2004, there was no universal definition of operational risk in banking (Anna et al., 2007) . It was generally believed that as ‘risk would mean loss in any event or transaction, any risk other than credit risk and market risk would have to be reckoned as an operational risk, without the need of creating any separate identity for such risk. However this way of looking at operational risks is dangerously vague. Prof Hans Geiger, an international authority on risk management, has viewed operational risk from a direct angle and an indirect angle as under: Indirect Angle: â€Å"Operational risks are all those risks which cannot e classified as credit risk or market risk.† Direct Angle: â€Å"Operational risk is an expression of the danger of unexpected direct or indirect losses resulting from inadequate or failed internal processes, people and systems and from external events.† Basel Accord II has laid down the following definition for adoption by the countries and hence this should be treated as a standard definition of operational risk: Operational risk is â€Å"the risk of loss resulting from inadequate or failed internal processes, people and systems or from external events. This definition includes legal risk but excludes strategic and reputation risk.† (Bagchi, 2006) 2.3.1. Reasons for Increasing Focus on Operational Risk Management * On going spate ( sudden trend flow) of financial deregulation procedures due to globalization. * Influence of technology and automation in managing business with other side effects. * Complex organizational structures arising out of re organization of business enterprises (e.g. merger/ de -merger etc.). * Opportunities for business process outsourcing. * Growing complexity of products/services, as banks now provide total business services and employ CRM (Customer Relationship Management) in their business activities. * With liberalization and globalization, banks compete very hard with each other for business. * Capital allocation for operational risks is a prime requisite for todays business organizations. 2.3.3. Operational Risk Vs Operations Risk Operational Risk has a wider coverage wherein process, people, systems etc. of an organization are also considered. In general while operational risk is analogous to operations risk, in the context of risk management, they are not alike as will be evident from the following table: Table 1: Distinction between Operational Risk and Operations Risk According to the â€Å"Kenneth Swensen of Federal Reserve Bank of Chicago†, there is a clear demarcation between operational risk and operations risk, from the viewpoint of relative risk contents. Operational risk should deserve special attention for an organization so that its procedures become fully Basel Accord II compliant. He remark regarding Basel II is , â€Å"†¦Ã¢â‚¬ ¦ under Basel II, if you are not moving forward, you are losing ground†. The distinctions are clearly mentioned below : Operational Risk Operations Risk 1. Operational Risk encompasses enterprise wide risk of loss arising out of inadequate, failed internal processes, people system or from external events. 1. Operations Risk encompasses risk by loss arising out of back office reconciling processes and does not generally cover front office functions. 2. Integrated risk management is the watch dog of such risk management function in the organization 2. Internal audit Department usually manages such risks. It is the first line of defense. 3. Basel Accord II specifies capital charge computation based on three approaches evolved for the purpose. 3. There is no requirement for any specific capital charge. 4. The organization must prepare and periodically update on operational risk policy mentioning, and should frame a computation method of measurement of operational risk capital. 4. There is no need for any specific policy document since each organization is guided by its manual/ book of instruction. 5. Regulatory Authority under pillar II has the responsibilities to review enterprise wide operational risk management of the organization. 5. Regulatory Authorities do not have any Pillar II responsibility. They may review operation risk as an ingredient of operational risk. 6. Corporate Governance study must take into account operational risk management of an organization especially the effect of any human error/skill deficiency aspects. 6. Corporate Governance angle does no form part of operations risk. 2.3.4. Distinction between Operational Risk and Operational Crisis Operational risk is an all inclusive concept covering :- Ø intra -organizational ( internal ) risks such as those related to people, processes and systems; Ø external events such as natural calamities, terrorism etc. In case of extreme external events such as natural catastrophes, there is no real distinction between operational risk and operations risk since such an event requires crisis management initiative. But a routine operational risk management dose requires operational crisis management to avert serious consequences. The points of distinction are enumerated as under: Operational Risk Operational Crisis 1. Operational Risk includes elements of Expected and unexpected (expected loss such as loss in process errors of say 0.1% of gross income). 1. Operational Crises covers only unexpected loss. 2. The continuity of business is not affected if some operational risk events do not have serious implications on organizations position (say, internal fraud of 0.1% of annual net profit). 2. An organizations continuity may be seriously affected if the crisis event is catastrophic. 3. Operational risk management dose not generally imply disaster recovery. 3. Operational crisis management generally involves disaster recovery. 4. Operational risk factors do not generally trigger off reputational risk (a minor processing error in a customers savings account may not effect the banks reputation). 4. Crisis event may sometimes (e.g. product failure, contamination etc., Union Carbide Gas leak incident in MP) triggers off reputational risk leading to fall in market share, equity share price etc. 5. Operational risk management in generally concerned with two phases: i. incident ii. recovery 5. Operational crisis management generally involves three phase; i. incident ii. recovery iii. continuity 6. Operational risk may not always turn out to be a danger. 