There are several ways to define ethics, which are linked with morality. Any organization’s code of ethics would be valuable. Organizational ethics embrace the moral principle to develop the ethical standards of employees, workers and top most managers.
This principle just moved beyond the accepted values to behave constantly in a moral way. It is not only just appearing to be moral, but acting morally.
As a natural fact, it is important that each corporation, firm and professional organizations must have ethical guidelines. AICPA, PCAOB (Public Company Accounting Oversight Board), IMA and the SEC, these all are having their own code of ethics, which are based upon moral principle. This code of moral principle need to be prompted widely, so that both the inside and outside stakeholders become aware to take permission on their actions being constituents of the organization. It is also necessary that the CEOs, directors or the other top managers should clearly state about the personal responsibility and their code of ethics to the all employers, clients, investors and vendors.
In 1960, Tyco Inc. was formed as a holding and investment company with the two segments: Tyco Semiconductors and the Materials Research laboratory.
In 1970 stock holders and sales equity reached $15million and $34 million respectively.
In 1980 Tyco management focused on the acquisition of subsidiaries. Tyco divided the company into three business segments.
Dennis Kozolowski became the CEO of the Tyco International and adaptation of aggressive acquisition strategy is made by the company again in 1990.
Tyco’s aggressive strategy continued till 2000 purchasing general surgical innovation. In The 2001, the fiscal year, Mallinckrodt Inc. is acquired by the Tyco
Complexity grew within Tyco’s subsidiaries, in January 2002
A scandal occurred due to the dishonesty of CEO (Dennis) on February 3, 2003. After removing the scandal, Tyco made international moves in 2003, within the company and formed its Adhesives and plastic business segments.
To enhance the consumer awareness and to revive the corporate image Tyco launched a global print-advertising campaign in June 2004.
In 2005 VSNL acquired Tyco Global Network from Tyco International for $130 million.
Tyco’s revenue downfall caused about $17 billion by the end of the fiscal year 2006. Though there was a strong cash flow, decreased debt and growing revenue, Tyco and its board of director give approval to separate Tyco into three segments.
In June 2007, there was a corporate separation of Tyco which split the company into three independent companies: Covidien Ltd. (Tyco Healthcare), Tyco International (Tyco Engineered products, Fire and Security services) and TE Connectivity Ltd. (Tyco Electronics).
In the past years Dennis was considered as the highest paid and most celebrated CEOs. With a market cap of $1.5 billion, Dennis named a company as TYCO from backwater manufacturer into industrial conglomerate, which is worth more than $100 billion. He was lauded as one of the top 25 managers of the year.
In 2002, it was time when fall came. Dennis was accused by the Manhattan district attorney for the cheating of 1 million in sales tax on his art purchases. This led to a larger investigation made by DA and Tyco board on Dennis. With the following year Dennis was found to cheat his company over hundreds of millions of dollars, which includes unauthorized bonus also. Dennis was sentenced to prison for anindeterminate period of 8 to 25 years.
According to the Tyco Fraud Information center, there were accounting errors but there was no fraud problem. Tyco’s CEO, Dennis Koslowski was accused with other top managers of giving themselves loans with low interest or without interest, which are not approved by the Tyco board. Some of these loans were part of “key employee loan” program offered by the company. They were also accused of selling their stocks, without telling the investors. These are the reason behind to spend and to take loans were so easy for Dennis and other top managers for so long.
As an outcome of this event, people, who have destroyed Bear Streams, Lehman or AIG, are now spending time with the Dennis behind the bar.
After being removed from the scandal, Tyco made international moves in 2003 within the company by forming its adhesives business segments. Other changes also took place in Tyco’s corporate governance (Stephens, Vance, and Pettegrew, 2015). Tyco’s board chose John Krol as the lead director. Tyco’s board adopted new governance principles and policies on delegation of authority, which in turn strengthened the control over the disbursements of cash within the company (Brown, 2005).
Then the final improvement took place on corporate governance, which has come under the guidance of the Ethical Conduct. The guidance was imposed to make the employees aware about the correct procedures and to give warning for unethical behavior and practices (Tyco to split into 3 separate companies, 2006).
The punishment was not justified. Though, bail was not granted to Dennis due to not having access to the prosecutorial evidence. The New York governor has the power to give mercy and criminals are released on parole, in an indeterminate sentence a vast discretion is there, such as, based on good behavior Dennis could be released in a couple of years (Gardiner, 2006).
Still it is a fact that Tyco always remains strong as WorldCom and Enron, whose downfall is caused by its leaders. The Shareholders, workers get affected too (Clarke, 2011).
A study by Touche and Deloitte in 2009 indicated that a large number of teenagers suffer from the contradiction on ethical readiness for workforce. There are 80% of teens, who appreciated their confidence for being prepared to take ethical decision in future; even they are able to accept their unethical behavior in present. There are only 25% of teens, who have admitted that they would be “very likely” to revel knowledge of unethical behavior in the work font (Dresser-Rand buys valve business from Tyco, 2007).
These are not only cases; in the case of the parents, they do not even want to accept the possibility that their children can do anything wrong (Johnson, 2012). Even when their children are fully admit their unethical act. Some teachers and the school administrators punish student for their classroom misdeeds (Kaplan, 2015). This situation may lead to leave the profession or taking the other way to make the students realized about their misdeeds. There are few cases, where no accountability for the misdeed, allows students to cheat them without the punishment and they started believing that cheating is an acceptable activity (Ferrara and LaMeau, 2012).
Ethics says about the individual value system started developing while the education of a person reaches to the college and further education contribute a little to bring out the changes.
