The Price of Unethical Behavior Essays

1459 Words Aug 28th, 2013 6 Pages
The Price of Unethical Behavior

The Price of Unethical Behavior Tyco International as a whole was no different any other company in that it contained a chief executive officer (CEO) that wanted to achieve success. But at some point that success turned into greed. Dennis Kozlowski began working for Tyco in 1975 and was named the CEO in 1992. Kozlowski had a reputation for being aggressive in his field and during his tenure at Tyco was named one of the “Top 25 Managers of the Year” and became one of the highest-paid CEOs (Kaplan, 2009, p. 14). Along his rise to the top, Kozlowski became subjected to a lavish lifestyle of extravagant vacations, company jets and cars, and memberships. During this rise, he also treated himself to a
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117). “A fundamental component of [Social Learning Theory] SLT is the notion of vicarious or observational learning; individuals learn which behaviors are acceptable and/or unacceptable by observing and imitating others” (O’Fallon & Butterfield, 2012, p. 118). In the case of Tyco International, investigations stemming from the indictment of Kozlowski uncovered similar unethical behavior among many of the board members. “Employees…are not likely to report the behavior to an authority figure, particularly if the peer is a friend” (as cited in O’Fallon & Butterfield, 2012, p. 117). Kozlowski handpicked individuals he trusted and placed them in key positions including Tyco’s board of directors. These strategically placed individuals observed Kozlowski, the chief executive officer and friend to some, living a lavish lifestyle, and engaged in the same behavior whether they thought it was right or wrong.
Kozlowski’s unethical behavior did not happen over night, his actions became more prominent and confident over time. Gino and Bazerman (n.d.) found that “people are more likely to accept the unethical behavior of others if the unethical behavior develops gradually over time than if it occurs abruptly” (p. 711). When Kozlowski began working for Tyco, he worked under CEO Joseph
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