Here is some background about what came to be known as the Enron scandal. The discussion of the Enron case in Financial Shenanigans and the financial shenanigans is summed up as follows. In the book the authors discuss the Enron case awarding Enron for “Most Outrageous Financial Shenanigans”, see image below. From this its clear that net income not really match owner earnings.Ī great book is Financial Shenanigans: How to Detect Financial Gimmicks & Fraud In Financial Reports written by Howard M. Lay (Chairman) began the shareholder letter in the following (kind of pretty optimistic) way.īelow is an overview and discussion of Enron’s net income compared to a calculation of owner earnings (Source: ). Skilling (President and CEO) together with Kenneth L. Here is Enron’s annual report for fiscal year 2000. So, take a look at the documentary and maybe read some (or both) of the books if you haven’t already done that. But this one is definitely worth watching again.Īfter finishing the movie I ordered the books The Smartest Guys In the Room and Power Failure: The Inside Story of the Collapse of Enron, both of which I have not read before. I have seen it once before, a few years back.
See the bottom of this post for a link to YouTube. This weekend I watched the documentary Enron: The Smartest Guys in the Room. Stolen with the point of a pen than at the point of a gun.” Market would provide them (Grayout Davis made the problem worse whileĪlso dealing serious blows to contract law in California).It’s better to learn from other people’s mistakes.” "Pete Wilson's 'deregulation' scheme actually put Californians at riskįor either brownouts or debilitating energy prices (in some casesīoth) while denying them the benefits that a truly competitive power Seems to miss is that these guys were able to go so far off the legalĪnd moral reservation because of the stupidity, mendacity, and "Glad to see that the criminality of the Enron bunch will be on displayįor a wider audience, but one aspect that all of the Enron coverage Jack Welch at GE came up with the practice and even uses it with his household staff. Yank and Rank is actually bussiness-as-usual at many companies (including the one I work for) and has been for years. Reader comment: Bill Glover says: Enron didn't invent Yank and Rank. See Time article for how it's used at different places and its advantages and disadvantages." But it is also used at places like Sun which also uses set numerical quotas - 20% "superior" performers 70% "Sun Standard" and 10% "underperforming." One of the best-known advocates of it is GE's Jack Welch. Reader comment: Brian Carnell says: "Many companies use rank and yank systems.
0 kommentar(er)
