Description: Much of the business news this week was dominated by the discovery of Volkswagen’s attempt to rig the test of emission standards. The story continued to spread throughout the week. VW’s stock price dropped. The VW president resigned. Some have even discussed the impact on Germany as a national brand repesenting engineering excellence.
Source: Globeandmail.com; Reuters
Date: September 25, 2015
1) How did you react when you heard this news?
2) If you were the auditor of VW, how would this news impact on your decisions around the engagement this year?
3) What role might an auto maker’s internal audit shop play in preventing these type of ethical failures?