Tyco Downfall

Topics: Organizational studies, Organization, Tyco International Pages: 3 (962 words) Published: April 11, 2011
An organization is built upon certain components. The components include the strategic apex, a middle line, and the operators. The support staff and the technostructure support the basic components. In an organization there are different mechanisms of coordination such as direct supervision and then Standardization of work, skill, outputs, or norms. This usually depends on how large an organization or how old. This is the basic structure of an organization. This is all very structured and one would think easy to follow. A large organization based off of skills is where the worker rather than the work or the outputs is standardized. He or she is taught a body of knowledge and a set of skills which are subsequently applied to the work (Mintzberg). Each mechanism is clearly defined in their own way. The issue in organizations is not so much around which mechanism or how their components interact. The issues that truly make an organization successful or bring it down revolve around the internal organizational behavior of the workers, managers, and executives.

Organizational Behavior is defined as a field of study that investigates the impact that individuals, groups, and structure have on behavior within organizations, for the purpose of applying such knowledge toward improving an organization’s effectiveness (Robbins). There are many components that are involved in organizational behavior. These includes deviant workplace behavior, productivity, and many others. The components are affected at the individual level, group level, and finally system level.

One organization that was affected negatively by the organizational behavior of its executives was Tyco International. Three executives, CFO Mark Swartz, CEO Dennis Koslowski, and ex general counsel Mark Belnick were charged with looting the company for around 600 million. Their actions along with other organization’s fraud scandals prompted Congress to pass the...
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