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Conflict of Interest

Conflict of Interest

Some firms can run aground when it starts to move into uncharted areas or business gray areas of vertical business concerns. For example, suppose that a car dealer might want to advise a customer, you, further on importing three-wheel bikes from Brazil. It turns out these three-wheel bikes only come disassembled in the box. Worse than that, the wheels have to be ordered separately from the Far East. And further, all of a sudden, the price of the wheels has somewhat tripled over the next two days after receiving the first shipment of bikes from Brazil.

Now you are stuck with a container full of three-wheel bikes with no wheels to meet your initial pricing model. The car dealer had no way of knowing that crucial fact because he only has one three-wheeler that a customer traded in on a new car. Fact is, the car dealer did not do due diligent, or fact-finding on, the intricate details, of the importing of that particular three-wheeler brand at all. Owing to the advice you the customer jumped in with both feet on the investment – cost when to the roof. You the customer acquired a letter of credit from the local bank to cover, from FOB to the customer, of which there was a default on that particular note. Now, do you think you should sue the car dealer on the premise that he supplied you with bad advice?

The way to A.C.E. such conflicts of interest is to apply these three sounding boards:

"A = Awareness. The first tip to ACE conflicts of interest is “awareness.”
Be aware of areas where potential conflicts of interest may develop. These may include, but are not limited to:
* Providing services to clients in the same industry.
* Advising the client to invest in a business in which a member of the CPA firm has a financial interest; or
* Providing forensic investigation services to a client in anticipation of litigation against another CPA firm client.
C = Communications. “Communication” is an important safeguard to help ACE conflicts of interest and involves the three D’s–disclosure, decisions, and documentation.
E = Exit In many circumstances, the CPA firm can establish and implement safeguards to reduce the threat to integrity and objectivity to an acceptable level. In addition to communication, other examples of safeguards may include, but are not limited to:
* Implementing mechanisms to prevent unauthorized disclosure of confidential information, including the creation of separate engagement teams and physical and electronic separation of confidential information, including workpapers, of the clients at issue; and
* Having workpapers and deliverables reviewed by someone independent of the client services engagement team to assess whether key judgments and conclusions are appropriate."

In short, stay away from areas that do not pertain directly to your business model or function. Per example, you sold a car battery, now the customer wants you to go out in the parking lot and install the battery. Your major function is that of a salesperson – by moving forward with installing the battery you would be moving also into that of liability exposure. So, “do one thing and do it best,” is good advice.

By James Byrd, MBA

Source: 
Managing conflicts of interest.. (n.d.) >The Free Library. (2014). Retrieved Aug 12 2018 from https://www.thefreelibrary.com/Managing+conflicts+of+interest.-a0514405686

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36.mycal8

 

From<36.mycal8 -- Injury (youtube.com)>

by James Byrd

08/07/24

Hexagram thirty-six is associated with the Diminishing of the Light, suggesting a retreat and concealment of one's true intellectual stance.

Similarly, just as the Sun conceals its brilliance at times, so should the Superior person during challenging periods. Therefore, perseverance is advantageous. It is said that the superior individual dwells among the great masses; he veils his light, yet it continues to shine.

1. Now is not an opportune moment to cross the great water. It is beneficial to remain steadfast and persistent.

2. Darkening of the Light:

This illustrates that the superior man leads others in such a way that he demonstrates his wisdom by remaining silent about his current circumstances.

The Image

  1. The Sunset behind the Earth

      a) Stay true to your path

      b) Be mindful of the challenges that lie ahead.

My interpretation is as follows: 

A. On February 15, 2013, during my observance of My Calendar of Days, I recall a significant event—the landing of a celestial rock on Earth. This occurrence is still a topic of discussion as of February 14, 2020. It drew my attention to the calendar's operation, which resembles a standard bell curve graph in statistics; near the peak, one can anticipate a probability or effect that correlates directly with the calendar described in "Foretell the Future with the I Ching and My Calendar of Days." According to some interpretations, this hexagram is associated with injury and appears four times a year on My Calendar of Days: February 14, July 17, August 7, and November 14, coinciding with the onset of spring, summer, autumn, and winter.

The central concept is that sometimes it's wise to take a passive role and enjoy the journey, but avoid being a controlling observer. It's an opportunity to embrace the unknown, yet adhere to your inner values. In essence, don't isolate yourself and undermine your support. Bear in mind that morals are subjective; they may not reflect universal beliefs at present, but with the internet's help, we are moving towards a more unified understanding, thus, the advent of innovative technologies.

 The hexagram maintains that a person should realize the situation they are in at the moment and maintain a firm steadiness to their beforehand planned course, or should I say, maintain your Inward Principles. The same can be seen with Hexagram 6, talking leads to conflict. Now we take six times six to a higher octave, and we see, "keep your fears to yourself." It is better to configure your innermost feelings in such a way that you might come across as being gentle and accepting of others, less, there will be compound conflict at the present moment.

Amidst the troubles in your heart, set your determination on pursuing what is just. Remain amiable amidst boundless challenges. Seek a tranquil place and be patient. Three days prior, and three days following the upheaval. We are currently at the peak of it. Keep things understated today, everyone.

I recall that on Sunday, August 4, 2024, we discussed the dragon concealed within a droplet of water, and now we are surrounded by all sorts of water, folks. Just giving a shout-out to the home team, "The Future: 2020," and mentioning the free T-shirt.

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