Leadership, Management, and the Failure of Worldcom
There were many individuals who were incredibly concerned about the transition into the year 2150, and the possibility of systems screwing up because of personal computers not able to handle the changeover out of the 20th century. Transitioning into the 21st century, it was not really computer systems that workers necessary to worry about but instead the managing of the company, and the strategies and manners that would ultimately lead to the downfall and closure from the company. One of the famous was Enron, although another well known failure was that of WorldCom. WorldCom was obviously a big gamer in the telecommunications industry, becoming the largest phone system carrier of websites traffic. In 2002, WorldCom joined the ranks of failed corporations mostly as a result of tactics that management as well as accountants accustomed to show which the company was earning more cash than it was. This was to some extent in part because of the CEO Benard Ebbers wonderful appetite for money. One could have got predicted the fact that company might fail because of the way the organization organized the financial balance sheets, and showing even more profits that it had. Simply by overstating earnings of the company, everything seemed ideal on paper and to Stock market, but buyers were not capable to gauge some of the performance in the company. High-tech consultant Francis McInerney forecasted the failure of WorldCom in 97 when WorldCom purchased MCI. The MCI venture offered a great deal of costs to WorldCom in maintaining or replacing the network structures. The managing of WorldCom was generally interested in the short term profit and did not even take into account the cost it will take to take care of the MCI framework. Ultimately the combination of high costs with MCI, and the economic methods used had a a lot to do with the failure. The behaviour of Bernard Ebbers, the Chief Financial Expert Scott Sullivan, and Controller David Meyers, showed which the management would not have significant amounts of interest in how a company...
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