I have nothing against IBM. All I'm saying is that they are already panicking about 4th quarter results, by demanding high utilization targets. Non-US, there are labor laws in most countries so they can only demand 45 hours (billable) per week. In the US, 60 hours per week, through year end, is the unofficial demand. Thus, they have cancelled Thanksgiving and Xmas... for IBM employees and their families.
You don't mandate ridiculously high utilization rates unless you are already coming up short.
4th quarter panic has already started internally. Big Blue demanding all employees to work 115%... no excuses or you will be fired. IBM is canceling Thanksgiving (US employees) and Xmas (WW employees) this year.
How could this possibly work? IBM (Indians Badly Managed) don't respect a female CEO. The next CEO might be a dog, which the IBM employees will eventually eat.
The high level of IBM debt on the books isn't just coming from the financial lending arm of the company. Yes, it can be a cash cow, but still... there is a huge amount of debt on the books. Do they break out the debt so we can see exactly how much % is coming from IBM Financial Services vs. IBM pixie dust accounting?
Exactly. Top down resource actions vs. bottom up. Fire a few hundred overpriced execs and save thousands that actually do work the work that is measurable and billable.
Ginni Rometty is simply riding the coat tails of Palmisano, who rode the coat tails of Gerstner.
It's very sad... IBM doesn't actually change... they "try" to implement strategies of their predicesors, but business and technology changes faster than the Titantic can turn. Iceberg ahead or did we already hit it?
There is no doubt that laying off expensive US employees and replacing them with lower cost resources saves a lot of money. For example, layoff 1 US employee and replace them with 5 employees from country X. However, now 5 people are doing the work of 1 person. Is this Big Blue's definition of productivity?
My wife shopped in JCP on Saturday in Dallas. Said the store looked great, clean, updated, and fresh. JCP was extremely crowded. Long lines at the checkout counter. She spent $500... everything was on sale....great brand names, values, and prices in an uncertain US economy. On a different topic, she saw Dillard's was leaving one of the major Dallas malls.
I heard BBRY will be split in 2 and bought... IBM taking the security services, etc. Lenovo buying the handset business, etc. Each part will be bought at a slight premium... with both parts roughly equal to $20 per share.
It is true Velti will be at the conference. They sent their secretary and she paid $99 for a day pass to attend some seminars and bring home some stress balls and koozies (none of which have the Velti company logo on them). So what?
History repeats in slightly different contexts starting with the 1933 German national census. Isn't technology great?