Clay ignored concerns voiced by his staff that customers were complaining about increasingly delayed shipments. He continued to brush off their comments until he lost his biggest customer. When he called the customer in an attempt to recover the lost business, the customer said, "I repeatedly told your staff that delivery times were becoming unacceptable-yet nothing changed. I was even told that you, the owner, had been told, but still nothing changed. We have decided to take our business elsewhere."

The sight of corporate executives being led off in handcuffs was a dramatic illustration of the malfeasance that has come to light at several large companies in the United States. Several of these firms fell from grace quickly- stunning their employees, shareholders, and lenders with the magnitude of the losses. How can you tell whether your company is likely to be next in line? No method is foolproof, but certain clues may indicate that a company is in danger.

The sight of corporate executives being led off in handcuffs was a dramatic illustration of the malfeasance that has come to light at several large companies in the United States. Several of these firms fell from grace quickly- stunning their employees, shareholders, and lenders with the magnitude of the losses. How can you tell whether your company is likely to be next in line? No method is foolproof, but certain clues may indicate that a company is in danger.

"To team, or not to team," that is the question Shakespeare might have asked were he writing a play on the subject of establishing strategic partnerships. In the early days of industrialization, most companies in the United States opted not to team up with others. Henry Ford believed that the Ford Motor Company should not rely on other businesses. Consequently, Ford owned its own steel mill, iron ore boats, and mines-even it's own electrical generation facility. Today, however, most companies-including Ford-realize that partnering often makes sense. It allows companies to work together, each focusing on what it does best, and spreading the cost and the risk of expensive projects.

Morgan Stanley agreed to pay a $50 million penalty, and Alliance Capital has reserved $190 million for future penalties, following a settlement with Putnam Investments. But in view of avalanching allegations against mutual fund managers, the interest of the investing public goes beyond fines, penalties, and investor settlements.