The following paper will examine WorldCom and how the business failed. It will also compare and contrast the contributions of leaderships, management and the organizations structures to how the organization failed the way they did.
The following paper will examine WorldCom and how the business failed. It will also compare and contrast the contributions of leaderships, management and the organizations structures to how the organization failed the way they did.

WorldCom began as a small long distance telecommunication company and progressed into one of the largest telecommunications in the world and the second largest long distance company. It began as a small company in Jackson, MS by Bernie Ebbers and grew to become a darling of the new economy and of Wall Street.

Failure within a large organization

WorldCom was the number two long distance provider, in July of 2002 WorldCom file bankruptcy. This was the largest bankruptcy ever in U.S. history with a $41 billion dollar debt load, and more than $107 billion dollars in assets and equipment (Ramero and Atlas, 2002). Bernard John “Bernie” Ebbers the former CEO of WorldCom grew the company into one of the largest communications providers in the world. In light of his resignation from WorldCom in 2002 a Securities and Exchange Commission investigator found out that Ebbers and WorldCom admitted that he had inflated $3.8 billion and it also uncovered some $11 billion in fraudulent accounting practices that had fueled WorldCom’s rise. Ebbers entered the telecommunication industry providing long distance services in 1983 with a Jackson, Mississippi company formally known as LDDS. Ebbers grew the organization with a series of business acquisitions and later changed the name of the company from LDDS to WorldCom in 1995 (Ramero and Atlas, 2002).

In 1998 he purchased the telecommunications company to MCI for $37 billion dollars and at that time was the number two long distance provider second to AT&T making WorldCom a telecommunications giant.

During this time the company submitted a bid to try and purchase the Sprint Corporation in a $120 billion deal, the deal did not go through because it was blocked by...