Enron the smartest guys in the room观后感涉及Deregulation.doc

Enron: The Smartest Guys in the Room Summary After a two and half hour checking dictionary and writing notes, I finally understood this movie. Indeed, it’s a great movie with a tragic and thought-provoking ending. As the movie, it is complicated to say that whose responsibility is the most. Inside Enron The U.S. Senate’s Permanent Subcommittee on Investigations listed high risk accounting, inappropriate conflicts of interest, extensive undisclosed off-the-books activity, and excessive compensation at top of the report findings (Permanent Subcommittee on Investigations, 2002). These unscrupulous operations are made by increasingly arrogant Enron. Therefore, it cannot be denied that Enron is demise by its own corporate culture. Meanwhile, its culture is affected by individuals’ actions which are closely linked with Kenneth Lay, former chairman and CEO of Enron, and Jeffrey Skilling, former CEO and COO. Ken Lay comes from a quite poor family. When he was a child he had to work some jobs such as newspaper delivery boy and lawn mower. I think it’s the major reason that he becomes an egomania who puts earnings before scruples. Actually, his condition makes me reminding President Lincoln whose also came from a poor family with enormous ambitions. Fortunately, Lincoln chose to do right things using his intelligence and abilities. However, Jeff Skilling had different situation. Back to his admission interview in Harvard Business School, the professor asked him if he was smart, his answer was “I’m fucking smart.” In fact, Skilling is a nerd with visionary ideas. This conceited gambler was promoted and admired by Lay. Due to Skilling, Enron started using mark to market accounting treatment to earn future’s profits. Under the charismatic leadership effect, Enron’s traders became huge risk takers with losing their ethics and chasing after their heads. As they hunted down the legal loopholes in California and took advantage of its new deregulating market. Deregula