Corporate Function: Accounting Report 2022

Running Head: CORPORATE FUNCTION
0
Responsible Management
CORPORATE FUNCTION: Accounting
(Student Details: )
4/11/2020

CORPORATE FUNCTION 1
Contents
Integrating Management............................................................................................................2
Introduction................................................................................................................................2
Accounting as a Corporate Function..........................................................................................2
Conclusion..................................................................................................................................4

CORPORATE FUNCTION 2
Integrating Management
Introduction
The report is mainly focused on corporate functions such as accounting and controlling in the
context of integrating management in the business context. In doing so, the paper is going to
discuss how different challenges include environmental, social and ethical, affect an
organization while responsibly managing corporations. The report is going to focus on how
accounting is significant as well as relevant for responsible management in a contemporary
organization. In this context, while defining responsible management, the discussion will take
organizational functions to include sustainability, responsibility, and ethics into
consideration. In addition, some relevant examples of the companies will be included to see
how these companies are addressing the social, environmental or ethical challenges with
accounting as a key corporate function (Ball et al., 2014).
Accounting as a Corporate Function
Discuss critically how relevant and significant it is for responsibly managing corporations,
their context and the social, environmental or ethical challenges they face.
This section is going to talk about how accounting is relevant as well as significant for
responsibly managing firms in the context of environmental, ethical and social challenges
they face. In general, accounting is used to help internal and external stakeholders while
making better business decisions. On the contrary, without financial accounting,
organizational decision-making can be impacted negatively which ultimately affects the
company's overall performance. In this way, being a major corporate function, financial
accounting always eases the procedure of getting debt, loans as well as investments for the
business (Hilton, 2011).
Thus, accounting is playing an important role in running modern businesses in today’s
business environment. It is because; accounting always helps an organization to track their
income, expenditures, in order to ensure statutory compliance. Accounting as a corporate
function, provides company’ investors, management as well as government with the
quantitative financial info or data that can further be used to make wise business decisions
(McGuigan & Kern, 2009).

CORPORATE FUNCTION 3
Now, accounting as a corporate function plays a key role to ensure responsible management
at any organization or corporation. Here, the definition of responsible management suggests
that responsible management is the way of balancing the interests of the whole world
including people, environment and global companies. Responsible management is
accountable to prosper for the benefits of both, present as well as future generations. while
talking about responsible management, a company must consider the key elements of
responsible management as sustainability, responsibility, and ethics. It is because ensuring
corporate social responsibility through various business operations, a company can show their
accountability, duties, and responsibilities towards society and people in an ethical way
(Hilton, 2011).
In addition to that, accounting as a corporate function can be defined as the detailed and
systematic recording of key financial transactions of any business in a competitive age. Apart
from this, the corporate function accounting ranges from startup, small business, government,
management, forensic, to accounting for corporations. From the perspective of addressing
challenges include social, environmental and ethical, accounting allows managers to focus on
the main issues rather than wasting time, money and resources on unwanted areas. With the
help of accounting, people in the organization become responsible for developing as well as
carrying out the key management processes effectively and efficiently. It has been found that
accounting as a corporate function also enables an organization to become a responsible
organization. It is because accounting and controlling allow an organization to execute the
major four functions of responsible management include planning, leading, organizing, and
controlling (McGuigan & Kern, 2009).
There are some key relevant examples of modern companies that have successfully applied
accounting as a key corporate function to get success in the modern business environment.
These companies have addressed the environmental, social, or ethical challenges they face
with the proposed corporate function as follows:
Twitter is continuously doing ethical reporting in terms of total loss and total profit in the
financial statements includes a balance sheet, cash flow, and income statement (IFRS, 2020).
There are numerous examples of companies who are using financial accounting as a
corporate function every financial year in order to inform investors of their top five
sustainability risks and benefits. Such examples of the real-life companies are

CORPORATE FUNCTION 4
 Adidas Group.
 Disney.
 Microsoft.
 Sony.
 Michelin.
 Netflix.
 Cannon.
 Bosch (Ball et al., 2014).
It has been found that the aforementioned companies are using longer-term corporate
responsibility performance measures for getting the trust and faith of their stakeholders since
several years. In addition to that, the companies have set an example being the accounting
and finance leaders while considering ethics, sustainability, and responsibility as the key
elements of responsible management. In this way, these companies have implemented the
desired correct proven ways to ensure their employees act with the utmost integrity (Hilton,
2011).
On the contrary, some companies could not address the challenges include social, ethical and
environmental they face during business development and growth. Such examples of the
companies who were unable to do the ethical and correct financial reporting are Enron,
Adelphia, Volkswagen and WorldCom (Ball et al., 2014).
Conclusion
In whole, the discussion has found the key role of accounting as a corporate function in the
contemporary business environment. Based on this discussion, it can be said that accounting
helps to evaluate the overall performance of any business as compared to its competitor and
other peers. An organization is able to work as a responsible corporation within the guideline
of sustainability, ethics, and responsibility with the help of ethical reporting. In addition to
that, accounting enables an organization to address key challenges they face while doing
business with the help of financial records reflecting the true and transparent results of
operations and the financial position of the corporation. Based on this research, it can be said
that accounting helps understand the key functions and outcomes of any business financially.
The accounting as a business function will clean as well as up to date records while keeping
track of income and expenses, possible debt, and gross margin. In whole, accounting as a

CORPORATE FUNCTION 5
corporate function helps an organization to compare their current data with the past
accounting records while allocating current budget appropriately.