Reporting Practices and Ethics Paper Essay

Financial management is very crucial in todays wellness care pecuniary procedures. It is one the most important aspects of the pecuniary health care. There are many assessments made- based the financial records and the business transactions that occur within the health care plaque. It is crucial the financial records are kept up- to -date and they follow specific guidelines. The books kept up- to- date and in order, this get out show the amount of money being brought into the organization for profit and the amount of money the organization has lost in profit.One thing that may ca social occasion the honesty of the organization to be on the brinks is the organization financial management and the correctness of the financial books. This paper is about information that will sell financial coverage practices and ethics. It will address four financial management functions, summaries that accept accounting principles by generally accepted accounting principles (generally accepted a ccounting principles). It will also give an example from an article that has reflected ethical standards of lot and financial reporting.The basic four components of financial management are planning, imperious, organizing and directing and decision making. The preparation is indebtedness for financial management to recognize the purposes of the health care organization. The planning step is to set directions and allocates resources, the organizing step brings hatful and material resources together in working condition, the leading step inspires people to best utilize these resources, and the controlling step checks that the right things happen, in the right way, and at the right time (Lombardi, Schermerhorn, & Kramer, 2007,).Controlling is the mathematical operation of the financial management to ensure that each department of the organization are going by the procedures that was decided. The financial charabanc should have the reports available to study the most recent fin ancial reports. The reports will admirer to film what department needs the most consideration to keep the organization going. Organizing and directing is the responsibility of the financial manager to decide in what way to make use of the funds of the organizations most efficiently.Resources such(prenominal) as assets will help the manager to ensure the goals of the healthcare organizations are accomplished. Directing is an everyday job provided that control and support. The last step in the element in financial management is decision making. Planning, organizing, and controlling is a rest with the decision making process. The choices will be by the financial manager based on evaluation, compend and information. Generally accepted accounting principles is a set of financial recommendations used for financial accounting.The recommendations are for preparing financial statements and for setting standards for organizations accountants. According to Baker (2011), One of the requir ements of GAAP is that unqualified fund ends be separated from restricted fund balances on the statements, so you see two appropriate line items (restricted and unrestricted) in the fund balance section (p. 108). GAAP are the rules of accounting. Those guidelines are to arrange the reporting of financial statements that will include the cash flow statements, income statements, and the balance sheet.With the reply of these responsibilities, the Organization of Managing Bookkeepers declared principles of moral conduct for employees of managing bookkeeping and financial management. The principles look at account for confidentiality, integrity, and competence. A person must contain knowledge and the necessary skills is what includes competence. They must always nurse their professional responsibilities and duties in accordance with related rules, technical standards, and regulations.Confidentiality when one should non disclose confidential information, such as health records except when given the right authority to do so. Integrity has the responsibility not to engage in activities that would affect prejudgment, favors that will influence their actions and decision making. According to Ethical Standards (n. d),Specialists of managing bookkeeping and monetarist managing tinct an commitment to the community, their line of work, the institute they work for and themselves, to uphold the utmost principles of decent manner. Hewlett-Packard Company CEO, Mark Hurd term of enlistment out to be mixed up in the workplace. According to (Healthfield, 2012), Mr. Hurd had failed to disclose a close own(prenominal) relationship he had with a contractor that constituted a conflict of interest . Mr. Hurd also failed to maintain accurate expense reports, and misused company assets. This is an example that reflect ethical standards of conduct and financial reporting practices. Practicing accuracy end honesty will help continue the capacity to never misuse the financial syste ms, and abide by the laws laid out by GAAP.Organizations are providing their employees with the necessary training that will supply them as well as sustain the reporting practices operational but at the time use the similar procedures and show them new procedures. Fraud and abuse is something everyone know when being ethical. By using the GAAP guidelines, keeping the organizational ethics and policies would be free from abuse and fraud. By following the guidelines that comes from the GAAP, they can help prevent fraud and abuse from happening in the health care organization itself.These guidelines are thither to help the organization benefit so they will always be ready in human face there may come a time when they have to show their financial documents to a third base party. Therefore in conclusion, it a major responsibility in financial reporting practices and ethics. Financial managers should fulfil the four elements of financial management in their reports to avoid fraud, abu se and the risk of breaking ethics. Managers should know how to plan, control, bone up and directing and decision making. They should always incorporate the GAAP rules and regulations in order to avoid unethical rulings.