Sample ACCM6000 Capstone Accounting and Governance Case Study 2

ACCM6000 Capstone Accounting and Governance Case Study 2 Sample

Assignment Details

Your Task

Analyse the corporate governance practices of a given organisation and identify challenges in terms of sustainability and risk. Interpretandcritically analyseorganisational risk and sustainability practice, prepare a written memorandum, and deliver a presentation that addresses challenges and opportunities.

As the capstone unit, this subject requires students to bring together their accounting and governance knowledge and techniques developed within prior subjects and throughout this course and apply these to the interpretation, analysis and critique of present-day business and governance practices to identify problems and to propose solutions. Building on students' in-depth understanding of relevant theories and practices already developed in accounting and governance and their proficiency in the tools and techniques, this assessment further develops research, analytical, critical thinking and problem-solving skills demanded by the accounting profession in the 21st Century.

This is an individual assessment that requires an analysis of a [given] case study/scenario, out of class and the preparation of a memorandum for submission by Turnitin

Following are the general instructions for completing this assessment.

1. Read and analyse the case study, paying attention to the business context and any issues and concerns facing stakeholders.

2. Based on the issues identified in the case study, conduct research of academic journals, professional practitioner literature and recent news releases relating to "best practice corporate governance," "sustainability," and "risk management practices."

3. Based on your analysis, prepare a written memorandum (1,500 words) to those charged with governance that addresses the different views and positions of the stakeholders and investors presented in the case study along the following lines:

a. Provide advice and recommend corporate governance practices which will positively contribute to the business strategy and goals presented in the case study.

b. Provide a summary of the significance, benefits, and challenges of producing sustainability and other non-financial reports for the business operating in the specific industry presented in the case study.

Solution

1. Introduction

Since its founding in 2016, Moka Restaurant Group (MRG) has carved out a position for itself. Renowned dietitian Suzy Cartier mounted it. This employer is pleased with its portfolio of innovative consuming thoughts, which incorporates Moka, Supper Club, Feast, and Zoom. This logo has received popularity for its creative technique in culinary studies, all while specializing in presenting inexpensive consuming alternatives acquired from sustainable carriers. As a result, paintings are being achieved to draft a document to look at MRG's company governance practices, consisting of a look at the business enterprise's governance shape, sustainability applications, and operational nuances.

2. Memorandum

2.1 Problems or Issues of Concern Facing Stakeholders

To protect the openness of fashionable-reason financial reviews for foremost users, corporations are required by way of the General Requirements Standard underneath IFRS S1 to post extensive statistics concerning sustainability-associated dangers and possibilities. The four major pillars of this general are key overall performance indicators, method, governance, and risk management. At the moment, businesses need to make sure that their sustainability disclosures fit their GPFR, publish substantial records at each degree in their supply chain, and encompass sustainability disclosures into their every-year financial statements related to the problems or troubles of dealing with stakeholders (Shahwan, 2020).

- Related Party Transactions: To save you from conflicts of interest and make sure that positive transactions match marketplace language, MRG's insurance requires openness and trustworthy dealing in related party transactions. However, concerns about independence and justice are raised via the discretionary authority positioned in important people for The assignment helpline.

- Financial Performance Measures: MRG's acknowledgement of an upward push in income and the next discount in funding demonstrates the use of traditional accounting requirements to assess the company's overall performance.

- Sustainability Practices: MRG is aligned with the growing variety of accounting systems that emphasize social and environmental obligation on the subject of sustainability. However hard situations concerning the safety of packaging and the precision of detailed facts highlight how essential correct reporting and danger evaluation are to sustainable accounting approaches (Jejeniwa, 2024).

- Risk Management: The structure of a risk committee demonstrates that MRG respects organization governance requirements and acknowledges the need for hazard oversight. However, the committee's early detection of ownership-associated risks points to the need for greater thorough danger identification and manipulation, taking operational, monetary, and regulatory concerns into consideration.

2.2 Corporate Governance Advise

The International Accounting Standards Board (ISSB) has released IFRS S1 and S2, aiming to improve sustainability disclosure quality and address environmental and social issues. These standards follow four pillars: metrics and objectives, governance, and strategy. Metrics and objectives evaluate an organization's performance; governance is the framework for implementing these methods; and strategy is the plan for achieving its objectives. These guidelines aim to establish international standards for sustainability in the future (Grossi and Argento, 2022).

- Risk management: This is the technique through which the enterprise acknowledges and manages the various dangers it faces. It is the responsibility of companies and organizations to offer records about sustainability possibilities and risks, in addition to their rules concerning them.

- Transparent Governance Structure: Create an easy governance form that describes the jobs, obligations, and decision-making procedures of executives, directors, and key control teams of workers. This shape seeks to grow openness, lessen conflicts of interest, and impose specific necessities.

- Diverse Board Composition: To better fit with MRG's goal of growth and innovation inside the culinary landscape, aim for a large board with a diverse variety of backgrounds, stories, and points of view. Independent administrators ought to carry governance knowledge and corporation-precise facts to the discussion.