6. Operational crisis is generally of a ‘moment of danger. 2.3.5. Effective way of managing Operational Risk Poor operational risk management, especially in the banking sector, may generate serious financial losses caused by Ø external/internal fraud, Ø system failure, Ø and other related operational lapses. Damage to a banks reputation, even if it is a private bank, may also be severe. Ø Effective operational risk management provides boosts sale by taking care of the following: Ø It tends to minimize severity or frequency of operational risk loses. Ø It creates a mechanism to optimize operational effectiveness throughout the bank. Ø Various business portfolios are better managed if the processes, systems and procedures are sound, together with people strength. Ø Strategic decision making by senior management is supported by a robust risk management system. Ø It ensures business continuity, as there are high probabilities of unexpected operational events owing to changing trends and globalization. Ø Capital allocation can be optimally utilized to the advantage of the bank. 2.3.6. Traditional Vs Modern Approach of Operational Risk Management Traditional Operational Risk Management Banks were managing operational risks in a traditional manner, going by the belief that such risks are really ‘residual risks that remain after the dominant risks of credit risk and market risk have been taken care of .Hence meager attention was extended to managing operational risks. Under the traditional approach, routine operational controls in banking were mainly through Ø internal checks, Ø balancing of ledgers, Ø careful recruiting process etc. Ø Audit and compliance aspects. Ø Insurance against risks was resorted to where necessary. Modern Operational Risk Management Operational risk management in banking took the shape of modern approach with the release of Basel Accord II ( recommendations on banking laws and regulations ) in June04. Modern approach of operational risk management aims at creating and maintaining an effective operational risk management strategy. This approach involves the following elements: Ø Realistic measurement framework on operational risk factors as against sole reliance on internal checks, auditors etc. Ø Operational risk losses calculated and summarized on the basis of past loss data and estimate for the future forms the core of strategic decision making especially for developing a new product or for encouraging a new technology. Ø Quantification of various operational risk factors facilitates optimal capital allocation. Ø Staff skill development exercise on an regular basis enables better output with lesser probability of errors and losses. 2.3.7. Operational Risk: A Challenge to Financial Institutions and Regulators Operational Risk exhibits more severity than Credit Risk, Market Risk Liquidity Risk. Global Association of Risk Professionals (GARP) has also undertaken a number of new initiatives to educate the organizations about the Operational risk. Operational Risk is capable of eroding the complete organization and can cause huge loss on the reliability factor of the financial company. As per GARP, Operational risk shall be the single largest risk facing the financial industry the world over by the year 2010. The most difficult part in managing operational risk is the fact that the threats and challenges can originate and spread at the speed of thought in operations of a Bank. The financial industry is growing all over the world in spite of the poor economic indicators forcing stricter regulations, policies and thus prompts greater awareness of the various challenges faced by financial industry. Operational risk ( especially for financial industry )should be placed at the highest level of attention in order to ensure smooth functioning of the organization as it can hamper the organizations future growth. Regulators formulating the policies and regulations for effective management of operational risk are faced by the following challenges :- Ø Ever changing requirements of policies. Ø Policies are expensive to start and implement at the workplace. Ø They also hamper the normal functioning of financial organization and requires trainings across all verticals. Ø Employee and customer participation is difficult to managed. 2.3.8. Operational Risk and Financial Organizations Advent of newer and convenient technology for various processes and tasks has made :- Ø our financial system has become more susceptible to attacks by hackers and viruses. The system needs to quarantined ( detained) for all possible leak holes and if found must be plugged immediately because of the following reasons :- Ø The financial system is the backbone of economy for any country or region. Ø It is the system that makes the economy grow and maintain its track. Ø It is of prime importance that the operational risk at this industry must be managed with utmost care. With increasing level of pilferage at the financial system,

Essay examples --

Organizational changes have a potential failure rate of 70%, although this rate has been consistent for many decades there are many organizational changes that are successfully strategized and implemented (Maurer, 2010). An organizational change is when an organization goes through a renovation of altering business strategies (Organization change) to strengthen and expand their services to meet a demand of the economy (Ackerman, 1997). According to the chapter on Development, Transition, or Transformation: The Question of Change in Organization by Linda Ackerman in the book Organization Development Classics: The Practice and Theory of Change, there are three types of collective changes that are among organizations these changes are developmental change, transitional change, and transformational change (1997). In this paper I will further discuss the changes in details and will counteract the changes discussed by Ackerman through other approaches or reasoning for the changes. First, developmental changes in an organization consist of an improvement of a skill, method, or condition ...

