Finance

Wal-Mart’s Ethics and Compliance

FIN/370 – Finance for Business

November 29, 2010

Wal-Mart’s Ethics and Compliance

Wal-Mart Stores Inc. is the chosen organization. The paper will discuss the roles of ethics and compliance in the financial environment. Wal-Mart Stores Inc. is a very successful and profitable corporation that was founded by Sam Walton and believes in helping customers save money, which is why the company is profitable. The organization provides opportunities for international business growth through expansion. These values that are helping the return on investment are believed to increase by profitable growth and capital efficiency focus.

Wal-Mart Stores Inc. is also a company that complies with SEC regulations, which has last been filed January 31, 2009 for financial reporting (Walmart Stores, 2009). Other items such as procedures to enforce ethical behavior, the organizations financial performance in regards to: current, debt, return on equity, and days receivable in more detail will be analyzed for the organization of Wal-Mart Stores Inc.

Role of Ethics and Compliance

Wal-Mart has a strong position on ethical behavior and compliance. The companies C.E.O. Michael T. Duke states, in the 2009 financial report, that, “the company was founded on the belief that open communication and the highest standard of ethics are necessary to be successful.” Wal-Mart has developed, what it calls, an Open Door Policy to ensure that issues involving ethics at Wal-Mart are address both quickly and thoroughly by management. The management team at Wal-Mart encourages its associates to inform them about any issue concerning unethical behavior at Wal-Mart.

To help associates fully understand the company’s belief and dedication to high ethical standards the organization has adapted a Statement of ethics guide built around the principles of honesty, integrity and compliance with the law in all matters concerning Wal-Mart’s...