This case illustrates the tension / balance that firms with complex and risky business models should take into account in developing its internal control. He describes the environment in which the trader is engaged in a massive derivatives positions in the direction of the main European stock indexes and without being detected during the year. Though it can be used for teaching the basics of internal controls, it is likely to be more effective, causing a debate about how the incident was predictable, and whether there is something fundamentally flawed about the choice of the company in terms of strategy, management systems and culture . It also provides an opportunity to discuss the fight with the market-wide crisis (subprime) and firm-level crisis. "Hide
by François Brochet Source: HBS Premier Case Collection 17 pages. Publication Date: 02 Oct 2009. Prod. #: 110029-PDF-ENG
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