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Cisco’s apparently going to try to simplify its sales, services and engineering organizations in the next 120 daysBy Maureen O'Gara
Faced with a nasty loss of credibility, a string of poor financial results, shrinking market share in its core business, an unwieldy and alienating bureaucracy blamed for the top executive exodus it been experiencing, and a stock price that's plunged into the toilet Cisco, once an economic bellwether, is promising to do more than simply kill off its once-popular Flip video camcorder business and lay 550 people off, an admission that its foray into the consumer segment had largely failed.
It said in a press release issued Thursday morning that it's going to a "streamlined operating model" focused on five areas, not apparently the literally 30 different directions it's been going in although it did say, come to think of it, something about "greater focus" so maybe it's not really cutting back.
These focus areas are, it said, "routing, switching, and services; collaboration; data center virtualization and cloud; video; and architectures for business transformation."
Nobody seems to know what that last one is and the Wall Street Journal criticized Cisco for not being able to explain in plain English what it's doing and Barron's complained that it needed a Kremlinologist to decrypt the jargon in the press release.
Anyway Cisco's apparently going to try to simplify its sales, services and engineering organizations in the next 120 days or by July 31 when its next fiscal year begins. Well, maybe not everything, it warned, but sales ought to be reorganized by then.
This streamlining seems to mean that:
It's unclear whether any of this means layoffs.
Cisco piped in a quote credited to Moore saying. "Cisco is focused on making a series of changes throughout the next quarter and as we enter the new fiscal year that will make it easier to work for and with Cisco, as we focus our portfolio, simplify operations and manage expenses. Our five company priorities are for a reason - they are the five drivers of the future of the network, and they define what our customers know Cisco is uniquely able to provide for their business success. The new operating model will enable Cisco to execute on the significant market opportunities of the network and empower our sales, service and engineering organizations."
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Cloud computing fundamentals
Summary: A revolution is defined as a change in the way people think and behave that is both dramatic in nature and broad in scope. By that definition, cloud computing is indeed a revolution. Cloud computing is creating a fundamental change in computer architecture, software and tools development, and of course, in the way we store, distribute and consume information. The intent of this article is to aid you in assimilating the reality of the revolution, so you can use it for your own profit and well being. Learn more>