Role of Ethics and Compliance
As learned from the company’s website, Microsoft was founded in 1975 and has the NASDAQ symbol "MSFT". This company is the worldwide leader in software, services, and solutions. Because having a strong presence and leadership in the software engineering industry, Microsoft has a need for the role of ethics and compliance in the organization’s financial environment. The consequences can be permanent if not for the success history of the finance ethics and compliance team. The primary focus of Microsoft finance team’s mission includes providing world class financial leadership to optimize long term shareholder value as well as be recognized in the industry as setting the utmost highest degree of leadership in using innovative processes, tools, and systems. Microsoft Finance team members uphold values in each role of the company in ...view middle of the document...
The Corporate Policies and Guidelines are said to have been over the course of Microsoft's history, the Board of Directors has developed corporate governance policies and practices to help it fulfill its responsibilities to shareholders (Microsoft, 2010). These governance policies are memorialized in these guidelines to assure that the Board will have the necessary authority and practices in place to review and evaluate the Company's business operations and to make decisions that are independent of the Company's management (Microsoft, 2010). Additional roles of ethics and compliance are governed by Microsoft’s Shareholder Accountability because with this group set in place, the company is able to be more responsive and better aligned for success. Microsoft is a leader in adopting standards to increase accountability to shareholder, including majority voting for Board directors, Say on Pay advisory votes on executive compensation, and actively engage on governance issues with a wide range of shareholders (Microsoft, 2010).
Microsoft issued The Finance Code of Professional Conduct as the foundation of corporate responsibility of ethical principles. In fact, as stated on the company’s website, Microsoft’s intention that this code be its written code of ethics under Section 406 of the Sarbanes-Oxley Act of 2002 complying with the standards set forth in Securities and Exchange Commission Regulation S-K Item 406 (Microsoft, 2010). This company has set the bar with the roles of ethical principles and compliance to be conducted not only at the office but also in regards to both individual and peer responsibilities, as well as responsibilities to all Microsoft employees, the public, and other stakeholders. If an employee violates any of the Microsoft Finance Code of Professional Conduct will lead to disciplinary action that can include termination of employment and even legal action if applicable.