The Hills Shire Times
(8th Septmeber 2009) 

All should be alert to troubled waters

Staff, company directors and shareholders must be vigilant in spotting the warning signs of a company out of control.
So said the Western Sydney University School of accounting head Professor Philip Ross, as guest speaker at the latest Cameron Recruitment Hills Discussion Group Breakfast.

Drawing on the very public reversal of fortunes of companies such as ABC Learning Centres, One.Tel and HIH Insurance, Dr Ross said the common thread in all company collapses was the failure of directors and staff to question whether risky business strategies were right for the business.

"All three companies…sought rapid expansion of market share which carried significant risks clearly not reflected in the company's financial statements," he said. He said all business owners should follow the well-known adage “if it sounds too good to be true, then it probably isn’t true”.

They should always question management decision which appear to fast track or avoid standard business practices.

The group of Hills managers meets monthly.
Inquiries: Call 8853 7838.