A major multi national corporation secures a lucrative contract to build
and manage a massive hydroelectric power generation facility across the
Falls of a major African river. The project promises to bring electrical
power to thousands of citizens of the emerging nation, and to create
numerous economic benefits for the country and its inhabitants as well.
Soon after the announcement of the contract, however, audit personnel
uncover evidence that appears to imply that questionable cash
disbursements might have been paid to certain governmental officials
prior to the finalization of the contract. Furthermore,
environmentalists have begun to protest that the construction project
may lead to the destruction of the habitat of the Blue Frog and other
endangered species, as well as the contamination of the ground water and
the erosion of the soil.
This scenario serves as the basis for a staff training case at the Big
Four accounting firm PricewaterhouseCoopers, and has been adapted for
use in the undergraduate and graduate accountancy programs at Providence
College as well. During the first two parts of this three part seminar,
we reviewed the auditing and attestation, enterprise risk management,
and sustainability accounting standards that form the foundation of the
case analysis.
In this third and final session, join instructor “Dr. Mike” Kraten for a
lively discussion regarding the important decisions that must be made by
the stakeholders of the case. Participants will be invited to analyze
the relevant variables, to assess the benefits and risks of different
options from the perspective of each constituent stakeholder, and to
debate their own recommendations regarding the viability of the project
itself.