Inside Arthur Andersen : shifting values, unexpected consequences

mueller, barbara; schweri, jurg;

There's been plenty of loose talk about the reasons for the collapse of Arthur Andersen--much of it surrounding Andersen's culture. What, exactly, was the culture of Andersen? Did it really cause the collapse--and if so, what lessons can other organizations learn from Andersen's experience? The authors of Inside Arthur Andersen: Shifting Values, Unexpected Consequences bring their unique insights to a close-range observation of Andersen's culture that has continued for more than 15 years. They set the stage by reviewing Andersen's unique history and role; its traditionally careful attention to enculturing new employees via mentoring, social networking, rewards and punishments; and its social structure characterized by personal, familial relationships. Next, they narrate two decades of change at Andersen, showing how the firm's tightly integrated cultural system gradually began to devolve, rapidly coming apart in the wake of the 1990s new economy revolution. The book concludes with an insightful discussion of the systemic cultural and business factors that placed Andersen and many other organizations at risk, along with a realistic assessment of the proposed reforms. Organizational leaders can read this book as a profound cautionary tale; researchers and students of organizational culture can read it as one of the most extraordinary case studies ever presented.