How The Sarbanes-Oxley Act (SOX)
Affects You and Your Organization
In response to financial scandals that stigmatized the corporate community—damaging stockholders and employees while lining the pockets of unscroupulous key executives—the Sarbanes-Oxley Act of 2002 was enacted to create standards and Congressional oversight that would positively impact the reporting of corporate financial statements.
Many of these standards deal with the auditing process and the composition of the Board of Directors. But Congress added an important demand [Title III—Corporate Responsibility, Section (4)(B)] that a public company’s audit committee must establish procedures giving employees a way to speak up about discrepancies and questionable financial/accounting practices, and allowing them to do so without compromising their identities or job security.
By helping employees understand the type of information that goes into financial reporting—such as the Income Statement and Balance Sheet— companies are providing them with the tools to become more vigilant, involved, and confident about the way business is supposed to be conducted.
The Accounting In An Hour program is a high-performance, low-cost way to give all levels of employees the financial understanding that will contribute to your company’s compliance with the Sarbanes-Oxley Act. |
