Worldcom

Worldcom Management Paper

Jacqueline Warden

July 26, 2010

Worldcom was founded in 1983 by Bernard Ebbers as a small long distance discount telecom company based in Mississippi. Worldcom acquired many small companies and later became one of the largest long distance providers by 1995. In 1997, Worldcom took over MCI, and became the second largest telecom company in America after AT&T. After Worldcom entered the internet industry, they soon found that they were acquiring a debt not a profit. At this time, most long distance companies were reporting a loss, but Worldcom was frauduently reporting a profit. Worldcom’s chief financial officer, Scot Sullivan highly manipulated the company’s financial data and ordered other members to do the same. I am going to show how the functions of management influenced the legal issues, ethics, and corporate social responsibility of Worldcom

Management planning is an essential part of any organization and is essential for the efficient working of an organization. The management planning of Worldcom has not shown to be good at all when it came to accurately reporting high profits and making the company look profitable instead of showing the company in debt. Because Worldcom failed to report correctly, many people including stakeholders were cheated. ( ) For a organization to be successful, I believe the management planning is very crucial. Worldcom did not follow the right, ethical and legal conduct according to the standards of the company and was declared bankrupt in the end. The once well known company that was known as the second largest telecom communications company in 2002 was known as bankrupt due to fraudulent activity and corrupt practices.

ln