FINANCE FOR STRATEGIC MANAGERS

Finance for Strategic Managers



Abstract

In this paper we have compare and contrast the private (Wal-Mart) and government organization (US NGO) corporate governance in term of legal and regulatory requirements between them. Furthermore, the paper talks about the accountabilities and roles of managers in making business decisions. Hence, it is clear that there is huge difference between the private and government organization corporate governance as hostile legislation that been strengthened in the private organization while Government still has a sovereign powers in their entire decision making process.

Finance for Strategic Managers

Introduction

There is a vast different between the government and private manger decision making. They have a different planning and reporting responsibilities within their Finance team. However, the Central Finance & Strategy contact for several business units, supporting with action oriented analytics to enable data driven decision making differ in government and private organization.

In this paper, we will compare and contrast the private organization i.e. Wal-Mart Store Inc and other one is US NGO.

Discussion

Corporate Governance

Corporate governance refers to shaping the relationship among stakeholders and directors of companies and corporations, as well as to steering organizations in general (in terms of standardization of processes, guidelines, and policies).

NGO corporate Governance

NGO corporate governance more specifically, the Panel on Accountability and Governance in the Voluntary Sector defines corporate governance as a set of principles and practices adopted by the governing body of a higher organization to assure its stakeholders that this will be handled effectively and with due probity.

Corporate governance of an US NGO is important for any entity, due to the ultimately the legal and moral responsibility of what the organization lies with the members of their administration. But more so, a public interest organization that is financed with government funds (either directly or indirectly via exemptions in the payment of taxes) and / or private donations, should be an example of transparency and probity. His public is forced to act with high ethical standards and most efficiently manage the resources to fulfill its mission. Do not forget that both their survival and that of the entire nonprofit sector, depend on the trust that citizens in them.

A first task in order to have good corporate governance is to have a board or board of directors, where independent part of the administration or general management of the institution. This prevents all authority regarding decisions and budget management relies on one person or entity (the CEO, for example), which helps to prevent fraud and improve financial and administrative management of the institution.

This, in addition to give confidence to stakeholders of the institution ensures that all the knowledge and experience is not in the hands of one person, thereby fostering the growth, development and sustainability of the institution.

In most cases, the laws that govern nonprofit organizations refer explicitly to the rights and duties of the trustees or directors and include, for example, reference to the number of meetings should be conducted annually and functions this. No doubt it is the duty of every ...