- Risk Management Integration: Include risk manipulation methods in strategic decision-making techniques, which include habitual checks of risks related to enterprise operation management, assets, lawful obligations, and supply chain. The risk committee should be unbiased and effective in figuring out, comparing, and mitigating risks (Al-Attar, 2021).

- Ethical Conduct and Compliance: Incorporate extra details on conflicts of interest, moral conduct, and regulatory compliance. Make sure that the Code of Ethics and its tips are always observed, and provide clear and reliable techniques for handling court cases.

- Sustainability Integration: Consider sustainability in all factors of business, from waste management to shopping components. Improve reporting and disclosure of sustainable practices to meet organization necessities and stakeholder expectancies (Kastiel and Nili, 2021).

2.3 Producing Sustainability and Other Non-Financial Reports For The Business

2.3.1 Significance

For numerous reasons, Moka Restaurant Group (MRG) finds it necessary to produce sustainability and various non-financial criticisms. First of all, MRG places a strong emphasis on sustainability, nutrition, and community involvement in their enterprise and inventive and visionary comments (Puttri and Novianti). As a result, stakeholders expect responsibility and openness about the company's sustainability policies, along with traders, clients, and regulators.

MRG's operations, including sourcing additives and waste management, heavily rely on sustainable techniques. By generating non-economic perspectives, MRG can continuously improve and monitor its operations. By monitoring performance indicators like energy consumption, waste generation, and dealer compliance, MRG can identify areas for optimization and innovation. This approach promotes a sustainable lifestyle throughout the business, coordinating operational techniques with the company's overall goals.

2.3.2 Benefits

For Moka Restaurant Group (MRG), generating sustainability and specific non-economic checks can have good-sized advantages. First and foremost, it fosters more transparency, which increases thoughtfulness and confidence among those engaged. By using strength-inexperienced machinery, getting chemicals from sustainable businesses, and being transparent about their sustainability activities, MRG may show their commitment to moral business practices and draw in clients and shoppers who are socially conscious (Naciti et. al., 2022).

Furthermore, such viewpoints offer a level on which MRG may additionally spotlight its unique value proposition and set itself out in a crowded marketplace. In addition to strengthening logo loyalty among customers who cost sustainability, highlighting tasks like donating food to charities and taking part in recyclable packaging corporations is going beyond just pleasant social responsibility. Making non-financial assessments also promotes innovation and non-save-you improvements. Regulators' or purchasers' remarks can inspire MRG to improve its techniques, guaranteeing adherence to necessities while also enhancing operational efficiency and generating top-notch merchandise. Moreover, the exams function as a valuable inner device for general universal performance assessment and strategic making plans.

2.3.3 Challenges

Producing sustainability reports and non-monetary reporting for the eating place business presents a multitude of problems for MRG. These difficulties are coupled with the intrinsic qualities of the arena. This entails handling perishable goods, fierce competition, and moving customer preferences (Almashhadani and Almashhadani, 2021). Achieving a balance between sustainability and profitability is a chief task. This company specializes in procuring its materials from sustainable sources and seeks to decrease waste through initiatives like precise component control and identifiable packaging, among others, to strike a balance between its financial viability and its environmental responsibility.

The MRG governance rules' associated birthday celebration transaction policy and code of ethics call for a rigorous evaluation of their compatibility with sustainability goals. The different trouble is navigating the complexities of hazard control. This indicates that even though MRG hooked up a hazard committee to oversee various dangers, which include belongings-related and operational risks, ongoing oversight remains vital for different chance mitigation measures like group of workers termination, hypersensitivity disruption, patron accidents, and others. Strong chance management procedures are also required within the eating place quarter, as is evident from the temporary menu adjustments brought on via substances that had been unavailable across the supply chain.

3. Issues and Recommendations

Issues: Moka Restaurant Group (MRG) has challenges in its operations associated with perishable inventory, client preference volatility, and competitiveness that make it tough to use inexperienced control practices at the same time as also growing profitability. The greatness of the information presented and the way it pertains to statistics integrity in sustainability reporting, coping with associated annual transactions, and a robust emphasis on risk management are a few crucial factors (Almashhadani, 2021).

Recommendations: MRG can enhance its governance by absolutely outlining duties and responsibilities, stopping conflicts of interest, and improving transparency. It must additionally investigate boardroom diversity and implement effective change control procedures. Addressing moral issues and enhancing sustainability control can improve stakeholder self-belief and make contributions to the employer's long-term improvement (Castrillón, 2021). Ensuring moral requirements and addressing sustainability worries can also contribute to MRG's fulfilment.

4. Conclusion

MRG is enforcing company governance concepts like IFRS 1 and IFRS 2 to transform into a market chief. This approach aligns with business standards and could create a robust relationship between the commercial enterprise and stakeholders. Reducing the sustainability Tough circumstances will protect the business, ensure continuity, and maximize opportunities for future expansion. Developing a successful commercial business version and increasing sustainable value need a holistic approach to governance and sustainability.

4. References