Animal Farm by George Orwell Essay

Question 3: â€Å"Power corrupts and absolute power corrupts absolutely.† To what extent does this saying apply to George Orwell’s Animal Farm? The quote â€Å"power corrupts and absolute power corrupts absolutely† made by Lord Acton relates to the novel Animal Farm significantly. This quote expresses the fact that power can be abused and some infamous cases in history has shown that this can end in a tragedy. Power is a way through which authority and control is developed. It can be attained through the form of respect or in some infamous cases, fear. The idea that â€Å"absolute power corrupts absolutely† relates most directly to the pigs who possess the most power over the farm but neglect their duties to the farm and its habitants, leading to a dictatorship. One of the pigs who displays power over the animals was Old Major. Old Major was someone who â€Å"was so highly regarded on the farm that everyone was quite ready to lose an hour’s sleep in order to hear what he had to say† (page 1). He used their respect for him to persuade them to strive for the creation of a better life. Old Major had power but wasn’t corrupted. His main goal was to create a utopian society in which equity is practised. After the death of Old Major, the responsibility of leading the farm naturally fell on to the shoulders of Snowball and Napoleon. When commencing their leadership, Snowball and Napoleon were focused on helping to develop a better life for all the animals but as the novel progressed, Napoleon’s idea of leadership became corrupted. In contrast to Old Major, Napoleon took actions which were for the sole benefit of the pigs. He abused his power and neglected his responsibilities as a leader. Napoleon first attained power through respect but later maintained it through fear a lot like the infamous Hitler. The animals weren’t permitted to oppose Napoleon as they feared him, â€Å"but suddenly the dogs sitting round Napoleon let out deep, menacing growls, and the pigs fell silent and sat down again† (page 40) . Hitler, like Napoleon, gained power over Germany but later used these powers to enforce his own beliefs onto the people. It was evident to the reader that Napole on was corrupted from when â€Å"the animals(including Snowball) trooped down to the hayfield to begin the harvest, and when they came back in the evening it was noticed that the milk had disappeared† (page 18). Snowball was victim to the corrupted Napoleon. One sole reason as to why Snowball was evicted from the farm was due to Napoleon’s hunger for absolute power. Although this is not clearly pointed  out by Orwell, it is evident for the reader. Napoleon, before the eviction of Snowball, did have power and authority over the animal, but he did not have their undivided attention. â€Å"The animals formed themselves into two factions under the slogans, â€Å"Vote for Snowball and the three-day week’ and ‘Vole for Napoleon and the full manger’†(page 37). Napoleon craved for more power and as the quote states â€Å"absolute power corrupts absolutely†, he became absolutely corrupted after he gained absolute power through the eviction of Snowball. Napoleon became more and more like Jones and the humans he once despised. The most significant indication of the immense corruption in Animal Farm can be ascertained through the altering of the Seven Commandments. After the rebellion, the responsibility of following these commandments were given to every animal on the farm. These commandments were what distinguished the animals from humans. They helped the animals recognise the vices of human beings and assisted them in remembering these corruptions so they themselves, would never adopt them. Throughout the book, these commandments were continuously altered to the pigs’ preferences, such as the situation in which Snowball’s followers were executed. As the pigs did not want the other animals to think that the Commandments had been violated, the sixth Commandment â€Å"No animal shall kill any other animal† was changed to â€Å" No animal shall kill any other animal without cause†. â€Å"Somehow or other the last two words had slipped out of the animals’ memory. But they saw now that the Commandment had not been violated.† (Page 66). Additionally, the presence of a corrupted leader resulted in a corrupted government. The pigs placed themselves higher than other animals to whom the author often referred to as slaves. The pigs persuaded the animals through fear of Jones’ return, â€Å"it is for your sake that we drink that milk and eat those apples. Do you know what would happen if we pigs failed in our duty? Jones would come back!† (Page 25). They lived in luxury while the other animals starved as â€Å"once again all rations were reduced except those of the pigs and the dogsâ€Å"ï ¼Ë†page 81ï ¼â€°. The Farm has not become the utopian society strived for due to the corrupted government. The pigs regarded themselves to be on a higher tier than the other animals, completely violating the last and most important Commandment â€Å"All animals are equal†. This corruption led to the failure of the rebellion. â€Å"Power corrupts and absolute power corrupts absolutely† is one quote which  summarises the events occurring in the novel â€Å"Animal Farm†. It expresses the negligence and abuse of power such as that of the pigs. The corruption of the pigs, particularly their leader, Napoleon, expressed the truth behind this quote. The presence of corruption eventually led to the failure of the rebellion.