Another example would be how Societe General disregarded the earning received

Another example would be how societe general

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example would be how Societe General, disregarded the earning received from German Swiss banks. The trades should have been monitored and reviewed before they were made. All in all, the banking industry has a number of systems inplace to protect themselves and the consumer and will know if something doesn’t seem right. In each case, their was someone who picked up on something being wrong, however they ignored it. So listening to their own systems when they show something isn’t right is the biggest change these organizations can make.
Business and Public Policy3.What does Mr. Buffett mean by his statement, and how does it apply to rogue traders and their organizations? How would you develop the necessary temperament he describes? Although you understand what is right and wrong, you still need to be mindful of not falling into the same trap as others by cutting corners in making traders and the mis-management of funds. Just because you can see a loop hole in something does not mean you must act upon it, instead you can come up with a plan so another person who comes behind you doesn’t see what you saw and take the wrong road.

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