7-1. Discussion: WorldCom: What Happened?

Focused on the study related to the WorldCom company and the decision making or key components, it is analyzed the there could be issues in the company decisions if the decisions are not taken effect and if there is the communication gap within the company. There is the analysis of P-O-L-C framework, decision-making as well as the communication barriers that were related or could be focused on the most prominent mistakes. Several issues were related to the downfall of WorldCom and then there were facts related to the leadership decision-making pitfalls.


P-O-L-C framework

P-O-L-C framework could be described as the “planning, organizing, leading, and controlling” however, the manager needs to focus on effective decision through the understanding of the stakeholder or their employees, so that communication gaps could be removed and there could be effective decisions. Effective planning and organizing are important in order to focus on the organizational issues. Moreover, leading, and controlling help the managers to focus on the aspects of the decision implementation so that there could be effective leading component regarding supervisors and employees communication and motivation (Nicolescu, Plesoianu, & Cîrstea, 2017)


Effective communication

Effective communication is very necessary for the organization or the employers so that there could be effective decision making (Andrews & Andrews, 2012). However, in the case of WorldCom, there was no effective communication by the leaders named Ebbers. He didn’t focus on the decision making and there were issues that created at the company at large extent. Both the aspects including communication and decision-making can be said that they are interrelated because the company also faces issues and World faced losses.

Example, based on the communication barriers there were issues in the company as the company or managers ignored internal conflicts as well as the economic problems, which lead the company to face losses. the firm faced the issue in the decision making because he didn’t notice that what employees are doing and when the situations changes, thus in result there was changes or issues in the fraud example, related to the financial documents, which also allow the company to increased or avoid bad economic reality.

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Communication barriers

The firm has to face losses by Ebbers due to communication issues, more problems take place and there were more acquisitions, complexities resulted in the issues of accounting procedures as well as the customer service and the computer systems. WorldCom was facing the issues of communication, as not all information was provided to the Ebbers because he had the reluctant behavior with the employees and he was not interested to communicate with them. Moreover, he never focused on the advanced technological means in order to focus on the communication gap. His leadership was issues related to psychological or attitudinal communication barrier and there was the weak relationship or no coordination between manager and assistants (CNN, 2005).  


It is concluded that there is need to draw the attention of Ebbers, so that company could be saved from the initial problems and through focused on all the problems, there is the need communicate with the employees, so that there could be effective information or news.

There could be various factoring in potential problems, so that company needs to the emphasis on the culture that helps the employees so that they could share and focus n the misrepresent financial reports or other issues related to the financial misrepresentation. The company or manager need to focus on the communication aspects so that there may not be the dishonesty and false documentation. If there are faulty decisions in the company like world.com, there-there may not be the imperviousness and harmony and the quality of business decisions can also be affected or there could be issues.



Andrews, D. C., & Andrews, W. D. (2012). Management Communication: A Guide. Cengage Learning.

CNN. (2005, March 5). Ex-WorldCom CEO Ebbers guilty. Retrieved from http://money.cnn.com/2005/03/15/news/newsmakers/ebbers/

Nicolescu, O., Plesoianu, G., & Cîrstea, A. C. (2017). New Approaches and Tendencies in Entrepreneurial Management: International Conference Proceedings. Cambridge Scholars Publishing.

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