• IT system failure - computer viruses, attacks by hackers or system failures could affect Alstom ability to function. • Terrorist attack – Terrorist attack are a major sort of crisis that can occur . Alstom’s assets can be destroyed completely and it would adversely affect its business in short as well as long term. • Crises affecting your business ' reputation – Alstom business will suffer a blow if its reputation is affected. Alstom is a leader in the industry and reputation is of prime importance.
In addition, it might help their business communication, but there have been a large amount of risk as a result. Corruption leads to numerous problems in business and it can hurt the image of the company. This essay will outline three main problems: firstly, loss of funds through embezzlement, secondly, corruption through the improper use of the available resources and thirdly, shareholders and investors losing trust and confidence in business. Although serious problems have arisen as a consequence of this, there are potential solutions which will be examined in this essay. Firstly, it appears that the loss of funds through embezzlement is one of the serious corruption problems in business.
It was an explosive mix for any corporate entity which had over-borrowed and assumed too much maturity period or currency mismatches. The high risk nature of banking in distinction to fund management had risen from its high gearing and massive asset liability mismatches, and in particular, from its tendency to borrow for a short period and lend for even longer. The overdependence on banks in Asia was caused by their over-protection, as well as by the over-regulation of capital markets, and had also affected the Malaysian financial system. This had caused the under-development of non-banking financial institutions, capital markets, and risk management products,
In many cases a firm will incur a financial loss together with a fine from law enforcement agencies given to penalise the lack of sufficient security systems and procedures, and least but not last, its public image will greatly suffer, causing loss of business. According to the Commons Home Affairs Select Committee cyber crime costs Britain £18bn to £27bn each year. (Paul Peachey 2013 http://www.independent.co.uk/news/uk/crime/uk-faces-falling-into-cybercrime-black-hole-if-banks-keep-quiet-on-small-scale-fraud-warn-mps-8737343.html) Individuals also offer cash out services to obtain funds from electronic accounts or ATMS off-line, as well as checking services to validate whether an account is active and any available balance. The gang lead by Sergei Nicolaevich Tšurikov compromised the data encryption used by the firm to protect customer data on payroll debit cards. These are cards used by some US companies to pay their employees, and can be used at ATMs.
Countries such as Singapore, Hong Kong and Malaysia. The common issue of illegal dumping which is created from physical construction waste which causes nonphysical waste like cost and time overruns to be poorly managed in the construction industry. Waste also influences economical dynamics of society and can influence the environment and its surroundings a great deal. Additionally, just like environmental influences waste can also impact the cost of a project causing implications such as illegal dumping. This is an unlawful deposit activity of waste onto the land which contributes to pollution globally.
With a globalized system, a credit crunch can cause a ripple effect in the entire economy and very quickly turning a global financial crisis into a global economic crisis. The subprime mortgage crisis led to the failure and closure of large financial institution one of which was the collapse of Lehman Brothers in September 2008. This sent a wave of fears around the world in the financial markets. Large projects were called off, corporate sector stopped borrowing due to high interest rates, trade credit was impossible to attain, with falling demand, particularly for investment goods and manufacturing durables such as automobiles, trade volume collapsed. The crisis had threatened the collapse of many other large financial institutions but was prevented by the bailout of banks by national governments.
As regards to poverty, there are many countries that had suffered poverty, and even striking the middle class status in the Western's countries. Thus, countries that experience severe poverty would need action plans for further intervention to avoid social tensions that consequently results to social inequality and economic disparity among countries and citizens. However, poverty will also bring a lot of effects in the world. Firstly, there would be an expanding of the danger of war on the planet economy, country that unable to keep up with the world economy in the sense of raw materials and markets will lead fractions between the country and this cause war in a bid to obtain new markets for the goods and raw material. Besides, it may also cause terrorism as the society are running out of resources and money, therefore this would lead to falling prey to terrorism.
The potential for material systems error has thereby been greatly increased causing great costs to the organization, e.g., the highly repetitive nature of many computer applications means that small errors may lead to large losses. A bank may suffer huge losses on account of an error of rounding off to next rupee instead of nearest rupee. This makes it imperative for the auditor to test the invisible processes, and to identify the vulnerabilities in a computer information system as the costs involved, because of errors and irregularities, can be high. Part I: New information technologies and communication: Impact on business and financial
The BU’s train authorisation systems are using copper cable and the availability of directly affected by cable thefts. The thefts are either due to the installation that do not meet the minimum installation specifications or the poor visibility of security guards that will safeguard the BU’s infrastructure. The House of Commons Transport Committee (2012), also states that the cash in hand operation of the scrap metal trade makes it difficult to identify the culprits that are still the copper cable and it has been the case in South Africa and poverty and unemployment is also playing a role in the thefts of copper cables. External stakeholder engagements with the communities, South African Police Services and other role players can reduce cable theft if theft is one of the main contributing factors to signal
As for Fraud, an accurate description would be defined as criminal deception intended to gain money or personal advantage. It is the unlawful and intentional making of a misrepresentation. Retrospectively corruption and fraud events are both extremely criminal to the society we live in South Africa. Corruption and Fraud both have connotations to negative characteristics such as criminal, illegal, dishonest, unlawful, unfaithful, and immoral. This is a serious allegation with growth rates with businesses and companies that work with people that have an incorrect mindset relating to corruption and fraud.