Trusted auditor: Difference between revisions

29 bytes removed ,  8 November 2003
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so we are betting on betting... better do it elsewhere
(minor fixes to be more precise)
m (so we are betting on betting... better do it elsewhere)
 
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The traditional view is that auditors must be outsiders.  But that might not be always wholly true here.  So, what other [[user role]]s must support auditors?  How can we avoid becoming [[Enron]], which also had '''trusted auditor'''s looking to ensure the shareholders had a realistic view into the financial situation (not!), that were not unfortunately "outside" enough.
The traditional view is that auditors must be outsiders.  But that might not be always wholly true here.  So, what other [[user role]]s must support auditors?  How can we avoid becoming [[Enron]], which also had '''trusted auditor'''s looking to ensure the shareholders had a realistic view into the financial situation (not!), that were not unfortunately "outside" enough.


This function is so important, [[betting]] against the auditor finding problems might have to be supported directly, so there is maximum incentive for auditors to find all problems, and for [[troll]]s to keep maximum eye on the auditors.  The bureaucratic view is that process works perfectly and never needs outside auditors.  This was the view at [[Enron]] too. ''Sure, double or nothing.''
This function is so important, [[betting]] against the auditor finding problems might have to be supported directly, so there is maximum incentive for auditors to find all problems, and for [[troll]]s to keep maximum eye on the auditors.  The bureaucratic view is that process works perfectly and never needs outside auditors.  This was the view at [[Enron]] too.  


Auditors are a critical part of any [[Market Model]].
Auditors are a critical part of any [[Market Model]].
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