Lessons Form Lehmans

In: Business and Management

Submitted By cmortiz325
Words 1151
Pages 5
Lessons from Lehman Brothers: Will We Ever Learn?
Steven Figueroa, Adrian Bland, Victoria Fabuluje, Amy Ramkey, Carmen M. Ortiz
MGT/521
03/10/14
CHRISTINE GNIEDZIEJKA

Lessons from Lehman Brothers: Will We Ever Learn?

2. What was the culture at Lehman Brothers like? How did this culture contribute to the company's downfall?

Anyone knows that rewarding bad or illegal behavior can lead to the making of a person who is irresponsible and reckless. This is a general description of the type of employees involved in the Lehman Brothers company culture. The Lehman Brothers culture was out of control and a blind eye was turned to any high risk deals and or illegal modifications done to the company balance sheet. Many failed or wrong decisions made by management often went without consequence. In fact, individuals making any high risk or questionable deals were treated like superstars or moneymakers rather than irresponsible or uncalculated decision makers. This type of reward system can only draw the attention of the greedy and crooked minded.
The type of culture created was a recipe of disaster for the Lehman Brothers company. There were some employees that did not agree with many of the choices made by upper management. But, when they attempted to voice their opinion or concerns they were ignored and overruled leaving them no choice but to follow suit. By ignoring any standards, ethics or controls to guide the Lehman Brothers culture the employees were left to express their unbridled personalities and outdo one another. It is evident that management had a lot to do with the downfall of this historic company and its once golden reputation of high standard. The development, organization and nurturing of a company’s culture can not only help but encourage its employees to work beyond their ideal limits. Leaders at Lehman Brothers did not create a healthy and…...

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