Tyrrell entered 1983 powered by the short-stroke Ford Cosworth DFV, which had previously been supplied to Lotus before that team switched to Renault turbocharged engines. Sponsorship from the Benetton clothing company provided a substantial budget that helped develop the 012 into a light and nimble car, though it was clearly outmatched by the rapidly growing power advantage of the turbocharged machinery that dominated the grid.
The car's distinctive early appearance came in the form of a triangle-shaped rear wing, earning it the nickname "boomerang." This configuration was seen only once at a grand prix weekend — during practice for the 1983 Austrian Grand Prix in the hands of Michele Alboreto — and the design was not raced.
Michele Alboreto drove the 012 in his second year with Tyrrell and scored a point at the car's first race at Zandvoort. Ken Tyrrell's established approach of nurturing young talent continued with the 012, as the team developed its drivers even without the power parity to challenge for victories outright.
For 1984 the team's sponsorship changed to Systime Computers Ltd, a Leeds-based minicomputer manufacturer. Alboreto departed for Ferrari and his seat was taken by Martin Brundle, with Stefan Bellof filling the second car. Ford supplied an updated engine designated the DFY, and the 012 was further developed with smaller sidepods and a larger rear wing.
Both Brundle and Bellof impressed in their rookie Formula One seasons, achieving solid results including a podium finish each. However, after Brundle's second-place finish at the Detroit Grand Prix, the FIA disqualified the Tyrrell team's results for various rule infringements and excluded the team from the 1984 Constructors' Championship entirely.
The 012 was pressed back into service at the start of 1985 while the newer 014, which used a turbocharged Renault engine, was being readied. Bellof scored several points finishes with the aging chassis in the early rounds. By this stage the DFY engine was approximately 300 bhp down on the turbocharged units used by most rivals, a deficit that had become severe.
The gap was starkly illustrated at the French Grand Prix at Paul Ricard. On the 1.8 km Mistral Straight, Brundle — driving the new turbo-powered 014 — followed Bellof's 012 onto the straight just 100 yards behind during a quick lap. By the time Brundle reached the Signes corner, Bellof was barely visible in his mirrors. The turbocharged car reached around 310 km/h, some 33 km/h faster than the DFY-powered 012.
The Tyrrell 012 holds the distinction of being the last Formula One car to enter a race powered by the Cosworth DFY engine. Martin Brundle drove it at the 1985 Austrian Grand Prix, though he failed to qualify. By that point the 012 was the only car on the grid still running a normally aspirated engine.
The 012 represents the end of an era for Tyrrell and for naturally aspirated Formula One competition in the mid-1980s. Its lifespan bridged a critical transitional moment in the sport, when turbocharged power rendered the venerable Cosworth DFV family of engines obsolete as competitive machinery. Two examples of the 012 were also used in Formula 3000 in 1985 by the Barron Racing Team, extending the chassis's competitive life beyond Formula One.