Sunday, August 25, 2019
Tyco International Company Culture Essay Example | Topics and Well Written Essays - 1500 words
Tyco International Company Culture - Essay Example This research will begin with the statement that ethics signifies the habit, customs, disposition, and significance of an individual. Ethics has been related to honesty and morality conducted by an individual or employee in their personal or professional lives. Ã Although, there is no widely accepted definition of Ã business ethics but according to author Lewis it is defined as rules, standards, principles, codes, which provide guidelinesÃ for the morally right behavior and the truthfulness Ã in certain specific situations It is observed that an organization with a diverse workforce face various situational dilemma and issues arising out of ethical values. Ethics can be termed asset of moral standards that help the managers and the employees to arrive at a unified decision with the stakeholders. The influence of the legal laws on the managerial decision making is huge and has a considerable amount of influence on the personal and professional lives of the people. Tyco Intern ational Ltd It was observed that after the scandalous activity performed by the management of Enron Corporation the share prices of Tyco International started decreasing gradually. Initially, the accountability of the decreasing shares was given to the heavy intraday trading on a particular day which amounted to the US $68 million. However, the share price of the company started decreasing drastically from $4.45 to $ 47.95 per share. The final blow to the employees and the shareholders was when the management announced that the total earnings of the company had dropped down drastically to 24 percent in the year 2001 compared to the year 2000. The share price of the company had dropped down to $29.90 which was a decrease of 50 percent since January 2002. Tyco International was facing one of the biggest financial crises and the incident had sparked controversies in the entire United States of America. This had led to the management of the company to borrow funds and an analyst had cal led the situation as Ã¢â¬Å"crisis in confidenceÃ¢â¬ .