Toxic Leadership: The Story of Term Paper

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According to the DSM-IV, a sociopath must have, at least three of the following characteristics: 1. Failure to conform to social norms; 2. Deceitfulness, manipulativeness; 3. Impulsivity, failure to plan ahead; 4. Irritability, aggressiveness; 5. Reckless disregard for the safety of self or others; 6. Consistent irresponsibility; 7. Lack of remorse after having hurt, mistreated, or stolen from another person" (Connor).

It does not take any stretch of the imagination to see more than three of these characteristics in Dunlap and his actions. Dunlap's decisions were illogical and extreme. His philosophy of cutting unnecessary expense would make any "Lean Management" student proud. However, his practice of accounting would raise some eyebrows to say the least. No one will argue that Dunlap managed to pad his own pockets quite nicely with the rises in stock price. However, he simply ignored many obligations to others that are considered to be the basis of ethics for upper management.

Every CEO has a responsibility to the shareholders. They did experience incredible profits, but it was a house built on quicksand. The accounting methods used by Dunlap would be considered fraudulent by many. They reflected revenues that had not yet been realized. Anything could have happened to the merchandise to jeopardize the real dollars that were promised in the future. Dunlap was the pied-paper as he rose to power and others made quick profits. However, in the end, he was less than the hero that he was in the beginning. Dunlap destroyed the team cohesiveness and morale of the companies that he attempted to save.

The Final Analysis

Dunlap was the shareholder's best friend until the walls came tumbling down. In the finals analysis it is difficult to determine a person's true motive for doing something.

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Was Dunlap a psychopath, or was he simply a self-serving autocrat? Did he feel that he was doing something for the good of the shareholders? No one will truly ever know his motives or intentions in his actions. However, one thing is certain, as a leader he set the tone for the companies that he managed.

Dunlap set a tone that created hostility between board members. Dunlap's style of leadership went against common principles of good leadership qualities. There are many different leadership styles and philosophies. However, none of the accepted models include a style that destroys the morale and team spirit from the inside out. From this perspective, it is difficult to justify Dunlap's leadership style from any logical standpoint, even from the financial success that he brought. Jean Lipman - Blumen (2005) called these types of leaders "sociopaths."

Dunlap is a poster child for toxic leadership. Even if he had not ran the Sunbeam Corporation into bankruptcy, his abilities would have to be measured by the atmosphere that he created. A true leader is a person to be respected and looked up to. It appears that even his closest relatives found it difficult to respect him. Dunlap's biggest mistake and the one that also represents the biggest lesson for others is that he failed to see the value in people. He placed corporate profits above and beyond anything else. This type of atmosphere was one that his fellow board members were unwilling to accept. However, in the end, the scars that such an event leaves are difficult to heal. Dunlap swept through spreading his toxic ideals, and in the end, those left behind have to pick up the pieces.

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