Woods (left) had been in a strong position going into the final round
Graeme McDowell is up to a career-high seventh in the world after his amazing victory over Tiger Woods in California.
For the first time, Woods lost a four-shot lead going into the final round of an event as McDowell won the Chevron World Challenge after a play-off.
McDowell, who moves up four places in the rankings, added the title to his US Open, Wales Open and Andalucia Masters triumphs this year.
Rory McIlroy slips one position to 11th despite his fourth place in the US.
Lee Westwood has extended his lead over Woods at the top of the rankings after cruising to an
in the invitational Nedbank Challenge in South Africa.
The Englishman is now 0.8 points ahead of the former number one.
Meanwhile, Westwood has criticised the PGA Tour's decision to overlook McIlroy for the rookie of the year award in the United States.
Instead, Rickie Fowler was the choice of his fellow Tour players even though, unlike McIlroy, he did not win on his debut season in the US.
McIlroy clinched a remarkable triumph at the Quail Hollow Championship in early May and also had top-three finishes in the Open Championship and PGA Championship.
Fowler's best performances were runner-up finishes at the Phoenix Open and the Memorial and he did finish four places higher than McIlroy in the US money list.
However, McIlroy's average earnings per tournament was almost £50,000 more than the American and speaking on his Twitter account, Westwood insisted that the Ulsterman should have been handed the rookie honour.
"Yes he's [Fowler] had a good year but Rory McIlroy third in two majors and an absolute demolition of the field at Quail Hollow," said Westwood.
"Oh yes and on the winning Ryder Cup team! Please! Is this yet another case of protectionism by the PGA Tour or are they so desperate to win something."
Westwood added:"Wouldn't have something to do with Rory not joining the [PGA] Tour next year?"