Failure at Tyco
Examining a Business Failure
Analyzing the Failure at Tyco International
This essay is to analyze the situation of Tyco International and how it failed. Tyco provides, security solutions, flow control and fire protection. We would analyze the failure using Organizational behavior. We would consider trait theories, behavioral theories and Fiedler contingency model to discuss Tyco's situation. We would also conclude as to how leadership, management and organizational structures supported the downfall of Tyco International.
The Failure at Tyco International
Tyco International is a diverse manufacturing company that operates globally. It is incorporated in Switzerland but has operational headquarters in New Jersey, U.S.A. Tyco offers its customers with fire protection, security solutions and flow control.
Tyco was a very profitable company under the leadership of L. Dennis Kozlowski, the chairman and Chief Executive Officer of Tyco International. Kozlowski served Tyco from July 1992 till June 2002 when the directors asked for his resignation. Kozlowski was charged with massive scandals and corruption on a large scale. Galvani et al. (2002) charged Kozlowski with extreme levels of corruption that included, awarding unauthorized special bonuses to him as well as 40 other employees, misappropriating 100 million dollars to him and millions of dollars to others as well. The list of the charges made by Boies, Schiller & Flexner LLP was endless. These accusations were clear as the company had begun to face decline. However, Kozlowski was to be taken to court and given a trial.
Explanation of Failure
The behavior of Kozlowski and the failure of the company can be explained by using...
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