There are varieties of reason, to the people, who performs unethical acts. Kohlberg made classification on cognitive frameworks to divide ethical behavior into 6 categories, which are considered as a 6 levels of moral reasoning, they are- stage one indicates being ethical for fear of being punished. Stage two describes being ethical is out of concern. Stage three describes to be ethical for the peer pressure to do the same. Stage four says to ethical due to the rules, laws, regulations and standards, Stage five describes social responsibility for being ethical out of concern to do good for others. Lastly stage six describes the concern for the moral principle and knowing the correct thing to do.
Brown, M. (2005). Corporate integrity. New York: Cambridge University Press.
Dresser-Rand buys valve business from Tyco. (2007). World Pumps, 2007(489), p.6.
Ferrara, M. and LaMeau, M. (2012). Corporate disasters. Detroit: Gale, Cengage Learning.
Ferrell, O., Fraedrich, J. and Ferrell, L. (2010). Business ethics. Mason, Ohio: South-Western, Cengage learning.
Gardiner, S. (2006). A Perfect Moral Storm: Climate Change, Intergenerational Ethics and the Problem of Moral Corruption. Environmental Values, 15(3), pp.397-413.
Gavai, A. (2010). Business ethics. Mumbai [India]: Himalaya Pub. House.
Johnson, C. (2012). Organizational ethics. Thousand Oaks, Calif.: SAGE Publications.
Kaplan, D. (2015). KOZ MAKES HIS CASE. Fortune, 160(11), pp.14-16.
Stephens,, W., Vance,, C. and Pettegrew,, L. (2015). Embracing Ethics and Morality. The CPA Journal, 82(1).
Tyco to split into 3 separate companies. (2006). Pump Industry Analyst, 2006(1), p.16.
To export a reference to this article please select a referencing stye below:
My Assignment Help. (2016). Price Of Unethical Behavior. Retrieved from https://myassignmenthelp.com/free-samples/price-of-unethical-behavior.
"Price Of Unethical Behavior." My Assignment Help, 2016, https://myassignmenthelp.com/free-samples/price-of-unethical-behavior.
My Assignment Help (2016) Price Of Unethical Behavior [Online]. Available from: https://myassignmenthelp.com/free-samples/price-of-unethical-behavior
[Accessed 23 January 2020].
My Assignment Help. 'Price Of Unethical Behavior' (My Assignment Help, 2016) <https://myassignmenthelp.com/free-samples/price-of-unethical-behavior> accessed 23 January 2020.
My Assignment Help. Price Of Unethical Behavior [Internet]. My Assignment Help. 2016 [cited 23 January 2020]. Available from: https://myassignmenthelp.com/free-samples/price-of-unethical-behavior.
For years, MyAssignmenthelp.com has been operating as one of the cheap assignment help providers in the USA. We are one of the best college paper writing services that keep service price minimal. We do not let the affordability of our service to hamper the standard of our work. We have separate teams of experts to provide report writing help . At MyAssigenmnthelp.com, we believe in earning credibility, so students can pay for assignments only after getting satisfied solutions. Tough assignments bother you? Trust us with your project. You will not regret paying us to write assignments for you.
Answer: Introduction The Hewlett-Packard Company which is commonly known as the HP is one of the biggest IT Company in the world. The organisation provides global services of many different kinds of products, solutions, technologies and services to customers and businesses. The organisation is having several offices all around the globe which takes care of the business . This paper provides information about one of the major office relocat...Read More
Answer: Introduction Organisations have seen a lot of changes in the operating environment of a business concern for more than half a century. Nowadays manufacturing concerns produce varieties of di products with globalization impacting most organisations . With the modernization of the manufacturing concerns, a new form of costing called activity based costing is steadily replacing traditional costing methods (Dale and Plunkett 2...Read More
Answer: Introduction The Heating Company is responsible for the production of heating equipment for both the residential and the non-residential facilities. The proposed plans for the company are to develop new lines of gases and development of improvised central heating control (CHC) systems for both the residential and non-residential facilities. The core proposals for the central heating control systems are to model the functional specific...Read More
Answer: Introduction to Adaptive Methodologies The required system needed for the OJL can be developed using a variety of different methods and approaches. However, each of the methods may or may not be the most optimum method and the resulting output may as well differ based on the methods and approaches that were followed. Also, the approach that is followed also plays an important role in deciding the behaviour of the system and also, it&r...Read More
Answer: Introduction Project Background Average returns that companies receive for an organization post development has been mostly positive. Companies that have internal departments for handling their R&D activities have several benefits like assistance in new product development, reduction of production costs, and bringing innovation in the organization. R&D can help companies increase their capabilities and enhance their knowledg...Read More
Just share your requirements and get customized solutions on time.
Our writers make sure that all orders are submitted, prior to the deadline.
Using reliable plagiarism detection software, Turnitin.com.We only provide customized 100 percent original papers.
Feel free to contact our assignment writing services any time via phone, email or live chat.
Our writers can provide you professional writing assistance on any subject at any level.
Our best price guarantee ensures that the features we offer cannot be matched by any of the competitors.
Get all your documents checked for plagiarism or duplicacy with us.
Get different kinds of essays typed in minutes with clicks.
Calculate your semester grades and cumulative GPa with our GPA Calculator.
Balance any chemical equation in minutes just by entering the formula.
Calculate the number of words and number of pages of all your academic documents.
Our Mission Client Satisfaction
The work done by you is excellent and plagiarism free and all points are clearly defined with are perfectly understood by everyone.
Thank you for your help! expert made a brilliant job. max points graded to this assigment! thank you again for this perfect job
The experts have done a fantastic job on my case study. I was graded a 95% which is awesome. Thank you for your efforts!
I have been traveling while trying to get this class done they I\'m so happy this site is around. I\'m so grateful.